RTÉ is reportedly “in crisis” as Taoiseach Leo Varadkar has favoured the abolition of the TV license, with the aim of funding the broadcaster through the exchequer.
According to The Sunday Independent, the Taoiseach has favoured the abolition of the TV licence and is replacing it with exchequer funding for RTÉ as part of a tax-cut package in the Coalition’s last budget before the general election.
This comes after the broadcaster’s plans to publish it’s top-10 earners list was abandoned last week.
The publication has reported that the broadcaster is also bracing itself for damaging revelations on severance packages, with a report set to shed light on former director general Dee Forbes’s involvement in former finance director Breda O’Keeffe’s controversial exit deal.
It had been previously claimed that Ms. O’Keefe’s exit package may have been as much as €400,000.
Tánaiste Micheál Martin and Finance Minister Michael McGrath have both previously argued publicly for the retention of a charge on households and questioned the appropriateness of an exchequer funding model.
The Sunday Independent understands Mr Varadkar’s overriding concern is to get a decision made as soon as possible as the lack of certainty is hampering the future of public service media.
Mr Varadkar’s party colleague, Public Expenditure Minister Paschal Donohoe, has previously argued for the retention of a charge.
Senior Fianna Fail sources are allegedly adamant a reformed licence fee — which currently stands at €160 per year — or remodelled household charge at a lower rate, will be retained and that RTÉ and public service broadcasting will not be funded through the general exchequer.
The publication also reported that RTÉ’s highest-paid presenters were told of plans to publish its top-10 highest on-air earners last Monday only for the publication of the list to be later abandoned.
It remains unpublished this weekend.
Several of those on the list privately confirmed they had been told it would be published last Monday.
There has been speculation among some of those on the list that one presenter, whose identity is not known, is refusing to have their name published over GDPR concerns.
They are reportedly citing the precedent of some management figures refusing to have their names and salaries made public by RTÉ last year.
Sources acknowledged the possibility that a new entrant on the list for 2022 may have raised objections to their name being published.
An RTÉ source denied this was the case.
Last year, RTÉ confirmed that its highest paid on-air presenters in 2021 were Ryan Tubridy (€440,000), Joe Duffy (€351,000); Claire Byrne (€350,000); Ray D’Arcy (€305,000), Miriam O’Callaghan (€263,500), Brendan O’Connor (€245,004); Bryan Dobson (€209,282); Mary Wilson (€196,961); Darragh Maloney (€183,738), and George Lee (€179,131).
A spokesperson said: “Due care and attention has been paid in the preparation for publication of the top-ten highest on-air earners figures for 2021 and 2022, including appropriate liaison within the internal finance functions, the external auditor and relevant board committee.”
“RTÉ hopes to publish shortly.”
This controversy comes after The Audit and Risk Committee (ARC) of the RTÉ Board commissioned Grant Thornton to conduct an independent fact-finding review in to The Toy Musical, which has received major criticisms due to its commercial losses of €2.2 million.
In the report RTÉ confirmed a “significant lapse in oversight of the project”.
In a statement, the Siún Ní Raghallaigh, Chair of the RTÉ Board said: “The Board acknowledged the serious deficiencies now highlighted in the Report at a Board meeting last July and has since taken the necessary steps to ensure there is no repeat of these failures.”
“The Report finds that Board approval was required for Toy Show the Musical, and it also finds that the formal approval of the Board was neither sought nor provided for.”
“The Report clearly illustrates that the Board was not kept appropriately informed about the project as it was being developed. External expert advice was ignored. Information was also withheld from the Board. Significant contracts were committed to without the knowledge or approval of the full Board.”
“The Executive should have been interrogated by the Board on the project, on an ongoing basis and in a much more rigorous fashion,” it added.
The statement went on to admit that “the commercial risks associated with an undertaking of this nature were grossly underestimated. The project was not appropriately stress tested.”
“The Report also highlights a failure in generally accepted accounting practices, in that sponsorship was not correctly presented to the Board and all costs were not properly captured and linked to the project.”.
Siún Ní Raghallaigh added: “As Chair of the RTÉ Board I would like to apologise to the public and to the staff of RTÉ.”
“The Board is focused on driving the change necessary to fully restore confidence in the organisation, and to working with Government to establish a sustainable funding model that will ensure that RTÉ can continue to deliver on its important public service media remit.”
