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But pay and bonus bonanza at BBC
Joe Murphy, Political Editor8 Jul 2008
BBC chiefs were today criticised for pocketing huge pay rises despite a disastrous year for the corporation's reputation.
Eleven directors who oversaw phone-in scandals and job cuts shared an extra £708,000 between them - increasing the BBC pay bill by an inflation-busting 16 per cent.
But the average salary for ordinary BBC staff went up by only four per cent and is due to increase by just two per cent this year.
Director general Mark Thompson pocketed an extra £28,000 which took his combined pay and perks from £788,000 to £816,000.
He decided not to accept a bonus, saying it was inappropriate amid the "scale of disruption and uncertainty" facing junior BBC colleagues. Yet his salary still went up by 3.5 per cent which is well above the Government's pay restraint target for workers such as nurses and police officers.
Nine executive directors did accept bonuses, according to this year's annual report published today. BBC Vision director Jana Bennett saw her payments soar by £130,000 despite a reduction in her bonus as a result of revelations about fakery in some TV shows.
She was criticised in a report into a documentary trailer which falsely implied the Queen had stormed out of a photo shoot. The report authors said she showed "a lack of curiosity" when she should have dealt with the problem.
Ms Bennett's basic pay of £406,000 was bolstered by a £23,000 bonus, another £19,000 in benefits and £88,000 in "other remuneration" making a grand total of £536,000.
Ashley Highfield, the director of future media and technology, saw his pay leap from £359,000 to £466,000 - a rise of £107,000 including a £34,000 bonus and £71,000 in "other remuneration".
The biggest bonus was the £88,000 paid to John Smith, the head of BBC Worldwide, whose total pay rose from £460,000 to £486,000.
Gerry Morrissey, of broadcasting workers' union Bectu, condemned the bonuses and said the board should have refused them. "I would remind them that 4,000 jobs have been lost since 2005," he said.
Mr Morrissey added that ordinary staff were working harder than ever because increased output had put a greater burden on fewer employees. He said the disclosure of such big bonuses for board members made industrial action more likely if further job cuts were unveiled.
Mr Thompson defended the bonuses by arguing that they palled in comparison to the commercial world. He said: "It was certainly a year when we encountered some problems but it was also a year of considerable achievement.
"BBC executive benefits are set at a much lower level than most of our equivalents. When you actually get out into the external world, some potential candidates almost roll on the floor laughing when you talk about potential levels of pay."
He said bonuses were cut by up to 40 per cent for staff who had presided over the phone line scandals in shows such as Blue Peter and Children in Need.
But Mr Thompson said trust was returning to the corporation.
