Hurunui staff function guidelines under microscope

12:45 pm on 24 March 2022

Departing council employees in the Hurunui, who have worked as little as six months, may be entitled to a ratepayer-funded leaving do with alcohol.

Hurunui Mayor Marie Black has questioned the district council guidelines around functions for staff members.

Hurunui Mayor Marie Black has questioned the district council guidelines around functions for staff members. Photo: LDR / North Canterbury News / Shelley Topp

But Hurunui Mayor Marie Black has suggested six months may be too short of a stint to warrant a generous send-off.

A new sensitive expenditure policy has been adopted after auditors called for a review into Hurunui District Council's internal spending procedures.

Audit New Zealand found council's existing spending policy did not align with the Office of the Auditor-General's good practice guidelines.

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Council's new expenditure policy focuses on staff expenses when travelling, meals, hospitality, accommodation, and transport.

Under a recognition of achievement sub-heading, the new policy stipulates council may spend money on events to recognise milestones, "such as farewells, retirements and staff achievements".

"After six months of continuous service, the cost of the function, or any subsidy toward a function, is to be charged to the respective department and cost centres at the discretion of the manager.

"A function may include alcohol at the discretion of the manager in consultation with the chief executive officer."

At last week's audit and risk committee meeting, Black queried whether the six-month marker for employment in the policy was appropriate.

"That seems like a relatively short time to recognise continuous service," she said.

Councillor Karen Armstrong agreed six months felt short for a leaving function.

"[Does] it relate to the fact that, perhaps, quite a lot of staff these days are on shorter-term contracts?"

An employee may invite family members and other guests outside the organisation, but this was under the discretion of the employee's manager.

Council chief financial officer Jason Beck said a leaving function was not necessarily an obligatory expectation.

Committee chair and councillor Nicky Anderson hoped council managers would use their discretion appropriately.

The policy adds expenditure on farewells and retirements should be "moderate and conservative" and not be "extravagant or inappropriate".

Audit New Zealand, in its review, also identified a number of instances where councillor vehicle mileage claims were submitted "a long time" after the relevant month to which the claim related, including some made for the previous financial year.

In the report, council management said it would urge councillors to provide mileage claims on a more regular basis.

Graeme McGlinn, an independent member of the audit and risk committee, said other district councils had been guilty of high levels of non-compliance around sensitive expenditure.

He proposed council conduct periodic audits and reporting of council's expenditure, particularly in areas where there was "reputational risk".

Council chief strategy and community officer Judith Batchelor said only two council employees had left within six months over the past two years and neither received leaving functions.

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