NRL clubs will receive just $2.5 million from the governing body to survive the coronavirus crisis should the season fail to resume this year.
The ARL Commission on Monday guaranteed three months’ funding for clubs following the latest emergency meeting to discuss the worst-case scenario for the competition.
That includes two months’ pay for the players under a proposed 75 per cent pay cut should the rest of the season be wiped out.
The Rugby League Players Association is expected to present the plan to players through club delegates on Monday afternoon before making a response.
The governing body last week informed clubs that it has enough funds to pay their monthly club grants of $1.2 million for the next three months.
However after meetings with the RLPA over the last week, it is understood players will get two months’ pay to last the next seven months.
A quarter of the players’ pay will come from the game’s injury-hardship fund, while it is expected a tiered pay cut will be applied to protect minimum-wage players.
That leaves the clubs with just $2.5 million each to survive, with another, smaller, one-off payment expected to arrive in July.
The NRL claim the total $40 million rescue package would be an increase of $6.4 million in comparison to their budget for the 2020 season.
The figures emerge after revelations head office will make a 53 per cent reduction in operating costs and 25 per cent cut in executive salaries.
Ninety-five per cent of NRL staff aren’t working during the shutdown.
ARLC chairman Peter V’landys remains hopeful the competition can resume in July, when lucrative broadcast payments would also recommence.
“We have a consolidated plan and working with the clubs and the players, are united in our efforts to do all we can to protect rugby league,” V’landys said.
“We had no option but to stop the competition in the wake of advice from our biosecurity and pandemic expert but remain optimistic that the season will restart as quickly as possible, ideally by July 1.
“If that isn’t possible, then we need to be prepared for that option as well and are making the tough financial decisions now to reduce costs to ensure we get through this crisis.”
The likelihood of a reduction in the salary cap, part of a cost restructuring of the game, is also believed to have been discussed during the meeting.
The cap was expected to hit $9.9 million next year and $10 million in the final year of the current broadcast deal in 2022.
“We are working together to achieve the best outcome in the short, and long term,” NRL chief executive Todd Greenberg said.
“We must use this opportunity to reset the game’s costs and overall structure.
“These measures will put the game in the best position to rebound strongly from the pandemic.”
Nat
Roar Guru
That's an interesting point. I wonder if those guys are still being paid?
Chuck
Guest
Peter Beattie happened
Hard Yards
Roar Rookie
...only because he left his wallet back at the office, or the gym, or his mum’s.
Jacko
Guest
They decided Smiths wife needed a expensive neckless.
In brief
Guest
I thought the NRL was flush with funds following the billion dollar tv deal. What happened?
Zedman
Roar Rookie
What was Greenberg doing while Beattie was making a mess of things,if anyone should fall on a sword it has to be this dodgy bloke. Obviously thought he was bullet proof which shows with his preferential treatment to particular players and clubs,now we hear two years of super hasn’t been paid. We need clarity but we also need to see Todd asked a few questions before he exits.
GWSingapore
Roar Rookie
Yes, but Alan Joyce was on $27,000,000 per year when he made that decision.
The Spectator
Roar Guru
Why is it everytime an article about pay or negotiations is there a need to put a manly player or players on scope like we complaining for money, yes we the smallest fan base but this is a form of media bullying like we the silver tails everyone hates us anyway bs!!
Gray-Hand
Roar Rookie
Can’t see $2.5 million stretching very far - that’s barely enough to pay out half the contract of one terminated coach.
Gray-Hand
Roar Rookie
The executives are working a lot harder than the players are at the moment. And right now, the executives are way more important. Cut executives pay by too much and they might quit. The players aren’t going anywhere. Having some players walk out would actually solve a few problems.
Clanger McClunk
Guest
If media reports are correct then head office needs to reduce it's payroll by huge amounts. I was gobsmacked to read that there are 100 plus in the PR department feeding mainstream media their regular stories. If that's true we can safely assume, sadly in one respect, 100 jobs will go. The extra few will suffice. The bunker cost 2 million to set up and costs mega dollars to run with no benefit to the game; another for the chop. As one scribe in this morning's news suggested, we could and should go back to one referee running the games. Massive savings in wages there considering the top refs are on 300k per annum. Now we come to our lad Toddy. He has gracefully decided to take a pay cut as well he should. After the era of the mad Welsh banker running our game which was totally foreign to him, (remember Benji Barba) I thought the extravagant largesse would have finished, but no, Todd has continued with the spend-up. Trim the fat and create a lean, mean working machine for the benefit if all involved in RL.
Paul
Roar Guru
my understanding is there are no "missing millions", rather a decision was made a few years ago to throw ALL of the money the NRL had available, out to the Clubs and Greenberg made it very clear the NRL was not going to be bailing out any Clubs. That was at a time when more than one Club had gone cap in hand back to the NRL asking to be financially propped up. Obviously in hindsight that might not have been the smartest move, but it made sense at the time and who could have predicted the current set of circumstances?
Paul
Roar Guru
for now, Dwanye. It doesn't mean there won't be changes once this season is done
Dwanye
Roar Rookie
Does this mean the NRL not looking at all at dropping comp team numbers?
Nat
Roar Guru
No game, bugger all to manage, the Govt will support Toddy with $1500p/w fo the next 6 months and NFPs are included. Slightly less than the 'on-air' talent has been given. When the game starts again and the revenue money starts rolling in, they can have their money along with the players. I hope the Retirement funds they sourced comes from Beattie's account.
Chud
Guest
So the players take a 75% cut and the executives 25%... A level playing field then....?
Chuck
Guest
Was just reading an article on Fox Sports (I can do that right?) about missing millions from the NRL that was supposed to be put away towards players retirement (like they don get paid enough now, or before, whatever) and moneys to be put aside for assisting any clubs that may be under stress. $21 mil total apparently. Now unaccounted for. All dating back to 2018. So up until that point that money was being put aside, it would seem. So what changed, in 2018? Very simple....Peter Beattie took over. What the hell were they thinking, putting that man in charge. Creates a Godawful mess that blows up long after he is gone. That's his MO. Otherwise the league would be in a much better position to battle through this.
Dogs Boddy
Roar Rookie
Wow. 25% cut in executive salaries at a time when the CEO of Qantas states he will not draw a salary for the rest of the year. Something is rotten in the state of Denmark.