Northern Beaches Mayor Defends Staff Salaries After Council Votes to Raise Rates by 40%

Northern Beaches Mayor Defends Staff Salaries After Council Votes to Raise Rates by 40%
Image: Northern Beaches Council Mayor Sue Heins (The Project, left), residents protesting (Northern Beaches Advocate, right)

The Northern Beaches Mayor has defended the council’s staff salaries after a decision to raise local rates by 40% sparked significant public backlash. 

Many residents are questioning the council’s high staff salaries, arguing that the rate hike is unjustified, given the financial pressures faced by local families.

Sue Heins Defends Northern Beaches CEO’s $544,000 salary

Northern Beaches Mayor Sue Heins defended the $544,000 salary of chief executive Scott Phillips on Wednesday night, telling Channel 10’s The Project it was “not unusual”.

“So we don’t have a liquidity problem,” Heins said. 

“We also, like all councils at that very senior position, that is a position that is not coming under any award. We all look and headhunt for people that we’re looking for. So our CEO’s rate is not unusual,” she said. 

The mayor herself earns $556 000 annually. 

Phillips has an extensive background in local government, having previously worked as an Associate Director for Local Government Procurement, CEO of Local Government NSW and CEO for Uralla Shire Council. 

Northern Beaches Council approves controversial rate hike despite resident opposition

Despite opposition from approximately 200 residents, the Northern Beaches Council approved a controversial 39.6% rate increase by a narrow margin. 

Councillor Vincent De Luca, who voted against the increase, has called for state government intervention to introduce stricter regulations on local government salaries and benefits.

De Luca highlighted the cost of the council’s executive team, stating that the council employs 111 executives, costing over $25 million, with $3.3 million spent annually on their vehicles alone. 

He also claimed that staff wages total $170 million each year.

According to an analysis by The Daily Telegraph, Northern Beaches Council pays its top executives among the highest salaries in metropolitan Sydney.

In response to the criticism, a council spokesperson defended the compensation structure, stating, “Our employee costs are consistent with industry benchmarks, and we have some extremely high-performing employees whose skills are regularly recognised through industry awards.”

Liberal MP Matt Cross described the 40% rate hike as a decision that was “out of touch” with the Northern Beaches community. 

“In a cost of living crisis, this will negatively impact local households & small businesses. Average households & businesses will pay an extra $673 & 1,611 respectively each year,” Cross wrote in an Instagram post. 

“I will be writing to IPART requesting they do not approve this 40% rate rise, given a clear majority of the community did not support it in the consultation process. I call on the community to also write to IPART to have their say and be heard,” Cross added. 

Residents Express Outrage Over 40% Rate Increase

Residents have taken to social media to express their anger over the 40% rate increase, with many questioning the fairness of the decision.

In a Northern Beaches community forum, one person asked, “what about pensioners who are also on a fixed income. Do we get a 40% raise with Centrelink?”

While another person wrote, “Scott Phillips and his executive team are the problem. He earns $500k and the rest $400k. For doing what? He would not even justify what he does. They should all be made to re-apply for their jobs at half their current salaries – and to provide. a full justification of what they have done, and what they will do for US. This needs to go to ICAC”

CEO Scott Phillips earns $100,000 more than NSW Premier Chris Minns, whose salary package is $416,440.

The significant rate hike, combined with what many see as excessive executive pay, has sparked outrage in the local community, with many calling for the dismissal of all council executives and demanding greater accountability from the council.        

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