Serco contract ends at the Mount

Serco's contract for the management of Auckland's Mt Eden Corrections Facility comes to a complete stop today.

In just a short four years at the helm, Serco has made national headlines following allegations of drug use, "dropping" incidents, fight clubs and staffing issues within the prison.

Corrections took over the management of Mt Eden Prison in July 2015.

Former Corrections Minister Sam Lotu-Iiga came under intense scrutiny for his handling of these issues.

By December 2015 was reshuffled out of his Ministerial role, two days later Corrections Chief Executive Ray Smith confirming that the contract with Serco would not be renewed.  Smith saying, "It was a chance for a fresh start." 

By April 2016, Serco was set to pay Department of Corrections $8 million for stepping in to manage the Mt Eden facility.  The announcement came with an apology from Serco's CEO Mark Irn for their management at the prison.  "There were certain aspects of our service delivery which did not meet the standards of the contract, and certainly the standards that we meet ourselves, and for that I am truly sorry," said Irn.


Serco's contract had been watered down to a labour supply agreement which came to an end today.  It would seem that day couldn't come soon enough for some. 

Labour Corrections spokesman, Kelvin Davis saying last April, “Their contract needs to end.  They need to be thrown out of New Zealand and that door needs to be shut outright!” 

He also said, “Serco have been reduced from a state of the art innovative prison managing organisation to a labour hire outfit.”

Minister Judith Collins came in as the new Minister of Corrections in December 2015, succeeding Lotu-Iiga, and the incumbent Minister of Corrections Louise Upston has only been on board since December.

Corrections will continue running Mt Eden Prison, while Serco continues to run Auckland's Kohuora Men’s Facility in Wiri, which is a 25-year contract.