Integrity Talking Points 8 - 12 November 2010
Yesterday the Register of Pecuniary Interests of Judges Bill was one of the Private Member’s Bills balloted for Introduction. If enacted this will require that judges at all levels of the New Zealand courts hierarchy annually declare their interests. There is an existing obligation on MPs (and Ministers). Media reports suggest that both major parties are likely to support the Bill.
Although this development is related to the resignation last month of Justice Wilson, the requirement for judges to disclose interests is common to a substantial number of OECD member states. To promote an awareness of ways that conflicts of interest are managed, OECD is now collating information on the types of office holders who must disclose their interests and whether this is also publicly available. Data will be incorporated in the next edition of Government at a Glance to be published in mid 2011.
http://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=10687045
http://www.oecd.org/document/33/0,3343,en_2649_34139_43714657_1_1_1_1,00.html
11 November 2010
KPMG has published its 2010 Australia and New Zealand Fraud Survey. An alarming finding is that incidence of fraud is increasing in both private and public sectors in New Zealand. Almost half (49%) of the New Zealand respondents had experienced at least one fraud during the survey period. "It is significant for New Zealand business that the rate of fraud per respondent is higher than the survey average of 45% and that has been the case now for three consecutive surveys."
Unauthorised use of the internet was the most common form of unethical behaviour reported by survey respondents. By comparison, the 2010 State Services integrity survey found that bullying behaviour was observed more frequently in agencies than misuse of the internet. KPMG report that respondents identify three factors contributing most to unethical behaviour: Poor communication of organisational standards, a lack of commitment by senior managers to ethical conduct, and poor modelling by senior managers. That sounds very like the State Services “trust elements” – organisational trustworthiness is built on having standards, integrating them into the “way we do things around here”, and managers “walking the talk”.
http://tvnz.co.nz/business-news/fraud-costing-new-zealand-firms-millions-2469080
10 November 2010
In today’s language, does integrity have real meaning or has it become a buzz word?
An article in the Harvard Business Review blog explores the claim to integrity made by American business leaders.
“You can't argue against integrity. Everyone ought to have it. But how did it become the pinnacle quality for leaders? After all, when people point to the great leaders of the past — Churchill, Kennedy, Alexander the Great — they usually point to other qualities. Courage. Vision. Steadfastness.” The contributor comes to the conclusion that “Our culture's lionization of this sort of integrity is a tacit recognition of just how far out of control American business is. This of course means the claim of integrity as the justification for a leadership position is self-delusional.”
http://blogs.hbr.org/cs/2010/10/the_american_leaders_love_affa.html
9 November 2010
Good government should be a matter of practice not theory. The Open Budget Survey, published last month, is an indicator of the extent of that practice. The Ask Your Government Initiative was developed this year in association with the survey. It involved information requests being made to the governments in 80 countries about six budget-related matters. The report notes that;
“Only one country, New Zealand, answered all six requests substantively, by providing budget information that clearly answers the questions posed. Requests to the New Zealand government needed to be submitted only once, and responses were provided quickly, in a succinct and easy to understand format.”
The Annual Report of the Ombudsmen indicates that although many Official Information Act requests are not responded to as effectively as this, there were fewer complaints of delay in the last financial year than since 2003-4.
http://www.internationalbudget.org/
http://www.ombudsmen.parliament.nz/
8 November 2010
The media has reported circumstances surrounding eight corruption charges brought against a Department of Corrections employee. These involve rewards for taking contraband into Rimutaka Prison.
Section 105 of the Crimes Act provides for up to 7 years imprisonment for anyone convicted of corruptly obtaining a bribe for something done in their official capacity. Although the definition of an official is very broad, there have been very few incidents in New Zealand which have led to corruption charges.
The emphasis in the corruption law seems strangely misplaced – the offence appears to be in accepting or obtaining a bribe, not the corrupt act itself. What most of us would see as unacceptable is the failure to carry out official duties lawfully and with a spirit of service, the resulting harm to the reputation of the State Services, and the effect the breach has on public trust in government. Interestingly, the law focuses on the corrupt benefit not the corrupt act.
http://www.odt.co.nz/news/national/135121/prison-guard-corruption-charges
http://www.legislation.govt.nz/act/public/1961/0043/latest/DLM328753.html
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