SWANSEA COUNCIL PAYROLL CHAOS BLASTED

South Wales Evening Post - 6 June 2008

Swansea Council has been accused of blowing £2 million of taxpayers' money on a new payroll system which has now been suspended.

The council has announced that the payroll system, which was due to be included in the controversial eGovernment project, will not come to fruition.

Now the Conservative leader on Swansea council, Rene Kinzett has alleged that the suspension in the payroll system will cost £2 million.

He said: "In purely cash terms, the council has spent £2 million of taxpayers' money on a proposed payroll system that will not now work.

"The payroll system was supposed to save the council money."

The new system was first due be introduced in October 2006 at a cost of £819,000.

Councillor Kinzett added: "If this was a public company spending £2 million on a project which has been allowed to fall two years behind schedule and will not now be delivered at all, the shareholders would be looking to hold people to account.

"But in the world of local government, senior councillors and officers seem to be able to get away with a culture of failure and ineptitude.

"There were many points along the road to failure where action could have been taken.

"But instead, senior LibDem/Independent councillors and their senior managers decided to keep pressing on with a project doomed to fail.

"At the end of the road, we find that the taxpayer will now spend £2 million with nothing to show for it."

A council spokesman confirmed the payroll system had been suspended.

He said: "The council and Capgemini have agreed to suspend work on implementing the new payroll system.

"The suspension of work only affects the current payroll project. The IT service and the recently introduced IT systems for finance, procurement, HR and project costing are all unaffected and will continue as usual.

"The council and Capgemini have been working together in the past three years to deliver improvements to IT and customer services.

"Both remain committed to continuing this on going partnership in the future."

However, the Mayals councillor suggested relations between the two sides may not be quite so cordial.

He said: "There has also been the threat of legal action by both sides.

"The relations between Capgemini and Swansea Council are at a very poor state of affairs."

Council leader Chris Holley defended the relationship, adding: "There have been ongoing issues with the payroll system, but the council and Capgemini have worked together to reach agreement and we can now move forward.

"The agreement strengthens our relationship.

"It means we can focus our joint efforts on the other aspects of the contract and we can look forward with continuing confidence to improving efficiency in the council."

However, Councillor Kinzett added: "How can local taxpayers be in any way confident that the council and its strategic partner will get anywhere nearer achieving the promised savings from the rest of the failing eGovernment project?

"There has, to date, only been a 30 per cent success rate in terms of achieving the promised savings."