Board members are appointed at the sole discretion of the Trustees. The requirements for members, including qualifications, background, length of term and criteria for selection, are set out in the Constitution.
When an Board member position is due to become vacant, the following process is applied:
- In order to invite applications, the Trustees advertise the vacant position(s) around the world via the IFRS Foundation website, the IFRS Email Recruitment Alert system and with the Economist (online and app). The application process is open for a period of at least four weeks.
- At the same time, in order to seek nominations, the Chair of the Trustees’ Nominating Committee writes to relevant stakeholder groups, including from the auditing, securities, regulatory, and investment protection communities, as well as various other relevant bodies.
- In conjunction with IASB Senior Management, the Nominating Committee reviews the applications and nominations, agrees a short list that is then ratified by the rest of the Trustees, and arranges contact with the selected candidates.
- The Nominating Committee, with participation of the IASB Chair and Vice-Chair, interviews the short listed candidate(s).
- Following the interview(s), the Nominating Committee will meet and make recommendations to the rest of the Trustees to proceed with the preferred candidate(s).
- Assuming the candidate(s) wish to progress, due diligence processes are then undertaken, including vetting procedures by a specialist third party organisation. The checks consist of a press search, carried out in local and national media covering both English and the local language for the individual’s jurisdiction of residence. The search examines the past 10 years in detail and provides information on any major issues identified in the past 20 years. A stewardship check is undertaken on a similar basis looking at organisations the individual has worked for or run. Professional and graduate level qualifications, regulatory / licensing status and employment for the past 10 years are also verified. Subject to jurisdictional restrictions, criminal records, credit records, civil litigation and regulatory history checks are also conducted. In addition, each individual is asked to complete a Declaration of Interests.
- Once the checks have been completed they are reviewed by the Chair of the Nominating Committee and one other Trustee on behalf of the full Nominating Committee.
- If these checks do not highlight matters that would prevent an appointment, approval to proceed will be sought from the Nominating Committee and then all Trustees.
- After the above steps have been satisfactorily completed, an offer of appointment is made to the selected candidate(s).
For reappointments, the following adjustments are made to the above process:
- The Board member confirms whether they wish to be considered for reappointment. If they do not, the role is advertised as above. If they do, then the same due diligence procedures are followed, though these are limited to the period of their first term i.e. the last 5 years.
- Once these checks have been completed satisfactorily, the Board member will be interviewed by the Chair of the Nominating Committee and a panel of members who will have access to the annual evaluation reports on the individual.
- The process for approving and making the appointment is the same as for the initial term.