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The embarrassing mistake that cost more than \u00a3100k(Image: Sean Hansford | Manchester Evening News)<\/p>\nAn investigation into a mistake at a Greater Manchester council has revealed ’embarrassing mismanagement’The embarrassing mistake that cost more than \u00a3100k(Image: Sean Hansford | Manchester Evening News)<\/p>\n
A report has revealed \u2018embarrassing mismanagement\u2019 which led to Oldham councillors being overpaid by more than \u00a3100,000.<\/p>\n
A series of human errors meant some representatives handed more cash as part of allowances received in lieu of a salary each year.<\/p>\n
The total amount owed to the council was initially confirmed at \u00a3110k, but has since been revised to \u00a3104k due to new information.<\/p>\n
A total of 93 councillors were affected, with 82 overpaid, 11 underpaid and one councillor unaffected due to foregoing their allowance increases, the report confirms.<\/p>\n
Each councillor owes or is owed different amounts due to different levels of responsibility.<\/p>\n
Of those who have discussed how much they owe with the Local Democracy Reporting Service, the figures range from just under \u00a3800 to almost \u00a35000.<\/p>\n
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The audit meeting at the JR Clynes building (Old Library) on Wednesday, October 22. (Image: LDRS)<\/p>\n
Councillors will have to pay the money back and have been given the choice to return their figure in a lump sum, or as part of a payment plan.<\/p>\n
The investigation into how the mistake came about was launched after a councillor queried the amount they were being paid earlier this year. The results, presented at an audit meeting on Wednesday, October 22, revealed human miscalculations, a lack of communication between departments, and a \u2018complete lack\u2019 of checks of balances to oversee the process of applying allowance increases.<\/p>\n
Councillor Sam Al-Hamdani, who sits on the audit committee, responded with outrage to the findings, saying: \u201cThis is embarrassing. As a process it shows consistent flaws and there seem to be shocking individual errors \u2013 like someone has been told to do a two per cent pay rise and has ended up applying 11 per cent. How does that happen? Where was the structure that was supposed to be looking after this?\u201d<\/p>\n
Pay rates are set every year by the Independent Remuneration Panel, which then directs the council\u2019s Democratic Services to calculate the new allowance for each individual councillor. An employee, who has since left the council, appears to have applied incorrect percentages, or added a flat rate increase instead of a percentage increase for three years in a row.<\/p>\n
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Councillor Sam Al-Hamdani called the mistakes ’embarrassing’. (Image: Sam Al-Hamdani)<\/p>\n
Because there was no process in place to check the individual\u2019s working, the incorrect figures were passed on to the payroll department without further review. Councillors had no way of knowing they were being paid the incorrect amounts, according to the report.<\/p>\n
Despite that, several councillors had reportedly come forward over the years to query their allowances \u2013 but were told \u2018this is the correct amount\u2019.<\/p>\n
The review, which involved officers combing through 3,384 individual payslips and countless council meeting minutes, could still not provide \u2018all the answers\u2019.<\/p>\n