More than 200 ITV staff are striking today over a “miserly” 2% pay rise offer for those earning under £60,000, while the company’s latest financial results reveal a healthy revenue rise.
Following a 67% majority vote, ITV workers will strike for 24 hours; however, for the three months ending 31 March 2015, the commercial broadcaster reported that total external revenue was up 14% to £665 million, despite a 3% decline in overall share of viewing.
Fiona Cincotta, a senior market analyst at Finspreads, said it is easy to see why staff are unhappy.
“Given that ITV’s pre tax profits in 2014 rose by 39% to £605 million, with revenues close to the £3 billion mark and CEO Adam Cozier earned £4.4 million including a bonus of £1.5 million, it is easy to see why staff may be disgruntled,” Cincotta said.
“Furthermore ITV has spent over £1.4 billion on company buy-ups but is not looking to invest in its most valuable resource: its staff.
“That said, as was reported yesterday, wages in general across all UK sectors are expected to rise 2.5% this year, so the 2% offered is not that far from this figure and given the current level of inflation, which is at an all time low of 0%, a wage increase is a wage increase in real terms.”
In response to the strike, an ITV spokesperson said that the 2% pay increase is above inflation, as well as being on top of the 11.5% of pay rises over the last four years – “some way ahead of other media sector pay awards.”
ITV also claims to be the only UK broadcaster to pay the living wage.
The dispute continues.
