A parliamentary question regarding a large payment to the former Managing Director of Western Power, seeking justification for the amount, including a performance bonus. The Minister's response details the breakdown of the payment as contractual entitlements.

AnsweredQoN 1472Legislative Assembly
Asked
31 August 2006
Portfolio
Energy

QuestionView source ↗

I refer to the Minister’s approval of $1.02 million being paid to the former Managing Director of Western Power, Mr Tony Iannello, effectively for nine months’ work, and ask -
(1) How does he justify such a payment, which also included a $38,000 performance bonus?

AnswerView source ↗

Answered
24 October 2006
Responded by
Minister for Energy
Response time
54 days
The Minister for Energy has provided the following response: (1) The payments referred to represent Mr Iannello's entitlements, including nine months salary, bonuses for both the 2004/2005 financial year and the first nine months of the 2005/2006 financial year, non-monetory items, superannuation and termination benefits. The $600,544 termination benefit resulted from the decision to pay out the remainder of Mr Iannello's contract, as recommended by the Board. The $37,917 performance bonus was for the nine-month period from July 2005 to March 2006. Mr Iannello was entitled to this bonus under his contract. The bonus was determined by Western Power Corporation according to an established framework as outlined in the Annual Report.
(1) The payments referred to represent Mr Iannello's entitlements, including nine months salary, bonuses for both the 2004/2005 financial year and the first nine months of the 2005/2006 financial year, non-monetory items, superannuation and termination benefits. The $600,544 termination benefit resulted from the decision to pay out the remainder of Mr Iannello's contract, as recommended by the Board. The $37,917 performance bonus was for the nine-month period from July 2005 to March 2006. Mr Iannello was entitled to this bonus under his contract. The bonus was determined by Western Power Corporation according to an established framework as outlined in the Annual Report.
(1) The payments referred to represent Mr Iannello's entitlements, including nine months salary, bonuses for both the 2004/2005 financial year and the first nine months of the 2005/2006 financial year, non-monetory items, superannuation and termination benefits. The $600,544 termination benefit resulted from the decision to pay out the remainder of Mr Iannello's contract, as recommended by the Board. The $37,917 performance bonus was for the nine-month period from July 2005 to March 2006. Mr Iannello was entitled to this bonus under his contract. The bonus was determined by Western Power Corporation according to an established framework as outlined in the Annual Report.
The $600,544 termination benefit resulted from the decision to pay out the remainder of Mr Iannello's contract, as recommended by the Board. The $37,917 performance bonus was for the nine-month period from July 2005 to March 2006. Mr Iannello was entitled to this bonus under his contract. The bonus was determined by Western Power Corporation according to an established framework as outlined in the Annual Report.
The $37,917 performance bonus was for the nine-month period from July 2005 to March 2006. Mr Iannello was entitled to this bonus under his contract. The bonus was determined by Western Power Corporation according to an established framework as outlined in the Annual Report.

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