Bonuses paid to RTE managers of up to 20%

Executives at RTE received bonuses for 2003 of up to 20 per cent of their annual salary, ireland.com has learned.

Executives at RTE received bonuses for 2003 of up to 20 per cent of their annual salary, ireland.comhas learned.

Basic-level managers also received bonuses as did many senior managers.

The payments come despite the Minster for Communications, Mr Ahern,  recently criticising the company for failing to reform itself quickly enough.

A spokesperson for RTE refused to confirm details of executive remuneration saying only that sales staff and other managers received incentive bonuses and commissions as per their contracts.

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Executive remuneration entails performance-related bonuses, the spokesperson confirmed but stressed that executives did not vote themselves the increases.

A bonus scheme for lower and mid-level managers was thrashed out at the Labour Relations Commission late last year with average bonuses of 3 - 5 per cent of annual salary agreed.

But bonuses ranging from 3 - 20 per cent were awarded in some instances to higher-level managers in television, radio and sales.

RTE has been in serious financial trouble for a number of years and was bailed out in late 2002 by a €43 hike in the licence fee. Future increases in the fee have been index-linked provided the company meets certain financial and programming conditions.

But last November, Mr Ahern refused to grant the broadcaster an increase in line with inflation because of what he said was its failure to reform work practices and reduce staff numbers.

Minister Ahern based his view on a report he commissioned by PricewaterhouseCoopers(PwC). RTE rejected some of the findings and claimed they are seeking to reduce staff by 110 over the next 12 months and have laid-off over 300 people in the past two years.

The station is expected to announce a surplus for 2003 in the region of €500,000 - down on its initial projection of €2.3 million.