Sport in Australia is often seen as a way of life. Its essence in our culture is an escape from regular life, a way for the general public to demonstrate passion, and of course an occasion for friendly banter among rival fans.
In ancient Greek times sport was used to celebrate athletic ability and superiority. As time has gone by sport has still maintained that desire for a competitive edge, the thrill of winning and the excitement of competition. The biggest change we’ve seen over the years has been the emergence of professionalism and the rewarding of athletes for their performance.
Recent studies have shown that the global sporting economy is worth an estimated $346 billion per year, which includes lucrative sporting contracts and sponsorship agreements. It is on this basis that today’s athletes regards their sport as a business and not just a passion. As with any profession, that brings the right to negotiate a higher salary based on demand and performance.
Rugby league was formed in 1908 as a breakaway competition from rugby union in order to start a professional league so players could be paid. As time has gone by, like all professional leagues, rugby league has seen athlete compensation become a significant issue.
Compared to other sports around the world, NRL players are dramatically underpaid for the torture they put their bodies through on a day to day basis. As such, with the nature of the salary cap and the need to provide a livelihood for families, many players are required to leave their team for greener pastures.
Since the June 30 deadline was scrapped in 2007 there has been significant angst among the rugby league public regarding player movement. The controversy of mid-season signings was first raised in 2008 after Bulldog Mark O’Meley negotiated a contract 12 months in advance to play for the Roosters.
The debate has been re-ignited in the last fortnight after the Newcastle Knights signed Dragons and New South Wales utility Beau Scott for 2013 and beyond on an extremely lucrative contract. The debate this time is around an internal draft for pending free agents – but it begs the question of whether this concept has merit?
The concept of a draft was first introduced by the NFL in 1935 and works by a team retaining the rights of a draft pick from an eligible pool of players. In Australia, currently, the only draft system that is in place is in the AFL which has both an entry and internal draft. An entry draft is essentially drafting junior players, while an internal draft is for pending free agents who declare.
Rugby league has employed a draft system in the past but it was banned in 1991 following a successful court case, citing restraint of trade, by Terry Hill and Matt Adamson among others.
Melbourne Storm captain Cameron Smith fuelled the debate further last week, suggesting that, “we need to bring a draft in, it’s fair for everyone.”
Melbourne coach Craig Bellamy echoed his thoughts. “We’re about evening out the game, that’s one way of doing it.”
The two issues being raised by Smith and Bellamy relate to fairness and parity. These two ideals are not lost in the NRL, even under the current system.
The NRL is by far the most competitively balanced competition in Australia today. Every team in the last five years has played finals football and there have been no back-to-back winners in a unified competition since the 1992/93 season.
As far as fairness is concerned, what is deemed fair? Is it fair for a player born and raised in Penrith to be selected by the North Queensland Cowboys in a draft, forced to leave behind his livelihood and relocate his entire family without compensation or concessions in the salary cap?
Many outlets have suggested an NFL style draft system for the NRL at both junior level and among potential off-contract players. Quite simply, the concept of a junior level entry draft is not feasible in the NRL.
The NFL draft is built upon a stable college program in which NFL teams do not fund any junior development but are provided a constant pipeline of draft picks. The only possible way to institute such a system in the NRL would be if the Independent Commission created a system where the NRL would centrally fund all junior development nationally. It is only then that clubs who invest heavily in junior development would not be disadvantaged financially.
Another issue to consider is compensation for draft picks. In the NFL and other professional drafts there is an allotted salary dictated by where in the draft a player is selected. These values are negotiated in the collective bargaining agreement (CBA).
In the NRL, players have significantly different values based on their status in the game and position, so how would the compensation work and would there be salary cap allowances in place to assist with relocation of draft picks?
David Gallop raised further issues during the week regarding the potential loss of players to rival codes due to the NRL giving up their competitive advantage.
“There’s significant strategic downside if we’re saying to mothers: ‘Come and play our game but we might have your son sent out of town when he’s 18,'” Gallop said. Gallop has always proclaimed that the NRL is the place where local boys become local heroes, but the issue runs deeper than that.
Since NRL players are highly sought-after athletes, as identified by many transferring to other codes or the English Super League, a draft would result in a talent drain for the code. The problem the NRL has identified is that other codes would not fall under the CBA agreement negotiated by the NRL and NRL Player’s Association and, as such, would be free to negotiate with players at any time. Other codes would be salivating at the concept of an NRL draft in order to take their pick at off-contract stars.
The fact of the matter is that NRL players value their free agency and right to choose where they play and negotiate their salary. Noted player agent Steven Gilles suggested the players wouldn’t support this position either, saying, “Feedback I get from our players is they remain very much against the introduction or a push for a draft.”
If a draft was to be instituted, salary would be dictated by draft pick with the potential for players to earn less than they would otherwise in free agency.
While the issue of loyalty is always going to be a topic of discussion there are better alternatives to the issue of player transfers than a draft. The NRL could negotiate regulations in the CBA which prevent players from negotiating a contract with another team until their existing contract expires.
This system, coupled with a “trading week” in November, would put an end to signing contracts a year in advance. While there will always be speculation and trade demands, it would be better than the current system in place. Obviously, no matter what system is implemented, it will never be perfect and there will always be critics.
The NRL is, in essence, a community-based game in which players are afforded the right to free agency and to change teams to better provide for their families. While loyalty, fairness and parity will always be points of debate, the NRL has done pretty well in all departments thus far.
One would hope the Independent Commission will not change the fabric of our game due to the decisions of a few.
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