Scottish regulator releases guidance on problem of dominant behaviour in charities
Melanie May | 5 August 2024 | News
OSCR, the Scottish Regulator has said that it is ‘increasingly concerned about dominant behaviour in charities’, and is receiving more reports from people both within and outside of charities about this.
Dominant behaviour, it explains, happens when: ‘one person (or a small group of people) makes all the decisions in a charity and prevents the charity’s trustees, as a whole, from acting collectively and doing their job properly or force the charity trustees to legitimise their decisions at a later date.’ This can be a board member, or a member of staff. The regulator adds that it can and does result in beneficiaries, staff and funders losing confidence in a charity.
It also says that ‘Sometimes the issues are serious enough for us to take action under our Inquiry Policy, but even where they aren’t, they may indicate issues that trustees should address.’
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OSCR has released a report to help charity trustees and those who advise them recognise these types of behaviour, and prevent or tackle them.
It says that the reasons for dominant behaviour are varied. For example, it can occur when someone sets up a charity to help others who have experienced a problem that they have also experienced, and then believe they know best, and when ‘a forthright and confident person is surrounded by others who lack confidence, experience and a willingness to speak up or challenge their behaviour’.
OSCR says dominant behaviour can result in the charity trustees not meeting their legal duty to act in the interests of the charity, and that action needs to be taken as the issue as it is unlikely to resolve itself.
Not addressing the issue can also result in longer term problems such as difficulties in recruiting and retaining trustees and staff, and with the charity’s reputation, it warns.
Addressing the issue
In its report, it provides advice on how to avoid dominance from happening, such as having a clear scheme of delegation and reporting back at every trustee meeting, and seeking regular reports on performance and finance within the charity to ensure they understand what’s happening.
OSCR also provides steps for how to tackle dominant behaviour, starting with challenging it and discussing it with the person responsible, and how to work together as trustees to deal with it.
The report, Learning from OSCR’s Inquiries: Dominant behaviour in charities, is the second report in a series on common themes and lessons that charities can learn from to improve their governance and avoid issues. The first, Learning from OSCR’s Inquiries: Financial Management, details ten key lessons to support good financial governance.
About Melanie May
Melanie May is a journalist and copywriter specialising in writing both for and about the charity and marketing services sectors since 2001. She can be reached via thepurplepim.com.