The “G” in ESG refers to governance. It encompasses all the internal system of practices, controls, and procedures a corporation adopts in order to govern itself, including to make effective decisions, comply with the law, and meet the needs of external stakeholders. Governance is a broad range of corporate activities comprising board and management structures, corporate policies, standards, information disclosure, auditing and compliance. It sets out the factors of corporate decision-making and the distribution of rights and responsibilities among different corporate participants and stakeholders.
Governance Resources
To find ESG-related Governance Resources, please see our Resources section below.
Market Conduct
Credit unions are committed to treating all members and account holders in a fair, non-discriminatory manner. That commitment is reflected in the national Market Conduct Code for Credit Unions and in the way credit unions serve vulnerable members.
Credit Union Market Conduct Code
Credit unions are unique financial institutions that are governed and financed differently than banks. At credit unions, members are shareholders, and one of our primary motivations is providing quality products and services to our members.
The National Market Conduct Code for Credit Unions recognizes the principles and best practices credit unions are pledged to follow for soliciting, promoting, advertising, marketing, selling, or distributing products and services. The Code demonstrates credit unions’ commitment to the fair treatment of all those who use our services.
You can find out more about the market conduct codes and requirements followed by credit unions in their respective provinces, including British Columbia, Saskatchewan, Ontario and the Atlantic provinces on each jurisdiction’s page.
Board Governance Training
We offer the most current thinking about credit union corporate governance in Canada for new and experienced directors. We offer training in a variety of formats that best suits your needs. If you sit on the board of a credit union, we have the resources you need to stay current on the trends and issues affecting our industry. Click here to read more.
Climate Governance Guide for Credit Union Board Directors
CCUA, in collaboration with the Canada Climate Law Initiative, recently published a Climate Risk and Governance Guide for Board Directors entitled Canadian Credit Unions and Effective Climate Governance: Cooperating for a Sustainable Future.
This guide emphasizes the importance of understanding directors’ duties, cooperative principles, and the profound effects of extreme weather events on credit union members. It serves as a valuable resource for directors in providing a deeper understanding the legal landscape, physical and transition risks associated with climate change, and the best practices developed globally. The guide also offers practical suggestions for board oversight and emphasizes the importance of engaging with members to align their credit unions’ commitments with transitioning to a more sustainable economy. Click here to access the guide.