Las Vegas, NV
Whereas, the U.S. Supreme Court has overturned a 1982 federal government policy that provided employees of small businesses and organizations access to credit union membership by allowing credit unions to include multiple groups in their fields of membership; and
Whereas, approximately 144,000 small groups of employees have gained access to credit union membership under this policy; and
Whereas, credit unions are a good deal for working people. Compared with banks, the fees and the interest rates they charge borrowers are lower, and the interest rates they pay depositors are higher. In contrast to how banks treat their customers, all credit union members are treated the same, regardless of the size of their account. Most importantly, as member-owned financial cooperatives, credit unions are democratically controlled by, and accountable to, their members. Banks, in contrast, are owned by their stockholders and are in business solely to make profits; and
Whereas, this diversification has provided additional security and soundness to credit unions as it has also provided membership access to many Americans with low or modest incomes; and
Whereas, America’s not-for-profit credit unions have provided a safe and affordable alternative to expensive for-profit banking for 70 million American workers since 1909; and
Whereas, America’s banking institutions are waging war on credit unions. Both in court and in Congress, banks are trying to stamp out credit union "competition" and deny millions of American consumers access to affordable credit union financial services; and
Whereas, the AFL-CIO believes that American consumers have the right to choose to entrust their families’ financial business to a credit union; and
Whereas, according to the Consumer Federation of America, "Credit unions provide enormous benefits for consumers, particularly those with low incomes; and
Whereas, Dan Mica, president of the Credit Union National Association, has observed that "AFL-CIO members are typical of the hard working Americans for whom credit union membership is an important asset;" and
Whereas, the labor movement has supported credit unions for more than 60 years. As early as 1936, the American Federation of Labor was providing assistance and encouragement to local labor organizations interested in establishing credit unions. By 1954, AFL unions alone had established and were operating 476 credit unions; therefore
Resolved, the AFL-CIO supports the "Credit Union Membership Access Act," presently under consideration in Congress, as an important first step in assuring that credit unions can continue to grow, free from artificial constraints, and thus meet the needs of American workers and their families.