Construction Industry Council - Annual Report 2024

CONSTRUCTION INDUSTRY COUNCIL 32 CORPORATE GOVERNANCE REPORT Members of the Construction Industry Training Board and the Construction Workers Registration Board are appointed in accordance with the relevant sections of the CICO/CWRO. The CIC reviews the Board appointment mechanisms from time to time to enhance its representativeness and effectiveness. Following the launch of the Registered Specialist Trade Contractors Scheme in April 2019, the number of registered specialist trade contractors has grown rapidly. The Council in December 2021 approved both Boards to expand the invitation list from 2022 to include nominations from organisations with representatives from registered specialist trade contractors/trade unions. At the same time, the same expansion has been extended to the invitation list for nominations to the Industry Development Committees. In addition, as the construction 5 The draft meeting Agenda is prepared by the responsible Secretariat, subject to endorsement by the Executive Director and approval by the Council Chairman / Board / Committee Chairperson. 6 Except for Committees of which the Executive Director is a member, the Executive Director and senior management attend the meetings to present the papers and provide further information and explanations on the issues where appropriate. However, they have no voting rights and shall not influence the decision-making process. The management of the CIC, under the leadership of the Executive Director, will follow up on the execution of the strategic directions set by the Members and report progress from time to time. 7 Members are required to sign the attendance sheet at the meeting. Meeting attendance and proceedings are documented in the Minutes recorded by the relevant Secretariat. Apart from the regulatory requirements on meeting procedures of the Council and the Statutory Boards, the CIC Boards and Committees at large adopt the following key features on meeting procedures as a good practice of corporate governance: 1 The Council and the Executive Committee hold bimonthly meetings, while Boards and Committees meet at least quarterly (except for the Objections Board, Construction Workers Qualifications Board and Construction Workers Review Board, which hold meetings as and when necessary). 2 Attending meetings by video conferencing is arranged for Members who cannot join the meeting in person. 3 The annual meeting schedule is set at the end of the previous year to allow Members to reserve time to attend. 4 Notice of Meeting is issued to Members at least 14 calendar days before the meeting. Members are provided with the Agenda and Papers at least seven calendar days before the meeting is convened. Modus Operandi of the Council industry develops and evolves with time, the challenges faced by industry stakeholders are also becoming more diverse and multi-faceted. Given the constraints on Board composition (restricted by category and maximum number of members), the CIC approved the appointment of advisors in 2022 to help in broadening the views received from industry stakeholders as well as getting more expertise from sectors currently unrepresented on the Board in resolving problems. In 2024, the CIC further extended the appointment of advisors to the five major Industry Development Committees. As a control mechanism, the maximum number of advisors shall not exceed half of the quorum of the board or committee.