The ETI Board
Governance of the ETI
Policy and procedure to identify and deal with any potential conflicts of interest arising between the role of the Chair of ETI and other independent activities the Chair may carry out
| 1.0 | Scope |
| 1.1 | This policy applies to conflicts of interest that may arise between the role of the Chair and any independent activities that the post-holder may carry out. |
| 2.0 | What is a conflict of interest? |
| 2.1 | Independent consultancy, advisory or salaried
activities that meet the following criteria will be regarded as a potential
conflict of interest:-
|
| 3.0 | What is the process of recognising a potential conflict of interest? |
| 3.1 | When and if the Chair proposes to undertake activities that are potential conflicts of interest as defined in 2 above, the Chair shall provide written details to the Director prior to confirming acceptance. The Director will circulate these details to Board Members by e.mail. |
| 3.2 | In addition, and in accordance with current policy, the Chair shall maintain ETI’s Register of Interests with respect to any Directorships or posts other than that of Chair of ETI. |
| 4.0 | What is the process of resolution of a conflict of interest? |
| 4.1 | It is not necessarily the case that the Chair cannot or should not carry out independent activities that present a potential for conflict of interest. Depending on the severity of risk to ETI, the Remuneration Committee [1] may consider it adequate, that the Chair continue with the assignment in question, while removing him/herself from any decision, meeting or other duty as Chair where the conflict could arise. For example, if the Chair undertook an assignment for a non-member company, which then developed an interest in ETI membership, the Chair could be removed from any activity or decision relating to this company’s membership application. |
| 4.2 | If a Board member considers that the activities should be referred to the Remuneration Committee he/she should normally inform the Director within 5 days of being notified of these activities. |
| 4.3 | If the Director or any Board member considers that the Chair’s proposed activities are likely to create a significant conflict of interest the Director shall refer any areas of doubt to the Remuneration Committee for their advice and guidance. The Director will then immediately advise the Chair in writing of the concern that has been expressed and the fact that the matter has been referred to the Remuneration Committee. |
| 4.4 | The views of the Remuneration Committee on any potential conflict of interest will normally be finalised and communicated to the Chair within 7 working days from the date that the Director advises them of the issue. Should the members of the Committee be unavailable for extended periods of time, the Director shall seek alternative Board representatives from the appropriate caucus groups. The Chair will be entitled to meet with the committee to discuss their views in the event of any disagreement. |
Ends
Revised October 12, 2003
Notes:
- The Remuneration Committee is a sub-committee of the ETI
Board comprised on one Corporate, One Trade Union and one NGO
representative.
See also Remuneration sub-committee terms of reference.
See also:
Back
to ETI Board
back
