Lender's annual report reveals social responsibility measures
Teachers Mutual Bank Limited has released its Annual Report and Sustainability Update 2021-22, showing its achievements as an organisation that provides “banking for good, for those who do good”.
The customer-owned banking group, which has five divisions – Firefighters Mutual Bank, Health Professionals Bank, Teachers Mutual Bank, UniBank and Hiver – wants to build on its strong reputation as a world-leading socially responsible bank.
Key highlights of the report, which was released on October 24, include:
- Becoming a Certified B Corporation – one of 5,000 organisations worldwide committed to using business as a force for good
- Named as of the World’s Most Ethical Companies nine years in a row
- Amassing $10.8bn in RIAA (Responsible Investment Association Australasia) certified investments
- Named Green Bank of the Year in the 2022 Finder Green Awards
Read more: Teachers Mutual Bank Limited named one of world's most ethical companies
Teachers Mutual Bank Limited CEO Steve James (pictured above left) said the organisation recognised the importance of measuring its performance beyond profits.
“As we move towards a more sustainable future, acting in the best interests of our members, our communities and the environment will lay the foundations for our long-term success,” James said.
“Socially responsible banking drives everything we do. We’re proud to be a bank for good, for those who do good. We put people before profit – it’s central to the way we do business.”
In January 2022, Teachers Mutual Bank Limited become a Certified B Corporation (B Corp), joining over 5,000 organisations worldwide.
B Corps meet the highest standards of verified social and environmental performance, public transparency, and legal accountability to balance profit and purpose.
Teachers Mutual Bank Limited was also named one of the World’s Most Ethical Companies for the ninth year in a row, achieving this recognition every year from 2014 to 2022.
In June, the bank won Green Bank of the Year for 2022 in the Finder Green Awards.
Teachers Mutual Bank Limited head of socially responsible banking Corin Millais (pictured above right) said external benchmarking and independent third-party evaluation provide transparency and accountability.
“It shows our members that our credentials can be trusted,” Millais said.
“Teachers Mutual Bank Limited is proud to be leading the way in responsible investment. Every mortgage and savings product across our five divisions is certified by the RIAA based on strict criteria and at no extra cost to members.”
As of 30 June 2022, the bank boasted $10.8bn in Certified RIAA products on the balance sheet, up from $8.3bn the previous year.
Millais said this acknowledged the bank’s commitment to responsible investing.
“[This includes] our explicit consideration of environmental, social and governance factors in investment decision-making, our strong and collaborative stewardship; and our transparency in reporting activity, including the societal and environmental outcomes being achieved.”
Read more: Teachers Mutual's RIAA Certified product portfolio grows to $97bn
The annual report showed that Teachers Mutual Bank Limited also recorded a solid financial performance for FY22, including a net profit after tax of $30.4m.
Its assets grew 7% to $10.4bn to 30 June 2022, proving that an organisation can balance profit with purpose, said Millais.
Loan balances grew from $7.8bn to $8.6bn, while member retention rates across all brands was 98.3%, with member numbers growing 4.3%, from 220,757 to 230,344 over the last financial year. Member satisfaction rating reached 76% across all brands and the net promoter score was 28%.
The bank had also performed well on its inclusion and wellbeing targets with 44% of the board now made up of females, compared to the ASX 200 average of 35%, while 70% of staff were working under flexible workplace arrangements.
Teachers Mutual Bank Limited also donated $100,000 to flood-affected communities in NSW and Queensland, including schools and NSW Fire and Rescue employees and their families who lost homes in Lismore.
