BBC employees are threatening industrial action after broadcasting unions rejected a proposed 1% pay increase.
The dispute comes as the corporation prepares to cut up to 2,000 jobs to close a £500 million budget deficit.
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The National Union of Journalists (NUJ) and Bectu formally rejected the offer. Staff are now considering options including full strikes and working to rule.
The BBC proposed a 1% salary increase or a flat £500 bump, whichever is higher, to help lower-paid employees.
However, unions said the offer fails to keep pace with the 2.8% inflation rate recorded in May.
Union Leaders Speak Out
Laura Davison, General Secretary of the NUJ, said the offer "falls far short of what our members deserve and would leave many worse off in real terms."
She added that BBC journalists continue to deliver quality journalism in increasingly difficult circumstances.
Philippa Childs, Head of Bectu, called the 1% offer "simply not acceptable" during a cost of living crisis.
She urged the BBC to find a long-term funding solution that protects public service broadcasting without penalizing the workforce.
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BBC Director-General Matt Brittin described the restructuring program as essential due to falling license fee revenues.
He noted that "pretty much every organisation globally is dealing with an unprecedented level of uncertainty."
Management stated that executive committee members will not receive pay increases this year, with funds redirected to the across-the-board staff award.
The BBC said in an email to staff: "We are currently facing difficult financial realities that require careful decision-making.
The pay review represents a significant investment, and we must ensure any decisions are responsible and sustainable."
Both sides have agreed to enter independent conciliation talks through Acas to resolve the dispute.
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The BBC is also in separate discussions with the government regarding its Royal Charter renewal.
