EFL Proposing Salary Caps

[Indian Dan]

Sorry. Not appealing, but this.

League One and League Two clubs have voted to implement a salary cap, and the English Football League is confident the measures can take immediate effect despite the Professional Footballers’ Association describing them as “unlawful and unenforceable”.

The EFL believes its rules are binding between the league and clubs. The PFA said the caps must remain on hold until after arbitration and that it had served notice on the league, claiming the EFL had “ignored its legal obligation to consult with the PFA and the Professional Football Negotiating and Consultative Committee”.

 

[masi51]

Sorry. Not appealing, but this.

League One and League Two clubs have voted to implement a salary cap, and the English Football League is confident the measures can take immediate effect despite the Professional Footballers’ Association describing them as “unlawful and unenforceable”.

The EFL believes its rules are binding between the league and clubs. The PFA said the caps must remain on hold until after arbitration and that it had served notice on the league, claiming the EFL had “ignored its legal obligation to consult with the PFA and the Professional Football Negotiating and Consultative Committee”.

Will players like Doyle be classed as being paid the Divisional Average throughout his 3 year contract.....will give us wiggle room for the next couple of years

 

[Indian Dan]

Well, yes. But you still have to pay the full whack. If you can financially carry a player for 2 years on big money, then fair enough. Could be a big drain on resources.

 

[Chris FGR]

Will players like Doyle be classed as being paid the Divisional Average throughout his 3 year contract.....will give us wiggle room for the next couple of years

Yep. Tbf I don't have a big problem with that, it's a risk for any club going down that route as if he doesn't perform you're stuck with him for 3 years as no one will be able to take on his wages.

If he does work out then fair enough, you'd have been able to get him anyway without a cap so you might as well have him now.

 

[chipmunx]

Why would last years members vote on a salary cap for next season?

Surely now the line up for the divisions are known it would have been the 24 clubs due to play in next seasons leagues that would have voted?

has the AGM been held yet - i'm unsure. If it has then it would be the teams as their new division. If not then it's as the old ones.

 

[masi51]

Well, yes. But you still have to pay the full whack. If you can financially carry a player for 2 years on big money, then fair enough. Could be a big drain on resources.

Think only Crawford,Doyle and Sarcevic will be on top wages.....Baptiste , Delfouneso and maybe Darcy will be on decent money. The rest wont be a drain on our resources.

 

[Chris FGR]

has the AGM been held yet - i'm unsure. If it has then it would be the teams as their new division. If not then it's as the old ones.

That would mean all of Charlton, Wigan, Hull, Barrow and Harrogate would had no say on the rules of the league they're about to kick off in next month. Doesn't make any sense.

 

[Indian Dan]

But Doyle still will - that’s my whole point. If you can afford £150,000 a year for 3 years paying non performing Doyle, fair enough. If you’ve just taken a punt he’ll get you up and it doesn’t work out, I’d say you will struggle again financially.

 

[masi51]

That would mean all of Charlton, Wigan, Hull, Barrow and Harrogate would had no say on the rules of the league they're about to kick off in next month. Doesn't make any sense.

The first three named are in a bad way financially....they will have to get rid of anyone on decent contracts.
The other two i doubt offer top money

 

[chipmunx]

That would mean all of Charlton, Wigan, Hull, Barrow and Harrogate would had no say on the rules of the league they're about to kick off in next month. Doesn't make any sense.

yes i know - but if the AGM hasn't taken place (has it?) they wouldn't be officially confirmed. It's a bit like the advasnce on the Premier League money - it was done based on what league you were in last season wasn't it?

 

[chipmunx]

The first three named are in a bad way financially....they will have to get rid of anyone on decent contracts.
The other two i doubt offer top money

John Stead was allegedly being paid a huge amount (by NL standards) at Harrogate last season.

 

[masi51]

But Doyle still will - that’s my whole point. If you can afford £150,000 a year for 3 years paying non performing Doyle, fair enough. If you’ve just taken a punt he’ll get you up and it doesn’t work out, I’d say you will struggle again financially.

Any signing is to a degree a gamble. Doyle may get a bad injury,but if he stays fit he will fire the goals that will get us up. If not we will bring another in
I think we have signed 15 new players. The will be injuries loss of form in two maybe three of those.
Clubs now expect and cater for that.

 

[masi51]

John Stead was allegedly being paid a huge amount (by NL standards) at Harrogate last season.

NL Standards maybe...I think they will comfortably adhere to the new cap
Not so sure about Barrow they are attracting all Bolton top targets ...All choosing to play there football up there this season.

 

[Luke Imp]

has the AGM been held yet - i'm unsure. If it has then it would be the teams as their new division. If not then it's as the old ones.

Apparently it's to do with the voting rights rather than the AGM. Voting rights for the new season kick in immediately after the final game of the season i.e. the Championship PO Final, which is why the vote was later than anyone wanted (initially it was mid-June, I think? Which is roughly AGM time anyway under normal circumstances).

 

[Chris FGR]

Not sure what the point of this 20 man squad rule is. Why does it matter how big a squad is as long as it's under the cap?

 

[PuB]

Not sure what the point of this 20 man squad rule is. Why does it matter how big a squad is as long as it's under the cap?

yeah that does seem a little arbitrary

 

[northstandexile]

In the EFL statement, it does not mention a squad size, unless it means a number to divide by to get to the average salary per player to use in calculations for previously signed contracts.
It does however mention two items that need calcification, firstly it talks of financial penalties for a slight over run up to 5% but does not say actually how much a financial penalty that would be.
it also says extra sanction guidelines for exceeding the 5% over run have been discussed and will be used by disciplinary panels but does not say what these guidelines are. Let’s hope it is points deductions.

 

[Trapdoor]

As much as teams buying their way through leagues is fucking dumb i think this salary cap is not the correct way to go about it. It will just serve to lock off the lower leagues and reduce the value of homegrown talent.

 

[Indian Dan]

In the EFL statement, it does not mention a squad size, unless it means a number to divide by to get to the average salary per player to use in calculations for previously signed contracts.
It does however mention two items that need calcification, firstly it talks of financial penalties for a slight over run up to 5% but does not say actually how much a financial penalty that would be.
it also says extra sanction guidelines for exceeding the 5% over run have been discussed and will be used by disciplinary panels but does not say what these guidelines are. Let’s hope it is points deductions.

Understand that for every £1 over the cap the fine is £3. Also, the money raised by any fine will be distributed between all the other clubs that adhered the the cap.

 

[Luke Imp]

There's a decent breakdown of everything in this article.

EXPLAINED: How the new squad salary caps in League One will affect clubs including Doncaster Rovers

Doncaster Rovers will operate under a ‘squad salary cap’ after clubs in League One and League Two voted in favour of new financial controls.

www.doncasterfreepress.co.uk

 

[Casey]

That's more info than anything else I've seen.

Casey

 

[F!RTHY]

The Salary cap explained ....

I went to the pub last night for a big fillet steak, I was shocked when I was told this is an EFL pub and you can’t have a steak because that chap over there can only afford sausage egg and chips so that’s all we are allowing you. But I tried to explain to them that I’m a heart surgeon and I can afford a nice steak. They told me that man hasn’t worked since he left school and has only benefits to live on so it’s not fair that you eat a steak and he can only eat sausage egg and chips. Well I said “ you try running a football league like that and see how long it will last!.

 

[Conker]

Cheaper cut of steak it is then.

 

[Monkey Tennis]

The Salary cap explained ....

I went to the pub last night for a big fillet steak, I was shocked when I was told this is an EFL pub and you can’t have a steak because that chap over there can only afford sausage egg and chips so that’s all we are allowing you. But I tried to explain to them that I’m a heart surgeon and I can afford a nice steak. They told me that man hasn’t worked since he left school and has only benefits to live on so it’s not fair that you eat a steak and he can only eat sausage egg and chips. Well I said “ you try running a football league like that and see how long it will last!.

The heart surgeon is being limited to sausage, egg and chips for his own good, because all that steak is gonna kill him. He should know that.

 

[TrinidadsNumberOne]

Except a few of these clubs moaning about the salary cap have large debts to repay themselves. A cap may allow these debts to finally be repaid rather than enlarged or spunked on ridiculous agent fees.

Paying a fourth division footballer £5000 a week isnt value for money and has only been a recent thing. There are a fair few clubs running with very limited infrastructure yet they're paying ridiculous wages and agents fees in the hope of a promotion that most wont achieve. It's about time clubs started learning about sustainability and long term planning rather than thinking a daft punt on an aging striker will transform their club for the better...

 

[Trapdoor]

What a shitty ad hom analogy.

This decision and approach from the EFL is a terrible mistake and one of the worst ways to implement the changes needed but let's not pretend that the existence of bankrolled clubs like Salford, Bury (circa early 2019), Fleetwood etc etc etc in the football league are good for sustainability and meritocracy. Comparing those clubs to heart surgeons is like comparing Donald Trump to Gandhi.

What they should have done is implemented the financial fair play regulations correctly and enforced annual open book accounting with strict public auditing/money laundering documentation.

 

[F!RTHY]

Except a few of these clubs moaning about the salary cap have large debts to repay themselves. A cap may allow these debts to finally be repaid rather than enlarged or spunked on ridiculous agent fees.

Paying a fourth division footballer £5000 a week isnt value for money and has only been a recent thing. There are a fair few clubs running with very limited infrastructure yet they're paying ridiculous wages and agents fees in the hope of a promotion that most wont achieve. It's about time clubs started learning about sustainability and long term planning rather than thinking a daft punt on an aging striker will transform their club for the better...

Whilst I agree that the residual revenue may allow clubs to offset debt, it doesn’t make it any fairer. Why should we be limited to the same budget as Harrogate?

Surely a percentage of turnover makes for more financial sense? - 60% of turnover. If the EFL had the bollocks to regulate their own regulations, we wouldn’t need salary caps in the first place.

 

[Indian Dan]

The thing is with clubs such as Fleetwood, Salford etc is that players only go there for the money. Now that they are on a par with proper football clubs who in their right mind would want to sign for them.

If this cap does nothing else it might hurry up the demise of these fuckers.

 

[TrinidadsNumberOne]

Personally I do think in a few years when clubs debts are reduced we can look at a more proportionate model for the cap. But for now clubs need to reduce debts, invest in infrastructure and develop more diverse income streams rather than expect a sugar daddy to sign cheques or ask the bank to extend their overdraft facilities.

But if one thing needed eradicating, its third and fourth tier clubs paying high agent fees. Some are well into six figures and that's absurd. This is the biggest problem in the game and higher levels need to follow suit. The cap will sort this though.

 

[Indian Dan]

Agent’s fees now come out of the individual player’s contract - about time too.

Actors have agents and they pay them a % of whatever gig their agents get them. Why football agents seem to think clubs should pay them, God knows.