Key Takeaways
- Three independent directors, including Adele Ferguson, Sally Neighbour, and Victoria Laurie, have resigned from the Walkley Foundation board due to governance issues.
- The resignations come after the Media Arts and Entertainment Alliance (MEAA) rejected a proposal to reform the foundation’s governance.
- The Walkley Foundation was established as a company limited by guarantee, with the MEAA retaining control, and the independent directors had proposed reforms to strengthen the foundation’s independence.
- The MEAA has expressed disappointment at the resignations, but the independent directors have stated that they cannot continue to serve in an organization with flawed governance.
Introduction to the Walkley Foundation Resignations
The Walkley Foundation, Australia’s most prestigious journalism awards, has been rocked by the resignation of three independent directors, including ABC journalist Adele Ferguson, over governance issues. The resignations of Ferguson, Sally Neighbour, and Victoria Laurie come after the Media Arts and Entertainment Alliance (MEAA) rejected a proposal to reform the foundation’s governance. The proposal, which aimed to strengthen the foundation’s independence, was rejected by the MEAA on December 4. This decision has led to a public disagreement between the independent directors and the MEAA, with the former stating that they cannot continue to serve in an organization with flawed governance.
Background to the Governance Issues
The Walkley Foundation was spun out of the MEAA 10 years ago as a company limited by guarantee, where the union retains control. Prior to that, it ran as part of the union for 70 years. The foundation’s board is separate from the Walkley Advisory Board, which is responsible for overseeing the judging for the awards. The independent directors had proposed reforms to strengthen the foundation’s governance and independence, but these were rejected by the MEAA. The directors stated that the rejection of their proposal would have the effect of reinforcing the MEAA’s control over the board, rather than advancing the objectives of strengthening the foundation’s independence or improving its governance.
Response from the MEAA
In response to the resignations, the MEAA has expressed disappointment, stating that they had reached an in-principle agreement on the majority of issues. Media president of the MEAA, Michael Slezak, said that the MEAA had provided its final position, based on legal advice, and that there appeared to be a misunderstanding of that position. The MEAA had proposed establishing term limits and maintaining the current director balance. Slezak stated that if any matters required clarification, the board meeting would have been an opportune time for further discussion. However, the independent directors have stated that they had engaged in discussions on issues of governance and independence for two years, and that the MEAA’s rejection of their proposal was the final straw.
Previous Attempts at Reform
This is not the first time that there have been attempts to reform the Walkley Foundation’s governance. In February, several high-profile journalists, including Nick McKenzie, Kate McClymont, Hedley Thomas, and Laurie Oakes, co-signed a letter supporting a push to have more independent directors on the board of the foundation. However, this was rejected by the MEAA. In March, three MEAA representatives on the board of directors, Erin Delahunty, Kate Ferguson, and Karen Percy, abruptly resigned from their MEAA and Walkleys positions. The independent directors have stated that they had approached the discussions in a spirit of goodwill and compromise, but that they feel they cannot properly discharge their fiduciary duties as directors in an organization whose governance is so deeply flawed.
Conclusion and Future of the Walkley Foundation
The resignations of the three independent directors have raised questions about the future of the Walkley Foundation and its ability to maintain its independence and integrity. The MEAA has stated that it will continue working to ensure a thriving Walkley Foundation that stands for excellence in journalism. However, the independent directors have stated that they cannot continue to serve in an organization with flawed governance, and that they had been proud and honored to serve in their roles. The dispute between the independent directors and the MEAA highlights the importance of governance and independence in organizations, particularly those that play a critical role in promoting excellence in journalism.
