Victorian Hospitals' Industrial Association

[2014] FWCD 528

[2014] FWCD 528

DECISION

Fair Work (Registered Organisations) Act 2009
s.159—Alteration of other rules of organisation
Victorian Hospitals' Industrial Association
(R2013/19)
MR ENRIGHT	MELBOURNE, 22 JANUARY 2014
Alteration of other rules of organisation.

[1] On 18 December 2013 the Victorian Hospitals' Industrial Association (the

organisation) lodged with the Fair Work Commission a notice and declaration setting out
particulars of alterations to the rules of the organisation.

[2] The particulars provide for the amendment to current rules 8, 13, 30 through to 43 and the insertion of new rules 30, 31, 32, 33 and 34 into the rules of the organisation. The alterations were made for the purpose of complying with provisions of the Fair Work

(Registered Organisations) Amendment Act 2012 (the Amendment Act) regarding the rules of

registered organisations. In particular, the alterations provide for specified disclosures, the implementation of policies relating to expenditure and the mandatory training of officers with duties that relate to the financial management of the organisation.

[3] On the information contained in the notice, I am satisfied the alterations have been made under the rules of the organisation.

[4] The rules largely incorporate the requirements of the Amendment Act. However, for the following reasons, I believe the rules will not meet all of the requirements of the Fair

Work Registered Organisations Act 2009 (the RO Act).

[5] Section 148A(1)(a)(ii) of the RO Act mandates that the rules of an organisation must require the disclosure, by each officer of the organisation, of any remuneration paid to the officer because the officer is a member of a Board, if the officer was nominated for the position of member of the Board by, among others, a peak council. As sub rule 30(a)(i)(B) omits a reference to peak council, the rule will not meet all of the requirements of section 148A(1)(a)(ii).

[6] Notwithstanding the omission noted above, the substance of the rule alterations does comply with the statutory requirements. Although a further alteration is needed this does not prevent the certification of the alterations that have been made. However, the omission of the reference to peak council will need to be amended by the organisation as expeditiously as possible in order to ensure full compliance with the provisions of the RO Act.

[7] As noted above, amongst other things, section 148A(1)(a)(ii) of the RO Act mandates

that the rules of an organisation must require the disclosure, by each officer of the
[2014] FWCD 528

organisation, of any remuneration paid to the officer because the officer is a member of a board if the officer is a member of the board only because the officer is an officer of the organisation. The existing rules of the organisation establish a ‘Board’ which is the organisation’s own board of management (rule 11) and consistently refer to this body as ‘the Board’. New rule 30(a)(i) refers to membership of ‘a board’. It is clear that the alterations are not confined to disclosures because an officer is a member of the organisation’s board of management, but include disclosures because the officer is a member of any relevant board. However, for the purpose of clarity, the organisation may wish to consider altering their rules at its earliest convenience to insert an additional definition of ‘board’ relating to rule 30. Model rules gazetted by the Minister on 5 August 2013 provide a sample definition of ‘board’.

[8] In my opinion, the alterations comply with and are not contrary to the RO Act, the Amendment Act, the Fair Work Act 2009, modern awards and enterprise agreements, and are not otherwise contrary to law. I certify accordingly under subsection 159(1) of the RO Act.

DELEGATE OF THE GENERAL MANAGER

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