MADISON, Wis.—Executive compensation at credit unions increased approximately 4% over the past year, outpacing inflation, while approximately one-third of credit union CEOs are expected to retire within the next five years, according to the newly released 2026 CUES Compensation Survey.
The findings, based on responses from more than 300 credit unions, point to growing challenges around executive succession, employee recruitment and retention, and the need for specialized leadership in areas such as digital banking, cybersecurity and member experience, according to CUES.
The survey also found credit unions are increasingly incorporating variable pay into executive compensation packages, particularly at larger institutions.
Key Findings From the Survey
According to CUES, the survey identified several significant trends:
- Executive Compensation: Compensation increased approximately 4% year over year, exceeding inflation. Incentive-based and variable compensation are becoming more prominent, especially among larger credit unions.
- CEO Retirements: Approximately one-third of credit union CEOs are expected to retire within five years, creating an increased need for succession planning and leadership development.
- Internal Promotions: Promoting existing employees remains a common pathway to executive leadership, emphasizing the importance of developing internal talent.
- Chief People Officers: Compensation for these positions experienced some of the strongest growth among executive roles, reflecting increased attention to workforce management.
- Member Experience Leadership: More credit unions are establishing chief member experience officer positions as they seek to strengthen member relationships and service delivery.
- Technology Leadership: Digital banking and cybersecurity positions continue to gain importance as credit unions respond to technological changes and evolving member expectations.
“Credit unions are taking a broader view of compensation as part of their overall talent strategy,” said Sharon Messmore, CUES products and services manager. “The survey findings show organizations balancing competitive pay with investments in leadership development, succession planning, and specialized roles that support future growth.”
Recruitment, Retention Remain Concerns
Beyond executive pay, the survey found credit unions continue to face several workforce-related challenges, including:
- Economic uncertainty and its potential effects on staffing and compensation decisions.
- Recruiting qualified employees in an increasingly competitive labor market.
- Retaining experienced employees and developing future leaders.
- Rising healthcare and employee benefits costs.
- Providing professional development opportunities to strengthen internal talent pipelines.
CUES reported that tuition reimbursement programs are becoming increasingly common as credit unions invest in employee education and professional development.
The findings also suggest compensation is increasingly being evaluated as part of a broader strategy that includes benefits, professional advancement and leadership continuity.
Asset Size Remains Biggest Factor in Pay
According to CUES, credit union asset size continues to be the strongest factor influencing compensation levels.
The finding reinforces the importance of comparing salaries and benefits against similarly sized institutions rather than relying solely on industrywide averages, the organization said.
The survey provides compensation information covering executive salaries, incentives, bonuses and benefits.
Additional resources available through the survey include:
- New benchmarks for board compensation.
- Annual salary trend information.
- Compensation comparisons based on asset size.
- Regional and peer-group comparisons.
- Customizable reporting tools designed to help credit unions evaluate compensation practices.
CUES said the information is intended to assist credit unions in making decisions about executive pay, employee compensation, governance and succession planning.
New CEO Benchmark Report Introduced
CUES also announced a new partnership with The Sheeter Group, a company specializing in executive benefits plans for credit unions, to expand the survey’s reporting capabilities.
The collaboration includes the introduction of a CEO Benchmark Report available exclusively to credit unions participating in the 2026 survey.
The report provides personalized compensation benchmarking information comparing credit union CEOs with executives at other credit unions and across the broader financial services industry.
“Credit unions gave their time and data generously this year, and that generosity pays off,” said Liz Santos, chief consulting officer at The Sheeter Group. “CUES has built a database that turns those numbers into real, actionable insight. I’m proud to have been part of it.”
Report Availability
CUES said the full survey results are available to CUES Unlimited+ members, while other credit unions and interested organizations can purchase access through a subscription.
The organization also has made its 2026 CUES Compensation Survey Executive Summary available for download.
Additional information and access to the report are available at cues.org/Survey.
