Tuesday 21 September 2021
Select a region
News

States Chief Executive has £2.57million pension pot

States Chief Executive has £2.57million pension pot

Tuesday 15 November 2016

States Chief Executive has £2.57million pension pot


Jersey's top civil servant has built up a pension pot of £2.57million, and it appears other very senior States employees may have even higher amounts to enjoy in retirement.

The figures have been published in the 2015 States' accounts and they show that Chief Executive John Richardson has a bumper pension waiting for him on retirement of over £2.5million. The accounts also show that Health and Social Services Chief Officer Julie Garbutt had £1.66million in her States pension pot at the end of last year.

Mr Richardson's salary last year was between £205-210,000 a year, while Mrs Garbutt was paid £180-185,000 in 2015. 

Other pension pots which hit over the million mark by the end of 2015 include (titles are for 2015): Michael Wilkins £1.7m (Judicial Greffier and Viscount), Paul Matthews £1.69m (Judicial Greffier), Brian Heath £1.19m (Chief Probation Officer) and Mike De La Haye £1.31m (Greffier of the States).  

Mr Richardson's pension pot is not likely to be the highest of current States employees, as there are eight who are paid higher than the Chief Executive's pay band. The pensions of those other eight employees have not been publicised. 

Treasury Minister Alan Maclean said pension rules have now changed as the previous system was "unsustainable" - but the alterations will not affect either Mr Richardson or Mrs Garbutt.

"We have moved from the original system - which most corporations and local Governments used - which was a final salary pension, to a career average. The timetable has been set to do that and it has been agreed in the States. That's a step in the right direction. There will be a cap in the liabilities because if we had carried on with the current system it would have been totally unsustainable. We have now get ourselves into a better position than we were, with the career average structure. It is better now than it was.

"We have recognised the problems we had and Jersey was slow in moving to address the final salary system. It was dropped by others some time ago. We have been slow getting there but we now have a system which has been approved and is fairer, although obviously we cannot make this change retrospectively.

"Everybody who now becomes a States employee, goes into the new system."

Deputy Andrew Lewis, Chairman of the States spending watchdog, the Public Accounts Committee, said: "My take on it is that we urgently need a new benchmarking exercise because I do think both these pensions figures are too generous and also the contribution the employer is making, in this case the States, is also too generous.

"The fact is that we, the States, as employers, are paying around 16% of contributions towards pensions. That is too high and it is also unsustainable in the long term. People are living longer and as such I don't think that level of contribution is sustainable anymore. 

"I think in terms of wages we pay some people too much and some people too little. I haven't got a huge problem with the wages we pay because I know in terms of other similar sized organisations our pay structures are not overly generous. But I do have a problem with pensions and I didn't know it was as high as these figures. I do think something needs to be done to pension amounts, which in some cases are too high. This is a great concern to me."

But Senator Sarah Ferguson said she felt the huge pension package enjoyed by top civil servants will not go down well with other States employees, especially those lower down the pay scale.

"My interest is in transparent Government, that is what really concerns me," she said. "In the past civil servants were given good pensions because their pay was relatively low. That is clearly no longer the case. Too many civil servants are paid very well, receive huge pensions and yet that doesn't seem to filter down to the actual workers. I assume they will look at these figures and will scarcely believe them."

A spokesman for the Chief Ministers' Department said: “The States Accounts are published every year, and include remuneration and pension details for the most senior public servants. The Chief Executive of the States and the Chief Officer of HSSD (Health and Social Services Department) have pension values commensurate with their length of service and remuneration, both here and in the UK. Their pensions are established under exactly the same rules as any other member of the public sector pension scheme.”

 

     

Sign up to newsletter

 

Comments

Comments on this story express the views of the commentator only, not Bailiwick Publishing. We are unable to guarantee the accuracy of any of those comments.

Once your comment has been submitted, it won’t appear immediately. There is no need to submit it more than once. Comments are published at the discretion of Bailiwick Publishing, and will include your username.

Posted by Wendy Ryan on
There are two key words in the job title, "public" - clearly very. And "servant". Neither of these make for a comfortable job. They require a calm, balanced, outstanding talent, focus and sense of responsibility. For years.
Is this publication now going down the line of envy-generating, headline grabbing figures, without the balance of clear thinking?
Posted by DavidLe Quesne21 on
Interesting that there are two key words according to Wendy Ryan, again no mention of the most important duty of anyone engaged in the upper levels of Civil Service and that is "Accountability", which it would seem from the number of gaffes made by Mr Richardson costing the taxpayer may hundreds if not millions of £pounds go totally ignored.
Posted by Denise Shrives on
This is really bad - just what do they do to earn this ? This is our money the ordinary worker, pensioner etc. who pay tax ! The whole Civil Service should be over hauled - The Island is short of money so it's about time all expenses/out going monies were looked at. If we can't afford our social services then these people should not be first in line for what ever money there is. Take care of health, education etc first and if there is not enough money then REDUCE these wage bills ! Surely in this digital/electronic age we DO NOT need so many bodies in the Civil Service.
Posted by Bo In Jersey on
No mention of the easy living be made at the JFSC by Harris and his first class travel sidekicks. Apparently not strictly CS so slips under the radar.
Posted by lawrence scally on
I fail to understand how Julie garbutt could have accumulated such a large pension fund after such a short time in her position,on the other hand while not in agreement john Richardson gas been a senior states employee for years
Posted by Tim South on
So a mere six years brings a £1.66 million to Julie Garbutt in pension entitlements. She is worth every penny. The hospital waiting lists are so very short, the wards are efficiently run, and fully staffed. The hospital consultants now work full time for their wage packet rather than constantly looking after their private patients. The pemantly installed Consultants called Capita that used to cost the health services millions have been sacked forcing hospital management to actually do the jobs they are paid for.

Of course non of this has happened under Mrs Garbutt watch it has got worse. Over to you health and other ministers why are you not asking the questions and taking action ?

https://www.gov.je/News/2010/Pages/HSSChiefOfficerAppointed.aspx
To place a comment please login

You have landed on the Bailiwick Express website, however it appears you are based in . Would you like to stay on the site, or visit the site?