Disclosure obligations

The requirements are set out in Part 2A of Chapter 9 of the Fair Work (Registered Organisations) Act 2009 (the RO Act).

Officers are required to disclose to their organisation or branch information about:

• certain payments received
• their material personal interests.

Organisations and branches are required to disclose to their members information about:

• senior-officer remuneration
• payments made to related parties and declared persons or bodies.

Organisations and branches are also required to lodge a copy of these disclosures to us.

To find out more about the disclosure obligations see our guidance notes about:

• disclosures required by office holders
• disclosures required by organisations and branches.

All officers must disclose to their organisations or branches remuneration they are paid:

• because they are a member of a board as an officer, or were nominated to the board by the organisation, branch or peak body
• by a related party of the organisation or branch in connection with their duties as an officer.

Additionally, if an officer has financial management duties, they must disclose any material personal interests they have that relate to the affairs of the organisation or branch. Our guidance note on disclosures required by officer holders has more information about material personal interests.

Failure to make the disclosures could result in Federal Court imposed penalties.

When officers must disclose

Office holders must disclose remuneration and new material personal interests as quickly as possible after the remuneration is paid. Alternatively, a standing disclosure notice can be made and updated if payments change from what is in the standing notice.

How officers disclose

Disclosures by officers about remuneration they receive from boards or related parties must be made in writing to the committee of management of their organisation or branch.

Disclosures about material personal interests can be made either orally (and recorded in the minutes of meeting) or in writing to the committee of management.

The disclosure must include sufficient details about the nature and extent of the interest, as well as how it relates to the affairs of the organisation or branch.

Organisations and their branches must disclose information to their members about:

• relevant remuneration and non-cash benefits of highly-ranked office holders
• payments made to related parties and declared persons or bodies.

This disclosure is given in an 'officer and related-party' (ORP) disclosure statement. We provide an ORP disclosure template to help organisations make these disclosures.

Organisations and their branches must also lodge a copy of the ORP disclosure statement with us. We publish the disclosure statements on our website.

What organisations and branches must disclose in an ORP disclosure statement

Organisations and branches must prepare an ORP disclosure statement which gives:

• the identity of the top five officers ranked by remuneration
• the remuneration of the officers in the top five rankings
• the value and type of non-cash benefits received by the officers in the top five rankings
• some payments made by the organisation or branch to related parties
• payments made by the organisation or branch to declared persons or bodies.

In addition to remuneration received from the organisation and branch, relevant remuneration includes the payments from boards and related parties.

Failure to make the disclosures could result in Federal Court imposed penalties.

Alternative disclosure arrangements

Organisations and branches can apply to us for alternative disclosure arrangements if they believe:

• the normal disclosure requirements are too difficult
• that special circumstances exist in their case.

Email us at [email protected] for more information.

Organisations and branches must prepare an ORP disclosure statement as soon as practicable and no later than 6 months after the end of the financial year.

To make ORP disclosures:

1. complete the ORP disclosure template
2. provide the disclosure statement to members using whatever method you think is suitable
3. lodge a copy of the disclosure statement with us at [email protected].

We take a risk-based approach when assessing ORP disclosure statements. This allows us to manage disclosure requirements effectively and to use resources efficiently while helping registered organisations and their branches comply.

Assessments

Our assessment focuses on key elements of compliance including:

• whether the statement was signed by an officer;
• whether it was lodged on time; and
• that it disclosed the necessary information as set out in Part 2A of Chapter 9 of the Fair Work (Registered Organisations) Act 2009.

The risk-based approach also includes the officer declaration on the ORP disclosure statement, in which the officer signing certifies that the information is true, correct and complete (noting that there are penalties for false declarations).

See what we assess with our Officer and related party (ORP) disclosures checklist.

If you need more information or advice about disclosures email us at [email protected].