Proposed Presentation company

The BBC's Broadcast and Presentation department is proposed to become a limited company.

From January 2002 the BBC department that covers television programme playout, continuity and presentation is proposed to become a wholly owned subsidiary company of the Corporation.

BBC management have told BECTU they propose to convert Broadcast and Presentation into a limited company because they plan to grow the commercial business in the area.

BECTU has met with BBC management on the proposals which were approved by the Corporation's Executive Committee on 4 September.

The BBC Board Governors will consider the proposals on 19 September, and if confirmed will then be submitted to the UK government DCMS (Department of Culture, Media and Sport) for approval.

The move follows the formation of two wholly owned subsidiary companies from BBC departments over the past three years:

• BBC Resources Ltd was controversially formed in August 1998 covering such areas as studios, engineering and outside broadcasts. Opposition by members to the move by union members led to industrial action and eventually resulted in talks at ACAS.
• Controversy also surrounded the establishment of BBC Technology Ltd in April this year, with more than 80% of members opposing the creation of the company. BBC Technology includes a number of engineering areas transferred from BBC Resources along with many information technology sections.

Management have said that the planned Broadcast and Presentation Playout Centre at White City West London would allow them to make economies of scale and take advantage of current technology. The first transmission from the new centre could take place June 2003, taking over from current facilities at nearby Television Centre.

It is proposed that all staff and management currently in Broadcast and Presentation transfer into the new company under UK TUPE (Transfer of Undertakings Protection of Employment) Regulations.

During talks with BECTU, BBC management have said that if the limited company is set up, the following is proposed on staff terms and conditions:

1. Staff will remain part of the BBC pension scheme and new employees will also be eligible to join the scheme.
2. Staff will continue to mirror the BBC's core benefits of annual leave, maternity leave, paternity leave, parental leave, redundancy and sick pay for at least two years from the date of transfer.
3. Staff will remain within the BBC's corporate pay bargaining for 2002-3 and 2003-4 subject to there being no joint venture in the interim.
4. For 2004-5 onwards it is proposed to move to devolved bargaining for pay and conditions of service.
5. From time to time the BBC proposes changes to terms and conditions of service (Agreed Statements). Broadcast and Presentation have said they wish to reserve the right to agree any subsequent changes to terms and conditions from the date of incorporation locally. Similarly they have said they may need to propose changes to local terms and conditions as a result of other factors.
6. Broadcast and Presentation favour moving to an incentive based approach to salaries but are looking at other organisations for possible best practice schemes and options.

It is possible that a number of sub-titling and signing staff in the UK Regions and Nations may also be affected by this proposal.

The union is currently consulting members in the potentially affected areas on the proposals; such members wanting more details should contact their local Branch or BECTU Head Office.