Chief Executive's performance review

24 May 2012

Hamilton City Council Chief Executive Barry Harris is to receive a two per cent salary increase taking his annual remuneration to $367,200 from $360,000, effective from April 2012.

Having met agreed performance targets for the six months from October 2011 to April 2012, the Chief Executive will also receive the remaining five per cent of his “at risk” portion of his annual salary. This $18,000 is part of his annual salary and not additional or a bonus.

Council took advice from two major remuneration consultants on local government salaries, with both providing information that suggested Mr Harris should receive an annual salary in the range of $370,000 – $376,000. Council was also advised that chief executive remuneration has increased by 3.5-4 per cent in 12 months to March 2012.

Commenting Mayor Julie Hardaker said: “The new remuneration for Mr Harris for the next 12 months is clearly below the market rate for CEs in the local government sector and we are fortunate that he has accepted this level of increase, which is also in line with that budgeted for Council staff for the coming year.”

Mr Harris will also have the future “at risk” component of his salary removed, at his request, as part of accepting the lower than market rate salary increase for the next year.

Council was also told that the Chief Executive of a nearby local authority is receiving an annual salary of around $400,000.

At today’s Council meeting support was also given in principle to the Private Members’ Bill of Hon Annette King which proposes taking the responsibility for the setting of local authority chief executive pay ranges from Councils and giving it to the State Services Commission.

Today’s Council voting record:

Chief Executive to receive “at risk” payment of his salary for the last six months:
For: Mayor Hardaker, Cr Bell, Cr Bos, Cr Chesterman, Cr Forsyth, Cr Gower, Cr Hennebry, Cr Mahood, Cr O’Leary, Cr Westphal
Against: Cr Gallagher, Cr MacPherson, Cr Wilson

Chief Executive salary to increase by 2%:
For: Mayor Hardaker, Cr Bell, Cr Bos, Cr Chesterman, Cr Forsyth, Cr Gower, Cr Hennebry, Cr Mahood, Cr Westphal
Against: Cr Gallagher, Cr MacPherson, Cr O’Leary, Cr Wilson

“At risk” component of CE salary to be removed:
For: Mayor Hardaker, Cr Bell, Cr Bos, Cr Chesterman, Cr Forsyth, Cr Gallagher, Cr Gower, Cr Hennebry, Cr MacPherson Cr Mahood, Cr O’Leary, Cr Westphal
Against: Cr Wilson

ENDS

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