Pay-off to be probed

BEN RAMAGE

The huge redundancy package paid to the former North Lanarkshire Health and Social Care chief officer is set to be probed by Audit Scotland.

Janice Hewitt was given the six- figure redundancy payout after just over four years in the job, which included a one-off £450,000 payment.

The deal was described as “eye-watering” by critics, and now First Minister Nicola Sturgeon has confirmed the country’s independent public money watchdog will be looking into the pay-off.

Speaking during ministers questions, Sturgeon said: “I understand that Audit Scotland have said they are aware of this payment and they will be looking at it as part of their audit work.

“I think this is only proper given the apparent scale of the settlement and I think it’s understandable questions are being raised by Richard Lyle [SNP member for Uddingston and Bellshill] and others.

“While the Scottish Government has no direct role in this matter, I’m very clear that there is a duty on all bodies to ensure all public money is spent appropriately and to be able to justify the decisions they take.

“While Audit Scotland will be looking at the matter, I’m sure the Accounts Commission will also be giving it consideration.”

Despite leaving halfway through the financial year, 54-year-old Hewitt was paid a full year’s salary (circa £131,000); she was also given compensation of £450,802 for “loss of office”.

The accounts also show that, with pension costs included, the true cost of the deal to council could be upwards of half a million pounds.

The incredible financial deal was agreed despite the local authority having to cut janitor jobs, charge more for council tax and even increase the cost of burials to plug its budget deficit.

The SNP and Labour have clashed over the huge payout, with the SNP group deputy leader Jordan Linden stressing he raised the issue surrounding the cash only to have his fears shot down.

He said: “I asked a series of questions including whether it was right that an employee should walk out the door with over half a million pounds; when my colleagues and I are being asked to find savings options for the budget process and when the administration party is making cuts to janitors, classroom assistants and grass-cutting staff.

“My questions were dismissed as being a matter solely for the council and the council leader responded it was standard practice in line with national guidelines.

“Clearly this cannot be the case as it’s received comments of enquiry from the Scottish Government and auditors.”

Labour blasted the SNP over the issue, claiming the party were simply “jumping on the bandwagon”.

Council leader Jim Logue said: “There has never been a bandwagon in which the SNP in North Lanarkshire have refused to hitch themselves.

“The SNP actually voted to make this person redundant at the policy and resources committee of September 21 last year.

“Collective amnesia appears to have set in amongst their group as to how such a situation has arisen.”

A North Lanarkshire Council spokeswoman said: “Senior level restructures have delivered £413,000 savings each year.

“The remuneration package was calculated in line with the council’s procedures.

“Employees being made redundant are entitled to a contractual redundancy payment and to access pension entitlement in accordance with regulations.

“In addition, the council’s rules state restructure costs must be paid back within three years.

“In this case, the payback period is two years.”