Amberley O.S.H.C.

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10.30 Conflict of Interest

Amberley O.S.H.C. is committed to ensuring that business and operational decisions are not negatively impacted by either a perceived or real conflict of interest. In the interests of transparency, accountability and probity, the following guiding principles and procedures for identifying, declaring and dealing with conflicts of interest will be followed by the service’s executive, employees and volunteers. For the purpose of this policy, conflict of interest also includes a potential conflict of interest.

Relevant Laws and other Provisions

The laws and other provisions affecting this policy include:

  • NQS Area 7
  • Policies: 10.10 Managing Compliance within the Service, 10.11 – Management Code of Conduct


How does conflict of interest arise?

A conflict of interest occurs when the private interests of a service executive, employee or volunteer come into conflict with their duty to act in the best interests of the organisation. Conflicts of interest are particularly relevant where the executive, employee or volunteer has a decision-making role.

Conflicts of interest are not wrong in themselves and can happen without anyone being at fault. However, it is vital that they are disclosed and managed effectively to ensure that the service executive, employees and volunteers perform their duties in a fair and unbiased way.

Personal interests that can give rise to conflicts may be pecuniary, involving an actual or potential financial gain,or non-pecuniary without any financial element.

Identifying direct and indirect conflict of interest

A direct interest is a reasonable likelihood that the circumstances of the person (including a company) would be directly altered if a matter is decided in a particular way, including a reasonable likelihood that:

  • The person will receive a direct financial benefit or loss; and
  • The residential amenity of the person will be directly affected.

The five types of indirect interest include:

  1. Close association;
  2. Indirect financial interest;
  3. Conflicting duty;
  4. Receipt of an applicable gift; and
  5. Becoming an interested party

Declaring and reporting conflict of interest

It is the responsibility of the executive, employee or volunteer to make a declaration of the conflict of interest as soon as this becomes known to the person.  This declaration should be made to the relevant person in the organisation.  All conflicts of interest should be reported to committee members.

Dealing with resolving conflict of interest

The main ways resolution can be achieved are:

  • Restrict;
  • Recruit;
  • Remove; and/or
  • Relinquish

Restricting the person with the conflict in the participation of decision making is an appropriate method where the conflict is not likely to arise frequently.

Recruiting an independent person to oversee all or part of the process is an appropriate method where the conflict is more significant and needs more practice management.

Removing the person with the conflict from the process is appropriate where there is ongoing serious conflict of interest and restriction or recruitment is not practical or feasible.

Relinquishing the private interest that gives rise to the conflict.

A record shall be made of the conflict of interest and how it was resolved.

Ongoing management of conflict of interest

Amberley O.S.H.C. will manage conflicts of interest by:

  • Including information on processes for managing conflicts of interest in documents aimed at external stakeholders as relevant;
  • Ensuring employees complete a statement of private interests (such as secondary employment and/or business dealings) on commencement, annually or at another appropriate time;
  • Putting processes in place to ensure that statements of interest are updated at regular intervals; and
  • Formally recording arrangements for addressing each conflict so that the agency can demonstrate how each conflict of interest was managed.


Added 2 May 2017

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