Premier League in talks over salaries

FINANCES: Clubs to ask players to take wage reductions and deferrals of up to 30% across board

Premier League clubs will consult with players over wage reductions and deferrals amounting to 30% of salary as they grapple with the financial impact of the coronavirus pandemic.

The worsening of the Covid19 outbreak has led the English professional game to acknowledge that football will not return at the start of May. No restart date has been fixed – instead it will be kept under constant review.

The suspension has created financial issues for clubs throughout the football pyramid, with non-playing staff at a variety of clubs having been placed on furlough leave under the government’s coronavirus job retention scheme.

There has been pressure – including from the Health Secretary Matt Hancock – for players to take a financial hit and now top flight clubs will continue talks with the Professional Footballers’ Association over the weekend towards a deal to defer and reduce wages.

Separately, it is understood Premier League captains have held a conference call to discuss other ways in which they and their team-mates can help worthy causes during this time of national crisis.

“In the face of substantial and continuing losses for the 2019-20 season since the suspension of matches began, and to protect employment throughout the professional game, Premier League clubs unanimously agreed to consult their players regarding a combination of conditional reductions and deferrals amounting to 30% of total annual remuneration,” a Premier League statement read.

“This guidance will be kept under constant review as circumstances change. The league will be in regular contact with the PFA and the union will join a meeting which will be held tomorrow between the league, players and club representatives.”

It remains to be seen whether – subject to agreement – the players’ wage reduction and deferrals would remove the need for Premier League clubs to utilise the government’s job retention scheme, but that is certainly the expectation of Julian Knight, the chairman of the digital, culture, media and sport committee, who cautiously welcomed the league’s statement.

On Thursday Knight had warned Premier League clubs he would ask Chancellor of the Exchequer Rishi Sunak to consider a windfall tax if they went ahead with furloughing nonplaying staff while not seeking wage cuts from players.

He hopes the Premier League goes further, and ensures non-playing staff at clubs outside the top flight can be protected from furloughing.

“It’s good to see this proposal out in the light, now they have got to go and get it done,” he said.

“That will be down to the negotiations with the players’ union and then hopefully we can be a better place where the taxpayer isn’t being asked to fund the economics of the Premier League.”

Discussions between Premier League players were under way days before those comments with Liverpool captain Jordan Henderson helping to organise what is a collective, league-wide effort, with the players’ ability to help worthy causes during the escalating situation high on the agenda.

Specifics are not believed to have been put in place yet but they would work with stakeholders to make sure funds go where they are needed most to make a difference.

It is understood the EFL is looking for players in its leagues to accept significantly more than a 30% deferral or reduction, as discussions with the PFA continue.

The EFL and the National League were boosted yesterday by the advance of a combined £125 million from the Premier League. The money to the EFL is made up of solidarity payments, parachute payments and academy grants.

The Premier League also announced it is donating £20m to the NHS and other community causes.

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It’s good to see this proposal out in the light, now they have got to go and get it done.

JULIAN KNIGHT