Council employee received £303,000 in redundancy payoutCombined authority reveals former director’s redundancy paymentCouncil declines to reveal identity of employee who received £322,000 paymentCombined authority refuses to reveal former director’s redundancy payment after freedom of information requestSecret council employee receives huge redundancy payoutRedundancies at Henshaws after ‘reorganisation’North Yorkshire Council set for £513,700 redundancy payout to three senior managers

North Yorkshire Council looks set to make three former district council managers redundant at a cost of £513,700.

The council, which replaced Harrogate Borough Council and seven other district and county councils at the start of the month, is restructuring its workforce.

According to a report due before the authority’s executive, senior managers who were transferred to the council under TUPE regulations can be offered “substitute duties” which fit their job descriptions.

Some senior staff left for other jobs before the authority was formed, while others took up roles on the new council.

However, three of the senior managers are due to be made redundant after the roles they were allocated were “time-limited”.

The report said:

“There are three senior managers where the substitute duties allocated are time-limited, and on conclusion they will be in a redundancy position.

“Legal advice has been sought and confirms this position.”

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As a result, the council looks set to pay an estimated £513,700 in exit packages to those being made redundant.

None of the officers are former employees of Harrogate Borough Council.

The payments will be split by £107,000, £108,000 and £298,000.

Carl Les, leader of North Yorkshire Council, said the move to one council has helped to save £3.7 million in senior officers’ pay.

He said:

“A huge amount of work has been undertaken to bring together the previous eight councils into one and ensure that there is value for money for North Yorkshire’s taxpayers. 

“The move to one single management team for North Yorkshire Council has saved about £3.7 million in pay for senior officers every year. The fact that there are only three senior managers in this situation is significantly less than other councils in this position. 

“To have these managers still involved for a defined period has been of significant benefit to the new council, making full use of their skills and experience for work that would otherwise have needed extra resources in terms of appointments, interim managers or consultants.”

A meeting of the council’s executive is set to discuss the matter on Tuesday, May 2. Senior councillors have been recommended to refer the matter to full council.

In December, Unison wrote to the authority warning it not to offer senior managers more favourable redundancy terms than other staff.

The letter came as Hambleton District Council agreed to pay £767,065 to four senior officers who decided they do not wish to work for the unitary North Yorkshire Council after April 1.

The payments were agreed even though the four directors had been assured they would be offered “suitable roles” at no financial loss to themselves when they transferred to North Yorkshire Council.

Former Harrogate Borough Council chief executive Wallace Sampson negotiated a £101,274 redundancy pay-out before his departure at the end of March.

Historic Harrogate hotel closes as staff face redundancy

The staff of a landmark Harrogate hotel have been left awaiting confirmation of redundancy, as its new owners closed the business and shuttered its doors today. 

The Hotel St George is to be remodelled and reopened as a pub with rooms following a 16-week programme of works, but none of the hotel’s 76 current employees has been invited to remain in post. 

General manager Paul Donkin said the day marked the end of an era: 

“It’s very sad – there’s a lot of upset here today. I came into this job just as lockdown ended, and I had seven weeks to put together a team and get the hotel back up and running. We’ve spent two years building the business back up again, so to see it close is hard to take. It’s very emotional for those of us who have put such a lot into it.” 

The St George Hotel, opposite the Royal Hall on Ripon Road, was bought in February last year by The Inn Collection Group, a Newcastle-based company that also owns the Ripon Spa Hotel, Dean Court in York, and the Black Swan in Helmsley, among others.  

The Inn Collection Group is the hotel’s third owner in as many years. Its previous owner, Bespoke Hotels, acquired it from Specialist Leisure Group, which went into administration in May 2020. 

Mr Donkin said: 

“Why they want to make everyone redundant, only to have to find new staff when they reopen, I don’t know – it makes no sense to me. 

“But to give them their due, Inn Collection Group have followed all the proper procedures and have been very decent about it.” 

Mr Donkin said the blow of redundancy had been further softened for most of the hotel’s employees because he had managed to find them alternative employment. 

He said: 

“The day after I heard the hotel was to close, I emailed the general managers of all Harrogate’s hotels, and they’ve all been fantastic, sending me their vacancy lists and moving heaven and earth to find people jobs. Probably 95% of staff now have new jobs to go to. 

“I always said hospitality was the best job in the world, but in Harrogate it’s even better.” 

The St George Hotel grew out of the Chequers Inn and was renamed after George III’s gift of the Stray to the people of Harrogate in 1778. 

It was enlarged several times during the 19th century and renamed the St George shortly before the First World War. 

It was badly damaged by fire in 1927 and requisitioned by the Post Office and Air Ministry during the Second World War before re-opening as a hotel in 1952. It acquired a spa facility in 1985. 

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Councillors give backing to Harrogate council chief executive’s £101,000 redundancy pay-out

Councillors have backed a package worth £101,274 for outgoing Harrogate Borough Council chief executive Wallace Sampson.

The five councillors on the authority’s chief officer’s employment committee, which includes four Conservatives and one Liberal Democrat, met yesterday to discuss a report written by HBC’s head of legal & governance Jennifer Norton.

The report recommends Mr Sampson is paid a settlement due to the impending abolition of HBC.

HBC will cease to exist along with six other district councils and North Yorkshire County Council from April 1, 2023. A new unitary authority called North Yorkshire Council will replace them to run services across the county.

Mr Sampson’s settlement is made up of a contractual £71,633 redundancy payment and £29,641 for a 12 week notice period that he will not have to work as his job will end on March 31. 

He is paid a salary of £118,447.

After HBC is abolished, his employment would automatically transfer to North Yorkshire Council. 

However, the report says because the new council is “likely to refuse to recognise” Mr Sampson as an employee he would be “effectively stranded” and it could lead to an unfair dismissal claim.

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A redundancy package offered now would therefore reduce the “risk of the risk of costly legal proceedings that will be picked up by the public purse”.

Ms Norton summarised the report and described the settlement as a “practical and pragmatic” solution.

Conservative deputy council leader Graham Swift chaired the meeting in place of council leader Richard Cooper, who was absent.

Cllr Swift said HBC had been “disciplined” in preparing the settlement for Mr Sampson.

Hambleton District Council has faced criticism after offering a £225,000 pay-off for outgoing chief executive Justin Ives.

Cllr Swift praised Mr Sampson for his commitment to the role as staff prepare to move to the new council.

He said:

“We’re fortunate that we have a chief executive that is not just hanging around but ensuring employees are protected into the new organisation, that’s very important for staff to see leadership taking place.

“My experience is the chief executive role is one that nobody wants to do but everyone thinks they can do it better. As Wallace steps down we’re in great shape. At full council we’ll express our sincere thanks for his commitment.”

A full meeting of the council will take next Wednesday where councillors will have a final vote on Mr Sampson’s redundancy package.

Speaking ahead of the meeting, leader of the Liberal Democrats on the council, Pat Marsh, said she will be asking her colleagues to approve the package next week.

Cllr Marsh said:

“Looking at what some other district and borough councils are proposing for their chief executives, I welcome what is being recommended.

“I will be urging my group to support the package being offered to Wallace Sampson.”

Current North Yorkshire County Council chief executive Richard Flinton has already been announced as the chief executive of North Yorkshire Council.

He will earn a salary of up to £197,000 a year with responsibility for an annual budget of £1.4 billion and a workforce of 10,500 staff.

Union issues warning about directors’ redundancy pay at Harrogate Borough Council

Unison is to write to Harrogate Borough Council today warning them not to offer senior managers more favourable redundancy terms than other staff when it is abolished.

Seven district councils, including Harrogate, and North Yorkshire County Council will cease to exist on April 1, when they will be replaced by the new North Yorkshire Council.

All staff, except the chief executives, are due to transfer to the North Yorkshire Council under TUPE regulations.

But Hambleton District Council has agreed to pay £767,065 to four senior officers who decided they do not wish to work for the unitary North Yorkshire Council after April 1.

The payments were agreed even though the four directors had been assured they would be offered “suitable roles” at no financial loss to themselves when they transferred to North Yorkshire Council .

This has prompted trade union Unison to write to all the councils demands all staff be treated the same.

A spokesman for the North Yorkshire branch of Unison said:

“We will be writing to all the district/borough councils later today to advise them that if they are minded to follow Hambleton we will expect them to offer packages to all staff and not just those on big salaries.”

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Harrogate Borough Council’s chief officer employment committee is due to meet tonight to discuss awarding chief executive Wallace Sampson a £101,274 redundancy package.

Mr Sampson would receive a contractual redundancy payment of £71,633 plus £29,641 for a 12-week notice period he will not have to work.

Mr Sampson’s exit package is considerably less than that announced so far for other chief executives who will leave their jobs on March 31.

Selby District Council chief executive Janet Waggot is to receive a redundancy package worth £210,000 and Hambleton District Council’s chief executive, Justin Ives, is to receive a £225,000 settlement.