BBC to Cut Pay, Jobs

Under pressure over its pay practices, British Broadcasting Corp. plans to cut the salaries of top managers and axe more than 100 senior posts as part of a broader overhaul to cut costs. The BBC, which is funded by a license fee paid by the public, plans to cut the amount it spends on the salaries of its top bosses by about 25%, according to the BBC Trust. The BBC Trust oversees the use of the license fee and had asked management to cut salaries as part of a review into ways to save money. The BBC currently spends about £79 million ($129.4 million) on pay for its 634 senior managers and nine most senior executives. The BBC also expects to abolish 18% of senior management posts in that time. And, the current pay freeze and bonus suspension for top management will also be extended. The moves come as the BBC is facing tough questions about its funding and spending practices.