Ballarat Council executives advanced the careers of personal associates and former colleagues
Date posted:
Modern music begins to play.
Victorian Ombudsman Deborah Glass appears in mid-shot closeup, against a virtual backdrop of Ballarat Town Hall. She is speaking directly to camera.
Glass: Local government is claimed to be a small world where everyone knows each other. All the more reason for those within it to be mindful of conflicts, be they actual or perceived.
Glass: This investigation arose out of complaints from whistleblowers, involving two senior staff at Ballarat City Council.
The opening scene fades to footage of Ballarat Town Hall. As the camera pans the building, cars and people pass by in Ballarat’s town centre.
Glass: They alleged that the two officers, one of them the CEO, had engaged in improper conduct by hiring or advancing the careers of their friends and associates.
The footage fades to a quote from the CEO of Ballarat City Council:
“… it surprises me that there can be a perception that it’s untoward … maybe I’m just naïve.”
A second quote appears, received in evidence to the investigation:
“… there was a perception amongst staff that: ‘Oh yeah, Terry’s hiring his mates.’”
The quote fades to a slide containing the heading: “Why does this matter?”
The screen fades back to the mid-shot of the Ombudsman speaking directly to camera.
Glass: Allegations of nepotism are damaging for many reasons, even if they are not substantiated. They damage the individuals complained about, as well as those who were hired, who for no fault of their own may find the merits of their appointment called into question.
The shot fades to a quote from “Officer C”:
“It’s hung over me … Everything I do now in my current role I do that much harder to prove that I’m the right person …”
Glass: They damage the reputation of the organisation, and the morale of those working within it.
A slide appears with a quote from a “former senior Council officer”:
“There was a general feeling of unease … a perception that it was potentially someone with a relationship with the CEO that had been recruited.”
The slide fades back to the mid-shot of the Ombudsman speaking directly to camera.
Glass: And ultimately, they damage public trust in the integrity of government.
The shot fades to a slide containing the heading: “What did I find?”
Glass: I found that a Director had been improperly involved in recruiting three former colleagues or friends to senior roles at the Council, had changed a Position Description to suit one of them, and had chaired a Tender Evaluation Panel that selected a friend’s company as a preferred supplier to the Council.
A new slide appears containing the following text:
“I found the Director, Infrastructure and Environment had:
- been improperly involved in the recruitment of three people
- changed a Position Description to suit one of these people
- chaired a Panel that selected a friend’s company as a supplier.”
The screen fades back to the mid-shot of the Ombudsman speaking directly to camera.
Glass: The allegations against the CEO were not all substantiated. But I did find that she was involved in employment decisions regarding a friend and an associate. This was unwise, and may have been improper.
Glass: The assertion that those hired or advanced were the best people for the job cannot be tested when process is not followed.
Glass: I have made two recommendations.
The shot fades to slide containing the following text:
“Recommendation 1
Establish an arrangement by June 2020 under which:
Council consider the findings of this report in respect of Council’s CEO, Justine Linley, and take such action, if any, in respect of those findings as it determines is appropriate.
Council’s response: Accepted.”
A second slide appears containing the text:
“Recommendation 2
That the Council’s CEO consider whether to take disciplinary action or management action in respect of Council’s Director, Infrastructure and Environment Terry Demeo.
CEO’s response: No comment.”
The screen fades back to the mid-shot of the Ombudsman speaking directly to camera.
Glass: Senior officers must lead by example. They set a culture in which acceptance of poor practice can become the norm.
Glass: Ultimately, I hope this report serves as an example of why conflicts of interest must be acknowledged, and managed, appropriately.
The shot fades to a closing slide, containing the Victorian Ombudsman logo above the text: “To read the report, or for more information, visit our website. www.ombudsman.vic.gov.au Music: Inspire from Bensound.com.”
The screen fades to black and the music fades to silence. End.
Ballarat Council’s CEO and a Director gave personal associates and former colleagues preferential treatment in employment decisions, the Victorian Ombudsman has found.
Ombudsman Deborah Glass said her investigation began after eight whistle-blower complaints to her office, “first alleging a director was hiring his mates, then alleging his boss was hiring hers”.
”Council staff became genuinely concerned that senior officers were employing their friends, and it is a poor look for the council that such a view should flourish,” Ms Glass said.
Tabling her Investigation into alleged improper conduct by Executive Officers at Ballarat City Council in the Victorian Parliament today, Ms Glass said the Director, Infrastructure and Environment was found to have been improperly involved in recruiting three former colleagues to senior roles at the Council. He also changed a Position Description for a role to better suit one of them after HR raised concerns about their suitability for the original role.
While less serious, the CEO was involved in employment decisions regarding two staff, which were “unwise at best, and may have been improper”.
Ms Glass said not all of the allegations against the CEO and Director were substantiated.
“But senior leaders must lead by example. They set a culture in which demonstration and acceptance of poor practice can become the norm.
“Allegations of nepotism are damaging for many reasons, even if they are not substantiated,” Ms Glass said.
“They damage the individuals complained about, as well as those who were hired, who for no fault of their own may find the merits of their appointment called into question.
“They damage the reputation of the organisation, and it is not an overstatement that ultimately they damage public confidence in the integrity of our system of government.
“The excuses given for such breaches of hiring practices are almost invariably that the person hired was the best person for the job and it was in the interests of the business, usually because things needed to be done quickly.
“The assertion that those hired were the best people for the job cannot be tested, because process was not followed.”
Ms Glass said other Victorian council employees should heed the lessons of her investigation.
“Local government is claimed to be a small world where everyone knows each other,” Ms Glass said.
“All the more reason for them to be mindful of conflicts, actual or perceived, and to manage them appropriately.”
Read: Investigation into alleged improper conduct by Executive Officers at Ballarat City Council.
Please note: Ms Glass will not be available for interview about this investigation, due to it being about the conduct of individuals and the requirement of parliamentary privilege.
Media contact: Mob 0409 936 235