If you declare a conflict of interest on your organisation’s conflict of interest – declaration and management plan form, your manager will:
- develop a conflict of interest management plan in consultation with you
- record it on the form.
Many organisations use or adapt our model declaration and management plan form.
We also offer a guide for managers on how to develop a management plan.
Key action
You must:
- Participate in the development of a conflict of interest plan to the extent set by your manager. In some organisations you may be asked to prepare an initial draft of the plan.
- Follow the plan with oversight from your manager.
- notify your manager of any changes that may affect the plan or its risk level. Your organisation’s policy will set a time limit for this to occur. For example, 5 working days.
Consultation and drafting of plan
Your manager decides the contents of the plan. They consult you when doing so. The plan is recorded on your organisation’s conflict of interest – declaration and management plan form, or similar name.
As part of the consultation process, sometimes your manager may ask you to collaborate with them on the development of the plan.
Alternatively, sometimes they may instruct you to prepare the initial draft of the plan. If this occurs, your manager will either:
- approve the draft plan (with or without amendments), or
- take it into account, then develop and finalise a plan.
More information
We offer a guide for managers on how to develop a conflict of interest management plan.
Official record
After your manager finalises and approves the management plan:
- you both keep a copy
- your manager files a copy with the manager of human resources (or other person nominated in your organisation’s policy) as the official record of the plan.
Review of the plan
Your manager will review the plan in consultation with you:
- at the times set out in the plan
- if any change occurs that may affect the plan or its risk level.
You must advise your manager of any such change you are aware of.
What the plan will contain
A conflict of interest management plan is a risk mitigation strategy. It balances the nature and seriousness of the conflict with the public benefit of you being involved in the matter.
The plan will usually be based on the key risk mitigation strategies below in this guidance or a combination of them.
The approach taken will be proportionate to the risk.
Useful questions to ask: Choosing a strategy proportionate to the risk level
If you have a conflict of interest some useful questions for you and your manager to discuss to help identify which key risk mitigation strategy is proportionate to the risk level include:
- Authority and influence: To what extent are you involved in the activity or the decision which the conflict relates to? What influence do you have in decision-making?
- Work responsibilities: Which, if any, of your work responsibilities could be influenced or affected by the conflict?
- Private interest: What is the conflicted interest? What stake do you have in this private interest?
- Nature and severity of the conflict: what is the nature and severity of the conflict?
- Duration: How often will the conflict arise in the employee’s work duties and for how long? For example, regularly, for the duration of a particular project, short term, long term or ongoing? This question will also help to determine how often to review the plan.
- Consequences: What are the possible effects if the conflict is not suitably managed?
- Public perception: What would a fair-minded member of the public think of the situation? Would they think the proposed risk mitigation strategy alleviates any doubts about your integrity or that of the organisation?
Key risk mitigation strategies
The management plan for a conflict of interest will usually be based on one of the following risk mitigation strategies, or a suitable combination of these ‘5 Rs’.
The approach taken will be proportionate to the risk.
These strategies are listed from lowest to highest response level.
Check your organisation’s policy in case it differs.
Record and monitor
The conflict is officially recorded. Relevant managers and employees are made aware on a ‘need to know’ basis.
Ongoing monitoring occurs. If the risk level rises, additional strategies are implemented, such as restrict or remove.
Example
A member of a recruitment and selection panel has a perceived conflict of interest that is low risk and suitable to record and monitor. Other panel members are advised. They monitor the risk level and support impartial decision-making.
Restrict
Some restrictions are placed on your involvement in the conflicted matter. For example, the management plan could:
- allow you to take part in certain discussions
- forbid you from taking part in certain or all decisions and from being present when they are made.
Remove
The management plan removes you from any involvement at all in the conflicted matter.
You must not take part in or be present for:
- any discussion
- any decision.
Recruit
An independent, impartial third party oversees part or all of the conflicted matter. This person can be internal or external to the organisation, but not a subordinate.
For example, the role could include:
- provide probity advice
- assist with risk mitigation
- oversee the project – this includes actively overseeing any participation you have in it.
Depending on the circumstances, this strategy can be combined with restrict or remove.
Relinquish or resolve
Sometimes, a conflict of interest can’t be managed as set out above.
In such cases, you’ll need to relinquish your private interest, unless your organisation can resolve the matter another way.
This is because it is not in the public interest for an unmanageable conflict to continue to exist.
As an employee, you must be able to:
- perform the duties of your role as required, to the required standard
- comply with your employment obligations, including the code and your employer’s policies.
If you can’t or won’t relinquish the conflicting interest, the organisation will resolve the matter.
It will do so consistent with the public sector employment principles and standards and any applicable employment contract, agreement or law.
How the situation will sometimes be resolved
Sometimes, the situation can be resolved by your organisation on that basis that you:
- take leave, or
- perform modified duties or another role.
But this will not always be the case. For example, due to:
- the organisation’s staffing needs or capacity, or
- the duration of the conflict.
In such cases, the employment relationship may need to terminate if you remain unwilling or unable to relinquish your conflicting interest.