Sudden resignations and abrupt departures seem to be the fashion at present.
First there was the chief executive
of Health New Zealand who announced her resignation four months before her
contract was due to expire, and left her role almost immediately. Then there
was the Director of Public Health who announced he was stepping down and would
be leaving within a couple of weeks. He was followed by the Director-General of
Health who announced her resignation and left a week later. This week there has
been the resignation of Pharmac's chief executive, effective from the end of
May, and the bombshell announcement of the Reserve Bank Governor's resignation
and immediate departure.
Five public sector heavyweights
resigning and walking out the door within the space of a month must be
unprecedented. The resignations may all be unrelated and therefore simply
coincidental, but the number of sudden resignations in such a short time
suggests not and raises suspicions of some sort of behind the scenes agitation
and orchestration by Ministers. Each of the departing officials had had their
run-ins with members of the current government, both since the election and
when they were in Opposition beforehand.
However, with the exception of the
position of Governor of the Reserve Bank who is appointed by the Minister of
Finance, Ministers are not supposed to have any overt role in the appointment
and dismissal of senior public servants – that is the preserve of the Public
Service Commissioner. Indeed, unrelated comments last week by the Prime
Minister and other Ministers that they were considering amending the law to
give Ministers a greater role in the appointment of senior officials aroused
strong criticism that this amounted to political tampering with the
independence of the traditionally neutral public service.
But that is not to say that there
are not ways now in which Ministers influence senior public service
appointments. The Public Service Commissioner's recommendation of a departmental
chief executive’s appointment is signed off by Ministers. That is usually a
formality, but it has not been unknown – although rare – for a recommendation
to be sent back for "reconsideration".
Similarly, Ministers can – and do –
raise concerns with the Public Service Commissioner about the performance of
chief executives with whom they are unhappy, for whatever reason, in the
expectation he will take the appropriate action. In a more direct way,
Ministers can make their discomfort with certain senior officials well known,
either in Opposition before they come to office or once in power, with the
intention that the officials concerned will get the hint and decide to move on.
If this is the case in each of the
current resignations, it raises wider questions about the future neutrality of
the public service. While Ministers must have confidence in their senior public
service officials, they cannot try to compromise their neutrality by expecting
them to do the government’s political bidding. Officials must always be able to
work closely and professionally with Ministers on the development and
implementation of government policy, while keeping their political distance.
That separation gives the public service its integrity and credibility and
should not be interfered with for the short-term political advantage of the
government of the day.
However, the spate of recent
resignations, along with the unrelated comments about giving the government
more direct power in the appointment of senior public servants suggest the
traditional concept of public service neutrality is being blurred. Although we
are thankfully a very long way from the American model where several top tiers
of the public service are expected to tender their resignations whenever the
Administration changes, we could be moving to a time where senior officials are
expected by Ministers to be more openly politically aligned to the government’s
objectives, and to step aside if they are not.
Indeed, this may already be the case,
given that the appointments in question all happened under the previous
Labour-led government, but it still has implications for those who will take on
the now vacant senior roles. It is hard to imagine that they will not be people
seen to more aligned to the current government’s agenda, which will both immediately
raise questions about their own political neutrality and have a flow-on effect
on the wider public service. And once the process of politicising senior public
appointments becomes embedded, it will be very difficult to wind back.
The new Public Service Commissioner
has already spoken about changes he wants to make to improve the delivery of
public services to increase confidence in the public sector. In the light of
recent events, he may now well need to add specifically reinforcing the
political neutrality of chief executives to his list of proposed reforms.
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