30 Sep 2010

Manukau council says no redundancy payout for boss

7:31 pm on 30 September 2010

The Manukau City Council says it will not be paying redundancy to its chief executive when the local body is merged with seven others in the region.

Leigh Auton will be paid out five months' salary, which is what will remain of his five-year contract after a regionwide council is formed in November.

Local Government Minister Rodney Hide has asked the Auditor-General to look at arrangements for all eight departing chief executives after allegations that some could receive significant payouts.

Auckland City chief executive David Rankin's contract expired in June but has been extended for six months on the same terms, along with an additional $50,000 payment.

North Shore City Council is not commenting, while Waitakere City will say only that its chief executive had a contract running until early 2013.

Rodney District Council will pay its departing chief executive a redundancy payment of nine months' salary, or about $225,000.