ABC boardroom blow up forces forced out over ‘conflict of interest’ by chair Ita Buttrose

The ABC boardroom has been thrown into chaos over what some saw as a conflict of interest that led to the resignation of a director.

Fiona Balfour, who was appointed to ABC’s board by the coalition government in May 2021, is the second director in two weeks to announce her resignation.

Ms Balfour reportedly clashed with ABC president Ita Buttrose over a perceived conflict of interest due to her also being a director of Telstra subsidiary Digicel.

Two weeks ago, businessman Joseph Gersh, who was appointed when Malcolm Turnbull was prime minister in 2018, said he would leave ABC’s board in May.

Ms Balfour’s position came under scrutiny as Telstra has multiple contacts to supply mobile technology and other services to the public broadcaster.

Asked to sit out of at least one board meeting since joining Digicel’s board last August, the Sydney Morning Herald informed.

Telstra bought the South Pacific telecommunications company from Irish billionaire Denis O’Brien last July with the help of the Australian government to prevent a Chinese company from buying it.

While Telstra owns 100 percent of Digicel, the federal government provided $1.9 billion of the $2.1 billion sale price.

Ms Balfour reportedly clashed with ABC president Ita Buttrose (pictured) over a perceived conflict of interest due to her also being a director of Telstra subsidiary Digicel.

Ms Balfour, who previously worked as chief information officer at both Qantas and Telstra, was reportedly recommended for her Digicel board seat due to her experience on boards such as ABC and Western Sydney Airport.

He had faced calls to resign from ABC since taking over at Digicel.

The non-executive directors of the ABC board of directors are required to have no conflict of interest due to their personal, commercial or political activity.

Daily Mail Australia does not suggest that Ms Balfour had any conflict of interest.

A spokeswoman for Communications Minister Michelle Rowland said the government was not involved in Ms Balfour’s resignation.

The challenge of having to replace two directors comes at a time when ABC employees are poised to name a new staff director and the station is also facing a possible strike.

The ABC Chairman (Ita Buttrose) wrote to the Minister on January 30, 2023 to inform him that Ms. Balfour had written to the Governor General to tender her resignation as a non-executive director on the ABC board, effective January 31, 2023. ,’ they said.

The process for replacing directors includes written requests, interviews, and background and referee checks.

A short list of three or more candidates for each position is then submitted to the Federal Minister of Communications.

The challenge of having to replace two directors comes at a time when ABC employees are poised to name a new staff director and the station is also facing a possible strike.

Laura Tingle (pictured) is one of five candidates for the ABC staff-elected board position.

There are five candidates for the board position elected by staff: the 7.30 show’s chief political correspondent Laura Tingle, Radio Sydney’s Indira Naidoo, newscaster Dan Bourchier, business reporter Dan Ziffer and Kelly Williams , Director of Indigenous, Diversity and Inclusion.

The winner of the staff vote is expected to be announced in mid-March.

ABC’s board meets six times a year, and non-executive directors are paid $58,670 a year.

ABC management is also currently involved in contentious negotiations for a new wage and conditions agreement with staff.

The employees have filed two requests with the Fair Labor Commission that will allow them to strike if the staff vote to do so.

On Friday, ABC offered a three-year contract with a 10.5 percent pay increase, with an initial charge in the first year.

Staff have also been offered a one-time payment of $1,500 in the first year of the proposed agreement, which will be put to a vote.

Daily Mail Australia has contacted ABC for comment.

THE RULES AND REGULATIONS OF THE ABC BOARD

There should be between four and six directors in addition to the CEO, the president and a director elected by the staff.

In the photo, ABC’s headquarters in Ultimo, Sydney.

ABC’s board meets six times a year, and non-executive directors are paid $58,670 a year.

The process for replacing directors includes written requests, interviews, and background and referee checks.

A list of three or more candidates for each position is then delivered to the Federal Minister for Communications, currently Michelle Rowland.