‘Second class treatment’ warning in job share row

Published: 16 September, 2010
by RICHARD OSLEY

THE Town Hall was warned on Monday night that Camden resources must not be diluted on bringing neighbouring Islington up to scratch as plans for the two boroughs to share a council chief executive were discussed in public for the first time.

As revealed first in the New Journal last week, Labour councillors have set in train a plan for Moira Gibb, Camden Council’s current £200,000-a-year chief executive, to double up. 

It follows two months of private discussions with Labour Party colleagues in Islington. 

It remains unclear whether staff lower down the council hierarchy will have to squeeze two posts into one as part of sharing agreements.

The idea – described as “bold” by some observers, “drastic” by others – is for Ms Gibb to take over the management of both boroughs when Islington’s current top man, John Foster, steps down in May. The leadership of key departments is also likely to be shared.

When the issue came up in leaders’ speeches at Monday’s full council meeting, there was a firm warning that Camden taxpayers would not accept “second-class treatment from chief officers”.

Councillors from all parties agree that savings must be made but the wisdom of sharing Ms Gibb and a “senior management team” was challenged, with concerns expressed that the role could be watered down.

Labour leader Councillor Nasim Ali told councillors that the strategy was potentially “ground-breaking” but said the final detail was not set in stone. Before Monday, the proposals had only been discussed in private and kept confidential to Labour councillors only.

Cllr Ali said: “Every piece of news we get from the Lib Dem and Tory government demonstrates the need for radical thinking. Our intention is to save bureau­cratic costs to protect frontline services. We are going to look at whether this is the right way forward but I speak for Islington as well when I say neither of us will enter into any arrangements unless or until we are convinced it is to the benefit of our residents.”

Several rival councillors believe the plans are already so advanced that there is unlikely to be a climbdown now. The fine detail will be circulated in a council report before Christmas.

Cllr Ali said the tough economic conditions and lack of financial help coming from central government had forced Camden’s hand. He said balancing the books would be a “painful process”.

Conservative chief Councillor Andrew Mennear noted Ms Gibb’s absence from Monday’s meeting: “I have remarked to colleagues before that I think this happens rather often. I would observe that this might happen even more often in the future if the plans for the tie-up with Islington go-ahead. It may lead this borough to think it is getting second-class treatment from some of its senior officers given that more support time will have to be increased to bring up Islington to Camden’s standards.”

And Cllr Mennear, who has stated previously he believes more beneficial deals for Camden might have been struck with other authorities in London, attacked the lack of discussion on a poten­tially major change in the way the council is run.

“How do we know that there are plans afoot for the council’s chief executive to be merged with Islington? It’s because there’s been some press release put out,” he told the meeting. “There’s not been some public discussion by the cabinet about whether or not this is a good idea. We are not receiving the proper democratic decisions under the Labour leadership in this borough that the local people deserve.”

Lib Dem deputy leader Councillor Matt Sanders said in his speech that a “part-time chief executive” would be unacceptable, adding: “I support exploring ways that the council can save money, particularly in the current tough financial climate, but the leader’s meetings with Labour counterparts in Islington – and for some reason not other high-performing boroughs, although we don’t know because these meetings have taken place behind closed doors – so far seem to take us significantly further. 

“My experience of dealing with large bodies, be they departments of state or private firms, is the bigger the organisation, the more remote they become.”

Sharing staff may save a fortune

THEO BLACKWELL ANSWERS THE QUESTIONS

What is the proposal?
The leaders of Camden and Islington councils propose that they share a chief executive from May 2011 and establish a joint management team of senior officers to explore the feasibility of this new way of working, and saving money, for two boroughs with a total population in of excess of 430,000.

Why are we doing this?
Camden faces unprecedented budget cuts from the government of more than 20 per cent over the next three years.  Sharing senior staff, services and buying power may save significant sums.  We aim to reduce costs in management and administration to help us protect the front line . 

Shared services features prominently in our medium -term financial plans. Camden and Islington already work together delivering services such as mental health provision and waste. Earlier this year, both councils committed to jointly procure the new school meals contract, saving over £150,000 in costs. 

Has this been done before?
Establishing a joint framework has hitherto only been attempted in smaller district councils or between larger counties and districts, but not by “top-tier” boroughs of this size. Sharing chief executives has worked in local administration in Germany.   

Why Islington?
The deep financial challenge facing Camden dictates a more pragmatic approach than before, including shared services. Where it serves our residents best we will work with any authority of any political colour, like West­minster, to make sure services are protected and enhanced. 

Performance-wise, Islington is also a “four star” authority, so for Camden working with our neighbours is the logical next step, although there are evident differences, particularly in council housing manage­ment. Camden shares a long border with Islington, so there is a natural “fit” – especially around jobs and community benefit arising from the massive regeneration programme at King’s Cross. It will help us work better together on ­community safety issues from Tufnell Park down to Holborn, with potential gains in areas such as youth work, economic development and sustainability – and potentially many more.

Will it change democratic arrangements?
No. Our boroughs are established by an Act of Parliament, and they can only be altered by one. Budgets will be separate, as they are now, and the role of councillors will be unaffected, so there is no question of the council becoming “remote”. 

• Cllr Theo Blackwell is Labour’s finance chief