Agenda item

Report by Councillor Rafiq, Cabinet Member for HR & Corporate Affairs is attached.

Sam McVaigh, Director of People and Inclusion presented the proposed amendments to the Officer Employment Procedure Rules and Disciplinary Procedure.

Sam McVaigh reported that the national Chief Executive’s handbook (which constitutes an element of the conditions of service for Local Authority Chief Executives) had been updated in relation to the independent investigation process and disciplinary procedures for Chief Executives. The proposed changes make the process more independent, and, in keeping with Bury’s current approach, the proposal is that the changes are the same for the Head of Paid Service, the Monitoring Officer and the Chief Finance Officer. Sam McVaigh advised that the proposed changes to the disciplinary procedure for the Head of Paid Service, the Monitoring Officer and the Chief Finance Officer will require an amendment to the Constitution and therefore ultimately be subject to Council approval. 

In response to a member’s question around when these disciplinary procedures were last used, Caroline Schofield reported that the procedure was used in relation to 2 Statutory Officers some years ago.

Sam McVaigh reported that the report also sets out a new proposed approval mechanism for special severance payments, in accordance with updated statutory guidance. Currently, any payments made around the termination of employment which is in excess of £100K, requires approval by full Council. The new national guidance sets out clearly that the Chief Executive, the Monitoring Officer, the Section 151 Officer and the Leader of the Council are responsible for agreeing payments between the value of £20K and £100K. The guidance is clear that any special severance payments should only be agreed with clear legal advice, where it is a payment that would be in the Local Authority’s best interest. Sam McVaigh advised that the proposed changes will amend the Constitution.

Member’s raised concerns regarding the scrutiny around special severance payments between the value of £20K- £100K. In response, Sam McVaigh reported that details are published on the government website on a yearly basis. The national guidance around special severance payments sets out who must agree the payments and members were advised that they can consider further people to agree these payments.  Sam McVaigh highlighted that these agreements need to be kept as confidential and as non-political as possible and that they are not a common occurrence.

In relation to a member’s question around the national guidance, Sam McVaigh advised that by including the special severance payments within the Council Constitution, means that it is a rule that must be followed and minimises risk of the guidance not being followed. Caroline Schofield advised that the guidance is statutory.

Members discussed having additional measures in place to strengthen the overall governance and transparency of special severance payments and agreed that payments from £20k to £100K will require agreement from the Monitoring Officer, the Section 151 Officer, the Chief Executive and the Leader in consultation with the Chair of the Overview and Scrutiny Committee. The Chair of the Overview and Scrutiny Committee will have no power to veto any decisions made.

The Employment Panel agreed:

1.           To amend the Officer Employment Procedure Rules to state that any and all payments of £20K and over in value up to £100K requires approval from the Monitoring Officer, Section 151 Officer, Chief Executive and Leader, in Consultation with the Chair of the Overview and Scrutiny Committee.

2.           Subject to the above amendment, commend the revised Officer Employment Procedure Rules to Council for approval.