The government is to spend over $US380,000 on the redundancy and retirement of a third of staff at the Vanuatu Broadcasting and Television Corporation.
VBTC management say that a committee has been set up to review the company.
The VBTC says that currently they have a total of 60 staff and 20 are expected to be retired or made redundant.
The budget for the review is expected to be approved by parliament in March.
Meanwhile staff are said to be losing morale over their working conditions because of the current financial situation.
Staff have reportedly not been getting paid on time or only received part of their salaries.
During the Christmas and New Year Holiday, they didn't get their salaries at all.
For the past years, government has allocated nearly $400,000 to the VBTC but no grant has been approved in during the current financial year.