ABC boss Michelle Guthrie launches counter attack against Liberal Party, critics

Michelle Guthrie claims Australians resent the ABC being used as a “punching bag” as she outlines why it must be kept in public hands.

Managing director of the ABC Michelle Guthrie.

ABC managing director Michelle Guthrie says the ABC contributes $1 billion to the wider economy — about the amount it costs taxpayers — and the public resents the broadcaster’s enemies using it as a “punching bag”.

The national broadcaster helped to sustain a total of 6500 jobs in the wider community and further cuts to its budget will “punish” audiences, she said in a speech at the Melbourne Press Club today.

After several months of attacks from political and business critics, including the government which has criticised ABC journalism and the Liberal Party which voted to privatise the broadcaster, Ms Guthrie launched a counter-attack saying the public and media industry was against privatisation.

“The people of Australia, who regard the ABC as one of the great national institutions … deeply resent it being used as a punching bag by narrow political, commercial or ideological interests,” Ms Guthrie said.

“I think the public regards the ABC as a priceless asset, more valuable now than ever in its history. I can appreciate that the ABC would fetch a high price in a commercial market. But does the public want a new media organisation that compromises quality and innovation for profit? Does the commercial sector want a new advertising behemoth in its midst? I think not.”

Calls to privatise the ABC were “misplaced” she said, because the broadcaster contributed $1bn to wider economy and was “helping to sustain” 2500 jobs outside the organisation in addition to its 4000 employees.

“It means that for every three full-time equivalent jobs created by the ABC, there are another two supported in our supply chain — local artists, writers, technicians, transport workers and many more,” Ms Guthrie said, citing preliminary findings of a Deloitte Access Economics it will release next month.

“There are 2500 jobs outside public broadcasting at risk in any move to curtail our remit and activities.

“I am proud of the ABC. I am proud of the work we do, the privileged position we hold in Australian history and our way of life; and of the value we bring, not only to audiences, but to the wider citizenry. My aim in this speech is to demonstrate that value and to dismantle some of the arguments that are being used by critics to attack the national public broadcaster.”

Ms Guthrie said her restructure of the ABC meant it had surpassed her stated goal of spending 80 per cent of its funding on content. “This financial year, 92 per cent of the ABC’s budget will be spent on making content, supporting content makers and distribution. This is a result that we are very proud of and I suspect many of our commercial counterparts would aspire to.”

The restructure meant that the Government’s 1 per cent efficiency dividend will “rob the ABC of its ability to finance new content” and “serves only to punish those audiences”.

The ABC has endured months of criticism this year. Communications Minister Mitch Fifield has made six complaints about ABC journalism in five months.

And over the weekend the Liberal Party federal council voted to privatise the ABC after a motion was table that no party members spoke against.

Labor leader Bill Shorten has promised to restore the $84 million the government will cut from July next year in a freeze of the ABC’s annual funding indexation.

The government is also conducting a competitive neutrality inquiry, which is examining if the ABC and SBS uses its public funding to the commercial detriment of other broadcasters.

And the government is pursuing legislation at the behest of One Nation to reveal the salaries of ABC staff earning more than $200,000 a year.