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ABC Pays Former Managing Director Michelle Guthrie $730,000 To Settle Lawsuit

Bringing her total payments since being dismissed to $1.64 million

The ABC has paid its former managing director Michelle Guthrie $730,000 to settle legal action she took against them, bringing her total payments since being dismissed in September 2017 to $1.64 million. The figure was meant to be kept confidential, but the ABC’s acting managing director David Anderson revealed the settlement figure at Senate estimates hearing in Sydney under parliamentary privilege.

The $730,000 settlement comes after Ms Guthrie received $911,000 upon her termination, halfway through a five-year contract. 

In December, the ABC said it would defend its decision to sack Guthrie after the former managing director filed the lawsuit against her. ABC Chair Justin Milne announced Ms Guthrie’s sacking last year after the board of directors concluded it was not in the best interest of the organisation for her to continue.

At the time her contract was terminated Ms Guthrie was criticised for her lack of understanding of public broadcasting and journalism. Ms Guthrie, a former Google executive became head of the ABC – widely seen as one of the toughest jobs in Australian media – in May 2016.

Shortly after Ms Guthrie was removed, the then ABC chair Justin Milne resigned following revelations he had told Ms Guthrie to ‘get rid of’ presenter Emma Alberici and ‘shoot’ political editor Andrew Probyn, which Ms Guthrie is said to have seen as an attempt by the board to intervene in editorial matters to please the government. 

In the lawsuit, Ms Guthrie claimed she was fired over complaints she had made about Mr Milne.

An ABC spokeswoman denied this to The Australian. “Ms Guthrie was dismissed because the board had lost confidence in her. She was not dismissed because of any complaints she had made.

“Ms Guthrie also alleges that she could not be dismissed during her term. The corporation disputes that this is the case. Ms Guthrie’s termination was lawful,” the spokeswoman said.

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