Latest news with #TemporaryWageSubsidyScheme
The Journal
28-05-2025
- Business
- The Journal
RTÉ paid out €2.7m to Revenue for wrongly claiming Covid wage subsidy scheme
RTÉ PAID OUT €2.7m to Revenue for claiming the Covid wage subsidy scheme when it should have ceased doing so. The national broadcasters' leadership team will appear before Oireachtas Media Committee at around 12.30pm to discuss issues such as a €3.6 million write-down on a partly failed IT system. RTÉ is the first organisation to be invited to appear before the newly formed committee during this Dáil term. Its Director General Kevin Bakhurst will tell the committee that in a 'reflection of higher standards of transparency', RTÉ last year undertook a review of its eligibility for the Temporary Wage Subsidy Scheme that was put in place during the Covid pandemic. RTÉ reviewed the period from 26 March to 31 August 2020, after it was found that RTÉ should have reassessed its eligibility in light of new guidance. RTÉ is of the view that it should have ceased claiming the wage subsidy from 30 June 2020 as it did not meet the criteria for continued participation in the scheme. This repayment for the months of July and August, including interest and penalties, amounted to €2.7m to the Revenue Commissioners. Bakhurst will also remark that RTÉ 'continues to fully engage with the Revenue Commissioners' in relation to a revenue audit which began last year and that it has made payments of €1.1m to date. RTÉ has also been accused of issuing bogus self-employment contracts for workers and it emerged that RTÉ was examining 650 cases where workers who were hired as contractors could have been entitled to employee status. Advertisement Bakhurst will tell the Committee that over 80% of these 655 case reviews have now concluded and that of those looked at so far, 40% were incorrectly categorised at the time as contractors. He will add that the New Direction plan is the best way forward for RTÉ and offers the best value for money and the most effective way that RTÉ can 'remain viable and thrive into the future'. The New Direction plan involves the loss of 400 jobs through a phased Voluntary Exit Programme in order to save money, as well as limiting presenter salaries. The voluntary exit programme has closed and 325 applications were received. Much of it involves enhancing its current offerings, such as the RTÉ Player, while investing in new digital services. Meanwhile, Bakhurst will acknowledge that RTÉ has previously 'made the headlines for all the wrong reasons'. He will assure the Committee that RTÉ has taken a wide range of meaningful actions. This includes a new strategy for 'significant transformation of our working and financial model over the years ahead' and a commitment to a 'smaller, more agile and efficient RTÉ'. Meanwhile Terrance O'Rourke, the Chair of RTÉ, will note that the New Direction Strategy is now subject to quarterly progress oversight by the Board's Strategy Committee. He will add that the Board's remuneration and management development committee now meets on a 'regular schedule' and is 'centrally involved in the approval of presenter contracts'. 'We understand that governance was not what it should have been in the past,' O'Rourke will say in his opening statement, 'and we are committed to ensuring that the national broadcaster is run to the highest standards because that is what our audiences deserve.' Readers like you are keeping these stories free for everyone... A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation. Learn More Support The Journal
Irish Daily Mirror
28-05-2025
- Business
- Irish Daily Mirror
RTE DG Kevin Bakhurst to be grilled on botched HR project at Media Committee
RTÉ Director General Kevin Bakhurst will face a grilling from the Oireachtas Media Committee on Wednesday over a 'partially completed' botched €3.6 million IT system. In his opening statement, Mr Bakhurst will say the project was 'too ambitious'. Earlier this month, the broadcaster said the IT was to replace five legacy systems that were used for Finance and HR which were "at or near end of life". While the IT system was used, the HR system was shelved. Some €3.6 million was lost in total, including €2.3 million on the HR project and €1.3 million caused by the delays with the finance aspect. The issue came to light when Media Minister Patrick O'Donovan asked bodies under his department to outline projects over €500,000 that were either abandoned or 'materially failed to deliver'. In his opening statement, Mr Bakhurst will tell the Media Committee that the 'ERP system' was a 'project that dates back several years' and kicked off in 2016. He will say: '[It] was a large-scale but essential capital project that was probably too ambitious and ultimately did not achieve all that was originally hoped. 'It is extremely regrettable when dealing with public funds to have to write down significant sums of money. 'I want to underline the fact that we have taken this very seriously and have spent considerable time looking into the details of the project and the process. 'Thanks to the efforts of many, an effective finance system was salvaged, implemented and continues to operate today. 'An expert and independent review was commissioned at the end of the project to identify the key lessons to be learned, and it is important to say that in our review of large capital projects for the Minister and the Department, it was very clear that this project was an outlier within a much larger portfolio of projects.' Mr Bakhurst also outlined two other 'financial issues'. This included repayment of €2.7 million to Revenue regarding the Temporary Wage Subsidy Scheme. It has also paid €1.1 million to Revenue regarding an audit which commenced in 2024.
Irish Independent
27-05-2025
- Business
- Irish Independent
RTÉ makes €2.4m in Covid-19 wage subsidy repayments after review
The national broadcaster last year undertook a review of its eligibility for the Temporary Wage Subsidy Scheme (TWSS) from March to September 2020, as a result repaid the subsidy for the periods of July to August of that year. This repayment, together with the PRSI that would have been due had the subsidy not been claimed, amounted to €2.4m. This repayment as well as interest and penalties, resulted in RTÉ paying a total of €2.7m to Revenue. A further revenue audit last year resulted in repayments of €1m by the national broadcaster. The Director General, Kevin Bakhurst, revealed the information in a submission to the Oireachtas Communications Committee as 'a reflection of the higher standards of transparency' in the organisation. Mr Bakhurst, as well as the chair of the RTÉ board, Terence O'Rourke and eight senior managers are to appear before the Committee tomorrow. They will be asked about the €3.6m lost on a partly-failed IT system which was one of the capital projects funded from the sale of land at its Dublin 4 site in 2017. Mr Bakhurst will tell TDs and Senators it's 'extremely regrettable' to have to write down such significant amounts of money when dealing with public funds. He will also say that the issue is being taken 'very seriously' and the broadcaster has spent 'considerable time looking into the details of the project and the process.' The committee will hear that the majority of the money lost relates to efforts to deliver the HR part of the project amounting to €2.3m, with the remaining €1.3m related to 'the delay and effort in delivering the financial element of the project.' Mr Bakhurst will say the impairment 'is very much an exception' in the context of extensive projects delivered by RTÉ and that it was 'correctly notified to NewEra.'
