RTE advised to cut 270 to 370 jobs or face losses of up to £20m

As many as 370 jobs might have to go as RTE faces increased competition and declining finances, says a major report on the station…

As many as 370 jobs might have to go as RTE faces increased competition and declining finances, says a major report on the station.

Urgent action must also be taken if RTE is to avoid deficits of between £10 and £20 million within three years, according to the review of the station's structures and operations, which was given to staff yesterday.

The report, "A Review of RTE's Structures and Objectives", says the strategy for turning the fortunes of the station around would include staff reductions of between 270 and 370 posts. However, the report does say that some areas, including sales, marketing and training, require extra staff.

The number of job losses would depend on the amount of money the organisation has to transfer to the independent programme-making sector under the requirements of the 1993 Broadcasting Act. That stipulates that 20 per cent of programme budgets must be devoted to independent production from next year.

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What should be included in calculating the figure is a matter of dispute between RTE and the independent programme-making sector.

The report states that while the project team was not looking for job losses, the efficiencies identified would reduce the number of posts by 220. That would represent a saving of £6 million, with further savings of £5.5 million through other economies.

However, the report says that further job losses will take place because of the transfer of programmes to the independent sector.

The project team found that while RTE management was "rightly" influenced mainly by public service values, there was little attention to business issues.

Changes in broadcasting, including more competition, meant that RTE's cost base was "unsustainable . . .

"To find the revenue it needs, the organisation must be both cost effective and focussed on the business opportunities."

Among the recommendations are that steps should be taken to achieve more accountable management; increased public funding and the establishment of a television facilities business unit to promote the selling of production services and facilities to the independent production sector.

RTE should also prepare a detailed plan for digital broadcasting.

News, it says, should become a totally-managed unit with full responsibility for all journalistic and technical resources, and news and current affairs should be amalgamated.

The report says that RTE should commit more resources to current affairs journalism. It also recommends that digital television be introduced as soon as possible.

On radio, the report states that there is an over-reliance on phone-ins, listeners' letters and newspaper items to generate interest within programmes. It recommends a small reduction in the number of producers in radio, and greater planning. It also says that Radio 1 should work at attracting younger listeners.

The 240-page report, possibly the most wide-ranging ever undertaken at RTE, is expected to generate considerable debate as its recommendations touch on every aspect of the organisation, from wardrobe and make-up to the future of digital television and radio.