- Title page
- Purpose of this guidance
- Who is this guidance for
- How to use this guidance
- Chapter 1: Relevant legislation
- Chapter 2: Functions and powers of the entity
- Chapter 3: Key relationships
- Chapter 4: Collective duties of the board and individual duties of board members
- Chapter 5: Role of the board chair
- Chapter 6: General responsibilities of members
- Chapter 7: Members' interests and conflicts: identification, disclosure and management
- Chapter 8: Disclosure of information
- Chapter 9: Gifts and hospitality
- Chapter 10: Board meeting procedures
- Chapter 11: Board committees
- Chapter 12: Delegations
- Chapter 13: Crown entities as employers
- Chapter 14: Subsidiaries
- Chapter 15: Planning and reporting
- Chapter 16: Board and member performance evaluation
- Chapter 17: Board appointments and reappointment
- Chapter 18: Remuneration and expenses for board members
- Chapter 19: Liability and protection from legal claims or proceedings
- Summary of minimum content for a governance manual by chapter
The chief executive of statutory Crown entities should employ all other staff of an entity on behalf of the board and would then be responsible for directing their work. Boards need to delegate the appropriate level of authority to the chief executive to manage all operational matters (see the chapter on Delegations). The board has overall responsibility for the entity meeting its employment obligations.
If a Crown entity employs staff, s. 118 of the CE Act requires it to operate a personnel policy that complies with the principle of being a good employer. These principles include provisions requiring:
- good and safe working conditions;
- an equal opportunities programme;
- impartial selection of suitably qualified people for appointment; and
- recognition of the aims and aspirations of Māori, and of the employment requirements of Māori, women and people with disabilities.
The Equal Employment Opportunities Commissioner at the Human Rights Commission has responsibility for issuing good employer and EEO guidance to Crown entities. That advice can be found at: www.neon.org.nz/crownentitiesadvice/.
Other legislation may prescribe additional employment codes, for example s. 100 D5 of the Employment Relations Act has a code of practice that applies to the staff of the New Zealand Blood Service as well as other entities in the public health sector.
Standards of integrity and conduct
Standards of Integrity and Conduct is the code of conduct issued by the State Services Commissioner under s. 57 of the State Sector Act 1988. The code has been applied to all staff (but not board members) of statutory Crown entities and Crown entity companies, and to board members and staff of some subsidiaries of Crown entities. It must be reflected in each entity's internal policies. The Code can be found at: www.ssc.govt.nz/code, together with additional guidance on its interpretation and application.
Pay and employment conditions expectations
The Government's expectations for pay and employment conditions in the State sector were revised in July 2012 and extended to apply to all employees (not just those covered by collective agreements) and to all Crown entities. Crown entities are required to take a number of factors into account in setting pay and employment conditions, including:
- fiscal sustainability and value for money;
- contributing to the achievement of the entity's strategic business outcomes;
- fairness to employees and taxpayers; and
- enhancing productivity and fostering continuous improvement.
The expectations are set out in: www.ssc.govt.nz/govt-expectations-pay-employment.
Responsible Ministers will require boards of Crown entities to have regard to these expectations when establishing their pay and employment conditions.