Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Talent2 Statement re Novopay Announcement

Talent2 Statement re Novopay Announcement

Talent2 and the Ministry of Education have agreed that the management and operation of the Novopay payroll service will transition from Talent2 to a new Government owned company on 17 October 2014. The decision has been reached by mutual agreement in support of a new service delivery model and settles a flawed contractual arrangement between the parties, which was found in the June 2013 Ministerial Inquiry as not fit for purpose.
Media Statement

Wednesday July 30, 2014

NOVOPAY ANNOUNCEMENT

Talent2 and the Ministry of Education have agreed that the management and operation of the Novopay payroll service will transition from Talent2 to a new Government owned company on 17 October 2014.

The decision has been reached by mutual agreement in support of a new service delivery model and settles a flawed contractual arrangement between the parties, which was found in the June 2013 Ministerial Inquiry as not fit for purpose.

Talent2’s Alesco software will continue to be used by the Government owned company to process the Ministry’s payroll under a six-year license arrangement.

A total settlement package of NZ$18-22M has been negotiated with the Ministry. The negotiated package includes a cash payment by Talent2 of NZ$7M, a transfer of assets including Novopay customisations and other IP previously funded through the existing contract and a discounted software license.

The Ministry has agreed a support and maintenance contract with Talent2 for the Alesco Software under which the Ministry is expected to pay Talent2 fees totaling NZ$9.6M over a six-year period. Talent2 also has a contract that covers transition and the completion of certain objectives prior to the transfer.

This change allows Talent2 to better focus resources and investment on its core payroll business and broader New Zealand client base.

Under the new arrangement the Government will assume full responsibility for the provision of the education payroll service. Integral to the agreement, the Ministry intends to retain the valued skills and expertise of Talent2’s Novopay employees in the new Government owned company.

Today’s announcement marks the beginning of a transition period which will see the orderly transfer of payroll operations from Talent2 to the new entity by 17 October 2014. Through this period Talent2 will retain operational responsibility for the Novopay payroll service. Talent2 is committed to ensuring that current service levels are maintained and that the transition is a smooth process for its staff, the sector and the Ministry.

Talent2 will be working closely with the Ministry over this period. Talent2 acknowledges the hard work and commitment of the Novopay team.

-Ends-

About Talent2

Talent2 is the leading Human Resources Business Process Outsourcing (BPO) organization in the Asia Pacific region, working with clients across diverse business types and industries to deliver end-to-end talent management solutions that put people first. These include HR Advisory, Payroll, Recruitment and Learning solutions to enable organisations to improve the power and productivity of their people.

Notes to Media

Talent2 will not be making any further comment to media regarding today’s announcement. All media enquiry will be referred to this statement.

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Alex Swney Pleads Guilty To $2.5M Fraud Charge

Alex Swney, former chief executive of the Auckland city centre business association Heart of the City, has pleaded guilty to dishonestly using documents to obtain $2.5 million. More>>

ALSO:

Petrol Burns Prices: Second Consecutive Quarterly Fall For CPI

The consumers price index (CPI) fell 0.3 percent in the March 2015 quarter, following a 0.2 percent fall in the December 2014 quarter, Statistics New Zealand said today. The last time the CPI showed two consecutive quarterly falls was in the December 1998 and March 1999 quarters. More>>

ALSO:

Scoop Business: NZ Broadcasters Launch Battle Against Global Mode ISPs

New Zealand broadcasters have confirmed they’ve launched legal proceedings against internet service providers who give customers’ access to “global mode”, which allows customers access to offshore online content, claiming it breaches the local content providers’ copyright. More>>

ALSO:

Sanford: Closure Of Christchurch Mussel Processing Plant Confirmed

The decision comes after a period of consultation with the 232 staff employed at the Riccarton site, who were told on 9 April that Sanford was considering the future of mussel processing in Christchurch. Recent weather patterns had impacted on natural spat (offspring) supply... More>>

ALSO:

Price Of Cheese: Dairy Product Prices Fall To The Lowest This Year

Dairy product prices fell in the latest GlobalDairyTrade auction, hitting the lowest level in the 2015 auctions so far, as prices for milk powder and butter slid amid concern about the outlook for commodities. More>>

ALSO:

Houston, We Have An Air Route: Air New Zealand To Fly Direct To The Heart Of Texas

Air New Zealand will fly its completely refitted Boeing 777-200 aircraft between Auckland and Houston up to five times a week opening up the state of Texas as well as popular nearby tourist states such as Louisiana and Florida. More>>

ALSO:

Scoop Business: Reserve Bank’s Spencer Calls On Govt To Rethink Housing Tax

The Reserve Bank has urged the government to take another look at a capital gains tax on investment in housing, allow increased high-density development and cut red tape for planning consents to address an over-heated Auckland property market. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news