RTÉ is considering a number of cost cutting measures including pay cuts and a reduction in staff expenses and overtime in order to meet its forecast revenue shortfall.
In a letter to all staff, Director General Cathal Goan said RTÉ is currently forecasting a shortfall of approximately €68m or 15% in total revenue for 2009, and that €10m in savings must come from personnel related operating costs.
A number of cost saving measures are now being considered, including a pay cut for all personnel based on the scale of earnings.
Mr Goan said that approximately €27m of cost reductions have been identified and are being implemented.
However, RTÉ needs to identify an additional €41m of savings, he said.
Other steps could include the non-payment of increments in 2009, reduction of travel and subsistence rates, the reduction of freelance rates and the stopping of privilege days.
Work practice changes being considered include reduced exposure to overtime, a reduction in overtime rates and no productivity payments for work practice changes.
These options have now been presented in outline to the RTÉ Trade Union Group (TUG) and the Management Association.
In the letter, Cathal Goan said that although none of the options mentioned are pleasant, staff must work together to deliver the appropriate actions, and that RTÉ 's key principles are to maintain its programming output and its competitive edge, and to protect employment to the greatest extent possible.
TUG reaction
The TUG confirms that the proposals presented to it by RTÉ will be the subject of intensive discussions over the next two weeks.
In a statement the TUG Executive said it made it clear to RTÉ that any proposed changes to existing agreements will be handled through the normal industrial relations' processes.
The TUG's priority, in any discussions, will be the protection of employment in RTÉ.
They are due to meet RTÉ management again in two weeks' time.
