6.1 Our goal

• mecu’s workforce to be healthy, diverse, empowered and rewarded
• mecu’s culture to support its strategic direction and support sustainability innovation by staff and members

6.2 Our approach and commitments

We believe it is exceedingly important that we provide a supportive and challenging work environment, with opportunities for employees to fully develop their personal and professional skills.

6.2.1 Employee profile LA1 LA13 INT7

• Full-time: 147 (includes trainees)
• Part-time: 41
• Casual: 7
• Contract: 3 (includes temporary staff)
• Full-time Equivalent (FTEs): 182.29

We have a predominantly female workforce, the majority of whom work in member services. Senior management and the executive team are predominantly male.

Figure 6a: Percentage of males to females at different employment levels

We recognise that we have continuing gender imbalances at different employment levels (particularly at the member services and Executive levels). Although this is the case, we have an Affirmative Action Policy in place, which ensures that we practice non-discrimination and employ the most suitable candidate for the role.

Recruitment

Commitment 2005/2006	Progress
Review the recruitment process to identify desired behaviours and values that will support a sustainable mecu.

mecu’s approach to sustainable development continues to be discussed during the interview process and is included in descriptions published for vacant positions.

Psychological profiling of senior candidates is undertaken to identify abilities, workplace preferences and frequencies. Profiling can identify suitable behaviours and risks. Testing and profiling has been extended to include short-listed candidates for all positions.

Commitment 2005/2006	Progress
Focus on recruitment for minority groups or people with little to no work experience through avenues such as mecu’s traineeship program. Will be amended to: ‘Support recruitment for minority groups or people with little to no work experience.’	(ongoing. Although the original commitment has been fulfilled, there are various programs mecu wishes to explore before removing this as a commitment)

The mecu Human Resources (HR) policy covers Equal Opportunity Employment. Recruitment processes are designed so that we hire persons who best fit the role and organisation, free from discrimination.

Traineeships are advertised via newspapers and/or online using commercial employment websites and a Victorian government employment initiative website; www.jobnetwork.gov.au

Job Network is a national network of private and community organisations dedicated to finding jobs for unemployed people, particularly the long-term unemployed. As part of the traineeship trainees are required to complete a Certificate III in Financial Services through Swinburne TAFE.

In the 12 months 01/07/06 to 30/06/07 mecu employed five trainees: two in January 07, one in April 07 and two in June 07. Trainees are now employed in the Gippsland and Melbourne regions. There are currently three trainees in Gippsland and two trainees in Melbourne. Of the five trainees reported in the 2006 Sustainability Report, all were successful in obtaining permanent positions. Three of these five remain permanent employees. Traineeship opportunities are also being explored in our Canberra Service Centre.

6.2.1a Local recruitment EC7

When recruiting for any positions at mecu we advertise all positions internally, then advertise externally if necessary. In 2006/07 mecu advertised 45 positions internally, 19 of these were also advertised externally. Three trainee positions needed to be advertised externally. Of the roles advertised, 27 were filled by internal applicants.

When advertising externally for roles in regional centres, we advertise in local papers and on regional employment websites in an effort to recruit staff from the local community. In 2006/07 all managers in the Melbourne and regional offices were local residents.

6.2.2 Staff turnover and job creation LA2 INT2

Staff turnover and job creation are important to all organisations, and will vary depending on the nature of the organisation, the nature of the industry, the marketplace, the economic cycle and sometimes the seasons.

We aim to continue to improve productivity and manage levels of staff turnover without losing member focus. Our turnover rate for continuing employees (i.e.full-time, part-time and casual) for 2006/07 was 19.32%, a slight increase from 18.8% in 2005/06 in a very competitive labour market.

Staff exit survey results highlight that the main reasons for staff leaving include higher remuneration and other work opportunities.

6.2.3 Health and safety LA6 LA7 LA8

At mecu, we are committed to ensuring the health, safety and welfare of our staff, members and other people who may be affected by our operations. A number of policies and procedures are in place to deal with Occupational Health and Safety (OH&S) issues. All incidents are recorded, and where necessary, Human Resources employees take appropriate action.

Figure 6b: Number of OH&S injuries and incidents recorded

* An injury is a medical incident that occurs in the workplace affecting a staff member. Any harm or damage that affects a staff member must be documented and reported to HR and the OHS Committee. Some injuries may turn into Workers Compensation claims.

**An incident at mecu is classified as any occupational health and safety event that affects the staff. This includes all injuries, near misses, and any critical occurrence that may affect the staff. Incidents must be recorded, investigated and reported to HR and the OHS Committee. (It’s important to note that the total number of incidents do not include injury numbers.)

We have an OH&S Committee comprising 12 staff representatives from across the organisation. The role of the Committee is to facilitate consultation between staff and management on matters relating to the health, safety and welfare of staff. The Committee also organises educational campaigns and introduces initiatives in the workplace.

As part of our Occupational Rehabilitation Policy, in the event of an accident we will endeavour to do our best to return staff to their full capacity within the organisation. If this is not possible, we will assist staff with vocational rehabilitation so that they may return to a meaningful role within the community. We utilise the services of an accredited Rehabilitation Provider to assist us wherever necessary.

Our OH&S policies are also supported by our Wellness Policy, which outlines the subsidies we provide to staff for health club membership, assistance in quitting smoking and flu injections.

Figure 6c: Unscheduled absenteeism at mecu

Despite these policies, our staff suffer from various illnesses and injuries during the year. Figure 6c outlines unscheduled absenteeism over the last three years. The average number of unscheduled absentees dropped slightly from the previous two years. It should be noted that these figures can be affected by those staff who are away on extended sick leave (which is anywhere from two weeks to six months).

Over the past three years there have been individuals who, due to unforeseen circumstances, have had extended paid leave. It should also be noted that the cost of unscheduled absences can be affected by the seniority of the staff member.

6.2.3a Blood borne viruses

As an employer, we recognise that some employees may suffer illnesses as a result of blood borne viruses. We will not tolerate discrimination against such staff and they will be treated in the same way as staff suffering any other illness, provided that they are able to carry out normal duties.

We also recognise the potential emotional reaction to the presence of employees with such viruses. Every reasonable measure will be taken to allay the genuine and reasonable concerns of staff about exposure to blood borne viruses.

6.2.4 Training and development HR3 LA10 LA11 LA12 F5

Commitment 2005/2006	Progress
Undertake staff sustainability training across the organisation.
Explore opportunities to develop a recognition program for those staff who make a significant contribution to sustainability in mecu’s workplace. Will be amended to: ‘Develop a recognition program for those staff who make a significant contribution to sustainability in mecu’s workplace.’

The ongoing training and development of staff is critical to the ongoing success of mecu as it contributes greatly to the career development and effectiveness of staff which ultimately contributes to the satisfaction of members.

All employees have an annual performance review. The review assists in identifying both professional and personal development opportunities for staff. These opportunities are then fulfilled through a combination of on-the-job and external training.

Internal training occurs through courses, self-paced learning and formalised workbooks as well as ongoing on-the-job training. To complement training, all relevant information regarding legislation, products, policies, processes and procedures are also available on our intranet.

External training is provided by a number of different institutions and organisations. Staff members undertaking under and post graduate university courses were supported by study assistance which includes funding for subject fees and time off to attend classes and exams, where required.

In 2006/07 staff completed approximately 104 courses* comprising:

• 84 short courses
• 14 conferences
• 6 qualifications under our Study Assistance and Traineeship programs.
   
  *definition of a ‘course’ at mecu is any form of training or seminar undertaken or attended, either internally or externally.

mecu spent an average of $991.14 per FTE on learning and development over the course of 2006/07. This amount has decreased from our 2005/06 figure of $1,197 per employee. The decrease is attributed to the receipt of Government funding which subsidised some costs relating to nationally recognised training.

We are constantly reviewing our training suppliers to ensure we identify vendors who support the idea of sustainability as strongly as we do.

This review process also extends to examining the delivery mechanisms we use for our existing training and adopting more sustainable methods as appropriate. This will include developing and introducing more web-based training (as appropriate). Induction is an ideal way of introducing new staff members to a new organisation where they can meet Management and learn about each department in a friendly, welcoming environment.

Induction at mecu is held approximately once every two months and is a collaborative effort of the CEO, general managers, managers, seniors, specialists and the Learning and Development Consultant. All provide a presentation in regard to their department, what they do, how it fits in with mecu and our approach to sustainability.

Department representatives are invited to make a presentation at induction including Personal Banking, Marketing, Credit Control, Insurance, National Access, Human Resources, along with a representative from Footprints and our Chief Executive Officer. All speakers include sustainability in their presentation and explain the expectations and benefits of working in a company that values sustainable work practices.

Additional topics include Wellness, Human Resource policies and procedures, Financial Services Reform Act, Training, Bullying and Harassment, Fire and Evacuation, Armed Hold-up, Company Structure, Occupational Health and Safety, Performance Planning, benefits of working at mecu and the global history of credit unions.

6.2.4a Training in sustainability

Throughout 2006/07:

• ‘Sustainability at mecu’ presentations were included in the staff induction program. This gives new staff an overview of what sustainability means at mecu and why we have embraced it.
• Staff also had the opportunity to attend the Al Gore film, ‘An Inconvenient Truth’ at mecu’s cost as part of increasing their awareness and knowledge of climate change.
• Internal training was conducted around waste minimisation to help staff minimise their individual footprint at work and at home.
• Members of the Footprints Committee were given the opportunity to attend various sustainability events throughout 2006/07.
• mecu partners and suppliers are also invited to present to relevant staff and management on their own organisation’s efforts toward sustainability.

mecu has also explored different types of recognition programs to acknowledge and reward those staff members who make a significant contribution towards mecu’s sustainable development. Although it is currently in its preliminary stages, mecu aims to have a recognition program developed and in place within the next 12 months.

6.2.4b Other training

Staff also have the opportunity to attend forums and conferences throughout the year. mecu also sends a team of staff each year to visit other credit unions in Australia to expand their knowledge and understanding of our industry.

Staff also participated in:

• Bullying and Harassment simulation and training
• Fire and evacuation training
• Armed hold-up response
• First aid training
• Bomb threat response and training.

6.2.5 Employee remuneration and benefits LA14 INT4 INT5 INT6

At mecu, we seek to remunerate staff fairly and competitively according to industry standards. We aim to provide benefits that help employees meet their needs and achieve a good work/life balance.

Salaries are determined using a range of external benchmarks (for example, the Australasian Mutuals Institute Salary Survey), and are reviewed annually to ensure that they are competitive with industry standards.

Figure 6d: Average male/female total remuneration based on employment level

Differences between male and female salaries are due to the particular roles males and females undertake and their performance in that role. Data is based on actual salaries not FTE therefore female salaries will generally be lower than males as females account for 95% of part-time salaries. Reduction in salary could also be due to offering a lower starting salary to staff who are coming in to replace those who have left or shifted positions within the company.

All staff are eligible for an increase in salary following their annual review, dependent on performance and budget constraints.

Member Service Consultants are also eligible for a bonus, which is determined through the annual performance review system. In 2006/07, 86% (compared to 73% in 2005/06) of our Member Service Consultants received a bonus of equal to or greater than $250 (gross, pro-rata). Other benefits for staff include:

• salary packaging (motor vehicles and lap-tops are most popular);
• examination leave;
• leave for blood donors, emergency service and for court attendance (specifically jury duty and Crown witnesses);
• gifts for significant milestones (10, 20 or 30 years of service, weddings and 21st birthdays);
• gymnasium subsidies;
• flu vaccinations;
• quit smoking assistance, and
• study assistance.

Differences in benefits provided to full-time and casual staff LA3

A number of HR policies only apply to permanent employees – full-time and part-time. The following policies exclude contract and casual employees.

• Redundancy and retrenchment
• Leave entitlements
• Study assistance
• Training development
• Wellness.

6.2.6 External support for employees

To support employees as they deal with any issues at home or at work, we have contracted Davidson Trahaire to provide an Employee Assistance Program (EAP).

The EAP is a professional confidential counselling service for employees and their immediate family members which is paid for by us. Figure 6e highlights employee utilisation rates for the Program. The average utilisation rate range for EAP is 4%–6%. It is not known why there has been a sharp increase in the utilisation of EAPs during 2006/07 and according to Davidson Trahaire, there was not sufficient usage to provide a full report without compromising staff anonymity. However, it is thought that perhaps creating more awareness that the EAP service was available to staff through our Wellbeing months may have contributed to the take-up and therefore an increase in the percentage of employees utilising the service.

Figure 6e: Annualised EAP utilisation as a % of staff numbers

As well as an EAP, mecu will offer outplacement services to assist staff who are seeking continued employment after retrenchment or redundancy when required. These services encompass résumé writing, job search and interview skills, as well as vocational counselling. There were no instances where the outplacement service was required during 2006/07.

6.2.7 Human rights HR4 INT1

All human rights issues are dealt with through our Human Resources Policies and/or Credit Union Award 1998 (a Federal Award that provides an overriding industry standard). Areas covered by these policies include Equal Opportunity, Affirmative Action, Anti-discrimination, Grievance Procedures, Counselling and Performance. These policies ensure that all current and future staff are treated equally and with dignity and respect, regardless of role, gender, race, colour, religion, political persuasion or sexual orientation. mecu maintains a Discrimination Register. However, there were no incidents of Discrimination in 2006/07.

• Freedom of association HR5
   
  Staff have freedom of association and the ability to join the industry trade union should they wish to do so. We cooperate by deducting union dues from our staff’s fortnightly salary, on request.

• Grievance system
   
  Staff are able to access all representation, appeals and grievance systems as required. As part of our Grievance Policy, staff are encouraged to take any concern or issue up with their supervisor. If required, the issue can be raised with the Department Manager and/or Human Resources Manager or the staff member can request an interview with the Chief Executive Officer.

• Performance management
   
  If a performance management violation occurs, it is reported to the relevant manager and the Human Resources Department. An investigation will be undertaken to determine the depth and reasons for the breach and the appropriate action to be taken as per our Counselling and Performance Policy. Whenever a staff member is engaged in performance management, they are entitled to have a support person with them during all conversations with management.
   
  All matters, whether they are related to a grievance, discrimination, harassment or performance management, are considered confidential.

• Indigenous people
   
  The needs of indigenous people are considered with the needs of all current and future staff of the organisation. All employees are considered equal and no specific guidelines and policies apply specifically to indigenous people.

• Workplace behaviour
   
  As part of the Workplace Behaviour Policy, we outline that victimisation and vilification are not tolerated nor are harassment and bullying. As part of ongoing and formal training on behaviour in the workplace, mecu staff continue to undertake an on-line Bullying and Harassment test and Simulation Training developed by e3Learning. The training takes approximately 35 minutes to complete and raises staff awareness about inappropriate behaviour, accountability and responsibility in the workplace. Staff receive a certificate upon completion.
   
  The Workplace Behaviour Policy articulates the performance management process and how staff can lodge formal or informal complaints.

6.2.8 Staff satisfaction INT3

Staff satisfaction is important to an organisation as it contributes to a healthy and stable workforce. In 2006/07, staff were given a survey to complete. The survey measures internal customer service, immediate supervisor/manager, ethics and integrity, organisational image, organisational learning, job satisfaction, organisation commitment, communication effectiveness, member service standards, availability of product information, sustainability, organisational culture, brand awareness and financial awareness.

Staff satisfaction is measured from organisational commitment, job satisfaction and employer of choice.

154 of 217 employees responded = 71%
Overall Satisfaction = 85%

Figure 6f: Satisfaction by location

Figure 6g: Satisfaction by employment level

In the 2007 Organisational Effectiveness Survey, 4 staff (3% of respondents) reported a disability. Fifteen staff members (10% of respondents) stated that they spoke a language other than English at home.

6.2.9 Employee volunteering and fundraising

A Community Support Policy was approved by our Board in February 2006. The policy further articulates mecu’s commitment and approach to community support through fundraising, payroll giving and sponsorship activities. The policy is made available to staff via the intranet. Through this policy, staff are encouraged to become involved in appeals via our website, member events and service centre displays.

Throughout 2006/07 we supported employee volunteering and fundraising activities for not-for-profit organisations within our strategic communities. These included:

• Trailwalker, a fundraising activity for Oxfam for the third year running
• CSIRO’s annual Black Mountain Fun Run
• Gippsland School’s Breakfast Program
• Leukaemia Foundation’s August 2006 ‘Shave for a Cure’
• Good Friday Appeal
• Jeans for Genes Day
• UNEP FI ‘Time for Change’ campaign
• Smith Family Christmas Appeal
• Monthly Casual Day gold coin donation to staff selected charities from a survey conducted in 2007. Charities were chosen from social, environmental, science/health and education causes.

mecu staff also sponsor three World Vision Children through payroll giving. Meet mecu’s sponsored children:

Angie Maloid Romero T	Asia Hassani Athumani	Hisseine Hamed
Sex: Female Birth Date: 19 June 2002 Country: Colombia Education: Not in school Favourite Game: Dolls	Sex: Female Birth Date: 23 September 2001 Country: Tanzania Education: Not in school Favourite Game: Dolls	Sex: Male Birth Date: 19 September 2000 Country: Chad Education: Not in school Favourite Game: Group games

Staff are also given the opportunity to post their own causes/ appeals on the Community Support Notice Board via the staff intranet.