ABC paid Michelle Guthrie $800,000 in termination benefits

Michelle Guthrie was paid $800,000 — almost an entire year’s salary — in termination benefits when she was sacked as boss of the ABC, sources close to her have confirmed. The payout came after a $70,000 pay rise and has been cashed despite Ms Guthrie seeking more through the courts.

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Michelle Guthrie was paid $800,000 in termination benefits when she was suddenly sacked as boss of the ABC, sources close to her have confirmed.

The payout is almost an entire year’s salary, comes after a $70,000 pay-rise, and has been cashed despite her seeking more through the courts.

The payout is understood to be compensation for her contract being terminated on September 24, halfway through its five-year term.

Michelle Guthrie was sacked as ABC managing director halfway through her five-year contract. Picture: AAP

The sacking triggered a war of words with chairman Justin Milne, who resigned days later following damning leaks including The Daily Telegraph’s revelation that Mr Milne told Ms Guthrie the government wanted to “shoot” the ABC’s political editor.

Ms Guthrie has lodged a case with the Fair Work Commission but her claims in the matter are confidential.

She has also said she is considering legal action through the courts.

An ABC 4 Corners investigation laid bare the chaotic relationship between managing director and chairman, with Ms Guthrie maintaining she did not understand why she was sacked and accusing Mr Milne of pressing her to sack journalists the government didn’t like.

In the year to June, Ms Guthrie got a $70,000 pay rise, bringing her total pay to $963,991, up 8.2 per cent. It came as the national broadcaster plunged into the red, recording a $71.2 million loss.

The loss came as redundancy costs blew out, to $54.7m over the year, compared with the forecast of $35.2m During Ms Guthrie’s reign 200 staff and managers were made redundant since 2015.

Former ABC chairman Justin Milne with former managing director Michelle Guthrie. Picture: AAP

The board did not get a say in Ms Guthrie’s own termination payout _ it was the decision of the government’s Remuneration Tribunal.

“A termination payment was made to Ms Guthrie, which was in line with her contractual entitlements,” a spokeswoman for the ABC said.

Mr Milne also got a fee rise in his final year, paid $187,213 compared with $45,963 when he was chairman for three months the previous year. The ABC has appointed barrister Jonathan Forbes to investigate Ms Guthrie’s claims but has refused to be transparent about the process and will not publish the findings.

Ms Guthrie and Mr Milne have both been invited to appear before a Senate inquiry into the chaos.