Salary cap set to rise near $6Mil with the IC

[Charmamba]

http://www.foxsports.com.au/story/0,865 ... 14,00.html

NRL players will be the biggest winners from an independent commission, with the salary cap tipped to rise by $600,000 under a revamped management structure.

The salary cap could rise towards $6 million - from the current $4.1 million - once the new television deal is finalised in the next couple of years.

"Research shows the model we're working on will deliver huge cost savings across the board," Searle said.

"It's hard to put an exact figure on it, and (NRL chief executive) David Gallop will be running the game, not me.

"But I would suggest it will mean something between $10 and $12 million in savings.

"And that would probably mean the salary cap could go up to about $4.7 million almost straight away.

AWESOME NEWS!! If this is true then its gotta be great for Rugby League!

 

[Nashy]

+1. It's stupid. Force the useless broke pricks out, and expand the game.

 

[Coxy]

Salary cap should be in place, but it should be a percentage of the club's financial earnings for the prior year. ie, if they're successful they can spend more. If they suck, they can't.

Yes, it'll mean shithouse clubs like Souths and Cronulla will die...good.

 

[Clintos]

All 16 NRL clubs today stood united as they voted to support plans for the introduction of an Independent Commission (IC) to run rugby league in Australia for the start of the 2010 season.

http://www.rleague.com/db/article.php?id=35198

How good is that? Seriously!

This is great news for the game. Hopefully they can generate some more $$ for the game now, and negotiate an awesome TV deal.

 

[Charmamba]

bring it on!

 

[Foordy]

they'll raise the cap and players like Thurston will still whine that they aren't paid enough [icon_non

 

[Charmamba]

And players like Thurston can then GTFO

 

[Browny]

they'll raise the cap and players like Thurston will still whine that they aren't paid enough [icon_non

But it costs alot to whine and dine the not single ladies [eusa_naugh

 

[Professor47]

I think it will just mean the top tier players are paid more and it might totally change market values to a new medium... which means the Thurstons would be asking for about 700-800 base salary...

Meh. Personally I would rather see the marquee/loyalty plan instead but whatever.

 

[pennywisealfie]

the more the salary cap is raised, the more its going to benefit the broncos on the field. so im all for it

 

[Professor47]

the more the salary cap is raised, the more its going to benefit the broncos on the field. so im all for it

True, but Sydney clubs will still snag some players because the lower cost of living will be compensated by the pay rise... 22 year oldish players who don't want to leave Sydney might stay.

 

[The Brizz]

the more the salary cap is raised, the more its going to benefit the broncos on the field. so im all for it

True, but Sydney clubs will still snag some players because the lower cost of living will be compensated by the pay rise... 22 year oldish players who don't want to leave Sydney might stay.

I think quite a few of the Sydney clubs will look at not having 6 million worth of talent though if they continue to lose money, which would be good for the Broncos.

 

[Kimlo]

Any "rise" will be supported by the NRL increasing the club grant otherwise there would be no need to wait till an increase in TV rights.

The whole point of waiting till than is so the NRL can increase it's grand and therefore increase the salary cap. I doubt we will be better off.

 

[Coxy]

Yeah I agree with broncospwn. If the salary cap goes up by $600K or even $6 million, the Broncos will still be competing with other clubs with the same cash and so we'll still have trouble retaining our players that almost inevitably get Origin honours at some point.

The whole idea of the salary cap is to level the playing field, so each club has the same resources to spend on players. That's why they don't have high levels of benefit for player development/loyalty, concessions for "frontier clubs", etc.

The only time the Broncos would get a benefit/advantage would be:
1. The NRL applies a sliding salary cap based on the revenue of the club...ie, the more revenue the club brings in the more they can spend on players
2. The NRL applies a significant salary cap saving on players that are developed and/or stay at the club for a long time...eg, any player who makes their first grade debut with the club has a discount off the salary cap until they leave. eg, Josh Hoffman debuted for the Broncos. Whatever they pay him will have say 10% not count to the cap, ever. If he leaves the club, then his new club has to count his full salary off their cap.

The NRL won't do either of those precisely because it advantages clubs with large junior development programs and high revenue. Therefore disadvantaging clubs with poor junior development catchments (Roosters, Melbourne, Manly) or are poor financially (Souths, Manly, Cronulla).

 

[Professor47]

^
Which is why I said I would prefer the loyalty/marquee system but those mentioned above are some of the reasons why they don't implement it.

I do however think it isn't pro-active and forward moving by still having not introduced a loyalty factor into the cap AT ALL... Loyal players deserve something apart from the sentimental side of it IMO.

 

[Coxy]

Actually, raising the salary cap may not necessarily make it an even playing ground as some clubs such as Sharks and Manly simple won't be able to afford the extra dosh for their players.

Disagree. I think you'll just find those clubs borrow and borrow and borrow to pay for the extra players and then go "oi, NRL, bail us out, we iz gotz no more moneyz".

 

[Kimlo]

Actually, raising the salary cap may not necessarily make it an even playing ground as some clubs such as Sharks and Manly simple won't be able to afford the extra dosh for their players.

Like i just said....

Currently the Cap is at 4.1 Million and the NRL grant to clubs every year is 3.3 million(old salary cap amount).
Their current goal is to for their grant to match that of the salary cap amount and ANY raises to the salary cap will almost certainly see a raise in the grant to equal that of the salary cap.

No advantage, at all.