Stoke-on-Trent City Council announced to their staff on Wednesday (1 September) that the directorates & heads of service were being reviewed, restructured and that there would be reductions.
14 of the 37 directors & heads of service will not be required under the new structure and could be made redundant.
Documents seen by Pits n Pots show that
2 corporate directors will be lost with an annual saving of £246,000
12 heads of service will be lost with an annual saving of £1,087,000
giving the actual saving of these 14 posts as £1,333,000 annually.
The documents go on to say that:
it is currently unclear as to the scale of redundancy costs to the council.
The document details the redundancy package as
*Age during year = 22 or under, 0.5 weeks actual pay per full year of service
*Age during year = 22 or above but less than 41, 1 weeks’ actual pay per full year of service
*Age during year = 41 or over, 1.5 weeks actual pay per full year of service up to a maximum of 30 weeks.
The Redundancy Modification Payments Order will be used to calculate any redundancy payments. This ensures continuous service from other public bodies is counted.
It is not made clear as to whether Directors & heads of service will be made redundant under these terms or whether they are subject to different severance packages such as the one which allowed Interim Chief Executive Chris Harman to leave in October 2009 with a £74,000 payout. So the true cost saving will be somewhat lower in the first year.
The document then gives details of the 4 new directorates and the Chief Executives Support.
People – Director of Children and Young People’s Services
Assistant Director ““ Learning Services
Assistant Director ““ Integration Services
Assistant Director ““ Children and Corporate Parenting
Assistant Director ““ Policy, Planning and Strategic Support
People – Director of Adult and Neighbourhood Services
Assistant Director ““ Social Care
Assistant Director ““ Commissioning and Innovation
Assistant Director ““ Neighbourhood, Engagement and Partnerships
Assistant Director ““ Housing Services
Place ““ Director of City Renewal
Assistant Director ““ City Regeneration
Assistant Director ““ Business Development
Assistant Director ““ City Services
Assistant Director ““ Technical Services
Central Administration – Director of Business Services
Assistant Director ““ Finance and Performance
Assistant Director ““ Business Technology
Assistant Director ““ Governance and Legal Services
Assistant Director ““ Procurement Services
Assistant Director ““ Member Services
Chief Executive Support
Assistant Director ““ HR and Transformation
Assistant Director ““ Communications
The 11 page document give an insight in to the reasons for the need to change quoting a staff survey
The survey also identified that staff are unhappy with the current leadership arrangements and direction of travel for the organisation. Therefore a review of existing arrangements has been undertaken and the need for the following has been identified:
- improved focus on customer service
- improved leadership
- improved communication
- improved strategic focus
- accountability for service delivery from executive roles
- improved business management which is cost effective
It seems that this is not going to be a long drawn out process either, according to the document the timetable is
1 September – Proposals issued to affected staff and (Union/s) for consultation
15 September – Deadline job skills and competency templates to be received for Director and Assistant Director posts to be placed.
30 September – Formal consultation ends. Deadline for receiving jobs skills and competency templates back for Assistant Director posts
1 October – Subject to results of consultation, commence implementing proposals including placing staff formally at risk
31 December – Redundancies effective
4 January 2010 – New structure in place and operational
4 January 2011 also happens to be exactly 1 year since John van de Laarschot started in his role at Chief Executive.