Agenda item - Verbal Update on Payroll System

Verbal update from the Interim Head of HR.

88.1         The Committee was given a verbal update of the Payroll System from the Head of HR Strategy, Policy & Projects, Katie Ogden, and it was explained that the latest internal audit findings had moved the service up to ‘reasonable assurance.’ A great deal of work had been undertaken to improve processes; as well as joint working with ICT on control. Online processes and changes to contracts had helped create additional controls in relation to the payroll system as well as some restructuring of staff. All this work had been completed within the agreed timescales. Self-service for additional time and expenses claims had gone live at the beginning of March 2013, and it was envisaged the bulk of this work would be completed by September 2013; under this system all additional payments would be input by staff and approved by service managers.

88.2         Work had been undertaken to comply with the auto-enrolment requirement (the statutory requirement to enrol qualifying staff into a pension scheme) and systems had been set up to manage this. All staff had now been migrated to monthly payments, and thanks were given to staff for embracing these changes. Overall, there was still considerable work to be undertaken before the desired position was achieved but it was confirmed that all of the original 14 actions from internal audit had now been completed, and the service was working to achieve a set of 7 new, but lesser, actions from the latest review.

88.3         Councillor Ann Norman noted there had been concern in relation to payroll for a number of years, but there was an understanding that these problems were not easy to address. The verbal update was reassuring, and it was vital that this work was completed properly. A written update was agreed for the September Committee, and for these to follow twice a year.

88.4         Dr Horne asked if there were any issues of concern – in relation to the 2012/13 audits – that should be reported to the Committee. In response, the Head of HR Strategy, Policy & Projects noted that there were none at this stage, and the External Auditor, Simon Mathers, added that although payroll was a defined risk in the audit plan, however, the significant improvement had been recognised and information could be reported to a later meeting about control and the efficiency of operations.

88.5         RESOLVED – That the Committee note the verbal update, and receive 6 monthly written updates.