Following our article last week on the Dark Arts of the ARU top-up player payment scheme, G&GR has since talked to another source with extensive experience in player contract negotiations both in Australia and overseas (no, it’s not Khoder Nasser).
Understandably they wish to remain anonymous, but G&GR can confirm their experience and knowledge in the area. Here are their key thoughts on key issues.
Top-Ups
“The ARU has an agreed spend of 27 per cent of gross income on player payments – “Top up” & match payments. Over the past few years, previous administrations at the ARU and provincial levels have spent poorly and not been accountable for their decisions. Players like Adam Freier, Ryan Cross, Matt Dunning, Stirling Mortlock, Stephen Hoiles etc were all paid very high salaries. This then sets a false market….
Players that have talent and are going to be of greater value medium and long term are penalised. Older players do not deserve to receive a pension fund a from Australian rugby.
Liam Gill while talented has not defined himself as a long term test player – his contract should reflect this. He is an exceptional Super Rugby talent. His contract should reflect this. His contract with the Reds will be – and I am guessing – between $180 – 240k. Good money. If he proves he is an international player, then he will receive close to $13k a test – he plays 10 that’s $130,000 extra income, plus the achieving of a lifelong goal of playing for the Wallabies.
I would, if I was involved, look at some incentives. If he is in the 22 for five tests in 2013, then he activates a base contract for $60k in 2014… Or something similar.”
Spreading the cash
“ARU contracts – the general feeling amongst players is that the match payments are too high and they would rather see this money cut and allocated to giving more players a base top-up. A guaranteed income. If match payments were $5 – 6 k, that’s still double Super Rugby level, and that allowed guys like Liam Gill to stay in Aust and would allow their domestic contracts to be more competitive to [overseas] offers.
The “price makers, price takers” argument I hear every year. Australian rugby cries poor. There are players in Australian rugby better paid than many of their counterparts in France or Japan.
It’s about accountability on who the money is spent on. If you are Nick Cummins and getting no top-up and on the cusp of Wallaby selection and you see Israel Folau get $200k from NSW and $400k from the ARU, would you want to stay? Would you think you are a valuable member?”
Accountability
“The Three Amigos – all very well paid, but disliked by many of the Australian playing group. Not because of the money, but the lack of accountability and soft discipline and leadership by the ARU and Super Rugby sides. Players haven’t forgotten about that debacle of a press conference with SBW and KN (Khoder Nasser – ed.). That just showed players that if you make the organisations look bad you get paid well…
The ARU and Super Rugby Franchises need to gauge who they spend their money on. I know players who are paid far too much based simply on the province not doing their research. If a player wants $300k a year, but his closest alternative offer is $150k, why would you pay him $300k when you could pay him $180k and he is likely to stay???
The ARU and Super Rugby Provinces have an accountability to grow the game. Look at the ARU executive salaries – massive. Look at the revenue generated by the commercial teams at Super Rugby and ARU level – it’s in steady decline. If you are contracted to spend a percentage of a shrinking amount then you will naturally see a squeeze in the top-ups to players.”
