New Zealand Post chief quits hot seat

The chief executive of New Zealand Post, Elmar Toime, is leaving to take a top job with British postal giant Royal Mail Holdings.

His resignation was announced late last night, just days after Opposition MPs demanded that he quit after the Auditor-General uncovered extravagant spending by senior staff of the taxpayer-owned NZ Post subsidiary Transend Worldwide.

Mr Toime _ who earned about $770,000 a year at NZ Post _ was on the Transend board with managing director Drew Stein, and as CEO of NZ Post had overall responsibility for Transend’s operation.

State Owned Enterprises Minister Mark Burton defended Mr Toime in Parliament, saying he had been instrumental in ensuring policies and practices of the wider NZ Post company and board were applied to Transend.

Arch-critic and Act MP Rodney Hide, who in Parliament this week accused Mr Toime of lying to a select committee, last night said he should be held accountable for allowing the wasteful spending to continue.

He said Mr Toime would have had the Auditor- General’s report about a month ago and would have had time to find greener pastures. “He’s going off to a nice new job. Did they fire him? No.

“The postal workers and taxpayers paid for this two-year round- the-world party and Helen Clark’s Government has allowed all the decision-makers to escape the consequences.”

Mr Toime said it was a coincidence that he got the British job now.

“It’s just an opportunity that’s come at this particular time. I could hardly say come back in six months.

“I haven’t quit and I leave New Zealand Post with immense sadness. I’ve had 10 years of achievement there and it’s a wonderfully performing organisation.”

He learned a couple of weeks ago that he had the British job.

Italian-born Mr Toime has been with NZ Post for 15 years, 10 as chief executive.

Mr Toime, one of New Zealand’s highest-paid public figures, is also a director of NZ Post-owned Kiwibank, and of public several companies, including Sky City and Datacom.

NZ Post chairman and former Prime Minister Jim Bolger said last night that although it was a great loss for NZ Post, he appreciated the significance of the appointment.

Mr Bolger said while there was recent criticism of aspects of Transend, which was accepted by the company, Mr Toime’s British appointment demonstrated that NZ Post had been led by one of the most highly regarded and respected figures in the international postal industry.