Bayside has implemented what the latest bill before parliament proposes – the setting up of a CEO employment committee. How this will ultimately impact on the ‘job for life’ approach taken in Glen Eira is open to debate. We remind readers that since Newton was appointed in 2000 his contract has NEVER BEEN ADVERTISED; the community is not privy to the Key Performance Indicators of the contract, and legal battles have raged periodically.
Below is the Bayside Media Release and a rundown of neighbouring councils and the dates of their CEO appointments.
CEO Employment Matters Committee – Chairperson
Bayside City Council invites applications from suitably qualified persons for appointment to Council’s Chief Executive Officer Employment Matters Committee as Chairperson for an initial term of up to three years with an option to review annually.
It is proposed that the Chief Executive Officer Employment Matters Committee will meet approximately five (5) times per year. A per meeting remuneration fee is offered with this role.
The Chief Executive Officers Employment Matters Committee will operate as an Advisory Committee to Council in accordance with the Local Government Act 1989. The key functions and responsibilities of this Committee are:
- To make recommendations to Council on contractual matters relating to the Chief Executive Officer or the person appointed to act as the Chief Executive Officer including the following:
- The appointment of the Chief Executive Officer;
- Remuneration and conditions of appointment of the Chief Executive Officer
- Any extension of the appointment of the Chief Executive Officer under section 94(4)
- To conduct performance reviews of the Chief Executive Officer; and
- To perform any other prescribed functions and responsibilities.
Applications received for the role of Chairperson will be assessed against:
- Demonstrated human resource management skills, senior business experience and qualifications;
- Experience in senior management recruitment;
- Recognised ability in relation to performance management and development of Executive level staff; and
- Previous experience or facilitation experience working with Executive Governance bodies or Board Members in membership and/or facilitation roles.
Chief Executive Officer Employment Matters Committee Charter (PDF, 902KB)
Source: http://www.bayside.vic.gov.au/about_the_council/latest_news.htm
Bayside – Adrian Robb – 2008
Port Phillip – Tracey Slatter – 2013
Kingston – John Nevins – 2005
Stonnington – Warren Roberts – 2009
Boroondara – Philip Storer – 2012
Manningham – Joe Carbone – 2012
Monash – Andi Diamond – 2012
June 2, 2014 at 12:14 PM
Glen Eira answer these questions. Has our Council acted in accordance with the LGAct since 2000 with regards the appointment of a CEO? What has Council done wrong, if anything, and has this been taken to a Local Government Inspector? Glen Eira is without doubt one of the best run Municipalities in Australia. People kill to live in our City and a great deal of this has to do with the ability of the CEO and his staff.Our Councillors know that Andrew Newton is one of the best and most respected CEO’s in the business and why get rid of him. You may have something personal against Mr Newton but the majority of every Council has reappointed Andrew since 2000. There is an argument for stability within Council and changing a CEO just for the sake of it is a stupid proposition.Why should Councillors pay 100k to test the market if they are more than satisfied with their CEO?What Bayside is doing is abrogating their responsibility and paying for it.
June 2, 2014 at 2:03 PM
Yup under Newton millions on lawyers and stacks of rate increases.
June 2, 2014 at 6:00 PM
People would kill more to live in Bayside.
Let’s face it, Newton has the personality that does not suit his position. (MODERATORS: sentence deleted) Is this the person we need to head our community. I say definitely not.
June 2, 2014 at 5:53 PM
The Liberal party keeps Newton in his position.
June 4, 2014 at 8:27 AM
What liberal party????
June 2, 2014 at 6:41 PM
In theory, the appointment of an “independent” chairman for such a committee sounds promising. Reality is far different I suspect. If the government is serious about reforming ceo appointment processes then the legislation requires radical change. No ceo position should be allocated without first advertising the job. Secondly, no ceo should be appointed for a period of more than ten years. The same principles should apply to the appointment of independent audit committee members – but these should have a maximum time length of 3 years I think. Long serving ceos and long serving audit committee members are a liability when it comes to change, innovative new ideas, and serving the community. Plus, there is always the chance of incestuous and self serving decision making when committee members have been together for so long.
June 2, 2014 at 7:03 PM
Mr D Evans what you have given us is in plain English a whole lot of supposition and innuendo. You say ‘long serving CEO’s etc’ are a liability but I would argue they are an asset. Obviously Council agrees with my view.
June 2, 2014 at 8:09 PM
Empirical evidence would disagree with your comment. Long term contracts build complacency and becomes a Council of jobs for the boys and mates rates, which sadly Glen Eira has become. 7 years and then it’s more about keeping the job at all costs than focusing on the role. Newton has not had it easy in his role but unlike his brother Stephen, does not have the intellect to perform his role to the standard that residents require (just being honest and deep down Newton would agree). Agree with Evans comment regarding the supposedly independent audit committee. Over 20 years in the role and you are still supposed to be independent? What a joke! If that logic is to follow, just appoint Newton and his cronies for life until they wish to leave. Saves the face of Lipshutz being appointed as Chair of the CEO appointment committee.
June 2, 2014 at 8:28 PM
A quick perusal of research/journals shows that CEO’s who stay too long can impact negatively on their companies.
See the following –
http://blogs.hbr.org/2014/03/when-its-time-for-the-ceo-to-go/
http://hbr.org/2013/03/long-ceo-tenure-can-hurt-performance/ar/1
http://www.ceoforum.com.au/article-detail.cfm?cid=6174&t=/Claudio-Fern%E1ndezAr%E1oz-Egon-Zehnder-International/The-timeserving-trap
June 3, 2014 at 8:14 AM
About 2000 years ago the Chinese Manchu’s recognised that bureaucrats should not remain in their positions for long periods as it resulted in their focus becoming one of self preservation and self interest.
The concept is still widely recognised today.
The incumbent CEO was appointed (without the position being advertised) in 2000 and over the past 14 years has been continually reappointed (without the position being advertised).
What the heck is wrong with spending $100K to test the market and ensure that the best candidate for the role is appointed. It’s not only a sound practice, It also presents great improvement potential for the entire municipality.
The argument that it’s better stick with “the devil you know rather than go with one you don’t know” only holds water if don’t want change – not a good thing to do in a dynamically changing environment. The “save $100K” argument also lacks credibility – it’s a paltry sum when it comes to ensuring that an annual $73+ million budget is managed with proper fiscal responsibility and in the interests of the entire community.
June 3, 2014 at 11:10 AM
I’d be fascinated to hear the reasons why our councillors decided to award Newton a pay rise of over $40,000 when there have been so many monumental cockups in the past few years. Being the best man for the job doesn’t cut it anymore and for sure doesn’t deserve a pay hike of such magnitude.
June 4, 2014 at 11:04 PM
Really?
June 5, 2014 at 11:13 PM
Anon 8.09 how dare you even mention Stephen.They are both really clever people . Andrew topped his MBA class at Monash Uni and anyone who knows him would never question his intellect.Cheap insults based on nothing are dumb and stupid. He has retained his position because he is dynamic and a great leader.He is a straight shooter and very protective of his staff.The information and advice he gives Councillors is spot on and without fear or favor. Every Council for the last 14 years has reappointed Andrew following arduous assessment.Not all Councillors over the last 14 years have been stupid and they know all the arguments you are raising. Councillors meet other CEO’s all the time and none are more impressive than Andrew. Signed ……… not Andrews Mother
June 6, 2014 at 9:38 AM
Andrew is not half the man his brother Stephen is. Stephen Newton really drove Caulfield Grammar to the fine educational institution it is today.
June 6, 2014 at 1:23 PM
Not Mum, but likely Jamie
June 6, 2014 at 5:20 PM
Whinging bitch
June 6, 2014 at 10:21 AM
Abbott’s sister is reported to be a Lesbian. Mentioning Stephen is just as stupid as my opening line. NOT RELEVANT By the way Anon 9.38am you failed to mention that Stephen and CGS have parted company. Why?
June 6, 2014 at 3:33 PM
Stephen knew when his time was up and elected to transition to a new Principal. This is of high standing to know when it is time to move on for the next generation, something Andrew would never do. Unfortunately there are too few people of principle left in Glen Eira.
June 6, 2014 at 4:10 PM
None on this Council.
June 6, 2014 at 12:02 PM
why has the following been bought up again on leader site. There has not been any updates has there? didn’t we know this a month ago
http://www.heraldsun.com.au/leader/central/minister-to-decide-how-much-rent-melbourne-racing-club-pays-at-caulfield-racecourse/story-fngnvlpt-1226944250767
June 6, 2014 at 1:54 PM
The only question I am interested in is what is happening with the Auditor-General inquiry?
June 6, 2014 at 4:00 PM
Glen Eira Debates have you talked to Auditor-General office?
June 6, 2014 at 6:57 PM
What about complaining to the concerned authorities about Hyams saying “whinging bith” on her face and in the presence of the public?
June 8, 2014 at 11:55 AM
What about getting back to issues and not personalities?
June 8, 2014 at 7:20 PM
Why do you never discuss the issues anonymous/? You would make a typical Councillor or bureaucrat.