Changes to the Registered Clubs Act and Gaming Machines Act in New South Wales

Presentation on pending changes to the Registered Clubs Act and recent changes to the Gaming Machines Act 

Registered Clubs CEO’s and Directors: I presented this week at the Club Managers Association Australia Country Managers Conference held at Lismore Workers Club. 

I discussed the pending changes to the Registered Clubs Act (NSW) and recent changes to the Gaming Machines Act (NSW). This included discussing the increased personal liability for Club CEOs and Directors.

I also discussed the changes that will impact on Registered Club amalgamations.  CMAA feedback was “A great presentation with lots of member interest.”. 

Registered Clubs Accountability Code and changes which affect the amalgamation of Clubs

The changes introduced include the introduction of a Registered Clubs Accountability Code, personal fines and cost exposure for CEOs and Directors and amendments relating to the amalgamation provisions.

The Registered Club Accountability Code includes a number of new provisions which are outlined and explained in the presentation. Club CEO’s and Board Directors need to be aware of the new obligations including the requirement that an independent adviser, such as Elite Legal, needs to sign off the employment contracts of top executives.

The amalgamation related changes will impact on how Clubs amalgamate and deal with members through such an amalgamation process. 

ILGA will be able to further Discipline Club CEOs and Board Members of Registered Clubs

1.ILGA can now fine club secretaries and directors, and also make them pay investigation costs, as a result of ILGA taking disciplinary action.

2.There is  no requirement for a prior conviction to have occurred.  A right to appeal to NCAT exists if you are subject to disciplinary action.

3.If ILGA is satisfied with any of the grounds of a complaint (which can only be made by the Secretary, Commissioner of Police or someone authorised by regulation) then:

a)You can be ordered to pay a fine of up to 100 penalty units ($11,000 currently); and/or

b)You can be removed from office as the secretary of the club or as a director on the board of the club; and/or (existing)

c)They can declare you ineligible for election or unable to hold the position of secretary or director for a period of time (existing).

Contract of Employment with Top Executives

A Top Executive must have a written contract, that meets Code requirements and has been signed off by an independent adviser.

1. Who is a Top Executive:

a)The secretary of the club, a manager of the club (approved manager) or any employee of the club who is nominated by the club as a top executive, and

b)Any employee of the club (other than a person referred to above) (i) who is one of the 5 highest paid employees of the club;  and (ii) whose remuneration package exceeds the high income threshold set by the Fair Work Commission;  and (iii) who is involved in the general administration of the club or with its liquor and gaming operations.

2.All top executives must have a written employment contract that deals with: (i) terms of employment, (ii) role and responsibilities, (iii) remuneration; and (iv) termination.

3.The written employment contract must have been (i) reviewed by an independent and qualified adviser; and (ii) approved by the Board.

Legislation Commencement Date

As at the date of this post:

1.All Acts received Royal Assent on 21 March 2018 following them being passed by both Houses of the New South Wales Parliament.

2.Registered Clubs Amendment (Accountability and Amalgamations) Act 2018 (including amendments to the Regulations) – Not Yet Commenced – awaiting proclamation (possibly end of May, not confirmed).

3.Gaming Machines (Leasing and Assessment) Act 2018 (including amendments to the Regulations) commenced 3 April 2018 by proclamation.

Contact Us for more Information

Any Club CEO’s or Directors interested in a copy of the presentation, or a briefing on the recent and upcoming changes and personal liability exposure, please just message me through our website or call us on 02 8515 8062.