The BBC Trust has agreed to proposals put forward by the BBC Executive to cut the amount the BBC spends on paying its senior managers by 25 per cent over the next three and a half years. The Trust has also endorsed a new pay strategy for senior managers joining the BBC and agreed to the proposal to freeze the pay of Executive Board directors for a further three years.
In February this year the Trust set the Executive a challenge to review the BBC’s approach to remuneration, recognising the wider economic climate, the expectations of licence fee payers, and the BBC’s own efficiency targets. The Executive responded by setting up a far-reaching remuneration review, which reported today. The main proposals are:
- To cut the BBC senior management pay bill by 25 per cent over the next three and a half years (i.e. by 31 July 2013)
- To seek to reduce total numbers of senior managers by 18 per cent within three and a half years
- To freeze the pay of Executive Directors and members of the BBC Direction Group for a further three years (making four years of freeze in all). This will apply also to the Director-General
- To confirm the indefinite suspension of bonuses for all Executive Directors and members of the BBC Direction Group
- To suspend bonuses for other directors and senior managers for a further two years
- To freeze senior management salaries for a further year beyond the freeze for the current year (i.e. to at least August 2011).
Read more from the BBC Trust website
