Former States Treasurer paid £169,375 in 'golden handshake'

Wednesday 10 June 2015

The former head of States finances was paid £169,375 in a 'golden handshake' deal when she left the Island last year.

Laura Rowley, who left the position of Treasurer of the States last July, was paid more than a year’s salary as a "compensation payment."

When her departure was announced, the States said that she had resigned her position, and no mention of the payment was made.

There were rumours at the time that she had fallen out with then-Treasury Minister Philip Ozouf – he strongly denied the rumours, saying that they had a “brilliant” relationship.

But now the payment has come to light in the States Accounts for 2014. During the media presentation of the accounts, once again no mention of the payout was made.

The new Treasury Minister, Senator Alan Maclean, said that the contract clauses that led to big pay-offs were already being reviewed as part of his work to reduce States waste.

He said: "There have, without doubt, been payments made in the last few years that appear on the face of it to be unacceptable.

"Pay-offs, where someone has chosen to go, should not be at a significant level, in my opinion. In the past few years we have seen significant payments that are hard to fathom, and they are not what I want to see."

At the time that Ms Rowley left the States, it was hot on the heels of two other significant payouts to departing executives. Former Chief Executive Bill Ogley and former Health chief Mike Pollard received payments totalling around £800,000 when they left their posts.

Mr Ogley’s payout of £546,337 was again linked to Senator Ozouf – Mr Ogley wrote that “Over the last two years a sustained period of interference and harassment by the Deputy Chief Minister and Treasury Minister has made it impossible to do my job to the best of my ability.”

A report in 2012 revealed that 11 civil servants were paid a total of £1.5 million over the previous five years in 'golden handshake' deals. Those figures did not include an additional £170,00 to former Waterfront Enterprise Board Chief Executive Stephen Izatt in 2011.

Questioned about the payout to Ms Rowley last year, Chief Minister Ian Gorst said that “the financial arrangements for the former Treasurer of the States were agreed in accordance with the States Employment Board policy and guidance."