Sacked CEO weighs up options in toxic legal saga dogged by pettiness

A sacked council CEO is now considering her options after an industrial court threw out her unfair dismissal case.

Former Logan mayor Luke Smith with ex-CEO Sharon Kelsey main photo: and, clockwise from top left; Cherie Dalley; Russell Lutton; Laurie Smith; Steve Swenson Jennie Breene; Phil Pidgeon and Trevina Schwarz.

A sacked council CEO is now considering her options after an industrial court threw out her unfair dismissal case, which the court claimed was played out against a backdrop of pettiness and self-interest.

Queensland Industrial Relations Commission vice president Daniel O’Connor discharged the case brought by Logan City Council’s former CEO Sharon Kelsey against her former employer and eight ex-Logan councillors.

Ms Kelsey, who started legal proceedings in 2017, claimed seven councillors voted not to extend her contract after her probation period because she was a whistleblower against the former mayor Luke Smith.

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She said yesterday she was disappointed with the QIRC decision and was now considering her options, which included appealing the outcome.

“I’ll be reading it (the judgement) carefully and considering all of my options and I hope to take the time to thank all the people who helped my case and showed enduring and overwhelming support.”

In his ruling, Vice President O’Connor said the case, which has dogged Logan council for four years, was a long-running saga set against a background riddled with pettiness, self-interest and pointscoring.

He said Ms Kelsey had been caught up in a toxic environment between two rival factions — one led by mayor Smith and one led by Cr Darren Power.

Vice President O’Connor said there was no evidence the seven councillors and the then mayor Luke Smith colluded prior to a council vote which decided not to extend Ms Kelsey’s contract past her probationary period.

Former Logan mayor Luke Smith and former CEO Sharon Kelsey.

He also said the eight had not conspired on a secret WhatsApp phone group.

“As the evidence unfolded, it became apparent that the council was divided,” Vice President O’Connor wrote in his judgment.

“Councillors were divided broadly between those who supported Ms Kelsey and those who did not.

“The depressing saga that this matter became was set against a background of pettiness, distrust and vitriol; a factionalised council consumed by self-interest and pointscoring.”

Logan Mayor Darren Power said because of ongoing criminal cases, he was unable to comment on claims he used Ms Kelsey as a pawn to get rid of the then mayor Luke Smith.

Current Logan Mayor Darren Power.

Councillors Russell Lutton, Steve Swenson, Laurie Smith, Phil Pidgeon, deputy mayor Cherie Dalley, Trevina Schwarz and Jennie Breene voted in February 2018 not to extend Ms Kelsey’s contract, while she was on probation, claiming she was not up to the job.

A year later, the CCC charged the seven councillors and the former mayor Luke Smith with fraud over the dismissal following a warning from CCC chairman Alan MacSporran.

Those fraud charges were all dropped this month.

The previous Logan City Council headed by mayor Luke Smith.

The court also heard Ms Kelsey had failed to declare details about how she had left previous jobs with Glenelg and Mitcham councils.

Evidence was also given to show Ms Kelsey filed a discrimination complaint about her boss while she was an officer with the South Australian police force.

The court also heard she was paid to leave Victoria’s Independent Broad-based Anti-Corruption Commission.

The QIRC ruling on April 1 could not be made public until yesterday, after the conclusion of a concurrent criminal case involving the eight councillors.

It now allows the new council, headed by Mayor Darren Power, to start recruiting for a new CEO, to replace acting CEO Silvio Trinca.