Income and Expenditure
The total income of the union for the period was £78,880,780. This amount included payments of £69,598,372 in respect of membership income of the union. Of total income, £78,378,438 relates to the general fund (£69,096,030 from membership).
The union’s total expenditure for the period was £76,116,227, of which £75,699,670 relates to the general fund.
Political Fund
In respect of the union’s political fund, its total income was £502,342 and total expenditure was £416,557. Find out more information about the Political Fund - including the opt-out process.
Salary paid to and other benefits provided to the General Secretaries
The general secretaries of the union were paid £244,123 in respect of salary and £37,032 in respect of benefits.
Irregularity statement
A member who is concerned that some irregularity may be occurring, or have occurred, in the conduct of the financial affairs of the union may take steps with a view to investigating further, obtaining clarification and, if necessary, securing regularisation of that conduct.
The member may raise any such concern with such one or more of the following as it seems appropriate to raise it with: the officials of the union, the trustees of the property of the union, the auditor or auditors of the union, the Certification Officer (who is an independent officer appointed by the Secretary of State) and the police.
Where a member believes that the financial affairs of the union have been or are being conducted in breach of the law or in breach of the rules of the union and contemplates bringing civil proceedings against the union or responsible officials or trustees, he should consider obtaining independent legal advice.
National Education Union – Investment Policy
Introduction
The management of the Union’s investment strategy is overseen by the Investment Committee.
The members of the committee are the general secretary, deputy general secretary (elected), national treasurer, and chair of the general purpose committee. assistant general secretary (business services), and head of finance and other union staff will also attend Committee meetings. Either the general secretary or the deputy general secretary (elected) will attend.
The committee is responsible for managing the Union’s investments in accordance with this policy and for the appointment of investment managers and the opening of bank deposit accounts.
The committee will normally meet three times a year and will report to the General Purposes Committee of the union.
The Investment Committee will decide on the broad allocation of funds invested in equities, bonds and cash. The Union’s investment policy having regard to market benchmarks is to achieve the returns set by the Investment Committee and to ensure that, as a minimum, the value of the portfolio is maintained in real terms.
Socially responsible investment
The union’s investment strategy will have regard to ethical, environment, social and governance issues (ESG).
In pursuing the investment strategy, the committee will positively seek to invest in organisations that promote sustainability and operate in a way to minimise their impact on the environment.
Environmental, social and governance criteria
Environment criteria look at how a company performs as a steward of the natural environment. Social criteria examine how a company manages its relationships with its employees, suppliers, customers, and the communities where it operates. Governance deals with a company’s leadership, executive pay, audits, internal controls and shareholder rights.
The union will expect investment managers to engage with companies where ESG is a concern and to report to the union on their engagement activities.
The Union will specifically avoid investments in the following areas:
- Armaments
- Food and other products from illegally occupied territories where the trade is solely for the benefit of the illegal occupier
- Toiletries and cosmetics produced using animal testing
- Mining which is detrimental or provides no benefit to the local community
- Tobacco products
- Pornography
- Organisations condemned by the TUC
- Organisations which are subject to a boycott by the BDS National Committee.
The Union will not invest in organisations that do not adhere to the labour standard of the International Labour Organisation (ILO) as set out below: -
- Freedom from discrimination
- Freedom from bonded or forced labour
- Freedom from oppression
- Freedom from dangerous working conditions
- Freedom of association
- The right to organise and collective bargaining
- The right to equal remuneration and
- The elimination of child labour
Fiduciary duty
The committee has a fiduciary duty to maximise the returns from the union’s investments; whilst at the same time ensuring that the financial risk of the investment decision is properly considered. The committee will appoint investment managers to advise the committee and to invest on behalf of the Union in a socially responsible manner to ensure that returns are maximised over the long term. This policy is designed to enable socially responsible investment, whilst minimising any potential impact on its investment returns.
Appointment of investment managers
- The union will appoint investment managers to incorporate ESG factors into their selection criteria.
- The union will expect investment managers to engage with companies where ESG issues are a concern.
- Where the Union invests in any company that does not appear to be pursuing sound ethical business practices and/or displaying appropriate environmental responsibility, the investment managers will seek to persuade that company to operate in a more socially and environmentally responsible manner. Where change cannot be influenced by the Investment Manager, they will be instructed to undertake a divestment strategy.
Policy review
This policy is approached by the General Purposes Committee who delegate the activity of implementing the policy to the Investment Committee. The union will review this policy every two years.