Former KiwiBuild chief executive Stephen Barclay was investigated after allegations from employees, contractors and stakeholders about his leadership behaviour, the Ministry of Housing said today.
However, Mr Barclay said the nature of complaints related to the implementation of the KiwiBuild programme.
Ministry of Housing and Urban Development Chief Executive Andrew Crisp released a statement today confirming Mr Barclay's resignation on January 18.
The statement said the resignation came amid an employment investigation which was triggered by complaints received from employees, contractors and stakeholders about Mr Barclay's leadership behaviour.
"The allegations reflected behaviours that are not consistent with standards expected of senior public servants," said Mr Crisp.
"I commenced an employment investigation into those allegations. While the investigation was ongoing, Mr Barclay resigned.
"There was no exit payment or confidential deal reached with Mr Barclay. Mr Barclay resigned with immediate effect and received no payment in lieu of notice."
Mr Crisp said the alleged conduct was not linked to the KiwiBuild programme implementation, however Mr Barclay denied this.
Barclay pursues case of constructive dismissal
Mr Barclay is now taking a case of constructive dismissal against the Ministry of Housing and Urban Development.
A statement issued on his behalf by an Auckland public relations agency this afternoon said Mr Barclay is "extremely disappointed that the Ministry of Housing and Urban Development has divulged details of an employment matter and considers this a breach of privacy".
"Mr Barclay was employed by MBIE from July to October 2018 when the KiwiBuild programme was transferred to the Ministry of Housing and Urban Development. During this period, there were no issues raised about his performance, management style or leadership," the statement said.
Mr Barclay confirmed that within two weeks of the KiwiBuild programme moving to the Ministry of Housing, "there were a small number of complaints".
"The nature of the complaints related to Mr Barclay’s direct management style and dealings with certain individuals. They were entirely linked to the implementation of the KiwiBuild programme which was Mr Barclay’s only remit. His commitment was to execute against the targets of the KiwiBuild programme, and he was attempting to do this at pace."
"As soon as Mr Barclay was informed of the complaints, he responded to them within the week, requesting the complaints be independently investigated and additional people relevant to the complaints be questioned. These requests were repeatedly denied and Mr Barclay was suspended from his role for more than two months.
"This made his position untenable and led to him resign in his and the KiwiBuild programme's best interests. At the point in which he was suspended, the number of KiwiBuild homes were on track to meet the Year One target," the statement said.
"Mr Barclay is pursuing a case of constructive dismissal," it concluded.
The State Services Commissioner, Peter Hughes, released a statement this evening saying he is satisfied with the way the Chief Executive of the Ministry of Housing and Urban Development has managed this employment matter involving the head of KiwiBuild, Mr Barclay.
"His actions are consistent with what I would expect of a public service chief executive, " Mr Hughes said.
"I am acquainted with the facts of this case and they do not support a number of statements in the media release issued by Mr Barclay’s Public Relations Company today," he said.
KiwiBuild has been led by Head of Office of the Chief Executive Brad Ward since mid-November.
Background
Stephen Barclay released a statement via a public relations company of his resignation, effective immediately.
"As of Friday 18 January 2019, Stephen Barclay has resigned from his role as Head of KiwiBuild at the Ministry of Housing and Urban Development with immediate effect."
On December 10, the Ministry of Housing and Urban Development issued a statement saying Mr Barclay was away from work but had not resigned.
Also in December, Housing Minister Phil Twyford said he was first briefed on October 31, "that there were matters the chief executive of the Ministry of Housing and Urban Development was looking into".
"I was told at that point it would be better if I wasn't briefed on any of the details. I took that advice. About three weeks ago I was told that Mr Barclay was no longer at work," Mr Twyford said at the time.
"As has been reported there is an employment dispute between Mr Barclay and the Ministry."
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