A gender pay victory or financial madness - debate over council chief executive salary

Friday, 23 August 2019

Dunedin mayor Dave Cull and council chief executive Sue Bidrose at a press conference in 2018.

The Dunedin City Council voted behind closed doors to increase its chief executive's salary by nearly $60,000, putting it closer in line with her male counterparts.

The move increased Dr Sue Bidrose's annual salary to $444,000 – a 14.7 per cent jump.

The Dunedin City Council is under fire for giving its chief executive a large pay rise.

The increase, which was made public this week, was slammed by the Taxpayers' Union as a 'stuff you' to local ratepayers.

Mayor Dave Cull said in a statement that the remuneration reflected Bidrose's outstanding performance.

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Cull, who is standing down at this year's election, said Bidrose had been earning below market value and her pay rise sent a strong message about addressing the gender pay gap.

'In my view, it is simply not right that a female chief executive be paid less than male chief executives working in comparable or smaller roles.'

Cull said Bidrose did not want to accept the 14.7 per cent increase, but it was warranted, particularly as when she was appointed to the role in November 2013, her remuneration was only 85 per cent of her predecessor's, Paul Orders.

Cull said the salary was below the assessed market value for the position.

Until this year, Bidrose had declined or requested her pay rise be the same percentage as that given to the rest of council staff – generally about 2 per cent.

Jordan Williams, of the Taxpayers' Union, questioned why the council granted a pay rise Bidrose did not want.

'This is not virtuous; it's financial madness.'

Councillor Lee Vandervis, who is running for mayor, was at the meeting about Bidrose's pay rise and asked that his vote – against the increase – be recorded.

Vandervis said he raised Bidrose's opposition to the increase at the meeting as 'it showed really good leadership on her part'.

'I didn't think it was appropriate for us to throw an extra $60,000 for the already high pay of ratepayer money, when the increase wasn't needed or actually welcomed.'

He felt the council was trying to compete with 'big boy' organisations.

Bidrose said her absolute preference was to continue to receive salary increases in line with her staff, but she understood the council's decision.

'I'm fortunate to have a job that allows me to contribute to a city which I utterly love,' she said.

'The future looks incredibly bright for Dunedin and, along with my wonderful team of staff, I'm looking forward to continuing to make this an even greater small city.'

The salary increase, which includes Kiwisaver contributions, was effective from November 23, 2018 – the commencement of Bidrose's two-year contract.