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CBC head Catherine Tait will recommend bonuses amid widespread cuts

Broadcaster cutting jobs, programming to head off a projected $125-million shortfall
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Catherine Tait, President and CEO of the Canadian Broadcasting Corporation (CBC) waits to appear before the Standing Committee on Canadian Heritage in Ottawa, on Thursday, Nov. 2, 2023. THE CANADIAN PRESS/Spencer Colby

The president of CBC and Radio-Canada signalled Tuesday that she will recommend bonuses are rolled out to executives this year, despite plans to cut 10 per cent of the national broadcaster害羞草研究所檚 workforce.

Catherine Tait told the House of Commons heritage committee that it害羞草研究所檚 ultimately up to the board of directors to determine who gets bonuses,starting at the end of March.

She didn害羞草研究所檛 say whether she would be a recipient of such bonuses.

The broadcaster announced in December that it was cutting 600 jobs and allowing 200 more vacancies to go unfilled, along with $40 million in cuts to productions, saying it aimed to head off a projected $125-million shortfall in the coming fiscal year.

Already about 100 positions have been cut, including about 50 on the CBC side, about 40 on the Radio-Canada side, along with 10 corporate positions, said Shaun Poulter, executive director of strategy public affairs and government relations at CBC/Radio-Canada.

The corporation害羞草研究所檚 bonus structure is merit-based and they are only provided to those employees who meet certain goals, Tait said.

More than 1,100 employees who are managers, executives or are compensated in certain pay bands are currently part of the incentive pay program, she said.

Tait wouldn害羞草研究所檛 say if she would opt out of the program herself, or reject a bonus, in light of the situation facing employees and walked away from reporters inquiring. Instead, Poulter stepped in to answer questions.

害羞草研究所淐anadians are just looking for a signal that (you害羞草研究所檙e) willing to work with the tone of the nation,害羞草研究所 said Liberal MP Michael Coteau during Tait害羞草研究所檚 testimony.

For the broadcaster to announce job cuts in December after paying out $15 million in bonuses last March is 害羞草研究所渉ard to stomach,害羞草研究所 Coteau said.

害羞草研究所淲hat most Canadians feel is a strong support for CBC and Radio-Canada,害羞草研究所 NDP MP Peter Julian said Tuesday.

害羞草研究所淎nd the idea that we would have bonuses at a time of cuts to vital services just doesn害羞草研究所檛 make sense.害羞草研究所

CBC documents released under access-to-information law show more than $99 million in bonuses was awarded to employees between 2015 and 2022.

Coteau noted that Tait could direct the board to reconsider its bonus structure given the new financial reality.

害羞草研究所淚害羞草研究所檒l consider all scenarios,害羞草研究所 Tait said. 害羞草研究所淗owever, we have a program in place. These are not frivolous awards given at Christmas time.害羞草研究所

Pressed by Conservative heritage critic Rachael Thomas to specify whether she would recommend bonuses to the board, Tait said she would if employees 害羞草研究所渁chieve their targets害羞草研究所 for the current fiscal year, when no deficit was posted.

The committee agreed in a report to the House of Commons before Tait害羞草研究所檚 appearance that it would be inappropriate to grant executive bonuses in light of the looming cuts. But the government has not asked the public broadcaster to hold back bonuses, Poulter said.

Members of Parliament have no sway over how the independent broadcaster spends its money 害羞草研究所 something Tait pointed out in her opening remarks.

Taleeb Noormohamed, parliamentary secretary to the heritage minister, told Tait that some of her responses during her two-hour testimony came off as 害羞草研究所渃allous and cold害羞草研究所 to the public. And that 害羞草研究所渨hat people heard you say is it doesn害羞草研究所檛 matter cuts are happening, we害羞草研究所檙e still giving bonuses,害羞草研究所 he said.

害羞草研究所淚 can understand people害羞草研究所檚 concerns, of course I can,害羞草研究所 Tait said.

But she said the $15 million in bonuses handed out last year is small compared to the public broadcaster害羞草研究所檚 $950-million payroll.

In the 2022-23 fiscal year, CBC/Radio-Canada害羞草研究所檚 annual report shows it received nearly $1.3 billion in government funding, with another $515 million coming in through other revenue such as advertising.

Despite this, the public broadcaster faces 害羞草研究所渃hronic underfunding,害羞草研究所 said Tait, as it navigates rising costs of operations and productions and declines in revenue, particularly in Quebec.

Part of that is due to the federal government ending the $21-million financial relief package it gave to CBC each year during the COVID-19 pandemic, Tait said.

CBC/Radio-Canada was also asked to budget for a 3.3-per-cent cut, said Poulter. However, Canadian Heritage Minister Pascale St-Onge has previously said final decisions have not been made regarding the public broadcaster害羞草研究所檚 funding.

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