Permanent Secretaries' Membership on Boards of Companies
Ministry of FinanceSpeakers
Summary
This question concerns Ms He Ting Ru’s inquiry into the criteria, oversight, and frequency of conflict-of-interest checks for Permanent Secretaries serving on private sector boards. Minister Chan Chun Sing explained that these appointments foster diversity in perspectives and strengthen understanding between the public and private sectors. He stated that the Public Service Division and Ministries conduct assessments prior to appointments, during re-appointments, or when an officer’s primary role changes. These checks ensure that no conflicts of interest exist and that the officer’s ability to perform their primary duties remains uncompromised. Appointments proceed only if no conflicts are identified, following the established civil service requirement for officers to seek formal approval before accepting directorships.
Transcript
51 Ms He Ting Ru asked the Prime Minister and Minister for Finance (a) what specific criteria and checks are used to determine and monitor a Permanent Secretary's eligibility to sit on a company board; (b) who is responsible for making, reviewing and reassessing these appointments; (c) how frequent are the appointments re-evaluated for potential conflicts of interest; (d) in the past five years, how many times have these checks identified and prevented a potential conflict; and (e) whether the results of these checks are made public and, if not, why not.
Mr Chan Chun Sing (for the Prime Minister): Having public officers on private sector boards, and likewise private sector individuals on public sector boards, encourages greater diversity in perspectives and helps strengthen the understanding between the public and private sectors.
As I have explained in the written reply to Ms Sylvia Lim on the same topic on 6 August 2024, Permanent Secretaries, like all civil servants, are required to seek the necessary approvals prior to accepting requests to serve as board directors of private sector companies. [Please refer to "Management of Conflicts of Interest for Permanent Secretaries on Private Sector Boards", Official Report, 6 August 2024, Vol 95, Issue 138, Written Answers to Questions section.]
The Public Service Division works with Ministries to conduct conflict of interest checks to ensure that there is no conflict of interest and that the Permanent Secretaries’ ability to carry out their primary duties are not compromised.
These checks take place prior to an appointment to a company board, during re-appointments, or when there are changes to an officer’s primary role. Appointments can proceed if there is no conflict of interest.