Cutbacks of almost $33 million have been announced by Irish state broadcaster RTE in anticipation of a massive downturn in advertising revenue next year as the economic crisis continues to grow.
However, a spokeswoman said the station's highest earners were not affected by the cutbacks because they are self-employed and are on separate contracts. The spokeswoman added, "They have individual contracts and, by and large, people are on multi-annual contracts."
In 2006, the last year for which figures are available, the highest paid presenter was Pat Kenny, who earned $1.1 million. Next was Gerry Ryan at $732,000, with Marian Finucane in third place at $596,000.
RTE Director General Cathal Goan said in a circular to staff early this week that there will be a pay freeze until September next year, including a freeze on all bonuses.
Departing staff will not be replaced and foreign travel will be curtailed, but there will be no redundancies among the 2,300 staff.
Programming will be affected, but Goan said cuts will not be finalized until the station presents its budget for next year in two months.
Television advertising revenue is expected to be down $33 million, and a similar loss is expected in 2009.
But RTE Radio has continued to perform well despite the recession and is expected to be on budget.
Goan told staff that if the already difficult conditions get worse, it will be necessary to re-examine the situation and engage in further detailed discussions with trade unions and the RTE management authority.
A pay rise due in March under the national wage agreement will be deferred to September next year. Lower-paid staff will receive a cash payment of $524 next year to make up for the salary freeze.
The six most senior executives in RTE, including Goan, have already volunteered pay cuts for themselves of up to 17.5 percent.
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