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Politicians have raised concerns about the “stability” of the Government CEO’s new six-month contract – but the Chief Minister has said he expects the current incumbent to stay in post "until at least the next election, and beyond”.
It was announced earlier this month that Dr Andrew McLaughlin will be appointed as the substantive CEO from 1 July 2024.
The contract is fixed-term for six months, with an option to extend if both the Government and the CEO agree.
Pictured: Dr Andrew McLaughlin was appointed Interim Government CEO in September last year.
Dr McLaughlin was appointed Interim Government CEO in September last year on secondment from NatWest bank, where he co-led its ‘Commercial and Institutional’ division.
His initial nine-month contract came to end in May 2024.
Since then, Assistant CEO Tom Walker has been leading the public sector on a temporary basis as Acting CEO.
In the States Assembly this week, Chief Minister Lyndon Farnham said he hoped Dr McLaughlin would remain in post “as long as possible” and at least until the next election in mid-2026.
But politicians raised concerns that the short-term contract could create a “highly unstable situation”.
Deputy Farnham said: “I fully expect the CEO to remain in post until after the next election.
"The six-month review period included by mutual agreement is to provide flexibility and an opportunity to ensure the arrangements continue to be right for the government and public sector and, of course, Dr McLaughlin.
“It is a rolling contract, and the hope and expectation of both parties is that Dr McLaughlin will remain until at least the next election, and beyond.”
Deputy Helen Miles asked why the recruitment process for a permanent CEO was not restarted if the “the current incumbent, for whatever reason, did not wish to commit permanently”.
In response, Deputy Farnham said: “The island and public sector need stability right now.
"Dr McLaughlin made a very good start in his role as Interim CEO, so we didn’t go back and start an open process again, in order to maintain that stability.
"We hope he will stay with us for as long as possible.”
Pictured: Chief Minister Lyndon Farnham said he expects Dr McLaughlin to stay in post "until at least the next election, and beyond" – despite the CEO's contract only being for six months.
He added that a fixed-term contract was more "sensible" than a permanent contract.
“Members will know that when permanent contracts are entered, with senior staff, they are very difficult to get out of," said Deputy Farnham.
"At that level, we should perhaps look to more fixed-term contracts than permanent contracts, and that’s a discussion we will have in due course."
Deputy Jonathan Renouf noted that the current arrangement left Dr McLaughlin with the ability to walk away after six months, triggering a new recruitment process.
He said: “I can hear a contradiction emerging in the Chief Minister’s answers.
"He talks about stability, which implies a longer contract, but then talks about a six-month review. That would surely be a highly unstable situation.”
The process opened in November 2023 to find a permanent successor for Dr McLaughlin was stopped in January following the vote of no confidence in former Chief Minister Kristina Moore.
The closing date for applications was due to be in mid-January, with shortlisting and panel interviews taking place the following month. It was then anticipated that the successful recruit would start in June.
Following questions from Express, it emerged that the recruitment process for a permanent Government CEO was never officially restarted.
Chair of the Public Accounts Committee, Deputy Inna Gardiner said that it was of "really great concern" that Dr McLaughlin's contract was only for six months.
Speaking to Express ahead of the States sitting, she said: "We need stability. There's been enough instability in the political sphere in the last two years."
Pictured: Scrutineer Inna Gardiner said that it was of "really great concern" that Dr McLaughlin's contract was only for six months.
She explained that the reason why the recruitment for a permanent CEO was suspended in January was to provide "stability" in the public sector – something which she says will be hard to achieve within a six-month time limit.
Deputy Gardiner raised concerns that someone on a six-month contract would approach the job differently that someone on a permanent contract.
“You can’t put goals in place for six months,” she said.
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