I don’t know the Erte setup but I think the UK scheme is different. You can choose which staff go on temporary leave here. For Liverpool I think the issue was that they put the non-playing staff on furlough but not the playing staff. You can pick and choose who goes on furlough, but the government will only pay 80% of the wages to a maximum of around £2500 per month I think. So Liverpool had a genius idea to put all their low paid people on furlough to claim the government subsidy, but to leave the players on normal pay (presumably because they would have laughed at the pay of £2500 per month and might have wanted to leave the club). Problem there is that the players are actually the ones Who can’t work, and they are the ones taking the most wages, so if the club is in financial trouble you need to put ALL staff on furlough, not just the non playing staff. So it looked like a dodgy scheme to get government money when you don’t need it. Which it was.
I don't agree with Kroos's idea because the plan here is to save the club(s) from bankruptcy. The clubs need to be more responsible and with a small paycut from the players or other expenses, they can cover the wages of non-playing employees for a few months, going the ERTE way should be the last option. As for the players wages, if this goes on for months the club won't be able to pay them and some clubs will eventually close in the end. I repeat, if players don't take a cut and the lockdown continues for 5-6 months then inevitably many clubs will go bankrupt.
They will take the cut when they see that the finances are an issue. At the moment they don’t think they are an issue, hence the reluctance. They will be flexible when they know what the expected timescales are for the games to start again. I agree with their stance to be honest. The shareholders or owners take the profits in the good times and accept the risks. The employees get a wage for their services. If there’s an unexpected loss, the first people to take the heat should be the owners or shareholders, and only when they’ve taken it to the point that there’s no equity left should it be on the employees.
More than anything else, i find it pretty brutal that clubs like Barca apply for ERTE and the government gives them the OK for it. This is an organisation with 100s of million in revenue and billions in property and assets. How is this a company that is endangered and has to be freed from paying social security and taxes, i have no clue. Sevill applied today as well.
This also. 1B euro company per their inflated finances, and not even a month into crisis they are already asking for essentially a "bail-out". Fck em.
Looking very much like we'll start working on sitr from the 20th, lots of talk of "relaxed measures". I applied to be within the first group that starts. Can't talk sh*t about people refusing to help in some capacity in online meetings and then pull out and stay at home, at least that's how i feel.
Blame the government for allowing this foolishness. These are the same people who months ago moved the date of a match due to fears of safety for any Spanish representation in their region. Now these same vagabonds have turned to the same Spanish government to save them. It's despicable.
Sports will be the vehicle politics will use to send people back to work. A professor called the rush to sports a signal that "everything is kind of ok".
These people are crazy. While they are doing that I'm using one of my vendors to provide 3M respirators to all of my employees, management, family and friends. If we don't havevm an universally approved testing system which can provide clear and quick results.... combined with a proven treatment program they are only asking for things to truly fall apart.
https://public.flourish.studio/visualisation/1830480/ US daily deaths from Covid-19 took the top spot yesterday, 3rd in weekly average
Of course i do, i'm just saying that Kroos is wrong on this. The clubs need the players to take a paycut so they can keep existing. Kroos kind of missed the point. Barca is a shithole that has been managed badly for a long time now, we were all waiting for them to collapse financially even without a crisis. Less Que Un Club.
Bomani Jones said in his podcast that the entire politics/sports commissioner meeting was all about getting sports back on track to keep people occupied and shift their focus away from what's going on and I agree. The MLB plans for example are absolutely absurd to me.
El Real Madrid C.F. reduce sus gastos para esta temporada.Jugadores, técnicos y empleados acuerdan con el club una importante iniciativa de ahorro.#RealMadrid— Real Madrid C.F. (@realmadrid) April 8, 2020 10% to 20% paycut agreed for coaches, players and employees.
In the statement, it says the pay cut is for coaches, players, and major executives to avoid more traumatic measures for other employees. So I’m assuming that the lower level staff are not taking a cut
Agree with the last bit there. The Governor of Georgia being high on that list for me. This knob actually rolled-back closures that local officials put in place, while encouraging people to visit Georgia for tourism. Also lied by pretending not to know that people can be carrying Covid w/o showing symptoms.
What I don't understand about this is who the "lower level staff" usually are? In general in sports. Because the people I know that work security in stadiums for example are not directly employed by the clubs, the club pays a security company, only the coordinators are hired by the club. I'm saying that because there is often the impression that these cuts go to folks working day jobs at the clubs but most of them are office staff. And they would be perfectly capable to work from home. I feel like football is kind of ashamed to admit that the struggle is real and everybody is pulling the "to cover for employees" card to present it in a better light.
That part is a bit unclear tbh. "This decision, adopted by players, coaches and employees, avoids traumatic measures that affect the rest of the workers"
Full Statement in English: Real Madrid C. F. reduces its expenses for this season. Players, coaches and employees agree on a major savings initiative with the club. The players and coaches of the football and basketball first teams of Real Madrid, led by their captains, together with the main directors of the different departments of the club have agreed to voluntarily reduce their remuneration for this year by between 10% and 20%, depending on the circumstances that may affect the closing of the current 2019/20 sports season. This decision, taken by players, coaches and employees, avoids traumatic measures that affect the rest of the workers, as well as contributing to the economic objectives of the entity in view of the decrease in income that it is suffering these months as a result of the suspension of competitions and the paralysis of a large part of its commercial activities. The club's Business Committee strongly supports this decision, which it considers responsible and exemplary. Real Madrid is proud of all those who make up this great family and of its unwavering culture of values, which is especially valuable in difficult times such as these. In the same way, Real Madrid, its members and fans, want to show all their love and solidarity to those who have suffered the direct consequences of this disease that is hitting us all, especially those who have lost a family member or loved one. The club wishes a quick recovery to all the sick people and wants to transmit its deepest gratitude to all the people who are playing an essential, exemplary and solidary role in the fight against COVID-19. From Real Madrid, we offer all our support and strength with the conviction that together we will overcome, without a doubt, this difficult moment.
10-20% seems incredibly low compared to the 70% Barca/Atleti mandated. I know Barca's wage bill is astronomical, but still seems weird we aren't even in the same ballpark. I wouldn't be surprised if the club has some really good business continuity insurance policy that means we're covered on some of the lost revenue. I hope so, because this really isn't the time to be flexing any financial muscle. Maybe it's just a calculated tactic to disgruntle our rivals, and a recruiting tool for this summer, showing the world the perks of playing here.
All clubs that have applied for an ERTE had to cut wages on playing and coaching staff by 70%, even Sevilla for example. Their amateur, female, and youth section coaches that don't earn millions? 70% wage cut. You can assume it's part of being approved for the privileges the ERTE provides to the club. The reason Real Madrid is trying to avoid the ERTE might be an accounting issue, or simply a matter of keeping the players happy.