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The code of conduct

The Luxembourg Red Cross regularly calls on the generosity of Luxembourg’s residents in order to support its social, sanitary, and humanitarian missions.

Conscious of its duty to inform and striving for a process where people can make donations with confidence, the Luxembourg Red Cross, alongside four other Luxembourgish non-profit organisations active in the social, sanitary, and humanitarian domain, have written and adhered to the code of conduct for organisations calling on the generosity of public in 2007.

 

The code of conduct for organisations calling on the generosity of the public

Some non-profit organisations, foundations, and other public institutions, regularly call on the generosity of Luxembourg’s residents in order to support their social, sanitary and humanitarian missions.

Conscious of their duty to inform, and striving for a process where people can make donations with confidence, the Luxembourg Red Cross, the Alzheimer foundation, the Luxembourg Caritas Foundation, the Kräizbierg Foundation, and the Luxembourg Cancer Foundation, five Luxembourgish non-profit organisations active in the humanitarian and social domains, hereinafter referred to as “member organisations,” have written and agreed on this code of conduct for organisations which call on the public’s generosity (hereafter referred to as “Code”) on February 13, 2007.

During the creation of the Code, the member organisations wished to respond to the donor’s legitimate questions, in particular :

  • According to which criteria can I judge whether my donation is used in the best way possible, and in accordance to the purpose of the request ?
  • How do I receive information on the actions taken ?
  • How are these actions managed and controlled ?
  • How does the organisation work ?

Of by the signature of the present Code, the member organisations thus formalise commitments and practices, often already existing. They affirm their commitment to the notion of transparency and to their moral obligation to be accountable to the donors.

On November 20th 2008, four other non-profit associations adhered to the Code of conduct for organisations calling on the public’s generosity: the Foundation Hëllef fir d’Natur, the Jean Hamilius Jr. Foundation, Omega 90 asbl, and SOS Faim Luxembourg.

 

The six commitments

In order to enable “donating with confidence”, the member organisations need to meet the following six engagements :

 

1. Donor rights

The donors have the right to :

  • receive complete information concerning the requested donation ;
  • an official certificate of their donation within a reasonable period of time ;
  • compliance with allocation of funds ;
  • a swift and honest reply to the information they requested ;
  • a swift and appropriate reply in the case of a complaint.

 

2. Selfless management

The member organisations commit themselves to :

  • not remunerate the administrative functions ;
  • not directly or indirectly distribute profit ;
  • not attribute assets to the supporters of the member organisation or their entitled persons ;
  • not grant employees of the member organisations the right to vote nor the right to be elected to the qualified statutory body of the member organisation in question.

 

3. Rigorous management

The member organisations commit themselves to :

  • establish procedures and regulations allowing them to assure the relevance and the effectiveness of their management ;
  • select suppliers under unbiased and transparent conditions ;
  • establish a type of management for complaints and to inform the governing body at least once a year about the number, the type, and the handling of the donor complaints.

 

4. Correct Communication actions

The member organisations commit themselves to :

  • give the public and the donors reliable, loyal, precise and unbiased information ;
  • respect the dignity of their beneficiaries and not unfairly exploit the image of human distress, nor encourage any type of discrimination or incite with violence ;
  • provide the donors with an activity report of the past year, which contains in particular the sum of the collected funds donated by the public during the fundraising actions.

 

5. Selfless fundraising actions

The member organisations commit themselves to :

  • only implement methods of fundraising which are respectful to the donors ;
  • determine by written convention each collection organised by a third party and to inform the public of it ;
  • not grant the collectors any direct or indirect advantage proportional to the funds raised ;
  • only obtain the required financial means uprightly and with reasonable expenses ;
  • not sell, hire, share, exchange the donor list.

 

6. Financial transparency towards the donors

The member organisations commit themselves to :

  • maintain accurate accounts, establish annual accounts statements which should include a balance sheet, the details of any profit and loss made, including the annex; as well as establish a provisional budget for the subsequent accounting year at the end of an accounting period ;
  • have their accounts controlled by a company auditor designated by the statuary body in question ;
  • keep annual accounts, administrative reporting, and auditor’s report available to donors at their headquarters.

 

Donate with Confidence

As every donor has the right to know how his money is spent and whether it is well managed, and because each foundation or association has obligations towards their donors, the non-profit organisation “Don en Confiance Luxembourg” was founded on January 18, 2011.

The goal of the non-profit organisation is to encourage strict guidelines in order to allow making a donation in trust. This is enabled by the approval the association gives to its members.

Each public organization which calls for the generosity of the public in the social, humanitarian or environmental sector can become a member of this association.

 

Each organisation wanting to become a member needs to abide by a code of conduct which concerns the following points :

1. donor rights ;

2. selfless management ;

3. rigorous management ;

4. correct communication actions ;

5. selfless fundraising actions ;

6. financial transparency towards the donors.

The members of this new association need to observe this code and accept to undergo monitoring..

 

 

To download the press release (in French), click here Communique Don en Confiance.

For further information, visit www.donenconfiance.lu

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