Conflict of Interest and Post-Employment Declaration

A conflict of interest and post-employment declaration is a written disclosure made under Canada's public sector ethics rules. It sits within the broader subject of conflict of interest and post-employment, which covers how conflicts of interest are prevented, managed and resolved, and what restrictions apply once a public servant leaves office. The Government of Canada describes that subject on its values and ethics page on conflict of interest and post-employment.

The declaration is one compliance measure inside that regime. It comes from public sector ethics policy, not from a procurement technical standard. For suppliers and bid teams, the term matters because the people who evaluate bids, manage contracts and approve payments are bound by these obligations.

What the Treasury Board policy requires of public servants

The Treasury Board of Canada Secretariat Policy on Conflict of Interest and Post-Employment requires public servants to report in writing their outside activities, assets, liabilities and interests. The trigger is any item that might create a real, apparent or potential conflict of interest with their official duties.

• Real, apparent and potential conflicts are all covered, so a conflict does not need to have caused harm to be reportable.
• The report is made in writing, which creates a record the department can use to manage the situation.

Post-employment reporting and the limitation period

The same policy carries obligations that apply at the end of a public service career. Certain public servants must report firm offers of employment, or proposed outside activities, that could create a conflict with their public service employment. This reporting applies before leaving office and during a one-year limitation period, as set out in the policy text.

How National Defence applies the rules under DAOD 7021-0

National Defence addresses the subject through DAOD 7021-0, Conflict of Interest and Post-Employment. It requires the Department of National Defence and the Canadian Armed Forces to establish measures to prevent, identify, manage and resolve conflicts of interest and the risks associated with post-employment.

DAOD 7021-0 identifies several circumstances in which conflicts can arise:

• outside activities
• gifts, hospitality and other benefits
• post-employment activities
• activities or decisions that are incompatible with official duties

Declarations in other federal organizations

Other organizations apply the same approach. The Department of Justice's values and ethics guidance requires public servants to report outside activities, assets and interests that might create a real, apparent or potential conflict. It also requires reporting of certain post-employment offers or activities.

The Canada Mortgage and Housing Corporation (CMHC) uses an explicit declaration. Its conflict of interest policy requires employees to complete a conflict of interest declaration within ten days of their start date. Employees must also disclose relevant assets, liabilities, activities and interests.

What it means for a supplier bidding on Canadian public contracts

These declarations are compliance requirements for employees and public office holders. They are not a document that suppliers file under this title. A supplier should keep two things separate:

• The solicitation's own requirements. If a solicitation includes a conflict of interest declaration or certification, complete it exactly as the solicitation instructs.
• The public servant obligations. The ethics and post-employment rules bind public servants, National Defence and Canadian Armed Forces personnel, and employees of public sector organizations.

Bid teams should read each solicitation for its stated declaration or certification requirements and follow its instructions. Suppliers that hire former public servants, or deal with current ones, should be aware that those individuals carry reporting duties under the rules above.