February 5: The Seriously Disadvantaged

Peter Gilroy, Kent County Council chief executiveDOES out-going KCC chief executive Peter Gilroy deserve the £200,000 windfall payment he stands to collect on the day that he leaves his job in a couple of months?

There is no doubt that the council’s Conservative administration believes he is – or at least he was back in 2006 – when a clause was inserted into his contract entitling him to the extra sum.

And so, too, did opposition Labour and Liberal Democrat members of KCC’s personnel committee who, it seems, also agreed to the proposal.

But however much KCC might seek to defend the payment – and back in 2006, the backlash over public sector pay packages was only beginning to be stirred – I suspect that in the court of public opinion today, a rather different and more damning verdict will be reached.

How KCC chief stands to receive windfall - read our story here>>>

Peter Gilroy has been a successful chief executive. He has presided over a period when KCC has been consistently been rated as one of the country’s best-performing authorities (There have blips, of course - Icelandic investments spring to mind).

That was his job and he has been paid handsomely – some have argued too handsomely - for doing it.

But I really doubt whether there are many people who will have much sympathy for the contention made by KCC leader Paul Carter that without an agreement to pay him the additional sum of £200,000 he risked being "signifantly disadvantaged."

KCC defends pay-off for outstanding chief executive>>>

Social workers, low paid care assistants, clerical staff and others facing a pay freeze, let alone hard-pressed council taxpayers about to get their latest bills, will no doubt have some difficulty empathising with this plight.

Some may also wonder why, if this was going to be the price to retain the chief executive’s services for a further year, KCC did not simply agree to part company and begin the search for a replacement in time for 2009.

Interestingly, the report leaked to us made no mention of the apparent disadvantage that might ensue if the terms of the new contract were not agreed, focusing only on the necessity of doing so "to ensure continuity of officer leadership during and immediately after the county council elections."

It is worth pointing out that following Mr Gilroy’s announcement that he was to leave, the Conservative leadership did, for a while, contemplate whether to do without a chief executive at all.

Had they done so, they would have had some even more challenging questions to answer than they have this week.

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WHEN KCC agreed to substantial six-figure pay-offs when two former senior directors left in 2009, the authority emphasised how it had referred the packages to the Audit Commission, the public spending watchdog, to ensure they represented value for money.

Was the same thing done when the county council agreed to the terms of Mr Gilroy’s new contract extension?

Thursday, February 04 2010

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Visitor Comments

  • KCC to ensure that Gilroy pays tax on pay-off?

    2/4/2010 4:07:53 PM
    by Dave, tonbridge

    Since Mr Gilroy is leaving in May, at least Mr Gilroy will have to pay £100,000 tax on his windfall since he is not being made redundant. Or will cllr Carter have hatched a scheme wherby Mr Gilmore will escape paying tax. I think we should be told.

  • Chief executive's pay-off

    2/20/2010 11:30:54 AM
    by John Martin

    Has it been forgotten that on Mr Gilroy's watch Kent County Council found itself exposed, on the collapse of the Icelandic banks, to the tune of £48.9m. This places it at the head of the league table of the 127 local authorities that made similar investments. What has happened to the concept of accountability?

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