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| Northern Ireland Water and department talks to continue | |
| (about 14 hours later) | |
| Crisis talks between NI Water and the Regional Development Department are set to continue as the company tries to stop its chief executive from leaving. | |
| Trevor Haslett is acting chief executive but has no permanent contract in that role. | Trevor Haslett is acting chief executive but has no permanent contract in that role. |
| It is understood he wants a two-year deal with an increase in salary from £130,000 to £150,000. | It is understood he wants a two-year deal with an increase in salary from £130,000 to £150,000. |
| It is up to Regional Development Minister Danny Kennedy to approve a deal which he has so far refused to do. | |
| Mr Haslett replaced previous boss Laurence MacKenzie who resigned in January following last year's water crisis. | Mr Haslett replaced previous boss Laurence MacKenzie who resigned in January following last year's water crisis. |
| A spokesman for the Department for Regional Development said no letter of resignation has been received and that the board is in discussion with Mr Haslett and is keeping the minister informed. | |
| Mr Kennedy met the company chairman, Sean Hogan, on Thursday morning. Any changes or new appointment will require Mr Kennedy's approval. | Mr Kennedy met the company chairman, Sean Hogan, on Thursday morning. Any changes or new appointment will require Mr Kennedy's approval. |
| The problem for the company, and its rulers at Stormont, is sorting out a structure that works. | The problem for the company, and its rulers at Stormont, is sorting out a structure that works. |
| Every chief executive since its formation has quit early or been pushed out the door. There is clearly a structural and systemic problem. | Every chief executive since its formation has quit early or been pushed out the door. There is clearly a structural and systemic problem. |
| It's understood that Mr Haslett is leaving because he couldn't be given any security of tenure (he wanted a two year contract) and he wanted a pay increase from £130,000 to £150,000. The previous boss earned more than £200,000. | It's understood that Mr Haslett is leaving because he couldn't be given any security of tenure (he wanted a two year contract) and he wanted a pay increase from £130,000 to £150,000. The previous boss earned more than £200,000. |
| Although the board at NI Water were happy to approve such changes, it appears that Stormont ministers overruled them. | Although the board at NI Water were happy to approve such changes, it appears that Stormont ministers overruled them. |
| Politicians and civil servants have a history of meddling in NI Water's affairs. The company is now a non-departmental public body - following changes driven by Stormont - which means it is subject to tight controls of the Department of Regional Development. | Politicians and civil servants have a history of meddling in NI Water's affairs. The company is now a non-departmental public body - following changes driven by Stormont - which means it is subject to tight controls of the Department of Regional Development. |
| It also means NI Water has to run its capital investment programme on a yearly basis - that means if plans are delayed due to unforeseen circumstances the money can't be spent. | It also means NI Water has to run its capital investment programme on a yearly basis - that means if plans are delayed due to unforeseen circumstances the money can't be spent. |
| As an entirely separate company it could work on a three-year basis which allowed vital flexibility when dealing with multi-million pound projects. | As an entirely separate company it could work on a three-year basis which allowed vital flexibility when dealing with multi-million pound projects. |
| Any new chief executive being hired from outside the company must be prepared to work for less than half they would earn at a comparable organisation, with an unhealthy dose of political and civil service interference thrown-in for good measure. | Any new chief executive being hired from outside the company must be prepared to work for less than half they would earn at a comparable organisation, with an unhealthy dose of political and civil service interference thrown-in for good measure. |
| And there's the certain knowledge that if there are any problems, the political masters will happily demand your head on a plate. | And there's the certain knowledge that if there are any problems, the political masters will happily demand your head on a plate. |
| Mr McKenzie is understood to have been paid around £250,000 a year while Mr Haslett's package is about £130,000. | Mr McKenzie is understood to have been paid around £250,000 a year while Mr Haslett's package is about £130,000. |
| 'Peanuts' | 'Peanuts' |
| Leading recruitment professional Ian Rainey believes relatively poor pay and conditions are going to make it difficult to find a suitable replacement for Mr Haslett. | Leading recruitment professional Ian Rainey believes relatively poor pay and conditions are going to make it difficult to find a suitable replacement for Mr Haslett. |
| "Northumbria Water is about the same size as NI Water and the chief executive's package is about £350,000," Mr Rainey said. | "Northumbria Water is about the same size as NI Water and the chief executive's package is about £350,000," Mr Rainey said. |
| "In fact the number twos, the HR directors and the finance directors, are being paid more than £130,000 so I think we are paying peanuts." | "In fact the number twos, the HR directors and the finance directors, are being paid more than £130,000 so I think we are paying peanuts." |
| The government-owned company was set up in 2004 and its status was later modified so it also became a non-departmental public body. | The government-owned company was set up in 2004 and its status was later modified so it also became a non-departmental public body. |
| Earlier on Thursday, DRD committee chair Jimmy Spratt said: "One of the issues we will be pressing is that there will be some sort of continuity and leadership at this level, particularly over the winter period. | Earlier on Thursday, DRD committee chair Jimmy Spratt said: "One of the issues we will be pressing is that there will be some sort of continuity and leadership at this level, particularly over the winter period. |
| "Stability is needed I think given the changes that have been made. | "Stability is needed I think given the changes that have been made. |
| "Trevor Haslett was providing that stability in terms of leadership, we will be looking to make sure that leadership continues." | "Trevor Haslett was providing that stability in terms of leadership, we will be looking to make sure that leadership continues." |
| Mr Spratt added that he was not aware of any political interference in the organisation. | Mr Spratt added that he was not aware of any political interference in the organisation. |
| "I think in relation to the structures that (they) have been inherited by the Northern Ireland Executive from direct rule," he said. | "I think in relation to the structures that (they) have been inherited by the Northern Ireland Executive from direct rule," he said. |
| "It's a legacy of that." | "It's a legacy of that." |
| Mr Haslett was formerly head of engineering with NI Water and previously worked as a director of a private civil engineering company. | Mr Haslett was formerly head of engineering with NI Water and previously worked as a director of a private civil engineering company. |
| He is the third chief executive to resign from the post. | He is the third chief executive to resign from the post. |
| As well as Mr MacKenzie in January, after what First Minister Peter Robinson described as the company's "shambolic" response to the big freeze, Katherine Bryan resigned in 2008 following controversy over a funding shortfall. | As well as Mr MacKenzie in January, after what First Minister Peter Robinson described as the company's "shambolic" response to the big freeze, Katherine Bryan resigned in 2008 following controversy over a funding shortfall. |