Non Legislated Principles

While “black letter law” has been applied via legislation such as the Sarbanes-Oxley Act (USA), the Australian environment has taken a less prescriptive approach.

ASX Corporate Governance Principles and Recommendations
For listed public companies, the Australian Securities Exchange (ASX) has published its Corporate Governance Principles and Recommendations. The recent review for application from 1 January 2008 specifically refers to the role of whistleblowers under Principle 3: “Promote ethical and responsible decision making.”

Details available at: www.asx.com.au/

Australian Standards
AS 8001 – Fraud and corruption control
AS 8004 – Whistleblower protection programs for entities.

Standards Australia introduced corporate governance standards in 2003 recognising the need to provide guidance for all types of organisations including the public, private and not-for-profit sectors.

Education, training and continuing communication of the objectives as part of an entity’s corporate governance program is considered best practice and part of Australian Standards AS 8001 and AS 8004.

Australian Standard AS 8004-2003 states…. “The entity’s commitment to and requirements for reporting of reportable conduct needs to be continuously publicised to staff, agents, contractors and other relevant third parties.”

This continuing education should include the use of an external reporting line as well as internal alternatives. AS 8001-2008 (para 4.3) prescribes the alternative means for staff reporting “of unethical or illegal behaviour”;

Through normal reporting channel;
Outside the normal reporting channels but within the entity; and
Through reporting channels external to the entity.

AS/NZS 4360 Risk Management
Details available at: www.saiglobal.com