WASHINGTON­ – The United States is going through a “transformational change,” and credit unions and especially CU management are lagging it at a cost to themselves and the next generation of members, according to one panel that addressed credit unions here.

Speaking to Mitchell Stankovic’s “Underground” meeting here on the issue of “shattered dreams” was a panel that included Pablo DeFilippi, EVP with Inclusiv; Beth Carr, president/CEO with Santa Cruz Community CU; Jim Morrell, president/CEO with Peninsula CU, and Victor Corro, CEO of Coopera. The session was moderated by Renee Sattiewhite, president/CEO with AACUC.

Here's a look at what was discussed:

Sattiewhite: Diversity. Where are we? Don’t fire your C level people without think you are going to have push back. You can fire C-level executives, but you have to make sure you are firing for performance, not because you are uncomfortable. What I’m seeing is people are reaching out, they want to do better, to do what’s right. The last time we were here (at the Underground) there were six African-Americans. Today, there is double that. That’s good. What are we going to do as an industry to look DEI in the face? We need to be bold, we need to be mindful, we need to be brave, but we have to be courageous. We need to do more.

Progress Has Been Made, But…

View from ‘The White Chick’

That’s the excitement that I get, the passion that I feel right, that we can effectuate change, we can make things happen.

But it starts with ourselves, it starts with the teams of people around us, it starts with individuals that I reached out to through CU Pride.

I have friends who have been able to help me understand not only through data, but through experience, and those lived experiences propel us. When we don't have that lived experience and we can begin to think through things and empathize with other folks.

U.S. in a ‘Transformational Change’

Corro: I am the chair of the DEI Collective, which is an organization of professional organizations to make sure that this industry cares about the framework of diversity, equity and inclusion—which, by the way, has gotten politicized in this country and which is a shame.

I want to start by saying the United States is going through a transformational change when it comes to its demographics. We are 10 years away from being a minority-majority country, which means all people of color will be more than the white component of the demographics. However, this industry is 90% white when it comes to the C-Suite and the boards. How can we be relevant? Change is needed.

We have DEI Tuesday (at GAC), we have an industry hiring with diversity, equity and inclusion. We have CU Pride. We have a lot of this groups, but again they still feel at the margins. To be honest with you, they still have to fight to be visible and that’s what our members are feeling.

When People Don’t Feel Connected

A lot of people of color will say, ‘I don't know if I feel connected to this bank.’ It's really sad when they call a credit union a bank. When they realize we are a financial cooperative and then we tell them about our principles and what we stand for, that really resonates with that consumer. But I don't know that we are really giving that message clearly.

In the United States we usually talk about asset size, about the loan portfolio and about banking jargon. There's a fundamental difference when it comes to being really committed and really having that purpose clear.

Financial inclusion is having the curiosity to ask who are we leaving behind within our field of membership? If you know through data that 20% of Hispanics live in your field of membership, yet have only 1% Hispanic membership, you’ve got to do more. You have to find what is preventing people from joining your credit union. Usually, it is the ID they have. Usually, they don't have a Social Security number.

We are a tool for development first and foremost. We're not a bank and we shouldn't aspire to be a bank. I think that's something we should do a better job in our industry of really internalizing. Once we know that, we can go about and help our community. If we don’t help the next generation, then we have failed as an industry.

Original post available here.