How ESG can help NFPs understand impact
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By Greg Thom and Matthew Schulz, journalists, Institute of Community Directors Australia
The thumping Labor parliamentary majority following the federal election landslide has opened new opportunities for not-for-profits to engage with MPs and achieve reform, according to a seasoned sector political watcher.
Government engagement and campaigning guru Neil Pharaoh, founder of for purpose focused consultancy Tanck, said the extent of the increase in the Labor government’s numbers had taken many candidates and MPs by surprise.
Not-for-profits who moved quickly however, could reap the rewards.
“An improved majority means new members, new opportunities and lots of reflections for engagement,” said Pharaoh.

“The takeaway from all of this for not-for-profits and civil society is while there is an increased majority the government remains the same, but there will be new challenges and new opportunities.”
Pharoah made the comments during an Institute of Community Directors webinar advising NFPs how they should prepare for a post-election Australia and navigate the Labor landslide.
A recent pre-election survey of not-for-profit leaders revealed that 37 per cent believed a minority government would have delivered more benefits to the sector.
Responding to the survey in an interview with the Community Advocate on the eve of the election, Charities Minister Andrew Leigh argued that a majority Labor government was in the sector’s best interests.
“If you're keen on reform, you want majority governments because majority governments can get things done more expeditiously than minority governments,” he said.
“We need to get a whole lot of reforms through in order to help the charity and not for profit sector. We've got the reports (such as the Not-for-profit Sector Development Blueprint) done, now's the time for action and that legislative action will happen more speedily under a majority government”.
“Content is key. Localised stories, making sure you have the information about what you’re doing in their electorate and being front and centre in that discussion with incoming Labor MPs.”
Tanck associate director Rory Parker agreed that the incoming Labor government was more likely to push for reform.
“The beginning of their first term focused on the Voice referendum. Following its failure, they spent a lot of time regrouping and rebuilding momentum and tried to be a small target for a long period of time,” he said.
“This term they don’t have that same challenge.”
Instead, he said NFPs have a golden opportunity to influence a confident government full of fresh faces, a sizeable mandate and a determination to implement its policy agenda.
“A bigger (parliamentary) majority means a greater opportunity to take risks,” said Parker.
“So, there’s a likelihood for more ambition and (for NFPs) to push them in certain directions.”

Parker said NFPs that put in the time and effort prior to the election to establish relationships with candidates would be rewarded as many new MPs and ministers taking on new portfolio’s look to trusted sector stakeholders for guidance and advice.
They will also be looking for ways that they can engage with their local community, particularly new MPs in seats that have swung to Labor.
“If you are in a not-for-profit in a seat that has gone from the Greens or the Liberals across to Labor, those new MPs will be trying as much as they can to endear themselves to their local community,” said Parker.
He said content is key when it comes to building a mutually beneficial relationship with MP and their staff.
“Localised stories, making sure you have the information about what you’re doing in their electorate and being front and centre in that discussion with incoming Labor MPs.”
Pharaoh said the Liberal Party by contrast would spend the next few months licking its wounds following its worst electoral defeat in decades, reviewing the outcome of the election and trying to rebuild their presence at a local level.
“Reflections on this for not-for-profits and civil society is the Liberal party will spend the next few months trying to redevelop and focusing on whether they are going to try and drive policy or focus on recruitment,” he said.
“It’s really encouraging that some of the (Coalition) people who have lent out more into the social purpose community space prior to the election, are actively engaging already around these opportunities, despite the shadow front bench not being announced yet.
“But (it was) quite a devastating blow for the Liberal Party across the board.”
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