The Registered Organisations Commission (the ROC) and the Fair Work Commission measure relevant compliance trends in financial reporting and annual returns of registered organisations.
There are currently over 100 registered organisations, and a further significant number of branches within those organisations, which together make up reporting units for the purposes of the Fair Work (Registered Organisations) Act 2009 (the RO Act).
Under the RO Act, reporting units are required to lodge financial reports within specified timeframes and organisations are required to lodge annual returns within specified timeframes.
The information in those documents is critical to making sure that each organisation's members can understand how their organisation is performing, as well as allowing members to be involved in their organisation's financial management.
The Registered Organisations Commission helps federally registered organisations comply with legislative requirements, and we monitor their performance to help inform our priorities, services and other activities. Registered organisations can also use data to understand their own achievements and priorities, and to see how they compare against other organisations.Registered organisations compliance snapshot: October 2020
Report card – financial reporting
The report card for financial reporting identifies the common financial reporting compliance issues of the relevant year. When preparing the financial report, reporting units and registered auditors should pay close attention to the focus areas identified in the report card.Report card – 2020 financial reporting
For those financial reports due in the 2019–2020 financial year, voluntary compliance with lodging financial reports was 99%. Voluntary compliance in lodging financial reports has remained high at 99% for the past three years.
Financial reporting compliance for financial years 2014–15 to 2019–20
In the 2020 reporting year, voluntary compliance was 96%, this represents a slight drop from the 100% voluntary compliance of 2019. The ROC is working with organisations to encourage greater compliance in the 2021 reporting year.
Note that percentages in the chart below might not add up to 100% due to rounding of figures.
Annual returns compliance for reporting years 2013 to 2020
Although the non-compliance numbers are small, the ROC is continuing to work with organisations in relation to this, and is taking appropriate action in each specific case.
The ROC understands that lodging within the specified time frames is just one measure of compliance, and it does not address the qualitative aspects of the reports.
The ROC is now working with organisations to increase both voluntary levels of compliance, and the qualitative levels of compliance with, for example, the RO Act, the Commissioner’s Reporting Guidelines and AASB standards.