Standards Of Behavior

Conflicts of Interest and Duty

A Director must at all times act in the Institute’s best interests and must exercise his or her powers as such in the interest of the Institution, not for any ulterior purpose or to benefit themselves or anyone else at the Institute’s expense. Indeed, each of the TAFE constitutions includes a clause specifically directed at elected repreantitives requiring that they act in the best interests of the TAFE institute when making board decisions. 

A Board member must avoid any conflict of interest between his or her personal interests and duties to the Institution and any conflict of duty between his role as a Director and any other role he or she may have (e.g. wearing two hats).  In either case, such conflict exists whether it is real (it currently exists), potential (it may arise) or perceived (a reasonable person could believe that it exists or may arise). 

The Victorian Public Sector Commission provides Conflicts of Interest and Duty: A Practical Guide for Directors of Public Entities which explains the nature of conflicts of interest and conflicts of duty using short case studies to illustrate key points.

This Guide advises that any personal relationships or associations can potentially be sources of conflict of interest. Affiliation or obligation to political, trade union or professional association are considered to be higher risk than others and Directors are advised to consider their own associations and relationships that may potentially be a source of conflict of interest.