Agenda item - LEADERSHIP TEAM AND SENIOR MANAGEMENT RESTRUCTURE

REPORT OF THE HEAD OF PAID SERVICE

This report sets out proposed changes to the structure of the Council’s Leadership Team and Senior Management, to create additional capacity to support the delivery of the Council Plan whilst also ensuring staff are supported, work is delivered, and strategic leadership is provided.

RESOLVED: That Council:

(1) Approved the ongoing additional budget of £112k per year for inclusion in the Budget 2025/26 (Revenue Budget and Investment Strategy).

(2) Noted the proposed Leadership Team and Senior Management arrangements as set out in the report and the proposed timetable for the implementation of these arrangements.

(3) Waived the constitutional requirements for the appoint of a Director, in this instance, and authorise the Head of Paid Service to offer the new role of Director - Regulatory to the current Service Director Housing and Environmental Health.

(4) Authorised the Monitoring Officer and Chief Finance Officer to make the necessary amendments to the Council’s Constitution (including the Contract Procurement Rules and Financial Regulations) and any consequential title changes to other Policy and Procedure documentation, to reflect the new Leadership Team and Senior Management arrangements.

REASON FOR DECISIONS: To ensure that the Council has a Leadership Team and Senior Management structure that is fit for purpose and is able to deliver the Council’s priorities. The proposed structure also responds to one of the recommendations in the Corporate Peer Challenge report.

Audio recording – 48 minutes 50 seconds

N.B. The Service Director – Resources and the Service Director – Legal and Community moved to the public gallery for this item.

The Managing Director presented the report entitled ‘Leadership Team and Senior Management Restructure’ and advised:

· This was a very thorough report and was self-explanatory.

· The proposals in the report have been developed over several years.

· This proposal was supported by the findings of the LGA Corporate Peer Challenge who had stated that the leadership team should be increased to ensure sufficient strategic leadership capacity and effective deliverance of services.

· The current leadership team at North Hertfordshire District Council was smaller and cheaper than other similar councils.

· The Council had been operating with this temporary structure for 18 months and a difference in delivery had been seen.

· Having a seventh director had created capacity for the other directors to dedicate to other areas.

· A number of options had been considered and these were all detailed in the report.

· The post of the ‘Managing Director’ was to be renamed to ‘Chief Executive’ and the posts of ‘Service Director’ renamed ‘Director’.

· Descriptions of each position could be found in paragraphs 8.2-8.10 of the report.

· Staff had engaged positively and constructively to the consultation and feedback has been incorporated into this proposal where possible. The proposal had changed from start of consultation to what was presented to Council.

· If approved, the seventh director position and new structure would start from the beginning of the new financial year, 1 April 2025.

The following Members asked questions:

· Councillor Claire Strong

· Councillor Joe Graziano

· Councillor Ralph Muncer

· Councillor Martin Prescott

· Councillor David Barnard

· Councillor Daniel Allen

In response to questions, the Managing Director advised that:

· Local government was a completely different sector to retail and division of budget and headcount did not equate to equality of responsibilities.

· The post of one of the directors was part time for 30 hours a week and savings from this had already been allocated elsewhere within the staffing budget.

· The best outcome for the Council would be to retain the individual who has been in the role on a temporary basis.

· Two service directors would be retiring over the next few months and retaining this individual would help to ensure the stability of the Council.

· The timeline for recruiting a new individual would be approximately 2-3 months from start to finish, plus any notice period.

· An individual transferring from another local authority would be able to retain continuous service benefits.

· The LGA Corporate Peer Challenge identified that the current leadership team was stretched and a permanent position of a seventh director would provide additional capacity.

Councillor Ruth Brown proposed an amendment to recommendation 2.1 that the additional budget of £112k per year was for 2 years only. Councillor Paul Ward seconded the amendment.

The following Members took part in the debate on the amendment:

· Councillor Sadie Billing

· Councillor Alistair Willoughby

· Councillor Sean Nolan

· Councillor Paul Ward

· Councillor Nigel Mason

· Councillor Daniel Allen

In response to the amendment, the Managing Director advised that:

· This amendment was not practical for the Council and would send the wrong message out to the service areas and director.

· This proposal could cost the Council more money in the long term and could result in loss of the existing member of staff.

· The English Devolution White Paper had introduced uncertainty in the workforce and had destablised staff, further interim arrangements would not be helpful at this time..

· It would be harder to recruit someone to fill this post in 2027 due to the closeness of the local government reorganisation.

Points raised during the debate included:

· It could take months to find a suitable candidate and any position offered on a two year basis would be harder to recruit for.

· Members needed to support the leadership proposal to ensure stability of services to residents.

· Resourcing of staff was one of the top three risks for the Council.

Following a vote the amendment was LOST.

The following Members took part in the debate:

· Councillor Ralph Muncer

· Councillor Val Bryant

Points raised during the debate included:

· The recruitment of the Service Director – Environmental Health had made a positive impact on the directorate and improvements had been seen.

· Thought and hard work had gone into this proposal and Members wanted to keep staff happy.

· The LGA Corporate Peer Challenge wanted Officers to be able to achieve more and this would help to make this happen.

Councillor Daniel Allen proposed and Councillor Val Bryant seconded and, following a vote, it was: