RTÉ: Media Minister welcomes RTÉ plan to cap salaries at €250k

Story from RTÉ:

Minister for Media Catherine Martin has welcomed a plan to cap RTÉ salaries at €250,000, so that no one in the organisation will earn more than the Director General.

It comes after DG Kevin Bakhurst outlined his plan for cost savings at the organisation, including the salary price cap and cuts of up to 400 staff members over four years.

Mr Bakhurst said that high salaries paid to RTÉ presenters has been a "toxic", "corrosive" issue for the broadcaster.

He also said that he would aim to alleviate uncertainty for staff in the wake of planned reforms.

A number of RTÉ's digital stations and plus-one TV channels are due to be axed, technology will be updated and there will be a greater reliance on independent productions.

Around €10 million in spending by the broadcaster will be cut next year.

Speaking on RTÉ's News at One, Ms Martin welcomed the pay cap plan but said it was not a condition of the interim funding the broadcaster will receive.

"I think it is an important signal of change in the organisation, but it was not a condition of that funding.

"I do feel that RTÉ's new strategic vision does demonstrate a renewed commitment to public service broadcasting and does address the key areas."

Regarding the organisation's new voluntary redundancy plan, she said she sympathised with staff.

"We have made it clear that we do not want to see compulsory redundancies.

"I think the DG has said that too, and I have heard him say he will look at other cost-saving measures if this cannot be achieved.

"I think over a period of five years, it might be achieved."

RTÉ was plunged into crisis in June when the broadcaster revealed it had not correctly declared fees to its then-highest-paid earner, Ryan Tubridy.

The scandal widened as a series of other financial and governance issues emerged, resulting in a drop in the number of people paying their annual €160 TV licence fee compared to last year.

Prior to the controversies, the broadcaster had submitted a request for €34.5 million in additional interim funding.

The Government approved €16m in extra funding for this year, based on analysis from the State's financial advice body, NewERA.

Following the rolling controversies at the broadcaster, a further request for funding was made, which the Government said would come if certain conditions were met by RTÉ.

After RTÉ submitted its future plan for the organisation, the Government yesterday approved €56 million in funding - the €16 million for this year and a further €40 million next year.

Ms Martin said that a dedicated unit would be established in her department to oversee the allocation of €40 million, which is contingent on the outcome of two reports into RTÉ.

"The first tranche of (the remaining) €40 million will not be released until we see the recommendations from the two expert advisory committees that the Government commissioned," she said.

"Those committees will take account of all findings of any internal or external reviews and we'd be looking at - before we released that first tranche - that we're seeing progress on the reforms already announced.

"So, for example, we're expecting the register of interests in January 2024, we're expecting the register of external activities in January 2024 and they have signalled a corporate governance framework by the end of this year, so we need to see the progress is continuing.

"So, the first tranche will be then and the second tranche in the second half. NewERA will also be engaging with that, so for example, the €10 million in cost efficiencies to make sure that that is being delivered upon."

Mr Bakhurst and union representatives stressed the importance of a Government decision to be made on a long-term funding option to provide security for the broadcaster and its staff.

Ms Martin said she is hopeful a decision on the future funding model will be taken "early in the new year".

Asked when clarity on the future funding model will be provided, Ms Martin said: "I'm absolutely determined to be the Minister and that this is the Government that will take the decision."

She said she would like to "follow through as quickly as possible" following the recommendations of two expert groups examining the broadcaster.

Asked if she would rule out exchequer funding, she said: "I believe everything should be on the table.

"So although the technical working group was looking at options, including the media charge, I suppose alternatives to exchequer funding, I believe - and I've said this to committee in recent weeks - that everything should be on the table for those discussions."

The Irish Congress of Trade Unions (ICTU) said it had grave concerns over RTÉ's proposals to reduce staff numbers by 20%. 

ICTU's Executive Council met today and expressed solidarity with unions in their campaign to protect employment at the public service broadcaster.

"ICTU does not believe that yet another redundancy programme is the appropriate starting point for a new direction," said Owen Reidy, ICTU General Secretary.

"The removal of 400 posts and the privatisation of work currently undertaken by RTÉ staff is an inauspicious beginning of what is supposed to be a new chapter for the organisation," Mr Reidy said.