Maharey to seek explanation over Bailey salary

Judy Bailey. Picture / Supplied

Broadcasting Minister Steve Maharey will ask the TVNZ board for an explanation over a massive increase in TVNZ newsreader Judy Bailey's salary.

The Dominion Post reported today Bailey's salary had nearly doubled, from about $400,000 to between $790,000 and $800,000.

Bailey had asked for, and received, the increase in light of a battle for presenters between TVNZ, TV3 and Prime, the newspaper said.

Mr Maharey said it was up to the board and management to deal with salary matters.

"It's worth saying, however, that of course the board is accountable to myself and (Finance Minister) Dr (Michael) Cullen for decisions that they make," he said.

"I guess I'd add to that that if this is true... it's not the kind of decision that I'd make myself."

Asked if that meant he would be seeking a "please explain" from TVNZ, he said: "That's it."

Prime Minister Helen Clark said if the pay packet that was being reported for Bailey was true then TVNZ's directors had "quite a lot of explaining to do".

At most Bailey spent four minutes on air, but her reported salary was more than double Helen Clark's.

"I wonder about market relativities," she told reporters.

"The Government appoints the directors of TVNZ. We rely on the directors of TVNZ to ensure that the company is run in an appropriate manner. That means not having a culture of extravagance at Television New Zealand," she said.

"If salaries of that magnitude are being paid there better be some damn good reasons."

She said Mr Maharey would discuss the matter with TVNZ's board to establish whether the figure was correct.

"These salaries are always apparently subject to confidentiality agreements, but I can only say... that if that's the sum it's an enormous amount of money for what I would estimate for four minutes on air."

The Dominion Post reported today that Bailey was approached by TV3 as part of a three-way TV bidding war for reporters and presenters, between the two main networks and Prime, but TV3 this morning denied that.

"This is fantasy on someone's part, and is completely untrue," TV3 director of news and current affairs Mark Jennings said.

"Judy is a fine broadcaster but is so entrenched with the state-owned TVNZ brand it just wouldn't be the right move for us."

Mr Jennings said he was shocked, and was sure all taxpayers would be, that the state broadcaster had replaced one extravagant salary with another.

- NZPA