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Home / New Zealand

Pay rise for city's CEO 5 times what staff given

Bernard Orsman
By Bernard Orsman
Auckland Reporter·NZ Herald·
18 Nov, 2009 03:00 PM2 mins to read

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Manukau City Councillor Daniel Newman. Photo / Supplied

Manukau City Councillor Daniel Newman. Photo / Supplied

Manukau councillor Daniel Newman is disappointed about a $35,313 pay rise to chief executive Leigh Auton - even though he voted for an, albeit smaller, pay rise for himself.

"A 9.4 per cent pay increase to a chief executive of a local authority that will go out of existence in less than 12 months is not acceptable, especially when Manukau has been so badly affected by the current economic recession," Mr Newman said.

Mr Auton's salary was increased from $376,766 to $412,079 in August by a panel comprising Mayor Len Brown, Deputy Mayor Gary Troup and councillors Colleen Brown, Bob Wichman and Jami-Lee Ross.

The increase was nearly five times the 2 per cent salary cap the council approved for the other 100 staff in this year's pay round.

Mayor Brown has defended the pay rise, saying Mr Auton had done an outstanding job through the challenging times to the Super City.

It was based on a formula in Mr Auton's contract and the council was not going to act unilaterally against the chief executive, he said.

Yesterday, Mr Auton refused to say if he had considered forgoing the pay rise given the current economic recession.

Instead, Mr Brown answered the question on his behalf: "No one in any sector should be expected not to accept recognition for exceptional results".

Mr Newman said not all councillors had agreed with the approach to cap the remuneration pool for other staff at 2 per cent and to seek a maximum salary increase for councillors.

Council minutes show Mr Newman voted in favour of a pay rise, but wanted it capped at 2 per cent.

The majority of councillors voted to accept the maximum 2.76 per cent pay rise.

Mr Newman also sought to increase the salary cap for the remuneration pool from 2 per cent to 2.7 per cent, but it was voted down.

He said it was particularly odd that Mr Brown - who is a Super City mayoral candidate - had taken a maximum salary increase for himself, given Mr Auton a 9.4 per cent increase and opposed a decent salary increase for librarians, lifeguards and park rangers.

Who decided

* Manukau Mayor Len Brown.
* Deputy Mayor Gary Troup.
* Councillor Colleen Brown.
* Councillor Bob Wichman.
* Councillor Jami-Lee Ross.

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