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Staffing Costs At Hawke's Bay Councils – Are They Reasonable?
Staffing Costs At Hawke's Bay Councils – Are They Reasonable?

Scoop

time24-05-2025

  • Business
  • Scoop

Staffing Costs At Hawke's Bay Councils – Are They Reasonable?

Article – Linda Hall – Local Democracy Reporter Figures, attained by Local Democracy, show five Hawkes Bay councils spent in total more than $434 million dollars on people costs in 2024. The wage bills being racked up by councils around Hawke's Bay look high, but they're hard to contextualise and it would be hard to argue what an acceptable amount is, a business expert says. Figures, attained by Local Democracy, show five Hawke's Bay councils spent in total more than $434 million dollars on people costs in 2024. However, the figure will be higher than that as some councils withheld contractors and/or consultants costs. Napier City Council, in a bid to save $3 million in labour costs for the 2025/6 financial year, is now reviewing its structure with a proposal to reshape its operations, which will affect more than 100 of its 785 jobs. Hastings District Council has fewer permanent staff and spent $39 million on staff salaries in 2024, but its contractor and consultant bills were significantly higher at $241m. Napier City Council spent $97m, the vast majority of that on staff salaries, with $24m going to contractors and consultants. In Central Hawke's Bay, spending on staff wages and consultants was just under $8.5 million (no cost for contractors was provided). In Wairoa, the cost of wages was just over $7 million (in its case no details for contractors or consultants were provided). At the Hawke's Bay Regional Council people costs were just over $42 million. No information was given for contractors. The average salary of a Hastings District Council worker in 2024 was $82,864 and in Napier it was $92,829. The cost of staffing at Hawke's Bay councils has been in the spotlight for years. During a push for amalgamation it was noted by supporters of a singular council for the region that rivarly between neighbouring territorial authorities could drive up the cost of recruiting and retaining council staff. Savings on people costs are also part of the reason Hawke's Bay councils have opted for a region-wide Local Water Done Well model as their preferred option in ongoing consultation with the public. Chief Executive and Principal Economist at Infometrics and one of New Zealand's leading economic commentators Brad Olsen said it was hard to contextualise what was a reasonable price for ratepayers to pay for staffing. Olsen said there was a tendency to 'vilify' contractor and consultant spending. 'But I don't think that's always warranted and is often a fairly surface-level concern. 'I don't think people with concerns about contractor and consultant spending really want this to be cut to zero if it meant no roading or water infrastructure investment. 'There's a clear and ongoing focus from councils to focus on delivering value for money, but costs for delivering council services continue to rise too, often above the rate of headline household inflation. 'Although headline consumer prices have increased 23% since the end of 2019, Infometrics analysis of Stats NZ capital cost data shows that the cost of delivering transport infrastructure has increased by an average of 25% over the same period, and delivering water infrastructure has seen a 32% cost increase.' Olsen said contractors did what couldn't be done in-house and plenty of that would have been required post-Cyclone in Hawke's Bay. 'The scale of work can differ considerably between councils, and makes comparing spending levels challenging. 'For context, Hastings District Council's Annual Report 2023/24 shows $169m in capital funding, while Napier had $35m, with the difference in spending size driven by the size and scale of the infrastructure task and area covered by territorial authorities,' Olsen said. Hastings Hastings Council, as of June 2024, employed 517 permanent and fixed-term full-time and part-time staff (headcount) with a full-time equivalent of 478 on an average salary of $82,864. It paid $241m for the 23/24 financial year ($141.8m capital expenditure/$100m operational) to contractors and consultants including those involved in capital projects (things like road and bridge builds, demolition, three waters pipe facilities and networks) plus operational, a broad range from security services to key asset maintenance services, to expert and legal advice. A spokesperson for the council said almost $46m of the operational spend was directly attributable to Cyclone Gabrielle, as was $56.3m of the capital spending. The council is not planning any large-scale restructuring of its organisation in 2025. CEO Nigel Bickle's remuneration for the year ending June 2024 was $435,880. Council says in October 2024 it agreed to a pay increase for Bickle from July 1, 2024, however, he declined it. All mayors' salaries are set by the Remuneration Authority. Hastings mayor Sandra Hazlehurst was paid $166,910 for 2024/25. This expires on June 30, 2025, when the authority will replace it with another determination. The most recent mayoral pay increase was July 1, 2024, (when it was increased to the current amount). Before that, there had not been an increase since 2022. Napier Napier City Council employed 785 people with an average wage for full-time staff as of February 28, 2025, of $92,829 including some who work 42.5 hours per week. ($43.46 per hour). In 2024 it paid $24,449,562 (including GST) to 448 different suppliers for consultancy and contractor services. The council says it relies on a diverse range of external contractors and consultants to support the delivery of essential services and infrastructure to the community. 'It includes critical areas such as roading, water services, and waste management, as well as specialist expertise for projects where it is more cost-effective or practical to engage external providers rather than maintaining in-house resources year-round. 'This approach ensures we can respond flexibly to project demands, access specialist skills when required, and maintain value for money for our ratepayers. The spending reflects the scale and complexity of the services we deliver, as well as our commitment to ensuring high-quality outcomes for the community. 'We monitor and manage contractor arrangements to ensure they deliver strong value and contribute effectively to our service delivery goals.' The council supported regular (formal) working-from-home arrangements. When working from home on a regular basis, it is generally expected a maximum of two days per week (60% working in the office and 40% working from home) will be agreed on. Its chief executive Louise Miller, who was employed on March 13, 2023, was paid $384,000 for 23/24 while mayor Kirsten Wise was paid $160,000 for the same period. Central Hawke's Bay Central Hawke's Bay District Council, as of June 30, 2024, employed 92.5 full-time staff at an average wage of $84,288. Seven were externally funded and there were 10 vacancies. For the calendar year 2024 it paid eight consultants a total of $640,000 including GST. A council spokesperson said they were doing the work like ordinary staff, and CHBDC paid them directly. 'We also have contractors employed, but these fall under contracts and we don't have direct oversight of the number and how much they are paid. This includes the mahi to look after our water services, plants and reserves and roads.' Chief executive Doug Tate's salary was $257,852 at June 30, 2024. Mayor Alex Walker's salary is $119,272. Wairoa Wairoa District Council employs 89 staff, with an average wage of $82,340. It said it would only provide information around its costs for consultants and contractors if required to under the Local Government Official Information Act (LGOIMA). 'Given the amount of resource required to process it, we have decided to charge for making the requested information available'. The first hour was free, but then the charge to collate the information would cost $38 for every half hour of work, estimated at four hours. Local Democracy Reporting declined the offer. Mayor Craig Little was paid $116,979 for 23/24 and for 2024/25 $121,307. The CEO's salary for 2024 was $215,000. Former CEO Kitea Tipuna resigned in April and Malcolm Alexander is now the interim chief executive. Regional At the Hawke's Bay Regional Council there are 311.6 full-time staff (as of June 30, 2024) with an average pay of $96,776.34 – this includes the executive leadership team's salaries. In 23/24 HBRC spent $12,220,706.45 on consultants. This excludes professional (legal/audit etc.) fees and contractors and is only for external consultants. No information was given for contractors. Chief executive Dr Nic Peet's current salary package is $356,536 while its chair Hinewai Ormsby's salary package for 23/24 is $148,043.

Staffing Costs At Hawke's Bay Councils – Are They Reasonable?
Staffing Costs At Hawke's Bay Councils – Are They Reasonable?

Scoop

time24-05-2025

  • Business
  • Scoop

Staffing Costs At Hawke's Bay Councils – Are They Reasonable?

Article – Linda Hall – Local Democracy Reporter Figures, attained by Local Democracy, show five Hawkes Bay councils spent in total more than $434 million dollars on people costs in 2024. The wage bills being racked up by councils around Hawke's Bay look high, but they're hard to contextualise and it would be hard to argue what an acceptable amount is, a business expert says. Figures, attained by Local Democracy, show five Hawke's Bay councils spent in total more than $434 million dollars on people costs in 2024. However, the figure will be higher than that as some councils withheld contractors and/or consultants costs. Napier City Council, in a bid to save $3 million in labour costs for the 2025/6 financial year, is now reviewing its structure with a proposal to reshape its operations, which will affect more than 100 of its 785 jobs. Hastings District Council has fewer permanent staff and spent $39 million on staff salaries in 2024, but its contractor and consultant bills were significantly higher at $241m. Napier City Council spent $97m, the vast majority of that on staff salaries, with $24m going to contractors and consultants. In Central Hawke's Bay, spending on staff wages and consultants was just under $8.5 million (no cost for contractors was provided). In Wairoa, the cost of wages was just over $7 million (in its case no details for contractors or consultants were provided). At the Hawke's Bay Regional Council people costs were just over $42 million. No information was given for contractors. The average salary of a Hastings District Council worker in 2024 was $82,864 and in Napier it was $92,829. The cost of staffing at Hawke's Bay councils has been in the spotlight for years. During a push for amalgamation it was noted by supporters of a singular council for the region that rivarly between neighbouring territorial authorities could drive up the cost of recruiting and retaining council staff. Savings on people costs are also part of the reason Hawke's Bay councils have opted for a region-wide Local Water Done Well model as their preferred option in ongoing consultation with the public. Chief Executive and Principal Economist at Infometrics and one of New Zealand's leading economic commentators Brad Olsen said it was hard to contextualise what was a reasonable price for ratepayers to pay for staffing. Olsen said there was a tendency to 'vilify' contractor and consultant spending. 'But I don't think that's always warranted and is often a fairly surface-level concern. 'I don't think people with concerns about contractor and consultant spending really want this to be cut to zero if it meant no roading or water infrastructure investment. 'There's a clear and ongoing focus from councils to focus on delivering value for money, but costs for delivering council services continue to rise too, often above the rate of headline household inflation. 'Although headline consumer prices have increased 23% since the end of 2019, Infometrics analysis of Stats NZ capital cost data shows that the cost of delivering transport infrastructure has increased by an average of 25% over the same period, and delivering water infrastructure has seen a 32% cost increase.' Olsen said contractors did what couldn't be done in-house and plenty of that would have been required post-Cyclone in Hawke's Bay. 'The scale of work can differ considerably between councils, and makes comparing spending levels challenging. 'For context, Hastings District Council's Annual Report 2023/24 shows $169m in capital funding, while Napier had $35m, with the difference in spending size driven by the size and scale of the infrastructure task and area covered by territorial authorities,' Olsen said. Hastings Hastings Council, as of June 2024, employed 517 permanent and fixed-term full-time and part-time staff (headcount) with a full-time equivalent of 478 on an average salary of $82,864. It paid $241m for the 23/24 financial year ($141.8m capital expenditure/$100m operational) to contractors and consultants including those involved in capital projects (things like road and bridge builds, demolition, three waters pipe facilities and networks) plus operational, a broad range from security services to key asset maintenance services, to expert and legal advice. A spokesperson for the council said almost $46m of the operational spend was directly attributable to Cyclone Gabrielle, as was $56.3m of the capital spending. The council is not planning any large-scale restructuring of its organisation in 2025. CEO Nigel Bickle's remuneration for the year ending June 2024 was $435,880. Council says in October 2024 it agreed to a pay increase for Bickle from July 1, 2024, however, he declined it. All mayors' salaries are set by the Remuneration Authority. Hastings mayor Sandra Hazlehurst was paid $166,910 for 2024/25. This expires on June 30, 2025, when the authority will replace it with another determination. The most recent mayoral pay increase was July 1, 2024, (when it was increased to the current amount). Before that, there had not been an increase since 2022. Napier Napier City Council employed 785 people with an average wage for full-time staff as of February 28, 2025, of $92,829 including some who work 42.5 hours per week. ($43.46 per hour). In 2024 it paid $24,449,562 (including GST) to 448 different suppliers for consultancy and contractor services. The council says it relies on a diverse range of external contractors and consultants to support the delivery of essential services and infrastructure to the community. 'It includes critical areas such as roading, water services, and waste management, as well as specialist expertise for projects where it is more cost-effective or practical to engage external providers rather than maintaining in-house resources year-round. 'This approach ensures we can respond flexibly to project demands, access specialist skills when required, and maintain value for money for our ratepayers. The spending reflects the scale and complexity of the services we deliver, as well as our commitment to ensuring high-quality outcomes for the community. 'We monitor and manage contractor arrangements to ensure they deliver strong value and contribute effectively to our service delivery goals.' The council supported regular (formal) working-from-home arrangements. When working from home on a regular basis, it is generally expected a maximum of two days per week (60% working in the office and 40% working from home) will be agreed on. Its chief executive Louise Miller, who was employed on March 13, 2023, was paid $384,000 for 23/24 while mayor Kirsten Wise was paid $160,000 for the same period. Central Hawke's Bay Central Hawke's Bay District Council, as of June 30, 2024, employed 92.5 full-time staff at an average wage of $84,288. Seven were externally funded and there were 10 vacancies. For the calendar year 2024 it paid eight consultants a total of $640,000 including GST. A council spokesperson said they were doing the work like ordinary staff, and CHBDC paid them directly. 'We also have contractors employed, but these fall under contracts and we don't have direct oversight of the number and how much they are paid. This includes the mahi to look after our water services, plants and reserves and roads.' Chief executive Doug Tate's salary was $257,852 at June 30, 2024. Mayor Alex Walker's salary is $119,272. Wairoa Wairoa District Council employs 89 staff, with an average wage of $82,340. It said it would only provide information around its costs for consultants and contractors if required to under the Local Government Official Information Act (LGOIMA). 'Given the amount of resource required to process it, we have decided to charge for making the requested information available'. The first hour was free, but then the charge to collate the information would cost $38 for every half hour of work, estimated at four hours. Local Democracy Reporting declined the offer. Mayor Craig Little was paid $116,979 for 23/24 and for 2024/25 $121,307. The CEO's salary for 2024 was $215,000. Former CEO Kitea Tipuna resigned in April and Malcolm Alexander is now the interim chief executive. Regional At the Hawke's Bay Regional Council there are 311.6 full-time staff (as of June 30, 2024) with an average pay of $96,776.34 – this includes the executive leadership team's salaries. In 23/24 HBRC spent $12,220,706.45 on consultants. This excludes professional (legal/audit etc.) fees and contractors and is only for external consultants. No information was given for contractors. Chief executive Dr Nic Peet's current salary package is $356,536 while its chair Hinewai Ormsby's salary package for 23/24 is $148,043.

Agawam Chinese Association seeking volunteers for drum and boat teams
Agawam Chinese Association seeking volunteers for drum and boat teams

Yahoo

time24-05-2025

  • General
  • Yahoo

Agawam Chinese Association seeking volunteers for drum and boat teams

AGAWAM, Mass. (WWLP) – It's Asian American and Pacific Islander Heritage Month. This month, one local organization is inviting the community to learn more about their culture. The Chinese Association of Western Mass held several events across the region over the past weeks. In Agawam, they celebrated with traditional performances and shared history through activities. Their association is also volunteer-based. President Linda Hall told 22News, 'We're always looking for volunteers, we have a lot of volunteers, and we also recently started a waist-drum team, we're looking for dancers.' Waist-drum dance is a 2,000-year-old tradition. It's performed at their events year-round. The association will also take part in Springfield's dragon boat festival in July. They are looking for boaters. WWLP-22News, an NBC affiliate, began broadcasting in March 1953 to provide local news, network, syndicated, and local programming to western Massachusetts. Watch the 22News Digital Edition weekdays at 4 p.m. on Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Napier Council Staff Bristle At Restructure Of More Than 100 Jobs
Napier Council Staff Bristle At Restructure Of More Than 100 Jobs

Scoop

time22-05-2025

  • Business
  • Scoop

Napier Council Staff Bristle At Restructure Of More Than 100 Jobs

Article – Linda Hall – Local Democracy Reporter Napier Mayor Kirsten Wise said the process was part of a wider effort to deliver $3 million in labour savings for the 2025/26 financial year. A Napier City Council staff member not caught up in a planned restructure of more than 100 jobs says staff morale is now so low that he's looking for a way out. 'This no longer feels like the organisation I loved,' he told Local Democracy Reporting [Hawke's Bay Today] on Wednesday. The council confirmed on Tuesday it was reviewing its organisational structure and consulting with staff on a proposal to reshape its four directorates. Staff were told not to talk to the media, but Local Democracy Reporting [Hawke's Bay Today] has since been sent some of the proposal documents, dated May 15, 2025. They say the vision is to create a structure that will 'foster innovation, improve operational efficiency and be more agile and responsive to change'. Over the past two months each of the four executive directors at Napier City Council had reviewed their team structures, looking at role duplication, vacancies, and projects that might be put on hold, the document said. The document said in phase one of consultation related to the restructure, 100% of staff who gave feedback on the proposal agreed on the need for change. The restructure plan is now in phase two, with a decision set to be made in June. Phase three would see positions disestablished – many of them frontline workers – with reporting lines shifted and new positions introduced as business functions move into their new directorates. Proposed job losses include parking officers, Napier Assist Officers, project managers and services development and design engineers. The restructure reportedly cites the commercialisation of key community facilities, including Ocean Spa, Par 2 Mini Golf, Kennedy Park Resort and the Napier Conference Centre as a key driver. A staff member told Local Democracy Reporting [Hawke's Bay Today]: 'NCC used to be very proud – telling people and staff that it takes care of its employees, regardless of their income, because the work done by people like gardeners is important to our community. 'We were told we're a family, and we look after our own. 'Our gardeners still do an awesome job, the best in the country, I'd say. But what happened to the organisation that once had such a strong sense of civic spirit and pride?' The worker said they were astonished by an internal email sent out on Tuesday noting that only six pieces of feedback had been received on the proposal. Napier Mayor Kirsten Wise said the process was part of a wider effort to deliver $3 million in labour savings for the 2025/26 financial year. 'A key driver of this change is the community's clear call to reduce labour costs, as voiced during last year's Three-Year Plan consultation,' Wise said. 'The council has reviewed all directorates and functions to identify efficiencies, such as addressing role duplication and unfilled vacancies, and has proposed changes where there are opportunities to build a leaner, more agile structure. 'The goal is to ensure we're better positioned to respond to the specific challenges facing Napier, as well as the broader pressures on local government across New Zealand. 'This is a genuine consultation process. Our priority now is to work through it in partnership with staff, ensuring they understand what's being proposed, have the opportunity to provide feedback, and are fully supported before any final decisions are made.' Another staff member told Local Democracy Reporting [Hawke's Bay Today] the savings demanded by the mayor and some councillors was being used to rationalise the job losses, following two 'poorly justified and hugely expensive capital projects', the proposed new library building and new council office. A third staff member said if elected representatives claimed the matters were purely operational and outside their involvement, they would be misleading the public. 'They have been consistently briefed on the development, including a closed-door discussion between councillors and executive directors as recently as 11am yesterday (Tuesday, May 20). 'There is no question elected members are fully involved in the proposed restructure.' Mayoral candidate Richard McGrath said he believed it was an appropriate time to reassess if NCC was meeting its expectations of delivering the right levels of service to its community and also meeting the expectations of the local Government act. 'I acknowledge it's a difficult time for all involved, and I have faith in CEO Louise Miller as she leads through this process.'

Napier City Council Restructure Impacts More Than 100 Jobs
Napier City Council Restructure Impacts More Than 100 Jobs

Scoop

time20-05-2025

  • Business
  • Scoop

Napier City Council Restructure Impacts More Than 100 Jobs

Article – Linda Hall – Local Democracy Reporter An annual plan hearing and deliberation process is currently underway to determine the future of these facilities. Napier City Council has confirmed it is reviewing its structure and is consulting with staff on a proposal to reshape its operation. While it wouldn't confirm the number of staff involved, three separate sources have told Local Democracy Reporting [Hawke's Bay Today] the proposal impacts more than 100 jobs. While restructures were not uncommon in local government, a source told Local Democracy Reporting [Hawke's Bay Today] the scale of this one was significant, and many staff, some with decades of service, had been told their positions may no longer exist. 'What's more concerning is that staff were reportedly warned not to speak to the media, raising questions about transparency and accountability in a publicly funded organisation.' NCC chief executive Louise Miller said the council was reviewing its organisational structure and consulting with staff on a proposal to reshape its four directorates. 'This consultation follows the restructuring of our executive leadership team in February, which reduced the number of directorates from five to four and resulted in the disestablishment of one executive director position,' Miller said. 'Several key factors are driving this proposed change, including direction from Central Government to prioritise core services, major reform initiatives such as Local Water Done Well and the need to identify a further $3 million in labour efficiencies for the 2025/26 financial year. 'The proposed changes aim to create a more efficient, agile and responsive structure that is better equipped to meet these challenges,' Miller said. One worker said the process has been handled in 'an impersonal, top-down manner, with little regard for the human impact or the potential consequences for public service delivery'. The restructure reportedly cites the commercialisation of key community facilities, including Ocean Spa, Par 2 Mini Golf, Kennedy Park Resort and the Napier Conference Centre as a key driver. An annual plan hearing and deliberation process is currently underway to determine the future of these facilities. A source said: 'There are fears that essential community services may be reduced or outsourced without public consultation.' Miller said the council acknowledged this was a difficult time for many of its staff, who are deeply committed to serving the Napier community. 'Our priority is to work closely with those affected by the proposals, to listen to their feedback, and to ensure they are fully supported throughout this process,' she said. As of February 28, 2025, Napier City Council employed 785 on an average full-time wage of $92,829 per annum. LDR is local body journalism co-funded by RNZ and NZ On Air.

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