Conflict of Interest Guidelines for Implementing “Conflict of Interest Procedure” Purpose The Department of Education, Training and Employment (DETE) is committed to ensure all employees perform their duties in a fair and unbiased way, and that the decisions they make are not affected by self-interest, private affiliations, or the likelihood of personal gain or loss. This commitment includes the development of the Conflict of Interest procedure which outlines the minimum requirements for the identification, declaration, management and monitoring of conflicts of interest that may arise for employees of the department. This guideline reflects the requirements and protocols of the department in ensuring conflicts of interest are identified, disclosed and managed in a transparent and accountable manner. Context A conflict of interest involves a conflict between a public official’s duty to serve the public interest and the public official’s private interests. A conflict of interest can arise from avoiding personal losses as well as gaining personal advantage, financial or otherwise. A conflict of interest occurs when the private interests of a public sector officer interfere, or appear to interfere, with the performance of their official duties. A conflict of interest can occur when an employee has, or is seen to have, a private interest, either pecuniary or nonpecuniary, which conflicts or may conflict with the discharge of the employee’s duties. Overview The public has a right to expect that all public officials will perform their duties in a fair and unbiased way, and that the decisions they make are not affected by self-interest, private affiliations, or the likelihood of personal gain or loss. As the integrity of public sector officers and processes is fundamental to the rule of law, conflicts of interest are a major risk in all areas of government. It is therefore crucial that all conflicts of interest are managed and resolved in the public interest. Risk areas for conflicts of interest There are many situations and circumstances where a conflict of interest may arise for employees of the department. Some of the more common situations are outlined below. Other employment It is important you recognise that concurrent employment in both the public and private sector may give rise to a real or a perceived conflict of interest. This is particularly the case when your private work is in an area related to your official duties. Depending on the circumstances, the public’s confidence in the integrity of the department’s administration and your ability to perform your public duties efficiently may be adversely affected. Whilst undertaking other employment is not prohibited, an employee must meet certain obligations under the Code of Conduct for the Queensland Public Service and the department’s Standard of Practice. Namely, the employee must complete a Notification of Other Employment (NOE) Form which they are to provide to their supervisor or manager. The employee's supervisor or manager is then required to assess the employee’s notification and determine whether an actual or perceived conflict of interest exists. All conflicts of interests are to be managed and resolved in the favour of the public interest. Employees are required to perform their public service role efficiently and effectively in a fair and impartial manner placing the duties and responsibilities of their public office first at all times. Uncontrolled copy. Refer to the Department of Education, Training and Employment Policy and Procedure Register at http://ppr.det.qld.gov.au to ensure you have the most current version of this document. Page 1 of 4 Disposal of assets The department is committed to ensuring that a suitable equipment management system operates within schools and business units for important departmental assets and equipment. The disposal of departmental assets is an area of risk for the department as equipment management may involve issues of fraud, private and/or unofficial use of equipment, conflicts of interest and misuse of resources. It is important to be aware that employees of the department have no prior right to the acquisition of surplus equipment, materials or furniture over members of the public. Any employee wishing to acquire departmental equipment being disposed of may bid at a public auction if applicable, or submit an offer after notification of sale. The disposal process for any asset is not to give an unfair advantage to employees of the department or any Queensland Government department or agency. The acquisition, supply, maintenance and disposal of departmental equipment and stores must be conducted in accordance with relevant departmental procedures including Equipment management for schools and Equipment management for business units. Records are to be kept in relation to the management processes of departmental equipment and assets. Such records must include documented acquisition and recording processes; equipment management processes including stocktake, transfer and loan of equipment; and appropriate disposal and write-off processes. Frequent Flyer Points and Rewards In accordance with the Queensland Whole-of Government Air Travel Policy, frequent flyer points or other loyalty program benefits accrued in the course of official travel are not for the traveller’s personal use. Where appropriate, frequent flyer points or other loyalty program benefits accrued for official travel may be used by the department to redeem further official travel. Accepting gifts and benefits The acceptance of any benefits other than incidental gifts, customary hospitality, or benefits of a nominal value may be deemed a conflict of interest. You should ask yourself whether an informed and reasonable person would consider that the benefit creates a conflict of interest or is otherwise improper. If the answer is ‘yes’ or ‘possibly’, the offer of the benefit should be refused and reported to your manager, even if the benefit is not accepted. The following questions will also be helpful in determining the acceptability of the gift: What is the purpose of the gift? Is it simply to thank you for a job well done or does the giver expect something in return? Will there be further or repeated contact with the giver and if so, will accepting the gift affect future dealings? What type of gift is it? Is it a token gift of negligible worth or is it valuable? Will there be adverse effects for the department and/or the State Government if you do not accept the gift or benefit? This is a very important consideration when dealing with individuals whose culture and/or customs may differ from ours. Principle 4.2 of the Code of Conduct for the Queensland Public Service requires employees to manage gifts, benefits or hospitality in accordance with our agency policies. Directive 22/09 - Gifts and Benefits provides further information about the ethical considerations and procedures involved in the giving and receiving of gifts and benefits by employees and agencies of the Queensland Public Service and the department’s Financial Management Practice Manual provides further guidance with respect to effective internal controls and financial accountability. Staff recruitment and selection Participating in a decision to employ a person with whom you have a past or present professional and/or personal relationship is deemed to be a conflict of interest. If asked to participate in a selection exercise and one of the applicants is related to you, a close personal friend, or someone whose success, performance or otherwise you have an interest, the relationship must be declared to the chair of the panel (or if you are the panel chair, to your manager) and you should absent yourself from the selection panel. This also applies to the recruitment of temporary and casual staff. Uncontrolled copy. Refer to the Department of Education, Training and Employment Policy and Procedure Register at http://ppr.det.qld.gov.au to ensure you have the most current version of this document. Page 2 of 4 As an additional precautionary measure, the chair of the panel should canvas the panel members during initial panel discussions regarding any relationships or friendships they may have with the applicants. Panel members must declare any past or present professional and/or personal relationship with an applicant to ensure the integrity of the recruitment process. Contracts If you are in a position to seek tenders for contracts and one of the tenderers is a company/organisation/person in which you or your family has a private interest (or in the case of the person, is a close friend or relative of you or your family), this has a significant potential to present a conflict of interest, particularly where you are the sole decision maker or have a major influence on the outcome of the tender. In such situations, the matter is to be reported to your supervisor and you should withdraw from any involvement in the tendering process. Consumer advice If your role involves providing a referral or advisory service to clients and you refer them to a company/organisation in which you or your family have a private interest, this situation could be deemed a conflict of interest. Any such referral should be avoided, but if it does occur, it should be reported to and discussed with your manager. Investigations Investigating the operations/activities of a company in which you or your family members have a private interest, (whether pecuniary or non-pecuniary – e.g. shares, investments, partnership, employment, etc). If asked to perform such an investigation, the private interest should be declared to your manager and the task should be assigned to another officer. If you are constantly performing investigative duties it may be useful to declare your interests to your manager to avoid being allocated an investigation which may give rise to a conflict of interest. Identifying, Disclosing, Managing and Monitoring a Conflict of Interest The process for managing conflicts of interest consists of three stages: STAGE 1: Identify STAGE 2: Manage STAGE 3: Monitor Stage 1: Identify - Assess the situation and the surrounding circumstances of the situation - Determine is a conflict of interest exists. If you are unsure if a conflict of interest exists you may refer to the checklists located in the Crime and Misconduct Commission – Managing Conflicts of Interest in the Public Sector: toolkit for guidance. (Tools 8.1: Checklist for identifying a conflict of interest and 8.2: Checklist for identifying a pecuniary interest) - As soon as you recognise that the potential or perception of a conflict of interest may exist, complete the appropriate Declaration of Interests form declaring as much information as is necessary to allow the matter to be adequately assessed and/or investigated - Declare the conflict to your manager/supervisor/principal and provide them with a copy of your completed Declaration of Interests Form - Make a record that you have made this disclosure to your manager/supervisor/principal Stage 2: Manage Uncontrolled copy. Refer to the Department of Education, Training and Employment Policy and Procedure Register at http://ppr.det.qld.gov.au to ensure you have the most current version of this document. Page 3 of 4 - Once you become aware of, or an employee discloses to you, a potential conflict of interest ensure the employee’s disclosure is made using the appropriate Declaration of Interests Form - Discuss the situation and circumstances with the employee to obtain as much information as possible - Make a record of all further information obtained - Remind the employee of their obligation to resolve a conflict of interest in the favour of the public interest - Assess the situation and surrounding circumstances to identify if any conflict of interest exists - If you are unsure you should seek advice from your supervisor, regional advisor or the Ethical Standards Unit - If a conflict of interest is identified, determine if further management is required - Register, Restrict, Recruit, Remove, Relinquish and Resign. The Conflict of Interest Management Options Ready Reckoner provides a brief description of the types of situations when certain options would be considered more suitable, and when such options might be considered least suitable. - Decide what management strategy or strategies are required to resolve and/or manage the situation in the public’s interest and make a record of the decisions you have made. It is recommended that you use the Form for Resolving or Managing a Conflict of Interest to formally record the identification, management and monitoring process of conflicts of interest. - Discuss the chosen management strategy or strategies with the employee concerned and devise a written management plan – ensure you make a record of all relevant matters discussed - Implement the management strategy or strategies and record your actions - Ensure the completed declaration of interests form for an employee other than a Chief Executive, Senior Executive or equivalent level is to be stored in the employee’s personal employment file - Also ensure the completed form for resolving or managing a conflict of interest for an employee other than a Chief Executive, Senior Executive or equivalent level is stored in the employee’s personal employment file Stage 3: Monitor - Monitor the initial management decisions on an ongoing basis - Regularly review the strategy chosen to ensure it remains relevant - Make any relevant changes to the strategy in place as required - Keep formal records of all reassessments, decisions made and actions taken using the Form for Resolving or Managing a Conflict of Interest Uncontrolled copy. Refer to the Department of Education, Training and Employment Policy and Procedure Register at http://ppr.det.qld.gov.au to ensure you have the most current version of this document. Page 4 of 4