A-League players to push for overhaul of failing salary cap
Fears the looming slashing of the game’s salary cap for next season, could result in an exodus of the A-League’s biggest names
The A-League salary cap is not only failing in its stated aims but also “directly contributing to a raft of negative unintended consequences”, according to the players’ union, which will this week step up a campaign to see it reformed.
Discussions over the cap will be a key flashpoint when Professional Footballers Australia and clubs pick up discussions over a new collective bargaining agreement. It is understood the players will push hard for the cap to be abolished.
As revealed last week, it is feared that the standoff, and the looming cuts to the game’s salary cap for next season, could result in an exodus of the A-League’s biggest names.
And that could be leveraged into calls to scrap the $3.2 million salary cap altogether.
It is a position which has been raised previously by the players’ union, which argues it does little to promote competitive balance, nor the financial sustainability of clubs.
And with the league facing a critical juncture, players believe now is the time to act.
“The restraints imposed by the salary cap means that its ongoing operation requires continual agreement from the players and this agreement has always been highly conditional,” PFA co-chief executive Beau Busch told News Corp.
“The players’ position is clear; the current model requires significant reform.
“In its current form, the salary cap is not achieving its stated objectives and is directly contributing to a raft of negative unintended consequences such as extreme player churn and fan disengagement.”
Last month, FFA chief executive James Johnson revealed the 11 principles upon which it was hoped Australian football could build and grow — with one being establishing a domestic transfer system which could reward clubs for developing and producing talent. However the PFA believes this would not be feasible while continuing to operate under a restrictive salary cap.
“Attempts to introduce a domestic transfer system, while continuing to operate a salary cap, would be hugely problematic and is likely only to result in the further erosion of competitive balance and financial viability,” Busch said.
When the COVID-19 shutdown hit, the financial instability of clubs was laid bare, with teams forced to stand down players and slash costs across the board.
FFA was contacted for comment.
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