Resources Limited - no thanks!

BBC Resource members vote overwhelmingly against Limited Company status, and union warns that industrial action may follow.

BECTU and AEEU members in the BBC's Resources Directorate have voted by an enormous majority to reject the BBC Governors' proposal to hive off the Resources Directorate into a wholly-owned subsidiary.

Members were asked: "Do you support the Board of Governors' proposal of 19th February to split BBC Resources into two entities - BBC Resources Ltd and Production Services Division?" 1,421 voted no, and just 182 voted yes - a huge margin of nearly 8-1 in opposition.

The unions have met with Resources chief executive Rod Lynch and other senior managers since the governors' decision on 19th February, and have failed to reach any agreement on the unions' concerns about future privatisation, job security, protection of earnings and the breakup of national collective bargaining.

The unions will be having a final meeting with the BBC corporately on 7 April and if agreement is not reached, a ballot for strike action will commence in mid-April with the ballot expected to close in mid-May. If the ballot is successful the unions will be targeting national and international sporting events such as Wimbledon and Royal Ascot along with other live events during the summer.

The governors' proposal needs the approval of Chris Smith, Secretary of State for Culture, Media and Sport. The unions met Mr Smith on 2nd March to outline their concerns; he has yet to reach a final conclusion. On Friday 27th March the unions sent Chris Smith details of the referendum result and also drew his attention to the inconsistency of the BBC's approach to BBC Resources compared with their approach to their recent agreement with Discovery.

BECTU Broadcasting Supervisory Official Gerry Morrissey commented: "Rod Lynch stated he had the hearts and minds of his staff with his proposal; this referendum proves that all he has is their overwhelming opposition. It is quite clear that the staff do not want to be hived off - they want to continue making quality programmes for the BBC and they want to ensure they are treated equally with all other BBC staff regarding pay and terms and conditions of employment.

"This referendum shows that the staff know the ulterior motive behind this proposal is to privatise resources and with it make a small number of senior managers very wealthy at the licence payer's expense."

He added: "If we allow BBC Resources to be privatised, and bearing in mind the damage the internal market has already caused and is continuing to cause to BBC Production, it won't be long before the BBC ends up as a publisher-broadcaster with a rump of news production."

BECTU has already advised the BBC that they intend to ballot all their members employed by the corporation for BBC-wide strike action over their proposals on salary management and new ways of working.

Gerry Morrissey said: "Our members are now fighting for their jobs as well as for the future of public service broadcasting in this country and I am confident that the two ballot results will allow us to coordinate a successful national dispute."

ENDS

Issued by BECTU Press Office, tel: 0171 437 8506. For further information contact Gerry Morrissey on 0850 317 866 or Tony Lennon on 0181 576 1965.

30 March 1998