AUDIT & RISK COMMITTEE
21 January 2014
PAYROLL AUDIT
Report of the Head of Welland Internal Audit Consortium
Tonight Rutland County Council Audit and Risk Committee will receive a report which
will let members know staff should not in future receive large over payments, which were
paid mainly to senior staff and were not require to be paid back.
Since the new regime was put in place to prevent people being over paid and none council employees
being paid. There has only been one error, a member of staff was underpaid £38
The Report Risk Management indicates Profile High Previous failings of the Payroll System were
reported in the local press.
21 January 2014
PAYROLL AUDIT
Report of the Head of Welland Internal Audit Consortium
Tonight Rutland County Council Audit and Risk Committee will receive a report which
will let members know staff should not in future receive large over payments, which were
paid mainly to senior staff and were not require to be paid back.
Since the new regime was put in place to prevent people being over paid and none council employees
being paid. There has only been one error, a member of staff was underpaid £38
The Report Risk Management indicates Profile High Previous failings of the Payroll System were
reported in the local press.
REPORT NO: 6/2014
AUDIT & RISK COMMITTEE
21 January 2014
PAYROLL AUDIT
Report of the Head of Welland Internal Audit Consortium
STRATEGIC AIM
All
1. PURPOSE OF THE REPORT
1.1 To inform Members of the results of the audit of the Payroll
System.
2. RECOMMENDATIONS
2.1 That Members note the report and the Substantial Assurance
Rating.
3. KEY ISSUES
3.1 The Assistant Director-Finance carried out a review of the Payroll
System and the findings of that review were reported to the
Committee in June 2013. The review prompted the development
of a new framework of controls designed to ensure the accuracy
and legitimacy of all payments to employees.
3.2 As part of the 2013/14 Internal Audit Plan, an assignment was
commissioned to provide assurance that control weaknesses
identified by the Assistant Director’s review have been addressed
fully and effectively and that the enhanced framework of internal
controls is operating as specified.
3.3 In light of the importance of the assignment, it was carried out by
the Head of Consortium supported by the two Audit Managers
3.4 The Executive Report, setting out the findings of that audit
assignment is appended (Appendix A) together with a schedule
summarising the work undertaken to analyse the control framework and the testing carried out to confirm that the proper
checks are being carried out. The Report provides Substantial
Assurance (The highest available rating) that the controls in place
are operating to mitigate the risks that employees’ pay is
incorrectly calculated; that employees receive payments that they
are not entitled to; or payments are made to individuals not
employed by the Council. This is the highest level of assurance
that can be offered.
4. RISK MANAGEMENT
RISK IMPACT COMMENTS
Time Low The report does not require any specific time-
bounded response.
Viability Low The report does not call for the application or
reallocation of significant additional resources.
Finance Low There is no direct financial impact.
Profile High Previous failings of the Payroll System were
reported in the local press.
Equality and
Diversity
Low EIA screening indicates no issues arising
therefore full Impact Assessment has not been
carried out.
Background Papers Report Author
None Richard Gaughran
Head of Welland Internal Audit Consortium
Tel No: (01572) 722577
e-mail: enquiries@rutland.gov.uk
A Large Print or Braille Version of this Report is available
upon request – Contact 01572 722577.
