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Salary cap

edited May 2009 in General Charlton
Apologies if this has come up before but I didn't realize that the Football League has a salary cost management protocol for clubs in Leagues One and Two that limits spending on players' wages to 60% of club turnover and total salary costs to 75 per cent of revenue. I would guess that salaries were higher than 75% in recent years - not sure the knock on effect for this season.

Comments

  • Maybe this should be applied to Championship and Premiership clubs too. Seems to work OK for Rugby league.
  • yes I agree, much of what is wrong with the game these days is due to the extortionate salaries....its got to impact the country's upcoming youth eventually. Over in Oz they also have a place for I think its one, possible two "special" players who can be on a 2 yr contract which is outside of the salary cap...I think the term is marquee players (Fowler up at Townsville and probably Todd at Perth).....seems to work and boost attendances too. Not to mention that it actually brings a bit of quality into quite ordinary sides.
  • if you are dropping down from the Championship, do you get an extra period of time to fall into line ?
  • The idea of a blanket salary cap is nonsense, unworkable, unreasonable and pointless. How can a company be de-barred from offering what it considers an appropriate, affordable salary to its employees? Why should a company have to give up information on its turnover merely to prove it is in line with the salary restriction? Why should a group of emplyees have the salaries pored over in order to ascertain they're not being paid too much?

    Large turnover clubs should be allowed to pay as much as they like. Otherwise, what else to do with the "leftover" money? For example, if the cap is at 75% of turnover, and, say Portsmouth's turnover is £50m, that gives them £37.5m to pay on salaries and £12.5m to spend on running the club. But if Man United's turnover is £200m, they will have £50m to "spend" on running the club. Why does one club need so much more on non-playing staff and coss than another?

    Bring in a salary cap and you immediately bring in "clever" ways of evading it. in the example above, what would stop Man United giving a rebate to their club sponsors, AIG, who in return, make ex gratia payments to Rooney, Tevez, Ronaldo, et al? Thus, a loophole has opened, United evade the ruling, players' salaries continue to rise and the differential between rich and poor opens further.

    It takes two parties to agree a salary: the player (and his advisors) and the club. We don't need to bring in rules to stop one half of that equation making stupid decisions.
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