Schools send ministry bill for Novopay woes

  • 29/11/2012

A bill for some of the staff costs schools have been forced to pay to sort out the Novopay payroll bungle is to be sent to the Education Ministry.

Invoices for costs incurred by 32 schools, totalling around $125,000, will be presented to Education Secretary Lesley Longstone on Friday.

Secondary Principals' Association president Patrick Walsh says the bill was for work carried out in the schools to fix problems after the new payroll system was brought in August and represented on a small part of the total costs incurred by schools.

"More are coming through now and we anticipate that the issues with Novopay will continue into 2013 so it is quite likely that the bills will run into hundreds of thousands of dollars," he told Radio New Zealand.

Ministry spokeswoman Rebecca Elvy said in a statement that it had not ruled out compensating schools but its priority was to fix problems and help schools through the end-of-year process.

It had previously said it would reimburse any bank or other costs put down to payroll errors.

On Thursday all retail banks said they will offer interest-free overdrafts to teachers and other school staff until January.

New Zealand Bankers Association chief executive Kirk Hope said the move was to ensure affected teachers and staff had access to funds over the holiday period.

"I encourage affected school staff to get in touch with their bank so they know they're covered and can have some peace of mind over the holidays," said Mr Hope.

The payroll system has been plagued with mistakes since it was introduced with some staff not being paid, others over-paid and some schools paying for staff at other schools.

Schools reported fewer problems with the payroll this week.

An independent review of the $30 million Novopay payroll system will take place early next year.


source: newshub archive