NRL shutdown: NRL players to suffer huge pay cuts amid COVID-19 crisis
The NRL’s phone meeting with the RLPA has only reiterated rugby league’s desperate financial situation, with high profile multimillion-dollar contracts slashed as the game fights to stave off bankruptcy.
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NRL players are facing a financial blow of almost $50 million collectively with the code’s elite to be subjected to 50 per cent pay cuts as the coronavirus pandemic cripples rugby league.
The Courier-Mail can reveal the torrid financial landscape ahead for the game’s 480 contracted full-time stars after the NRL kicked-off pay talks with the Rugby League Players Association in the wake of the COVID-19 crisis.
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In one of the most dramatic days in rugby league’s 112-year history, it can be revealed:
* The RLPA heard the NRL competition may not resume after the code’s pandemic expert conceded a return to play this year is unlikely;
* The NRL only has an estimated $25 million left to distribute among the 16 clubs for player payments;
* The code’s $1 million earners such as Cameron Smith, Anthony Milford, Daly Cherry-Evans and Ben Hunt are facing pay cuts of up to $300,000;
* Several big-name coaches were stood down without pay, with Cowboys mentor Paul Green given only a fortnight’s annual leave;
* NRL players are facing 50 per cent downgrades for the remaining seven months of their 12-month pay cycle;
* A tiered pay-cut system has been discussed with the code’s highest earners to cop a bigger financial hit to protect their lower-earning teammates; and
* The worst-case scenario will see players lose $46.4 million – $2.9m per club – if the NRL does not return this season.
The grim figures underline the devastating impact of the coronavirus ordeal and have rammed home the financial ramifications for NRL stars as ARL Commission chairman Peter V’landys fights to stave off bankruptcy.
Broncos players were ordered to take three months leave with a proposed return date of early July.
It is understood Broncos players believe the most they stand to lose financially is 29 per cent of their total salaries for the 2020 season.
The NRL’s annual contracting period starts on November 1, meaning all players have thus far received five months of payments in full, totalling $4.8m of each club’s $10m salary cap this year.
That leaves seven months of outstanding payments worth $5.8 million to each club. A 50 per cent pay cut from April 1 will see each club’s playing group forfeit a total of $2.9m, which is 29 per cent of the $10m payment ceiling.
RLPA boss Clint Newton is open to pay cuts after the first instalment of talks with NRL CEO Todd Greenberg and a four-man club committee including Broncos chief Paul White.
“We are trying to map out what is next in unbelievably difficult circumstances,” Greenberg said.
“This means we will have hard conversations now, for the future good of the game. The NRL and the players are absolutely aligned in our desire to ensure the game gets through this crisis.”
Newton said: “The meeting provided the RLPA with further information regarding the financial status of the game.
“Togetherness and unity across all stakeholders will be paramount in achieving the best outcomes for the future of the game.”
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Broncos veteran Darius Boyd has been a high-earner for a long time and confirmed protection for the NRL’s lower earners has been debated.
“That’s something we spoke about with the RLPA,” he said.
“Some of the younger guys are on smaller contracts and minimum wage.
“Every time I’ve spoken to the RLPA they’ve had some positive chats around what we can do and how we can be there for each other.”
Agreement on player-payment conditions is expected to be reached in the next 48 hours.
Originally published as NRL shutdown: NRL players to suffer huge pay cuts amid COVID-19 crisis