DeFazio Questions Penfed's Relocation Decision
WASHINGTON, DC—U.S. Rep. Peter DeFazio (OR-04) today sent a letter to Pentagon Federal Credit Union CEO James Schenck challenging a decision to relocate roughly 100 of 375 total positions in Eugene, to locations in Texas as early as September, considering the productivity of the Oregon workforce. The move will force individuals to relocate out of Oregon, apply for alternative positions at PenFed, or seek different employment altogether.
“As a member of PenFed myself, I know how important the workforce is to the credit union,” said DeFazio. “The organization increased membership by seven percent, grew capital by $1.6 billion to $24.5 billion total, and holds more than $813 million more in capital than is necessary for the ‘Well Capitalized’ regulatory rating. It’s hard to understand PenFed’s decision to downsize the workforce in Eugene, rather than invest in it. I want to make sure these workers don’t get short shrift in this management decision.”
DeFazio went on to raise concerns about reports of management efforts to prevent workers from organizing to improve working conditions. He urged the credit union to remain neutral in union activity that is protected under federal law and encouraged Schenck to meet directly with employees.
A copy of the letter to PenFed CEO, James Schenck, can be found here.