Six figure exit package for outgoing lines company boss Grady Cameron 'unfortunate'
Tuesday, 26 September 2017
Dunedin City councillors have questioned a golden handshake to an under-fire Otago lines company's outgoing boss.
They probed Aurora Energy representatives over the 'elephant the room' – the six-figure exit package paid to Grady Cameron, chief executive of the council-owned company.
His exit package from the company – which came under fire for its handling of power pole replacements – took his annual remuneration to $980,000.
Cr Aaron Hawkins questioned senior representatives of Aurora Energy and its holding company, Dunedin City Holdings Ltd, during a council meeting on Tuesday.
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Aurora Energy chairman Steve Thompson would not disclose a breakdown of the package, saying it was 'confidential, full-stop'.
Nor would he disclose how much a new chief executive, after Cameron steps down at the end of the year, would be paid due to the company currently recruiting for the position.
Cr David Benson-Pope asked if there were any performance components in Cameron's payment, but Thompson would not disclose that information.
The exit package was 'an unfortunate situation' and Benson-Pope hoped the council would not discover a similar surprise next year.
Thompson said when comparing a person's salary it was important to compare 'apples with apples' and that a certain salary was required to attract the right applicants.
'We are dealing with the marketplace,' he told councillors.
Cr Jim O'Malley raised the possibility of the lines company's Dunedin business returning in-house, but Thompson said a council-controlled division would struggle to get the right personnel.
Cr Mike Lord noted breaking any contractual obligation could come at a higher cost.
Mayor Dave Cull said he was uncomfortable with the disparity in salaries in the community.
However, the council may feel just as uncomfortable compromising salary for expertise, which could lead to an asset run-down.