#2021-3 January 22, 2021

Division of Banks Issues Updated Guidance on Virtual Annual Meetings for Mutual Institutions

Earlier this week, the Massachusetts Division of Banks released updated guidance for mutual banks regarding Annual Meetings during the COVID-19 pandemic.  As previously reported, the Association has been working with the Division throughout last year on this issue and the newest guidance continues to address questions raised by member banks since Governor Charlie Baker issued emergency orders governing the size of in-person gatherings throughout the Commonwealth.

Specifically, the guidance states that while the Division recognizes the ongoing nature of the pandemic, it is their position that annual meetings should not be postponed indefinitely and instructs institutions to plan to host an annual meeting in 2021 – whether by virtual means, in-person following public health protocols or on a hybrid basis.  The guidance also provides instructions for institutions that did not hold an annual meeting in 2020, stating that “any mutual institution that has not yet held its 2020 annual meeting will not be expected to hold separate 2020 and 2021 annual meetings.  Rather, at its 2021 annual meeting the mutual institution should consider and vote upon any matters that would have been considered at the 2020 annual meeting.

To view the updated guidance, click here

Massachusetts Division of Banks Appoints New Deputy Commissioner and General Counsel

Earlier this week, the Division of Banks announced the appointment of Barbara E. Keefe as Deputy Commissioner and General Counsel.  Ms. Keefe joins the Division from a two-decade career at State Street Bank and Trust Company where she cultivated significant financial industry, regulatory, and legal experience most recently in her capacity as Managing Director and Managing Counsel in the US Bank Regulatory Legal Group.

Prior to State Street, Ms. Keefe’s financial services experience included practicing bank regulatory and consumer financial services law at the firms of Reed Smith and Goodwin where she worked with financial institution clients on product development and regulation as well as analyzed licensing and compliance matters arising under federal and state consumer financial services laws and regulations.  Ms. Keefe has been an adjunct instructor at Northeastern University School of Law, teaching the “Law of Financial Institutions” course.  She has a Juris Doctor from Boston University’s School of Law and received her Bachelor of Arts in History from the University of Virginia.

The Association congratulates Ms. Keefe on her new role at the Division and looks forward to working with her on behalf of the industry.

Massachusetts Jobless Rate Rose in December to 7.4 Percent

The Executive Office of Labor and Workforce Development (EOLWD) announced that the state’s unemployment rate increased in December, climbing to 7.4 percent, and again rising above the national average.  The 7.4 percent is more than two and a half times the rate from one year ago, which was 2.8 percent.

Preliminary job estimates from the federal Bureau of Labor Statistics show that Massachusetts lost 600 jobs in December, led by a drop of 9,200 leisure and hospitality jobs last month.  Though the private sector actually added 5,200 jobs in December, it was not enough to make up for the 5,800 lost jobs in the public sector.  The national rate is 6.7 percent.

The Massachusetts labor force increased by 70,400 to 3,658,500 in November.  EOLWD said there were 3,386,700 Massachusetts residents employed and 271,800 residents unemployed.  The labor participation rate, which reflects the percentage of working-age adults who are either employed or seeking a job, was up 1.2 percentage points to 64.5 percent.  Compared to one year ago, EOLWD said there are 340,900 fewer residents employed and 165,200 more residents unemployed, meaning they are actively seeking work.