Female Credit Union CEOs Paid Less, with Smaller Raises
The salaries of female credit union CEOs trailed their male counterparts significantly across all asset size categories, according to Executive Compensation Solutions’ 2013 Survey.
Overall, the average female CEO’s salary was $178,080 in 2013, compared to $172,756 in 2012. Comparatively, the average male CEO’s salary was $223,834 in 2013, up from $208,231 in 2012.
The findings show not only a higher level of base pay for male CEOs, but also a higher level of base pay increase from the prior year, the report pointed out.
The report downplayed assumptions the pay differential could be explained, at least in part, by men more frequently heading large credit unions while women CEOs are the majority in small credit unions.
“It appears that while a large number of credit unions have lifted the glass ceiling on women when it comes to access to the corner office, there are still difference in pay levels that are not solely attributable to the size of the institution,” the report said.
The number of women in the corner office gained a little ground, as 31% of responding CEOs said during the June 2013 survey they are female. That marked a slight increase from the 29% of women CEOs in 2012.
Interestingly, the survey found that the glass ceiling was thinner above $1 billion in assets than the two asset classes below. While 33% of CEOs responding from credit unions with more than $1 billion in assets were women, just 10% of CEOs from credit unions between $500 million and $1 billion were female. And, only 20% of CEOs at credit unions between $200 million and $500 million were women. The only asset class where women CEOs outnumbered men was in the smallest $50 million and under class.
Almost 70% of responding CEOs said they were aged 50 or older. Forty-six percent said they were between 51 and 60 years of age, while 23.5% said they’re over the age of 60. The average CEO said he or she had been in the position for 12 years, and had served an average of nearly 25 years in the credit union industry.
A bachelor’s degree was the highest level of education for 53% of responding CEOs, up from last year’s mark of 49%. Thirty held master’s degrees, compared to 33% in 2012, and an unchanged 8% reported just an associate’s degree.
Interestingly, the report said while it appears there is a slight trend in paying CEOs higher levels of compensation when educational levels are higher, the variances are small enough that is it reasonable to assume that education is not a key compensation driver.