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| BBC defends executive pay rises | BBC defends executive pay rises |
| (about 22 hours later) | |
| The BBC has defended pay rises of up to £107,000 each for executive directors saying it must offer competitive salaries for top jobs. | The BBC has defended pay rises of up to £107,000 each for executive directors saying it must offer competitive salaries for top jobs. |
| Director general Mark Thompson said the levels of BBC salary, benefits and bonuses were "in many cases, a tiny patch on what other broadcasters pay". | Director general Mark Thompson said the levels of BBC salary, benefits and bonuses were "in many cases, a tiny patch on what other broadcasters pay". |
| The figures were revealed in the corporation's annual report. | The figures were revealed in the corporation's annual report. |
| The BBC also said it had succeeded in rebuilding trust after a series of phone-in scandals last year. | The BBC also said it had succeeded in rebuilding trust after a series of phone-in scandals last year. |
| A series of audience feedback surveys stated that public trust in the BBC had "fully recovered" by the year's end. | A series of audience feedback surveys stated that public trust in the BBC had "fully recovered" by the year's end. |
| 'Major restructuring' | 'Major restructuring' |
| Mr Thompson - who waived his own right to a bonus because of the "scale of disruption and uncertainty" across the BBC - said pay for executive directors was "benchmarked" against private companies. SALARY COMPARISON BBC (Mark Thompson) £816,000 (2007/08)ITV (Michael Grade) £1,780,000 (2006/07)Channel 4 (Andy Duncan) £1,200,000 (2006/07)Network Rail (Ian Croucher) £1,244,000 (2007/08)Royal Mail (Adam Crozier) £843,000 (2007/08) All figures include bonus payments where applicable. Andy Duncan's figure includes £450,000 from a long-term incentive plan. Michael Grade is executive chairman of ITV. | |
| The pay of senior staff in public sector outfits including Royal Mail and Network Rail were also taken into account, he added. | The pay of senior staff in public sector outfits including Royal Mail and Network Rail were also taken into account, he added. |
| Ashley Highfield, who has since left his post as future media executive director, saw his overall pay package rise by £107,000 to £466,000. | Ashley Highfield, who has since left his post as future media executive director, saw his overall pay package rise by £107,000 to £466,000. |
| The sum includes a bonus, a pension supplement, expenses and benefits. | The sum includes a bonus, a pension supplement, expenses and benefits. |
| Mr Thompson said that, after "a major restructuring", a number of executive directors also had greater responsibilities which had been reflected in their pay. | Mr Thompson said that, after "a major restructuring", a number of executive directors also had greater responsibilities which had been reflected in their pay. |
| "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 added. | "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 added. |
| Broadcasting workers' union Bectu said the defence of salary increases on the basis of additional responsibilities "doesn't wash with us". | Broadcasting workers' union Bectu said the defence of salary increases on the basis of additional responsibilities "doesn't wash with us". |
| WHERE LICENCE FEE WAS SPENT Television - £2,355m Radio - £598m Online services - £182mLicence fee collection and other admin costs - £351mDigital switchover - £27m Source: BBC annual report Report at a glance | |
| "Because of the thousands of job losses that have happened most of our members have taken on additional responsibilities - therefore we do not believe the hikes in executive salaries are justified," general secretary Gerry Morrissey told the BBC News website. | |
| In October, the BBC announced it was axing up to 1,800 jobs, prompted by a smaller than expected licence fee settlement from the government. | In October, the BBC announced it was axing up to 1,800 jobs, prompted by a smaller than expected licence fee settlement from the government. |
| "Nobody in the executive board leading the BBC should be taking higher salary increases than the across-the-board increases that have been given to staff, who are only getting 2% this August," Mr Morrissey added. | "Nobody in the executive board leading the BBC should be taking higher salary increases than the across-the-board increases that have been given to staff, who are only getting 2% this August," Mr Morrissey added. |
| Paul McLaughlin, national broadcasting organiser of the National Union of Journalists, criticised a "two-tier policy on pay". | Paul McLaughlin, national broadcasting organiser of the National Union of Journalists, criticised a "two-tier policy on pay". |
| "I don't think the BBC needs to act competitively to attract talent - people want to work for the BBC whether it pays huge bonuses or not," he added. | "I don't think the BBC needs to act competitively to attract talent - people want to work for the BBC whether it pays huge bonuses or not," he added. |
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| Mark Thompson and Michael Lyons questioned about BBC executive pay | |
| Faked phone-ins | Faked phone-ins |
| BBC Vision director Jana Bennett saw her total pay package increase by more than £103,000 to £536,000. But Mr Thompson said her bonus had been reduced to £23,000 because of fakery scandals surrounding some TV shows. | BBC Vision director Jana Bennett saw her total pay package increase by more than £103,000 to £536,000. But Mr Thompson said her bonus had been reduced to £23,000 because of fakery scandals surrounding some TV shows. |
| The BBC's clear demonstration of righting wrongs does not appear to have gone unnoticed Michael LyonsBBC Trust chairman | The BBC's clear demonstration of righting wrongs does not appear to have gone unnoticed Michael LyonsBBC Trust chairman |
| In July 2007, the BBC suspended all competitions after an inquiry unearthed a fresh batch of faked phone-ins on six shows including Comic Relief. That followed early problems with phone-ins on Saturday Kitchen and Blue Peter. | In July 2007, the BBC suspended all competitions after an inquiry unearthed a fresh batch of faked phone-ins on six shows including Comic Relief. That followed early problems with phone-ins on Saturday Kitchen and Blue Peter. |
| In the same month, a documentary trailer that used footage out of sequence to falsely portray the Queen walking out of a photo session "in a huff" was shown to journalists. | In the same month, a documentary trailer that used footage out of sequence to falsely portray the Queen walking out of a photo session "in a huff" was shown to journalists. |
| At the start of 2007, licence fee payers questioned in a survey gave a mean score of 5.87 out of 10 for how much they agreed with the statement "I trust the BBC", the report said. | At the start of 2007, licence fee payers questioned in a survey gave a mean score of 5.87 out of 10 for how much they agreed with the statement "I trust the BBC", the report said. |
| This began to drop after July 2007 and had fallen to 5.49 by October but, by May 2008 had returned to 5.89. | This began to drop after July 2007 and had fallen to 5.49 by October but, by May 2008 had returned to 5.89. |
| ENGAGING WITH AUDIENCES The BBC received over 1.1m contacts from the publicIt dealt with 124,000 complaintsEastEnders attracted the most complaints of any programme - 5,500850 network radio and TV shows were recorded with a live audience Source: BBC annual report The BBC Trust's review and assessment [1.3MB]The BBC Executive's review and assessment [4.9MB] Most computers will open these documents automatically, but you may need Adobe Reader Download the reader here BBC Trust chairman Michael Lyons said: "The BBC's commitment to put its own house in order is clear and the action taken has strengthened the editorial framework and processes. | ENGAGING WITH AUDIENCES The BBC received over 1.1m contacts from the publicIt dealt with 124,000 complaintsEastEnders attracted the most complaints of any programme - 5,500850 network radio and TV shows were recorded with a live audience Source: BBC annual report The BBC Trust's review and assessment [1.3MB]The BBC Executive's review and assessment [4.9MB] Most computers will open these documents automatically, but you may need Adobe Reader Download the reader here BBC Trust chairman Michael Lyons said: "The BBC's commitment to put its own house in order is clear and the action taken has strengthened the editorial framework and processes. |
| "Indeed, the BBC's clear demonstration of righting wrongs does not appear to have gone unnoticed." | "Indeed, the BBC's clear demonstration of righting wrongs does not appear to have gone unnoticed." |
| These measures included staff training and tighter editorial controls. | These measures included staff training and tighter editorial controls. |
| Director general Mr Thompson, meanwhile, also hailed the "phenomenally successful iPlayer", the BBC's online video service. | Director general Mr Thompson, meanwhile, also hailed the "phenomenally successful iPlayer", the BBC's online video service. |
| The service, which launched in December, reached an average of 1.1 million users per week by the end of March. | The service, which launched in December, reached an average of 1.1 million users per week by the end of March. |
| And he praised high definition channel BBC HD, which also launched in December. | And he praised high definition channel BBC HD, which also launched in December. |
| Mr Thompson also hailed an increase in the "monthly reach" - the amount of people who use BBC services in the UK each month - of 0.6% to 95%, after a period of decline. | Mr Thompson also hailed an increase in the "monthly reach" - the amount of people who use BBC services in the UK each month - of 0.6% to 95%, after a period of decline. |
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