Industrial Relations Commission of NSW

Industrial Organisations

Industrial organisations represent the interests of employees or employers.  The Industrial Registrar and the Industrial Relations Commission of New South Wales (Commission) are responsible for the regulation of state-registered industrial organisations under Chapter 5 of the Industrial Relations Act 1996 (NSW) (IR Act).

What organisations can apply for registration?

An organisation can apply for registration if it is:

An industrial organisation registered under Fair Work (Registered Organisations) Act 2009 (Cth) cannot apply for registration unless the application is made with the consent of each registered State organisation whose constitutional coverage extends to all or any of the class of members proposed to be covered by the federal organisation.

How to apply for registration?

An industrial organisation can apply for registration under s 219 of the IR Act by submitting a general application form to the Industrial Registrar by email or in person.  The Industrial Registrar may require information to be verified by statutory declaration and proof the applicants have the authority to act on behalf of the organisation and its members.

The applicant must, within 14 days after submitting the application to the Industrial Registrar, publish a notice of the application in a newspaper that is circulated throughout the State. During the 14-day period, the Industrial Registrar will notify any other registered organisation that, in the opinion of the Industrial Registrar, may be affected by the application.  The Commission may grant leave to amend the application if there is an objection.

What are the obligations on industrial organisations?

Chapter 5, Part 4 of the IR Act applies to state-registered industrial organisations and outlines obligations that promote transparency and accountability, including:

  • rules that reflect the organisation’s objectives and policies outlined under Division 2;
  • election processes that are transparent and ensure good corporate governance under Division 3;
  • membership guidelines and conditions under Division 4;
  • duties and liabilities of officers to encourage ethical behaviour under Division 5, reasons for disqualification from office under Division 6, and obligations of officers and employees in the event of dysfunction, misconduct and vacancy under Division 11;
  • requirements for records to be kept that are comprehensive and well-maintained under Division 7,;[JM1]  and
  • the validation of certain acts done in good faith under Division 10.

Can an industrial organisation’s registration be cancelled or suspended?

An industrial organisation or, with the leave of the Commission, a person who has a sufficient interest can apply to have the registration cancelled on the one or more of the following grounds:

  • the industrial organisation, or a substantial number of its members has or have contravened the IR Act, any industrial instrument, or any order of the Commission;
  • the industrial organisation, or a substantial number of its members has or have engaged in industrial action that has had, is having or is likely to have, a substantial adverse effect on the safety, health or welfare of the community;
  • the industrial organisation, or a substantial number of its members has or have engaged in any industrial action that has had or is having a major and substantial adverse effect on the provision of any public service by the State or an authority of the State contrary to the public interest and without reasonable excuse;
  • that the industrial organisation was registered by mistake;
  • that the industrial organisation no longer effectively represents its members;
  • that the organisation has applied for the cancellation of its own registration or is now defunct; and/or
  • the rules of a federal organisation no longer confer on the organisation a reasonable degree of autonomy in the administration and control of NSW assets and in the determination of questions affecting solely or principally members resident in the State.

The Commission will provide an opportunity to respond in any proceedings made against the industrial organisation and may decide to suspend rather than cancel the registration. The Commission may also institute proceedings on its own initiative to cancel or suspend an industrial organisation’s registration.

Reporting obligations of industrial organisations

Unless granted an exemption, an industrial organisation is required to lodge the following documents with the Industrial Registrar:

  • the rules of the organisation at the time of registration and immediately after any change to the documents;
  • the annual audited financial statements at the time of registration and as soon as practicable after the end of each financial year of the organisation; and
  • a statement certified by statutory declaration showing "relevant particulars" in relation to each loan, grant or donation exceeding $1,000 as soon as practicable after the end of each financial year.
  • any changes to the list of office holders, certified by statutory declaration, within 28 days of the change.

It is an offence for an industrial organisation to fail to comply with these reporting obligations. Consequences for non-compliance can include financial penalties, such as fines of up to 100 penalty units, as well as ongoing daily penalties for continuing breaches.

In matters where there are more serious or persistent breaches of the reporting obligations, the Industrial Court may initiate proceedings to cancel the organisation’s registration, thereby deregistering it as an industrial organisation under the IR Act.

Last updated: