Governance Statement

Australia Post has in place a comprehensive system of corporate governance practices designed to provide appropriate levels of disclosure and accountability. A detailed Corporate Governance Statement is provided each year in the annual report.

Governance Framework

As a Government Business Enterprise (GBE), Australia Post is subject to the particular requirements of the Australian Postal Corporation Act, and the Commonwealth Authorities and Companies Act, as well as the government's Governance Arrangements for Commonwealth Government Business Enterprises.

An overview of this regulatory framework and Australia Post's associated governance practices is provided in an outline in the governance framework document.

Shareholder Ministers

Within the Australian Government, the Minister for Broadband, Communications and the Digital Economy has portfolio responsibility for Australia Post. Under a dual shareholder model, overall responsibility is shared with the Minister for Finance and Deregulation.

Board

The Australia Post Board comprises up to nine directors, eight of whom serve in a non-executive capacity. The Managing Director is the sole executive director.

Non-executive directors are appointed by the Governor-General on the nomination of the portfolio minister.

The Board is accountable for Australia Post's overall performance. It sets the Corporation's key objectives and strategies through a rolling 3-year Corporate Plan, which is submitted annually to the shareholder ministers. Progress against the Plan is reported quarterly.

Profiles of our Board members can be found in our Annual Report. 

Board Committees

Two Board Committees assist the Board in the discharge of its responsibilities - Audit & Risk Committee and Human Resources.

Focusing principally on the areas of financial reporting, risk management and internal controls, the Audit and Risk Committee reviews:

• annual financial statements
• clarity and quality of the Corporation's financial policies, practices and disclosures
• internal and external auditor plans, reports and performance
• significant risks and associated mitigation strategies
• adequacy and effectiveness of internal control
• legal compliance.

For more information, see Audit and Risk Committee Charter for 2009 (pdf 90kb).

The Human Resources Committee (pdf 15kb) addresses major policy, structural and remuneration issues, including:

• recruitment, selection and succession planning
• remuneration
• culture and ethics
• learning and development
• occupational health and safety
• terms and conditions of employment
• organisational structure.

Audit

Under S8 of the Commonwealth Authorities and Companies Act the Commonwealth Auditor-General inspects and audits the accounts and records of the Corporation's financial transactions and assets, reporting to Parliament, the Minister and the Board.

The Auditor-General also audits and reports on compliance with the regulated performance standards prescribed under S28C of the Australian Postal Corporation Act. Performance against these standards is detailed each year in our Annual Report.

Risk Management and Internal Control

Australia Post has in place a comprehensive risk management and internal control framework (pdf 16kb) designed to identify and treat all significant business and strategic risks.

Internal audit (pdf 100kb) takes a systematic, disciplined approach to evaluating and improving the effectiveness of risk management, internal control and associated governance processes.

Remuneration

Remuneration for the Corporation's non-executive directors is determined independently by the Commonwealth Remuneration Tribunal.

Under S86 of the Australian Postal Corporation Act, the Board sets the terms and conditions of appointment for the Managing Director. Remuneration aspects are subject to prior consultation with the Remuneration Tribunal.

Corporate Remuneration Policy (pdf 13kb) is based around a number of key principles:

• competitive against the external market and cost effective for Australia Post;
• remuneration structures sufficiently flexible to cope with competitive pressures;
• levels of total remuneration directly influenced by both individual contribution and corporate performance.

Ethics

Australia Post seeks to conduct its business with integrity, honest and fairness and in compliance with all relevant laws, regulations, codes and corporate standards.

The corporate Code of Ethics sets out clearly the ethical standards that are expected of directors and employees alike in their dealing with customers, the Corporation and each other.

(Adobe Acrobat is required to read all pdf documents. Please call customer service on 13 13 18 if you cannot access pdf files.)

• See Corporate Information
• Annual Reports