A government shutdown and the loss of paychecks for
literally thousands of federal government workers recently placed a spotlight
on scores of credit unions offering special accommodations to those members
most impacted by the crisis. Credit unions felt the pain of their members and
they responded, quickly and effectively, offering zero-percent-interest loans
to help families put food on the table and the keep the lights on until the
government paychecks resumed.
Countless members benefited, as well as those
shops that offered special assistance since their response ingrained a lasting
memory of the credit union’s helping hand when members needed it the most.
Think such assistance had any impact on member loyalty and trust as well?
Ask 10 credit union leaders what prompted such
action to minimize the pain and anxiety of their members, and nine times out of
ten we’ll hear them attribute it to, “people helping people.” However, I
suggest it’s far more than “people helping people.” For-profit banking
institutions help people all the time. So, what’s so special and different
about the way credit unions offer help?
I tend to believe it’s determined by the degree to
which the credit union walks in the shoes of its members. It has to do with
empathy. It’s about credit union leaders being knowledgeable and willing to
share in the experiences of their members, to feel the pain, and to respond in
ways that sometimes may even challenge conventional wisdom or the comfort and
stability they hold for themselves and their organizations.
Empathy and Trust
In her research paper, The Science of Empathy,
published by PubMed, Dr. Helen Reiss, Associate Professor of Psychiatry at
Harvard Medical School, writes, “Empathy plays a critical interpersonal and
societal role, enabling sharing of experiences, needs, and desires between
individuals and providing an emotional bridge that promotes pro-social
behavior. This capacity requires an exquisite interplay of neural networks and
enables us to perceive the emotions of others, resonate with them emotionally
and cognitively, to take in the perspective of others, and to distinguish
between our own and others' emotions.”
Dr. Reiss goes on to say, “If we are to move in
the direction of a more empathic society and a more compassionate world, it is
clear that working to enhance our native capacities to empathize is critical to
strengthening individual, community, national, and international bonds.”
Benefits of Empathy
One’s ability to empathize elevates member
engagement to a whole new level. Empathy enables understanding — the cognitive
foundation of connection. Cognitive empathy (the ability to understand another
person’s perspective, thoughts, or feelings) allows us to anticipate the needs
of the other and respond appropriately. This understanding fosters smoother
communication, reduces conflict, and strengthens interpersonal bonds.
I remember my time working at The Ritz-Carlton
Hotel where we were constantly trained and reminded about the importance of
anticipating the needs of our guests. It’s no wonder the hotel chain captured
two prestigious Malcolm Baldridge Service Quality Awards!
Empathy also builds emotional alignment and trust.
Affective empathy (feeling what another feels) promotes warmth, compassion, and
trust — the emotional glue that binds people. In relationships, understanding a
partner’s viewpoint helps in resolving disagreements and negotiating needs,
creating psychological safety and harmony.
A third quality of empathy is its ability to nurture
identity and belonging. Empathy signals inclusion. When people feel understood,
they feel they belong. Lack of empathy, on the other hand, fosters loneliness,
alienation, and a breakdown of social cohesion. Communities and organizations
that cultivate empathic cultures experience higher morale, collaboration, and
collective trust.
Unlock a Scammer’s Grip
As financial losses attributed to scams and fraud
continue to flourish throughout the world, I’ve been calling for an increase in
the number of ways credit unions address this crisis, and their ability to show
empathy tops the list.
While more action advocating for credit unions on
the legislative and regulatory fronts is needed to secure authority to act in
the best interest of a victimized member, that’s not enough! Including more community
educational events to keep potential victims informed on the latest tactics and
threats being employed by today’s sophisticated scam con artists still falls
short of the goal.
For credit unions and our adherence to a principle
of “people helping people,” it’s also vitally important that we ramp up empathy
training to help staff sharpen their skills and abilities to focus more
intensely on the victim and his or her wellbeing. Doing so strengthens the
ability to win over the trust and confidence of those who refuse to believe or
admit that they are being scammed. And how many times have we heard it said
that scam victims simply refuse to believe that the person with whom they’ve
become romantically involved is actually a scam con artist! Empathy can unlock
that grip.
Someone being victimized in a scam or who has
fallen victim to one, has no desire to hear a credit union rep say, “What were
you thinking,” or “you should never give out your account number!” Rather, they
are most in need of hearing a comforting and consoling voice that acknowledges
the pain, anxiety, and confusion elicited by the experience. Empathy enables
that exchange and should always influence an initial intervention.
Not All Are Onboard
However, I find that not everyone within the
credit union community is onboard with the idea that empathy is key to member
engagement, particularly when members are being or have been scammed. If they
were, then why are so many putting scam prevention education and training on
the back burner? Rather than increasing their efforts to safeguard members given
the burgeoning increase in the types and number of scams occurring today, they
are placing their attention on other areas of concern.
If we are to believe, then, that empathy is key to
authentic membe
r engagement and the driving force that intrinsically defines
the meaning of “people helping people,” it becomes critical that credit union
directors, CEOs, and others demonstrate support and belief in the virtue of
empathy. We need to let go of the idea that being empathetic predisposes us to
being easily manipulated or exploited. Equally important is to understand that empathy
does not undermine logical reasoning or clouds rational judgement.
Empathy is not weakness, but an adaptive social
intelligence skill. Its strength resides in one’s ability to understand others
without losing boundaries or objectivity. Remember the words of Dr. Reiss who
said that empathy enables us to perceive the emotions of others, resonate with
them emotionally and cognitively, to take in the perspective of others, and to distinguish
between our own and others' emotions.
Indeed, “people helping people,” embodies much
more than financial management. It’s a statement of support to the human person
and their wellbeing. As such, it embodies and extends far beyond a member’s
financial management, calling us to fully understand, appreciate and experience
the quality of wellbeing and doing something about it. Is their wellbeing
healthy and gratifying, or painful and oppressive?
Our ability to empathize enables an appropriate
response. That explains why credit unions differ from banks. That explains why
so many were able to keep food on the table and the lights on during the recent
shutdown. To them, “people helping people” made all the difference in the
world.
______
Riess H. The Science of Empathy. J Patient Exp. 2017 Jun;4(2):74-77. doi:
10.1177/2374373517699267. Epub 2017 May 9. PMID: 28725865; PMCID:
PMC5513638.
