Local council general managers demand pay bump to cope with forced mergers

COUNCIL bosses like Parramatta’s CEO Greg Dyer, a former Test cricketer, earn up to $480,000. Now they’re pushing for higher salaries to run larger local authorities once amalgamations go through.

WEALTHY bosses of Sydney’s councils who earnt a staggering $14 million last year could end up pocketing more than the prime minister next year as they push for higher salaries running larger local authorities after the state government-ordered amalgamations.

General managers and CEOs at Greater Sydney’s 43 councils were collectively paid $14.4 million last financial year, a whopping average of $335,000 each. But with the number of councils being cut to just 25 within months, a significant number of those top bureaucrats face the axe and loss of generous pay packages, including super, cars and other perks.

Parramatta Council CEO and former Australian test cricketer Greg Dyer earns $480,000 a year.

Sydney City Council CEO Monica Barone sits on $452,000

Those who survive could get larger salaries because of the increased workload, with some potentially surpassing the $517,504 salary earned by Prime Minister Malcolm Turnbull.

Many council bosses already earn far more than Premier Mike Baird, whose salary tops $358,000.

“The truth is very senior bureaucrats in local government as well as state and federal departments are paid what most community members would consider to be enormous salaries,” said Leichhardt Mayor Darcy Byrne.

Local Government Minister Paul Toole added: “Greater Sydney has 43 council general managers, while Brisbane gets by with one. The government is proposing to reduce the number of councils in Sydney to 25, which will mean fewer general managers.”

Across NSW up to 40 general managers and CEOs face the axe.

Wyong Shire’s departed general manager Michael Whittaker was one of last year’s big earners with a salary package worth $465,450.

Wyong Council is merging with Gosford, where the CEO and four ­directors were on salary packages worth $1.2 million in 2015. Parramatta Council CEO Greg Dyer got a $480,200 package. City of Sydney CEO Monica Barone had a package worth $452,098 in 2015, while the bosses at merging Burwood, Canada Bay and Strathfield councils earned a combined $922,490.

Any dismissal before CEO and general managers’ contracts expire would attract hefty severance payments.

Ms Barone and Mr Whittaker have played key roles in turning around the finances of their respective councils, with Wyong going from a $30 million deficit to a $10 million surplus under Mr Whittaker’s tenure.

Similarly City of Sydney went from being nearly broke a decade ago to having almost $700 million in the bank at the end of last calendar year.

The Baird government’s proposed local council mergers.

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LOCAL government bosses are not the only ones who could benefit financially from the Baird ­government’s mergers — councillors are also calling for fulltime contracts worth $50,000 a year and an industry group is ­demanding pay equal to backbench MPs.

Wyong and Gosford councillors are among those arguing for fulltime contracts because of the extra work they face once the mergers create much larger local authorities.

Wyong and Gosford are expected to merge by early 2017, creating a “super” Central Coast council ­servicing 331,000 residents, with fewer elected ­representatives.

Wyong mayor Doug Eaton expects 12 councillors to represent the two councils — a 40 per cent reduction on the current level, with those councillors servicing an area measuring around 2000 sq km, an area double Hong Kong’s land mass.

“I think that councillors in this size council must be fulltime or all-but,” he said. “Accordingly, it is fair and equitable to remunerate them on a fulltime basis.”

Mr Eaton suggested a $50,000 salary for councillors, which he described as “quite a low figure but enough that people who want to serve can survive on, maybe with a bit of part time work”.

Sydney councillors mostly work part-time, ­receiving only about $20,000 to $30,000 in fees and allowances. Most mayors receive a little more, with only a handful such as Liverpool’s Ned Mannoun working fulltime.

Local Government NSW boss Keith Rhoades says councillors should ­receive pay equal to that of NSW backbench MPs — just over $150,000 a year — partly to attract new, professional candidates.