The NRL is finally ready to confront one of the most contentious issues in the game after revealing an external consultant had been hired to begin a review of the third-party contract system.
The review comes amid concerns the salary cap is being undermined by lopsided payments across the clubs.
The Australian understands that initial research by the NRL into the area has revealed significant growth in third-party deals over the past three years. The concern is that if the growth continues, the ability of the salary cap to provide an even competition will be negated because of the wide discrepancy between clubs with players who receive third-party payments.
While clubs such as Brisbane have several players with third-party agreements — deals reached with sponsors at arm’s length of the club and outside the salary cap — other clubs have none. Any proposal to change the system shapes as a balancing act for the NRL. The game’s governing body has no desire to restrict the ability of its elite players to maximise their incomes, particularly with the threat of rival codes ever-present.
The review is expected to take two months, with any potential changes coming into effect from next season, although the NRL will not rush through anything unless it is convinced it’s for the right reasons.
The issue was among the most contentious discussed at the CEOs meeting, where officials received updates on the broadcasting negotiations and talks with the NSW government over the future of Sydney’s stadiums.
Replies
Just make them public so the media / forensic accountants / auditors can link it all together and print headlines like Roosters 12 million dollar team etc
Any high school student could have foreseen the problems TPP would cause but typically the NRL bumbled and fumbled around the issue, hiding under the bed hoping somehow the scary monster would somehow disappear.
Clowns.
Does this take into account the FTA with China?
They can bring whoever they like over without any interference from anyone.
Some of those Chinese guys are massive plus China has got a magnificent record for its sporting prowess.
Imagine a Chinese Junior Paulo on 10 bowls of rice and $2 per game - OR - a Chinese Hayne.
No cap problems - no TPA problems - just plain sailing all the way to the GF.
How many Chinese Restaurants are there within the Eels catchment area to sponsor these players?
1) Salary cap should be published - Public companies disclose CEO's earnings, the media disclose the earning of TV personalities all the time so this is not that controversial. Already happens in the NFL.
2) NRL should manage TPA's (if they are truly arm's length relationships - which they aren't)
TPA's are not arms length at all. That's just such a ridiculous lie. TPA's are only provided to players at the sponsor's favourite club. e.g.) I'm sure all of Greg Inglis' TPA's would evaporate if he suddenly signed with say the Sharks.
I personally think we need to revisit TPAs and why that system is in place. IMO, the NRL should have little control over the brand image of players. Hand the players their rights to be sponsored by whatever companies they wish and you then get a two-fold bonus.
1. Players are forced to look after their own image, doing something stupid damages their ability to gain personal sponsorship.
2. The game gets even more media saturation as the players aren't limited by the game's short-sightedness.
I get that this isn't quite a TPA issue but I think the NRL is still far too backdated in this part of their administration.
finally it will allow the "little" clubs to compete
How many teams do you know that could have Pearce, Hargraves and Jennings (close to $2M) not playing and still have a team as premiership favourites?? I don't think we'll hear too much about this review-imagine the uproar it would cause if they showed the actual amount the Rorters were paying compared to other teams. Politis, Bouris and co are highly successful businessmen that no doubt have many wealthy associates "chipping in" on 3rd party deals. No doubt they have some well paid friends in the media as well who are unwilling to write reports of this nature that could defame the club that their bosses love so much and may well be a part of the 3rd party deals
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