RTÉ would be permitted to increase the salary of its director general Kevin Bakhurst by potentially up to €50,000 under new Government pay structures.
Mr Bakhurst is paid €250,000 and his salary sets a benchmark for other personnel at the broadcaster. Under rules put in place after the financial crisis at RTÉ in late 2023, no one in the organisation can earn more than the director general.
The Irish Times understands that under a new system of pay bands being introduced for top-level executives in commercial State companies, pay for the RTÉ chief would be permitted to be set within a range between €250,000 and a maximum of €300,000.
Any pay rise for Mr Bakhurst would be conditional on the RTÉ board putting forward a proposed increase at a point along the pay band and this being approved subsequently by the Minister for Communications Patrick O’Donovan. It is understood any pay increase could be phased in rather than coming in a single stage.
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In April the Government adopted a new pay band system based, in part, on the recommendations of a review group known as the Senior Posts Remuneration Committee (SPRC).
The RTÉ board said on Wednesday its chairman had “been informed today that a letter relating to the review of remuneration of chief executives in commercial State bodies by the SPRC would be issued to the board by the department (of Culture, Communications and Sport) soon”.
“When the letter is received, it will be considered by the RTÉ board in due course.”
The Department of Communications said operational details of the approach to determining remuneration for chief executives would be communicated to relevant commercial State bodies under its remit in due course.
It said any proposed pay increases would have to be approved by its Minister and the Minister for Public Expenditure on foot of a business case.
“It would not be appropriate for the department to comment on any individual salary band or adjustment at this point.”
The Irish Times understands that several weeks ago the Department of Public Expenditure set out a pay band of between €250,000 and €300,000 to apply in relation to the top post in RTÉ.
It would, in theory, be open to the RTÉ board to propose a salary lower than that set out in the new pay band. Any increases authorised would not apply retrospectively.
The Irish Times reported earlier this year that the then Department of Arts and Media, under former minister Catherine Martin, had backed increasing the €250,000 rate for the head of RTÉ on the basis it had fallen considerably in real terms due to rising living costs.
The Government has come under pressure from the boards of several commercial State companies to remove restrictions on pay for their top executives in place since 2011.
Some maintained their chief executives were paid less than their subordinates.
