NRL salary cap drama: Who could be the winners?

By Adam Murray / Roar Rookie

The National Rugby League’s proposed salary cap for 2018 could end up rising from $9.2 million if the Rugby League Players Association (RLPA) has something to do with it.

Clubs are still awaiting a finalisation of the salary cap for next season with some clubs edgier than others about the situation.

The collective bargaining agreement which will influence the outcome of the salary cap for the 2018 season is yet to be agreed upon with 75 per cent of clubs yet to tick off on the NRL terms.

The RLPA declared on Monday the NRL was “jumping the gun” to think that the figure of $9.2 million was set in stone, clubs are going to have a difficult time completing their squads for next season if it wasn’t hard enough already.

According to reports from both Fairfax Media and News Limited journalist, Paul Kent, more than half of the 16 NRL clubs are reportedly over the NRL’s proposed salary cap.

Paul Kent told Fox Sports’ NRL 360 his understanding is “there’s somewhere in the vicinity of 11 clubs who are over” the cap.

If the proposed salary cap of $9.2 million is somehow set in stone for next season, clubs will have no choice but to unload a serious amount of talent to accommodate.

All these negotiations between the governing body and players’ union are looking very similar to what has just been finalised at Cricket Australia. The players’ association were successful in that situation and it looks like the RLPA are not going to back down lightly on the size of the salary cap.

In April, the NRL sent an email to all 16 clubs to prepare for a cap of $9.14 million, meanwhile the RLPA replied with a counter offer of $10 million and a guaranteed 29 per cent revenue share of the game’s profits.

This still remains the case, with about eight months to go before the 2018 NRL season kicks off, proving not much time remains for clubs who are wanting to virtually finalise their squads before the end of the 2017 season.

So which clubs would benefit if the salary cap was finalised at the proposed amount of $9.2 million?

Newcastle Knights
They are the obvious club who needs some luck to go their way, and this would definitely help with the rebuilding of the club.

With the club playing the ‘wait and see’ game for future signings rather than being on the offensive like others, Newcastle would love for the salary cap not to go up to accommodate clubs who have overspent.

Knights coach Nathan Brown has urged the NRL to refuse rising the proposed salary cap for any club that has overspent for next season.

“All the clubs, regardless of what they say, everyone got the email… and got told that you’ve got to work off $9.1 million,” Brown said while talking on Triple M.

With forwards and even another half the main priority for the rebuilding club, the amount of quality players that would hit the market would be ideal for Newcastle. Money will not be an issue if players become available from rival clubs.

The likes of James Graham, David Klemmer, James Maloney and just recently Adam Blair could all be available for Newcastle if the cap does not increase. That’s what Novocastrians want to see.

Wests Tigers
Similar to the Knights, the Tigers are rebuilding under new coach Ivan Cleary. The release of a few players and others told to begin to look elsewhere for next season is surely freeing up some salary cap.

15th on the ladder and the loss of three marquee players in Aaron Woods, James Tedesco and Mitchell Moses shows the Tigers will continue to look for talent.

If the cap isn’t as high as some clubs want it to be the Tigers could score a few more signings, however already signing the likes of Josh Reynolds, Tuimoala Lolohea and Chris McQueen, the club might be one already pushing the boundaries of the proposed $9.2 million salary cap.

It all depends if the club has paid overs to kick-start the rebuild faster than expected.

(AAP Image/Paul Miller)

Manly Sea Eagles
Look, the Sea Eagles are a top eight side who have just gone through un-Manly like phase in past seasons.

Quite different circumstances to the previous sides mentioned but looking at the player movements for this season, Manly have been quiet – they have either realised early on in the season they will be over the proposed salary cap or are playing a waiting game in case players are shed from other clubs.

With the club back on the front foot with their footy, if they could sign another player or two, and then could be a real premiership force in 2018.

Parramatta Eels
Similar to Manly, the Eels could be the real deal this season and will be still playing come September.

The amount of player losses for next season outweigh the amount of gains and re-signings at the club. Also, the number of off-contract players at Parramatta is one of the largest in the competition.

The Eels, however, could still be one of the clubs just not re-signing players to get under the cap if it is finalised at $9.2 million, or hoping to replace them with higher profile players if clubs begin to shed players.

The Canterbury Bulldogs are the most known to be over the cap and wanting to shed players, but more are bound to come.

Could your club be next? Only time will tell, because the NRL’s inability to finalise the salary cap does not look like it is going to end anytime soon.

The Crowd Says:

2017-08-12T22:13:58+00:00

Glenn

Guest


You also have to remember that the cap those days was about $3m and the Storm cheated by paying a third over the cap, huge in percentage terms compared with most breaches these days. So positively no to giving their premierships back. Also players should have been asked to hand back premiership rings like they do to cheats at the Olympics.

2017-08-12T20:23:17+00:00

The Spectator

Guest


I heard that contracts for clubs over haven't been signed off on yet by the NRL and more than likely will be the transferred players in limbo as opposed to the clubs signing them.

2017-08-12T08:24:46+00:00

no one in particular

Roar Guru


Greenburg will capitulate to a middle ground. He hold ground on the cap number, but will those clubs that are over will get allowances, something like allowing them over for 1-2 years, but they must be that much under in years 3-4 (when the cap will rise again and those clubs won't be worse off). The issue is there is no flexibility with the cap. It should operate like the NFL. So if the cap was 10m then it is essentially 50m over 5, but you must spend at least 80% of the cap each year. So you can over a year, but you have other years to keep it under. For example, if you are a young team on the rise you can allocate your cap to be 8m, 9.5m, 10.5m, 11m and 11m

2017-08-12T05:24:15+00:00

bearfax

Guest


The trouble is that the richer clubs have been meeting and will put the pressure on the Admin for greater allocation. And of course Greenberg is a bulldog supporter. So what do you think will happen?

2017-08-12T05:23:20+00:00

TV TED ELLERY

Guest


Bit more complicated than that - if players have signed contracts with any club who has been found to be above the cap for 2018- It's not a simple exercise to just release them - any new club they may go to will not be wanting to pay the full contract amount for starters - Another legal argument will be around the contract itself as if not registered by the NRL is it a valid contract ? I understand Woods and Foran's contracts are yet to be registered by the NRL - if say the Dogs are over the cap and they say to Woods and Foran sorry we are not able to get your contracts registered with the NRL so you cannot play for us - what will be the legal recourse for Woods/Foran- take the Dogs to court for breach of contract and NRL too - Dogs will argue the contract was not able to be registered by the NRL so the contract is void- NRL will say Dogs over the cap the contracts could not be registered as they will need to offload players to the value of these contract to be cap compliant before they could be registered. Players under contract with clubs over the cap could dig their heals in and so no I am not going anywhere too. Could be a real mess

2017-08-12T05:01:11+00:00

TV TED ELLERY

Guest


I think what you forget to mention was the Storms salary cap breaches were over a 5 year period-systematic system of salary cap cheating.- The question to be asked though is what happened to Inglis's boat and his 20k gift voucher - did the players know is also a question that has never been answered - Bit the like Dogs salary cap scandal of 2002- players signed 2 contracts and received 2 payments each month- no one ever question why as it would never have happened previously either and no one knew!!!!!!. Storm officials confessed on 22 April 2010 that the club had committed serious and systematic breaches of the salary cap for the last five years by running a well-organized dual contract and bookkeeping system which left the NRL ignorant of $3.78 million in payments made to players outside of the salary cap, including $303,000 in 2006, $459,000 in 2007, $957,000 in 2008, $1.021 million in 2009 and $1.04 million in 2010.

2017-08-12T04:40:41+00:00

no one in particular

Roar Guru


The clubs that are over put themselves in that situation. They were told months ago to work off a 9.2 cap. They overspent, not the NRL

2017-08-12T00:40:10+00:00

Big Daddy

Guest


Scott, The NRL is a joke. By not announcing next years salary cap they have put the clubs who have allegedly over in an awkward situation. I don't know of any organisation that does not have some sort of forecast for the next 5 years. They already have the broadcast deal in place and know what they are getting. How difficult can it be. Maybe they don't have the money because they have already overspent $30 million.

2017-08-11T09:40:22+00:00

Todd Shand

Guest


Can i come around and live your life for a night Fatman. It sounds fantastic.

2017-08-11T04:43:48+00:00

The Fatman

Guest


My wife is a nymphomaniac and my best friend is an alcoholic who I drink with; no wonder I am exhausted.

2017-08-11T04:02:58+00:00

billyg

Roar Rookie


If the reports are accurate and, in fact, 11 clubs are currently over the cap of $9.2m that all were advised to work towards, then it smacks of mismanagement on one level, and/or a flagrant disregard for the NRL Management on another. Apart from the obvious alleged culprits in Bulldogs, it would be very interesting to see which other clubs find themselves in that position. Would it be safe to assume that it is the bloc of clubs who were promoting a "rebel" league earlier in the year? Quite probable that, even after all these years, it was the old News Ltd aligned clubs that formed that bloc. Hopefully, the NRL stick to their guns and don't bend over backward to appease those who have flouted the guidelines which will then allow those clubs who have been prudent and exercised discretion while following the "rules" to get back on an even footing. But, we all know that wont happen and the powerful clubs will rule the direction the NRL will take.

2017-08-11T02:11:31+00:00

no one in particular

Roar Guru


A points system was investigated and was deemed unworkable. For example, if points are accured for current Origin players then a player like Cherry-Evans would count less then Lillyman, Peats more then Friend. Warriors would be unfairly hit if its on international representatives. If it was on juniors produced then Brisbane would have a big advantage over a club like the Bulldogs or Roosters

AUTHOR

2017-08-11T01:15:13+00:00

Adam Murray

Roar Rookie


I believe if the NRL stays strong with the proposed cap they told clubs earlier this year it will strengthen the competition. Because if clubs have to release players, they are most likely to go to struggling clubs who need more depth and star power. I think that really benefits the competition. I really like your thoughts would love to see some of them happen

AUTHOR

2017-08-11T01:12:06+00:00

Adam Murray

Roar Rookie


Totally agree mate. Clubs have to held accountable if they have gone over the cap. For example, the Bulldogs are the most notable club over the cap and they should have to offload players to rival clubs. If clubs and the RLPA win this battle, the governing body will lose a lot of authority.

2017-08-11T00:11:07+00:00

bearfax

Guest


For the benefit of the game, I would be keeping the cap low and then spending more money on country and junior football, where the AFL are making huge strides especially in NSW. I would then bring in Perth and a second Queensland side (leave door open for others in a few years), and do it by no later than 2019. What you would have then would be more corporate support overall with two more well prepared clubs, more people overall watching the game at grounds and TV, stimulating new interest in the game and ensuring that when the next TV financial claim is made, you have a greater amount of financing to demand, given the increased audience (Perth in particular). Just as a diversion, the game is too top heavy and is allowing its foundation to weaken. It needs a fresh start with fresh ideas and people to examine the game as a whole, including the rules and admin structure. I think if we cant have a draft then we need some form of points system for players with a limit to the number of points per club. This would create greater equity Then the cap issue would be far less relevant.

2017-08-11T00:08:52+00:00

The Fatman

Guest


Yet the Melbourne Storm are the only team to have had premierships taken from them; when most seasons nearly all teams are over the Salary Cap? The NRL are biased. #givetheStormbacktheirpremierships What a joke.

2017-08-10T23:43:35+00:00

ScottWoodward.me

Roar Guru


Several clubs have consciously flouted the clear guidelines set down by the NRL to work to a M9.1, cap – it was crystal clear. If all 16 clubs do not start 2018 under the same rules then the NRL comp will be a joke and the NRL will be toothless Tigers. The clubs that have acted responsibly should not be penalized, and the clubs who have over spent must be ordered to cut back or be penalized competition points. The RLPA should be pleased that there has already been a significant pay rise across the board, but what is crucial for next season is that we have a level playing field. With the inane third party agreements that is impossible, but at least with everyone sticking to and respecting the same cap figure it is a start.

2017-08-10T21:13:20+00:00

Matt Jones

Guest


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