Born in 1946 and brought up in Cupar, Fife, I was educated at the local school - Scottish Water (Meetings)
2. Bill Butler (Glasgow Anniesland) (Lab): To ask the Scottish Executive when it next plans to meet the chief executive of Scottish Water and what will be discussed. (S3O-5266)
The Minister for Transport, Infrastructure and Climate Change (Stewart Stevenson):
Regular meetings are held between officials and the chief executive of Scottish Water on a full range of issues that concern the business. Ministers last met the chief executive with the chair and board of Scottish Water in October. They plan to meet the chair and chief executive in March 2009 to discuss the draft business plan for 2010-14.
Bill Butler: During the discussions in October, I hope that the minister expressed his Government's and Parliament's sincere thanks to Scottish Water's staff for their hard work since 2002, which has achieved savings of £1 billion through efficiency savings and reduced operating costs. I also hope that he will acknowledge that the on-going dispute over Scottish Water's imposition of a 15-month pay deal is having a detrimental effect on its staff's financial situation and morale. Given that over the same period the remuneration of Scottish Water's various executive directors has risen substantially, from an average of £108,000 per annum to an average of £172,000 per annum, does the minister agree that Scottish Water's staff should be fairly rewarded for their dedication with a just pay settlement rather than the arbitrary imposition of what amounts to a wage cut?
Stewart Stevenson: Bill Butler may be interested to know that my colleague the Cabinet Secretary for Finance and Sustainable Growth met and had productive discussions with the Scottish Water unions yesterday. I associate myself with Mr Butler's tribute to the staff of Scottish Water, who have been a significant part of its success since 2002.
The rules and processes by which the remuneration of senior people in Scottish Water are set stem entirely from decisions by a previous Administration.
Jeremy Purvis (Tweeddale, Ettrick and Lauderdale) (LD): In the light of what the minister says, will he please refer to the Official Report of the Finance Committee meeting in which the Scottish Government's deputy head of finance confirmed that the new contract for the new chief executive of Scottish Water is substantially different from that of his predecessor and that it is indeed a deviation—that the Scottish National Party Government put in place—from the senior executive pay policy? Which minister signed off the new contract with the current chief executive's new pay?
Stewart Stevenson: Jeremy Purvis will be aware that the previous Administration set down policies and practices for remuneration of senior members of Scottish Water in the light of the substantial difficulties in retaining the necessary expertise to manage that company. The new chief executive's remuneration was set in that context.
Des McNulty (Clydebank and Milngavie) (Lab): Will the minister confirm that it remains the Scottish Government's policy to ensure that Scottish Water remains firmly in the public sector and continues to progress and rival in its work the most effective working of water companies elsewhere in the United Kingdom?
Stewart Stevenson: Yes.
