By VERNON SMALL deputy political editor
Work and Income NZ chief executive Christine Rankin will not be reappointed when her three-year term expires in July, reliable sources have told the Weekend Herald.
She had sought legal advice to challenge the decision, but the cabinet was determined not to reappoint her at the end of her fixed-term contract, sources close to the department said.
State Services Commissioner Michael Wintringham told Ms Rankin last year that she would not get a second term in the $250,000-a-year job, but it is understood she has since threatened legal action.
The Government has lowered a cone of silence over her future, refusing even to comment on what stage the process is at.
State Services Minister Trevor Mallard and Social Services Minister Steve Maharey would neither confirm nor deny that Mr Wintringham had consulted them - a routine part of the appointment process. Both ministers referred all inquiries to Mr Wintringham.
It is likely they are putting as much distance as possible between themselves and a decision on Ms Rankin's future to avoid allegations of improper political interference or to give her ammunition for a court case.
While in Opposition, Coalition ministers were critical of Ms Rankin after revelations that Winz spent $165,000 on chartered planes to fly staff to a conference at the Wairakei Resort Hotel near Taupo.
Ms Rankin had a bonus payment docked, but survived a series of probes into the department's management and operations.
In a newspaper interview in February, she said she was keen to have another term in the job.
She had toned down her flamboyant style and introduced a new austerity regime in line with the new Government's wishes.
But there is a widespread belief that ministers would still veto her if Mr Wintringham ignored the political signals and recommended that she stay on.
Ms Rankin this week turned down a request for an interview about her future, asking instead for a list of written questions.
They were sent to her on Thursday, but she has not responded.
Reappointments of public service chiefs are normally made between four and five months before their contracts expire.
Mr Wintringham said he would not comment on individual cases but outlined the process of reappointing state sector chief executives: there was no presumption of reappointment, but if they wanted to stay he would discuss that with them.
He would consult the Minister of State Services and the other responsible minister - in Ms Rankin's case Mr Maharey - on their view of the direction and priorities for the department and their expectations of the skills the chief executive would need to bring to the job.
He would then either recommend a reappointment or declare a vacancy and advertise the job.
Once he had made a decision the cabinet could accept or decline his recommendation.
A spokesman said the State Services Commission had reappointed five chief executives in the year to June 30.
It had never faced a legal challenge, either under the Employment Contracts Act or the Employment Relations Act, from a chief executive opposing a decision not to reappoint.
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