Compo. heads ‘not up to their task’

Press, 5 December 1980, Page 3

Compo. heads ‘not up to their task’

PA Wellington The Government was putting a “stick of dynamite” under the management of the Accident Compensation Commission with its proposed restructuring, said Mr A. G. Malcolm, Government member for Eden, yesterday. Reporting back the Accident Compensation Amendment Bill from a select committee, Mr Malcolm criticised the management of the commission, .as did several other Government speakers. The bill is part one of a package to. change the accident compensation scheme so that the service becomes less wasteful, according to the Government. The first part of the package, which was being considered yesterday, radically restructures the administration of the commission. More sweeping changes of the scheme itself will come up for consideration next year. Yesterday’s bill aims to replace the present Accident Compensation Commission of three with a part-time board of directors. The day-to-day administration of the scheme would pass to a managing director, the first of whom will be Mr Len Fahy, who has been a commissioner since the introduction of compensation in 1973. Mr Malcolm said it was mot often the Government was given the chance to get rid of a “Quango” (quasi non-govemment organisation). “This Quango has a management structure which is not up to its present task and that is backed up by continuing public complaint, including groups such as the trade unions,” he said, i Mr Malcolm quoted the:

State Services Commission as saying there was a "complete’ lack of internal communication” in the commission, a lack of liaison, and poor staff relationships in the division. "We cannot run such an organsation on bad management principles; you cannot overcome problems by changing the personnel. They become victims of the : structure they inherit,” Mr Malcolm said. Mr E. E. Isbey (Lab., Papatoetoe) wondered what . was behind the haste in the ; Government’s attempting to put the legislation through. ,He described the Government’s attempts as bulldozing. He said the commissioners ; were "gagged” because they had not appeared in front of the select committee to give their views, and accused the Government of changing the “whole nature” of the scheme. The Government would destroy a scheme which had the admiration of the world, Mr Isbey said. The Minister of Health (Mr Gair) said the commission had not worked well as a team. Its demise as a result of the bill was more the fault of the commissioners themselves. "The idea of a board to handle policy matters and a managing director to act as the link between board and management is a business structure that has been proved again and again,” Mr Gair said. An Opposition move to refer the bill back to the select committee for recess study was defeated by the Government, 42-30. The bill was reported back when the Government won another division, 42-30.