🧐 ProPicks AI October update is out now! See which stocks made the listPick Stocks with AI

UPDATE 1-Rugby-Australia's players demand review after taking 60% pay cut

Published 20/04/2020, 07:29 pm

* Players demand change after agreeing to pay cut

* RA fighting to keep game afloat

*

(Recasts, adds RA statement quotes, details, byline)

By Ian Ransom

MELBOURNE, April 20 (Reuters) - Australia's rugby union players have called for a "root and branch" review of the domestic game after agreeing to a 60 percent pay cut with governing body Rugby Australia (RA).

The Rugby Union Players' Association (RUPA) confirmed on Monday that players had accepted the terms after weeks of tense negotiations with RA, which is battling to keep the game afloat amid the sport's global shutdown due to the coronavirus.

"Immediate attention must now turn to the long-term sustainability of the game and this agreement allows the players to make a significant contribution to that," RUPA Chief Executive Justin Harrison said in a statement.

"RUPA believes in the need for transformation. This process has enabled a greater understanding of the need for root and branch reform of the game.

"The players will, with others, focus on playing a role in engaging and supporting all levels of rugby from grassroots communities through to the professional level."

RA said the players would take an average 60% salary reduction through to Sept. 30, unless competition resumed earlier.

The Super Rugby season, which involves four Australian teams and others from South Africa, New Zealand, Argentina and Japan, was suspended mid-March at the end of the seventh round.

The players' pay cut comes after RA CEO Raelene Castle agreed to a 50% reduction to her salary and furloughed 75% of staff last month.

Executives retained in Castle's management team have agreed to a 30% pay-cut.

“Sporting organisations around the world are experiencing an unprecedented challenge, as indeed the whole of society is, and rugby is no different as we continue to come to grips with the impacts of the global COVID-19 crisis," Castle said in a statement.

“This has not been an easy discussion, but it has been a necessary one to ensure that we are able to emerge from the other side of this crisis in the best possible position for the game to move forward."

The players' pay cut buys RA some time and will help the governing body absorb losses from the shutdown of Super Rugby and the expected cancellation of international test matches scheduled mid-year against Ireland and Fiji.

A prolonged shutdown would be disastrous, however, with RA projecting a A$120 million hit to its finances if unable to schedule any matches in 2020 due to COVID-19. revealed in late-March that their 2019 accounts had yet to be signed off due to the uncertainty, while its board had sought advice on insolvency protections.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.