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Extraordinary Council Meeting

24 May 2016

 

Item No:         Item 20

Subject:         Gratuity Payments  

File Ref:         16/507/57852.16         

Prepared By: Paul Foley – Payroll Coordinator, Leichhardt  

Authorised By: Matthew Phillips -   Director Corporate and Information Services, Leichhardt

 

SUMMARY

 

To advise council of a Gratuity Payments to employees.

 

 

RECOMMENDATION

 

THAT Council moves into closed session to deal with this matter as the information contained in CONFIDENTIAL ATTACHMENTS 1, 2 and 3 of this report are classified as confidential under the provisions of Section 10A (2) (a) of the Local Government Act 1993  for the following reason:

a.       personnel matters concerning particular individuals (other than councillors).

 

And in accordance with Sections 10A (4) of the Local Government Act 1993, that the Chairperson allow members of the public to make representations as to whether this part of the meeting should be closed.

 

 

 

BACKGROUND

 

Council has paid gratuities to all employees entitled to such under their employment conditions. To be eligible for a gratuity staff need to have commenced service prior to the 1 April 1977.

 

“As an act of grace, and without laying down any principle nor conferring any rights or imposing any obligation and while considering every case on its merits and in the light of the whole circumstances, that a gratuity equal to one week’s salary or wages for each year of service with Leichhardt Council and a gratuity equal to two week’s salary or wages for each year of service with City of Sydney, proportionately for a fraction of a year (such a service to take effect from the date of appointment to Council or to the former Councils of Annandale, Balmain and Leichhardt prior to Amalgamation), be granted to each employee whose services are terminated for any reason other than misconduct subject to the following principles:-

         

1.       Where the services of an employee are terminated in pursuance of Section 96A of the Local Government Act, 1919 (as amended), (that is, retiring age).

 

2.       Where any employee in consequence of ill-health is obliged to resign from Council’s service and is permanently incapacitated, a medical certificate be submitted as proof by a Medical Officer nominated by the Council.

 

3.       On the death of any such employee, the gratuity as abovementioned is to be paid to his or her dependents.”

 

 

FINANCIAL IMPLICATIONS

 

As detailed in CONFIDENTIAL ATTACHMENTS 1, 2 and 3.

 

 

OTHER STAFF COMMENTS

 

Nil.

 

 

PUBLIC CONSULTATION

 

Nil.

 

 

ATTACHMENTS

1.

Gratuity Payment 1 - Confidential

2.

Gratuity Payment 2 - Confidential

3.

Gratuity Payment 3 - Confidential