Niall Collins (Limerick, Fianna Fail)
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To ask the Minister for Communications, Energy and Natural Resources his views on whether it would be appropriate for there to be a remuneration cap for employees in broadcasting organisations that are in receipt of public funding; and if he will make a statement on the matter. [43720/12]

Pat Rabbitte (Dublin South West, Labour)
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RTÉ and TG4 are independent national public service broadcasters whose remit and obligations are set out in Section 114 and Section 118 of the Broadcasting Act 2009. Section 98 of the 2009 Act also provides that these companies shall be independent in the pursuance of these objects, subject to the requirements of the Act, and as such I, as Minister, have no function in the management of their day to day affairs, including matters relating to remuneration.

RTÉ is currently engaged in an ongoing restructuring exercise, which will involve a reduction in staff numbers across the organisation and is seeking to reduce costs where possible. The organisation has experienced a significant drop in revenues over the last few years. Its commercial revenue has fallen sharply and decisions taken in the December 2010 Budget substantially reduced its TV licence fee revenue. I have, in my discussions with the Chairman and Director General, expressed my concern that those best able to contribute to savings should do so. In addition, I should point out that in June of 2011, my colleague, the Minister for Public Expenditure and Reform, announced a €200,000 pay ceiling for future appointments to higher positions across the public service which applies to all established RTÉ and TG4 employees. While this would not be applicable to contracted staff, the Director General of RTÉ has made it clear that pay cuts of up to 30% shall apply to all contracted staff on renewal of their contracts.

I should also point out that arising from a Government decision of June 2011, a general policy has been adopted that a salary ceiling of €250,000 will apply to appointments of CEOs of Commercial State Bodies. This ceiling was applied in the case of the RTÉ Director General on his appointment in February, 2011 prior to the Government decision. No performance related pay was awarded or paid to the Director-General since his appointment and his salary is at a lower level than his predecessor in the role whose salary was €298,000 at January 1st 2009 and €261,000 at January 1st , 2010.