ABC managing director Michelle Guthrie sacked after several months of talks

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"The board wishes to thank Michelle for her contribution to the ABC", Mr Milne said.

Prime Minister Scott Morrison said it was up to the ABC board to decide how the broadcaster is run.

"The board felt in the end that her leadership style was not the style that we needed going forward".

The ABC's Michelle Guthrie has been dismissed as managing director by the board of directors. "I am considering my legal options", she said.

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Michelle Guthrie has spoken out after being dumped as managing director of the ABC, arguing there was no justification for the company's board to terminate her employment.

Anderson will serve as acting managing director while Guthrie's permanent replacement is found. Anderson is now Director, Entertainment & Specialist and has worked in the media industry for more than 30 years.

Faine, who hosts the morning program on ABC radio in Melbourne, said Ms Guthrie "wouldn't advocate for us, which is an astonishing fail". He added that Guthrie's relationship with Government "could have been better".

"In the first two years of my five year term, I have invested more in investigative journalism, more in regional journalism, more in innovative content and increased the efficiency and effectiveness of the ABC", she said.

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Despite offering praise for some of Ms Guthrie's work, Mr Milne said her "leadership style" was a factor in the board's decision.

But board chairman Justin Milne insisted no one from the government put any pressure on the board to sack her just two-and-a-half years into the job.

Ms Guthrie's contract contained a clause allowing the board to sack her without a reason at any time, which they did on Monday. And, perhaps more importantly, is the appointment of a person who has spent the past four years looking after relationships with advertisers at Google a prelude to at least a partial commercialisation of the assets of the ABC?

David Anderson, the ABC director of entertainment and specialist, will serve as acting managing director until a formal search process finds Ms Guthrie's successor.

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"The ABC board has legislated independence in relation to management appointments and the Government respects the duty and role of the board in these matters". Her reign over the ABC was nearly relentlessly troubled. The Federal Budget this year froze the ABC's funding CPI indexation, resulting in a $83.7 million hole over the three years from July next year.