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EQC spends $144m on contractors

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Sun, 11 Dec 2011 10:32a.m.

The $144 million averages out to more than $177,500 per worker (file pic)

The $144 million averages out to more than $177,500 per worker (file pic)

The Earthquake Commission faces renewed criticism, this time over its $144 million bill for contractors assessing damaged Christchurch homes.

The EQC contracted 814 assessors, including 95 from Australia, between September 4 last year to September 30 this year, at a total cost of $144,528,907, according to figures obtained by the Sunday Star Times.

The bill averages out to more than $177,500 per assessor, although it includes food, flights and accommodation for workers from out of town.

All staff receive meal allowances - $15 for Christchurch-based workers and $70 for "food and incidentals" for other workers.

Assessors receive a base rate of $75 an hour, and estimators earn $60 an hour, with contractors working 10 hours a day, six days a week for three weeks, with the fourth week unpaid.

EQC Canterbury event manager Reid Stiven defended the cost, saying the long hours and demand for experienced workers had pushed it up.

Prior experience is one of the most valuable qualifications for an assessor, and many had experience from the Gisborne 2007 earthquake, he told the Sunday Star Times.

The EQC plans to cut its assessor numbers to below 170 in 2012, and reduce its staff based outside of Christchurch to cut costs.

Earthquake Recovery Minister Gerry Brownlee was unfazed by the cost.

"The cost of addressing an event of this magnitude was always going to be high, that's just a reality of the situation."

The EQC came under fire in the past week after a former employee claimed it was dishing out highly-paid jobs to relatives of staff.

Mr Stiven's son Zac, 19, is employed as an assessor, as is Nikki Kettle, the daughter of EQC claims manager Gail Kettle.

Matt Searle, the son of senior manager Barry Searle, is employed as an estimator.

The EQC has ordered an independent review into its recruitment process, "to protect staff from unwarranted criticism".

NZN

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Comments

12 Dec 2011 03:10p.m.

les wrote:

I can understand the cost issues and it sounds bad but the damage is huge. You have to have experienced people to look at the costs and the replacements of some of these homes and buildings. Its in the end if the repairs are bad and the work these people have done is bad then its time to complain alot as administration can be paper pushers and not real on the ground people. Hopefully its being done well for the people getting things fixed, after all its NZ and our future.!!!!!!!!!!!!