RNZ may sack editor at centre of long row

By JAMES GARDINER

Radio New Zealand is considering trying to sack one of its top executives after paying her more than $160,000 over the past 18 months to stay away from work.

In the Employment Court in Wellington yesterday the state-owned broadcaster conceded for the first time that there were no medical grounds for its continued refusal to allow news boss Lynne Snowdon to return to her job.

But as Judge Coral Shaw was finalising terms under which the parties would negotiate Snowdon's "reintegration" into the workplace, RNZ chief executive Peter Cavanagh intervened and counsel Michael Quigg said the question of an "irretrievable breakdown" in the employment relationship remained under consideration by the company.

That sparked a bitter war of words, with Snowdon's counsel, Dr Rob Moodie, saying Mr Quigg had told him something different during an adjournment.

Mr Quigg disputed that and Judge Shaw, who earlier said it was "very nice after the long history of this matter to find counsel are agreed on something", called another adjournment and summoned the lawyers into chambers.

"We're certainly not going to have an unseemly bickering in front of the world," she said.

Dr Moodie, the veteran employment lawyer and former Police Association secretary, has taken on Snowdon's case after winning a $1 million-plus court award for reinstated former police commander Alec Waugh.

Although on full pay Snowdon, 49, has been battling to get back to her $110,000 a year job since last year after she fell out with former RNZ chief executive Sharon Crosbie, then was accused of financial mismanagement, had a breakdown and took sick leave.

Snowdon then blew the whistle on alleged financial mismanagement and incorrect accounting by senior managers. Her allegations were rejected by the RNZ board and have since been referred to the Office of the Ombudsmen and the Auditor-General's office.

In June last year the Employment Relations Authority ordered RNZ to take Snowdon back and awarded her $3000 for unjustifiable suspension, but RNZ appealed and a month later Judge Shaw suspended the case and ordered the parties back to mediation to find an acceptable way to assess Snowdon's fitness for work.

A year on, after consultation between doctors, they were able to tell Judge Shaw they agreed that the stresses that caused Snowdon's depressive illness related to differences between her and Crosbie, the financial allegations against her and what Mr Quigg described as her "perception" of financial mismanagement by RNZ.

Dr Moodie took exception to that, saying it was not accepted that Snowdon's view was "in any way imagined or percepted".

But the judge ruled the evidence Dr Moodie sought to produce to demonstrate that, from forensic accountant Barry Jordan, was not necessary for yesterday's hearing and could instead be produced during two personal grievances Snowdon has lodged against RNZ over her treatment.

Snowdon's reintegration plan was to be devised by her doctors and one acting for the company with the parties having three weeks to agree upon it and advise the court.

Judge Shaw said she accepted that for Snowdon the issue of who was at fault was a serious one.

Act leader Rodney Hide, who last December challenged RNZ in a parliamentary select committee about allegations of financial mismanagement, last night described the company's handling of the situation as a disgrace.

In December RNZ chairman Brian Corban told the commerce select committee $250,000 had been budgeted to cover potential liabilities in outstanding employment disputes that financial year compared with $80,000 spent the year before.