24/01/2011

Mackenzie Deal Revealed

The former boss of troubled NI Water (NIW) received a total severance package of £97,000, the Stormont Regional Development Minister, Conor Murphy has revealed.

He gave details of Laurence Mackenzie's pay-off deal in an answer to an Assembly question.

It includes £91,000 in respect of six months' salary. Mr Mackenzie resigned after the water crisis, which saw 40,000 homes and businesses without supply at its peak. NIW's performance during the crisis is to be investigated by the utility regulator.

The SDLP Regional Development Spokesperson Conall McDevitt has now called on the Sinn Fein Minister Murphy (pictured) to make a statement on whether he considers the £91,000 payout to Lawrence Mackenzie an appropriate severance for someone who resigned in such controversial circumstances.

Having obtained the figures through a written Assembly question, the South Belfast MLA said Mr Murphy needs to clarify why the taxpayer will ultimately foot an additional £6,000 bill, after NIW agreed to pay £3,000 for Mr Mackenzie's legal costs and £3,000 for his tax advisors.

"Following Mr Mackenzie's announcement to resign, the Minister said on several occasions that he would not support any large payout, yet it appears from the figures released to me that Mr Mackenzie got his full contractual entitlement.

"Many who are on a few weeks' or a month's notice will be gobsmacked to hear that Mr Mackenzie got a full six month's salary as he walked out the door.

"£91,000 is a huge sum of money for the vast majority of people. It would pay for quite a few call handlers or engineers at NIW. As it is, this is money down the drain," he fumed.

"The Minister also needs to clarify whether Mr Mackenzie is now free to seek alternative employment or whether he is on 'gardening leave' for the next six months.

"He also needs to clarify why NIW has paid £6,000 for his legal and tax advice," the SDLP MLA said.

See: Murphy On Rack Over Ex-NI Water Boss's Past

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