Finance Minister Nicola Willis criticises RBNZ over handling of Adrian Orr's resignation
Adrian Orr and Nicola Willis.
Photo:
RNZ
Finance Minister Nicola Willis says the Reserve Bank Board could have "pulled their socks up" on former governor Adrian Orr's resignation and been more transparent about the reasons behind it.
In March the Reserve Bank told media Orr's resignation was due to 'personal reasons'.
But documents
released on Wednesday
show he quit because he believed the government was providing significantly less funding than he thought was viable for the central bank, and he could not continue in the role.
In an accompanying statement, an RBNZ spokesperson said it became clear in late February that the board - chaired by Neil Quigley - was willing to agree to a "considerably" smaller sum than Orr thought was needed.
"This caused distress to Mr Orr and the impasse risked damaging necessary working relationships, and led to Mr Orr's personal decision that he had achieved all he could as Governor of the Reserve Bank and could not continue in that role with sufficiently less funding than he thought was viable for the organisation."
Speaking to media at the Fieldays on Thursday, Willis was clear the bank could have shared that information earlier.
"I have spoken to their chairperson Neil Quigley and expressed my view that they did not manage that Official Information Act request well and that I expect them to do better."
Willis says Quigley has acknowledged "they could have, and should have, done better".
"It's my expectation that all government agencies comply with their statutory obligations and wherever possible are open and transparent with New Zealanders," she said.
"Of course they need to balance that against their legal obligations when it comes to employment discussions and agreements, but on this one I think they could have pulled their socks up."
On 5 March the Reserve Bank revealed Orr's sudden resignation - he was expected to open a conference the next day, with his resignation to be announced the following week.
That plan changed however after Orr raised concerns people were already aware of his intentions.
The documents revealed an email from Orr - shortly after midday on 5 March - indicating at that stage he intended to still attend the conference.
"I will proudly open the conference tomorrow morning, noting I am there to discuss today's news. I am proud to have worked with and for you all, and I know you will succeed ahead."
But Orr ultimately did not attend or speak at the conference, nor did he take questions from media.
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