Outgoing CEO lines up one last restructure of council staff

Tuesday, 19 September 2023

Just three months before he leaves the role, the chief executive of Timaru’s council has announced a restructure. (File photo)

With just three months left on his contract, Timaru District Council boss Bede Carran has announced one last restructure.

“We notified affected staff members yesterday (Monday) of the proposal for change and notified the rest of our staff of the situation this morning (Tuesday),” Carran said.

Carran would not be drawn on which departments were affected or how many roles were likely to be impacted by the restructure, but his response to questions from The Timaru Herald singled out customer service, financial responsibility and the importance of engaging the district’s diverse communities.

“This is a very sensitive time for people involved, and it would not be appropriate for us to make any further comments about the proposal at this time.”

He said they were now “undertaking consultation and seeking feedback”.

Asked why he was undertaking a restructure now, and whether he thought it was appropriate given he had just three months left in the role, Carran said: “These are challenging times for everyone, and as a council we are under no illusion that we have to ensure every cent we spend provides value to ratepayers.

“However, I also believe that providing high quality customer service, giving everyone the opportunity to participate and properly engaging our diverse communities is the foundation of strong local government.

The email from Timaru District Council chief executive Bede Carran that confirms the latest restructure to council staff.

“We’ve made huge strides in embedding a culture of improvement in these key areas, and I feel these changes will help ensure we can continue to improve our community focus in a financially responsible way.

In an email to staff on Tuesday, Carran said the purpose of the proposal presented on Monday was to “outline cost-saving initiatives that would streamline and align services across the council”.

“This is intended to enable council to save money, while still ensuring continued delivery to the community.”

The proposal will be the fifth restructure of staff undertaken by Timaru District Council chief executive Bede Carran, left, speaking to mayor Nigel Bowen.

Carran said the proposal recommended the disestablishment of some roles and the creation of more “focussed and streamlined” roles.

It would be the fifth restructure of council staff undertaken by Carran during his seven years in the role.

On Monday, Carran confirmed two of his senior leadership team had resigned from their positions.

Bede Carran, front left, and then-councillor Richard Lyon outside the Timaru District Council offices during a moment of silence to remember those killed in the Christchurch Mosque attacks in March 2019.

Trudie Hurst, who was appointed commercial and strategy group manager iin April, resigned after just five months in the role, and recreation and cultural services group manager Nigel Ingram would leave in November a year after he was appointed.

The proposal was the latest in a string of restructures carried out by Carran since he started in the role in December 2016.

Timaru District Council has released this table showing the top 10 consultants it used over the five years to 2022.

In February 2019, it was confirmed two people had lost their jobs following a restructure announced in August 2018.

In July 2021, it was revealed council staff were “stressed” by the third restructure undertaken during Carran’s tenure. At the time, Public Service Association organiser Ian Gordon said “we have seen a trend of regular restructuring at Timaru District Council which takes a toll on members through stress and uncertainty in the workplace”.

There had been an increase in union membership at the council, Gordon said at the time.

Another restructure followed in 2021, the fourth reshuffle in five years, which brought in significant changes to the council’s senior management team with several senior managers leaving and multiple new roles created.

Timaru mayor Nigel Bowen called on councillors to support an urgent review of council spending in March. (File photo)

Of the senior managers appointed to roles then, just three remained. Erik Barnes who was appointed group manager recreation and cultural services in an acting capacity was now acting group manager engagement and culture.

Barnes was the managing director of Auxilium Ltd, a business advisory consultancy which appeared on the council’s list of top 10 consultants used over the five years to 2022.

In June, the council confirmed Carran would not seek reappointment when his contract ended in December.

Two years earlier, in June 2021, councillors voted to extend Carran’s contract for a further two years, effective from his December anniversary, taking him through until the end of 2023.

However, that decision was made amid some controversy, with not all councillors voting in favour of the extension. Eventually, councillors voted to reappoint Carran, six votes to three.

Council finances under spotlight

In March, mayor Nigel Bowen asked councillors to support him in working with Carran to conduct an urgent review of his council’s spending on contractors and consultants amid “massive escalations”.

In August 2022, The Timaru Herald asked the council to release information on its use of consultants over the five years to 2022. According to figures released at the time, the total spend was just below $34m, steadily climbing each year from $3.43m in 2018 to $10.37m in 2021, before dropping slightly to $10.2m in 2022.

On August 25, the council was asked to provide updated information on its use of consultants over the past year. That information was yet to be provided.

However, draft figures delivered during a workshop to bring councillors up to speed on the council’s use of consultants showed it was on track to spend more than $9.7m in 2023.