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Six-figure salaries for almost 400 London town hall workers
Katharine Barney, Evening Standard13 Jan 2009
ALMOST 400 council workers in London earned more than £100,000 last year, an Evening Standard investigation has found.
The number of staff receiving six-figure sums from the taxpayer soared from 279 to 389 in the year to last April - a 40 per cent leap on the year before.
Newham, one of the capital's poorest boroughs, paid 25 executives more than £100,000. Wandsworth council paid 24 employees six-figure salaries, and seven other local authorities paid £100,000 to at least 15 officials.
Every chief executive of the 32 boroughs received more than £100,000, while 11 paid their head official more than £200,000. It comes amid warnings of cuts to council services and large-scale public sector job losses.
Campaigners said the figures were "astounding" and demanded council bosses take a pay cut in sympathy with the growing number of people being made redundant.
But local authority chiefs insisted they need to pay salaries of that level to get quality staff.
A spokeswoman for Newham council said: "The 2012 Games, much of which will take place in our borough, and other major regeneration schemes provide great opportunities. We need top quality officers who can turn that potential into a reality. The council has huge responsibilities Jobs with similar sized tasks in the private sector would be paid much more."
However, Matthew Elliott of the TaxPayers' Alliance said: "I think people understand that up to a point you have to offer large sums to attract the right candidate, but not in this number.
"In a time of recession Londoners are struggling to pay their tax bills and heating costs and will be disappointed to see where their money is going. With people in the City losing their jobs I don't think you have to offer this kind of salary any more."
The figures were obtained using the Freedom of Information Act. They include severance pay and redundancy packages.
Hackney had the highest bill for a single member of staff, paying between £310,000 and £320,000 to former chief executive Penny Thompson.
She is thought to have received a basic salary of £164,839 but council accounts show she received more than £310,000 after a severance package and expenses.
Gerald Jones at Wandsworth, who earned up to £250,000.
Ita O'Donovan, the chief executive of Haringey, which was heavily criticised after the death of Baby P in August 2007, received up to £180,000.
Rob Whiteman of Barking and Dagenham, earned £165,000. Mr Whiteman's package is despite £4.5million cuts at Barking and Dagenham, which is going to scrap its regeneration department.
A spokesman for the Local Government Association said: "High-level managers are responsible for multi-million pound budgets in highly complex organisations, and local government is determined to attract the best people.
"Research shows that chief executives in local government are the lowest paid when compared to private and public organisations with comparable turnover and staffing levels."
THE FAT CATS
Penny Thompson, Former chief executive, Hackney, £310,000-£320,000 (includes £160,000 severance package)
The highest bill in London for a single member of staff was paid by Hackney council. Ms Thompson is thought to have received the lump sum when she resigned after two and a half years in the post.
She was credited with stabilising the council, and services under her control were praised for taking fast action when officers found a girl who was being tortured and accused of "witchcraft". Hackney confirmed her basic salary was £160,000 to £169,000 but refused to comment about her pay-off, despite confirmation by a senior source. She left the job last year.
An official spokesman for Hackney said: "The council is not able to disclose details of payments to individuals."
Gerald Jones, chief executive, Wandsworth, £240,000-£250,000 (includes bonuses, basic salary is up to £220,000)
Credited with delivering the country's lowest local tax bills for 20 years. A council spokesman said: "Councils like Wandsworth are a £700 million-a-year business. Chief executives have to manage that business and accept responsibility for a host of performance and service targets. It is important that this is recognised in remuneration packages."
Peter Rogers, chief executive of Westminster until April last year, £230,000-£240,000 (includes bonuses of £70,000-£100,000)
Now the London Development Agency's chief executive. Westminster has the second lowest council tax in the country.
He helped the borough deliver £20 million in efficiency savings and it met the Government's efficiency target one year early.
Derek Myers, chief executive, Kensington and Chelsea, £220,000-£230,000
In the post since 2000. Under him the council has regularly received four stars and ratings of "excellent". He chairs the management board of the Society of Local Authority Chief Executives and Senior Managers (Solace). Until last year he chaired the London Safeguarding Children Board, which supports child protection agencies.
Identity unknown, Tower Hamlets, £230,000-£240,000, Redundancy and severance entitlement
No information available.
Rob Whiteman, chief executive, Barking and Dagenham, £165,000
Chief executive since January 2005, Mr Whiteman has improved the borough's rating from two to three stars and a fourth is expected in March after recent assessments. Last year the authority won the award for most improved council in the Local Government Awards.
■Additional reporting by Anthony Kimber.
Reader views (13)
The residents of Wandsworth and Westminster may accept the salaries of their CEOs as they at least enjoy the lowest council tax bills in the country.High salaries can not be justified in Barking and Dagenham where the council tax bills are still very high and the regeneration that was promised now scrapped.I suggest all useless members of the Council staff be scrapped along with the Regeneration department. The remainng staff must take a pay cut to reflect the serious economic crisis faced by many.
- Edith, London, 02/02/2009 17:04
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Disgusting...
There needs to be job cuts and serious pay cuts all round for these greedy, useless bureaucrats.
They should all be sacked and made to re-apply for their jobs so that better qualified people can be recruited.
Start with City Hall where there has been no change since the Mayor was elected on such empty promises about cost cutting.
- Steve, London, 14/01/2009 09:53
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Its almost as if they want to incite an riot. This has got to stop, or I will be one of many stopping paying my Council Tax.
- Roger, Surrey, 13/01/2009 14:55
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I have no problem with the theory that "...they need to pay salaries of that level to get quality staff". The real problem is that we pay these salaries to such poor quality candidates. Having worked in the public sector for several years, it's obvious to most people that the senior officers in most councils would NEVER survive in the private sector. To add insult to injury, they then get to leave on gold-plated pension, most at the age of 55 with no reduction in their pension under the "85 rule". Someone, sometime is going to have the courage to say enough is enough - step up David and give us a commitment to end this nonsense when you take over from Gordon.
- Malcolm, l, 13/01/2009 14:33
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So the gravy train rolls on regardless of the change of Mayor.
- Peter Fordham, Pego, Spain, 13/01/2009 13:58
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I am speechless with rage!
- Deborah, London, 13/01/2009 13:58
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I have a suggestion, next time there is a vacancy for a chief executive for a council in London, they advertise the job with a salary of £110,000 and see how many applicants they get.
- K Mccarthy, Teddington, England, 13/01/2009 13:37
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Perhaps PI Staker would be good enough to let us all know what his job is (apart from full-time commentator on this site) and how much he gets paid to do it (when he's not posting here).
- Austen, London, 13/01/2009 13:09
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They are like MPs - they get a lot and earn a little.
- James, London UK, 13/01/2009 13:05
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They deserve every penny - and more.
- A Crawler, London, 13/01/2009 13:01
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Obscene. The roads in Barking are so full of potholes it's like driving off road.
No wonder there's not enough cash to invest with these salaries being paid.
- Kyle, London, 13/01/2009 12:55
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I've asked this before but never received an answer. How can running a local council be worth more than running the whole country ? Can somebody please tell me. Just who decides that these worthless pen pushers get these ridiculous salaries ? Shouldn't the people who pay them have some say in the mater ? I'm just glad I got the hell out so now NONE of my wages go to these clowns
- Duncan Walker, Lucky to live in Thailand, 13/01/2009 11:38
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"But local authority chiefs insisted they need to pay salaries of that level to get quality staff"
Quality staff & Council staff in the same sentence, OH THE IRONY OF IT ALL
- P I Staker, London, 13/01/2009 10:19
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