Regulator calls on charities to improve trustee recruitment methods to open up opportunities to a more diverse candidate pool and improve governance standards
Responding to calls for move diverse trustee representation, the Charity Commission has overhauled the Finding and Appointing New Trustees (CC30) guidance on how to recruit trustees.
The majority of trustees are appointed through personal contacts rather than via open, competitive job advertising and recruitment channels, creating too many personal contacts on charity boards and threatening independence and governance.
The decision to revise the guidance follows research by think tank Pro Bono Economics for the regulator, which found that just 6% of trustees applied for their job via an advert.
More than half of charities relied on personal contacts to recruit new trustees with one in three trustees (29%) are asked to join their board by the chair of the charity and 25% are asked by another board member.
‘Recruiting within known circles can contribute to identifying good candidates but limits the field, and difficulties can arise when boards have several personal connections,’ warned the Commission.
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Charities need to improve their recruitment and induction practices. The refreshed guidance focuses on practical steps charities can take to connect with a broader range of candidates, and to identify and remove barriers that may put people off applying for the role.
It is important to have a group of trustees with the right mix of technical skills, knowledge of the sector the charity works in, community connections and first-hand experiences to create well-rounded boards and promote strong governance at charities.
Mazeda Alam, head of trustee guidance at the Charity Commission said: ‘It is fantastic that so many trustees recommend the role to others, and we know for some it is an essential way to fill vacancies.
‘However, we want our refreshed guidance to get trustees thinking about how they can broaden their reach when recruiting to their board. Small changes like writing your trustee role description differently or re-considering what skills are really essential, could widen the net and land you a valuable, new addition - taking your board from strength to strength.
‘Our casework has shown that it can be difficult to instil essential governance processes when there are multiple personal ties on a board.
‘We’re also aware that some charities may not have the minimum number of trustees required by their governing document. We want our guidance to support trustees to avoid these risks and help open up trusteeship to all.’
There are concerns about the quality of onboarding for new trustees as well in certain cases. The induction section of the guidance has been expanded to help charities retain new trustees, advising them to discuss with each new trustee what information and learning they need to become an effective trustee, and how to support them with this.
The Commission also said charities should conduct a skills audit to test to identify what the charity actually needs from its trustees.
It is also important to write and keep under review trustee role descriptions and distinguish between what is required and what can be learnt in the role. The guidance even highlights ways to reach more candidates such as posting ads via social media or using organisations that offer trustee finder services.
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