£170k-a-year tram boss hadn’t built anything before
Top job was not openly advertised, probe told
A MAN who had never built anything was put in charge of the disastrous Edinburgh tram project, an inquiry has been told.
The admission was made by the former chief executive of City of Edinburgh Council Tom Aitchison during an investigation into the £1billion initiative, which arrived in 2014 three years late and over budget.
Mr Aitchison appointed Willie Gallagher to two senior roles in the council-owned firm operating the scheme, Transport Initiatives Edinburgh (TIE).
Mr Aitchison admitted TIE failed to advertise his position openly to attract better qualified candidates.
Shown Mr Gallagher’s CV, Mr Aitchison was asked by inquiry counsel Euan Mackenzie, QC, to point to his prior work on building projects. Mr Mackenzie asked: ‘What had Mr Gallagher built?’
Mr Aitchison, who is now retired, replied: ‘He hadn’t built trams, he hadn’t built light railways but he did appear to have a quite wideranging career in the power industry that gave him a degree of qualification for the post.’
Mr Mackenzie said: ‘But the question is, what had he built?’
Mr Aitchison replied: ‘He hadn’t specifically built anything.’
Mr Mackenzie said: ‘So Mr Gallagher appears to have had no experience of delivering a major infrastructure project, far less a tram and light rail project?’ Mr Aitchison said: ‘Yes.’ Mr Mackenzie asked: ‘So in what way did you consider Mr Gallagher did have the experience to deliver the tram project?’
Mr Aitchison said: ‘The council were looking for leadership skills. Underneath Mr Gallagher was going to be a programme director and project director who had some of the skills you refer to.
‘He was partly chosen as an advocate for the project. He was chosen by elected members for the position of chair of TIE.’
Mr Gallagher combined this role of TIE chairman with the position of chief executive, working with the title of ‘executive chairman’ between 2006 and 2008.
Mr Aitchison admitted having one man in two key roles was a violation of good practice, which forbids one person holding too much power and therefore avoiding scrutiny. In a 2006 document read aloud, he said he only agreed to the dual role ‘exceptionally’ and ‘for an interim period’ while they recruited a chief executive.
He wrote: ‘In a company of the size and importance of TIE, there should be a clear separation between the roles and responsibilities of the chairman and chief executive.’
Mr Aitchison said yesterday the separation was needed to give the chairman ‘scrutiny and authority’ over the chief executive.
He added that they failed to con- sider other candidates or have an open competition for the combined executive chairman role before it was awarded to Mr Gallagher on an interim basis.
They then failed again to advertise or hold interviews when the £170,000-a-year post was permanently awarded to him in 2007.
Speaking to Mr Aitchison, Mr Mackenzie said: ‘I suggest to you that it was inappropriate for Mr Gallagher to have acted as both chairman and chief executive of TIE between 2006 and 2008.
‘It was inappropriate for Mr Gallagher to have been appointed to that position without advertisement or open competition.
‘You should not have allowed either of these things to happen.’
Comment – Page 18
‘Looking for leadership skills’