Public meeting on proposed merger of Nenagh and Thurles Credit Unions
A further information meeting for the members of Nenagh Credit Union on the proposed merger between Nenagh and Thurles Credit Union will take place at the Abbey Court Hotel, Nenagh, next Tuesday (January 30th) at 8pm.
The meeting will be another opportunity for members to find out about the proposed merger, why it has been proposed, what its implications are, and where the current discussions are at. It follows on from discussions at AGMs in 2016 and 2017 and a previous information meeting held in April 2017.
In addition to the provision of information to those who attended the AGMs and information meeting, all members of both credit unions were written to last year and informed that the purpose of the merger is to strengthen and consolidate both unions for future generations of members.
Thurles is the larger credit union and the legal mechanism for effecting the merger is that there would be a “transfer of engagements” from Nenagh to Thurles. The combined strength of two of the biggest credit unions in North/Mid Tipperary will mean that “Premier Credit Union” will be a strong, vibrant credit union with assets in excess of €170 million. It will be a key player in the financial services market in Tipperary.
Despite the growth in size, there will be an emphasis on keeping offices open and protecting local jobs while ensuring that members have a range of options as to how they transact their business with the credit union. Staff will continue to provide a face-to-face service to members in the Nenagh office and they look forward to being able to provide a better service to members because of the options that will be available through technology.
Margaret Grace, CEO of Nenagh Credit Union, appreciates that people may have concerns about the proposed merger. She is hoping that members will attend next week's meeting to find out about what is happening; members can also send in questions they would like to have addressed in advance of the meeting.
Ms Grace said the merger – or “transfer of engagements” - is intended to deliver a more streamlined service to members in both Nenagh and Thurles. This will extend to the provision of online services for Nenagh members.
Most similar-sized credit unions around the country have recognised that there is a significant benefit in pooling resources, services and management experience, along with technological facilities and expertise. Across the credit union movement in the Republic of Ireland, the impact of restructuring can be seen in the reduction of the number of credit unions operating. In 2008 there were 419 active credit unions – this had reduced to 269 in 2017. However, the reduction in numbers does not result in the closure of branches, as merged credit unions continue to provide services at a local level to their members.
The proposed merger is being recommended by the boards of each credit union and these proposals come following many months of discussions and preparations. Both credit unions have entered into the discussions by choice, each board recognising that the future of credit unions requires institutions to be of a scale required to ensure proper governance and compliance while being able to develop to meet the future needs of their members.
Ms Grace stressed that the ultimate decision on the merger will come down to a vote by the members of both credit unions and at least 75% of members in attendance at each special meeting must be in favour. A special meeting will be organised for the vote, most likely in March. Voting will only be by those attending in person, so it is in the interest of Nenagh members to ensure that they are equipped with the knowledge to allow them make an informed decision at the special meeting.
In the meantime, members can attend next week's information meeting to learn more. This will be an information meeting only – no vote will be taken on the night. Board members, staff and advisors will be present to address any questions raised. Anyone with specific questions that they would like answered can submit them to the credit union offices on or before this Friday, January 26th.