ELRC 202324 Annual Report

EDUCATION LABOUR RELATIONS COUNCIL | 2023/24 ANNUAL REPORT

12.3 Audit and Risk Committee Responsibility The Committee reports that it has:

• Complied with its responsibilities arising from Section 16.2. of the ELRC Constitution. • Adopted appropriate formal terms of reference as its Audit and Risk Committee Charter, in light of the principles and recommended practices of King IV. • Regulated its affairs in compliance with this charter and has discharged all its responsibilities as contained therein, Internal Audit; the Control Environment; Risk Management; External Audit; Compliance with laws and regulations; Fraud Management, Information Communication Technology and related Governance; and Combined Assurance. • Reviewed the Annual Financial Statements and Performance Report prepared by the ELRC, including: o Management’s assessment of going concern and longer-term viability. o Compliance with International Financial Reporting Standards (IFRS for SMMEs) and that the ELRC’s accounting policies and practices used are appropriate. o Evaluation of reports on the effectiveness of the systems of internal financial controls conducted by the internal audit function, considered information provided by management and held discussions with the external auditor on the results of their audit. Hence, the committee is of the opinion that the systems of internal financial controls are effective and form a basis for the preparation of reliable financial statements. o Review and consideration of the Annual Report (Financial Statements and Performance Report) with the External Auditor and management staff. o Review and respond to the Auditor’s Report and the Management Report with the External Auditor and management staff. • Considered other matters as deemed appropriate. • No complaints about the financial and non-financial reporting were brought to the attention of the Audit and Risk Committee. The Annual Financial Statements and Annual Performance Report form a basis for the Committee to concur with the conclusion made by the External Auditor. 12.4 Internal Controls To maintain an overall positive perception of the Council and confidence, well planned goals and objectives should be coordinated and achieved within the Council. Section 14(3) of the ELRC constitution stipulates that the General Secretary shall maintain sound management and administration of the Council. • Has reviewed the Internal Audit Reports; the Auditor’s Report; the Management Report, the Annual Financial Statements (AFS); and the Annual Performance Report (APR) of the Council. Based on these reports the committee believes that the significant internal controls are in place and noted the value-add recommendation on the enhancement of the cyber security controls as identified by the External Auditor. • Continues with the monitoring of the existing and additional controls, the progress made by Management towards the improvement of their internal control environment. The Committee:

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