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SA Rugby Friday confirmed general salary cuts for players, staff and administrators as finer details of Industry financial impact plan to save up to R1.2 billion of the budget were revealed.
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The plan was collectively designed and concluded by organizations representing SA Rugby, provincial unions, players and employees of the rugby industry.
The plan was formulated and agreed by bodies representing SA Rugby, MyPlayers (the players ‘representative organization), Sport Employees’ Unite (employees union) and the South African Organization of Rugby Employers (SAREO – representing provincial unions ).
Midnight on Thursday, May 14 was the limit for players and coaches who wanted to cancel their current contracts under the plan.
Unions were severely affected by the departures, particularly the Lions who lost the services of experienced Springbok prostitute Malcolm Marx who was between four players and a coach to say goodbye to the Johannesburg franchise.
the Sharks managed to hold on to the star wing Makazole Mapimpi despite a amazing offer of R9 million (after tax) from the Japanese club NTT Docomo Red Hurricanes.
However, the KwaZulu-Natal side lost the services of Tyler Paul (Japan) and Andisa Ntsila (Cheetahs).
the Storms They have not yet confirmed their ‘arrivals and departures’ with an official statement expected until Saturday.
In contrast, the Bulls they continued their spending spree, confirming the return to Loftus Versfeld on the loose Arno botha. Botha joins the props Marcel van der Merwe and utility back Gio Aplon like acquisitions in the last few weeks.
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The savings of R1.2 billion will be achieved by reducing spending after the cancellation of competitions (49.7 percent of savings), cuts in other operating budgets (37.3 percent) and in salary reductions (13 percent) .
Salary cuts amount to 25 percent of total pay in the industry, including all employees, players and officials, although people who earn less than R20,000 per month have been exempt from any cuts.
People with higher incomes have agreed to cut on a sliding scale of up to 43 percent.
“It was a complex process to find alignment with a number of entities representing 1,396 people in the South African rugby industry, but they all collaborated fully,” said Jurie Roux, CEO of SA Rugby.
“The group identified our collective areas of financial risk and what savings should be made and then identified a plan to mitigate those risks.
“It has meant pay cuts for many, but we have put together a plan that will ensure that the industry will position itself and have the resources to get back into action as soon as we are allowed to.”
Roux said the focus of the sport had now shifted to those plans to return to play.
“From the moment we entered the lockout, we have been preparing and working on internal guidelines and protocols to return to play and return to work,” Roux said.
“Those are complete and ready to act as soon as we get the go-ahead from the government.
“We have presented our case to the Minister of Sports, Arts and Culture and we believe that we have a solid case.
“We do not operate hospitals or build ventilators and we are not a critical industry for the South African economy; But we believe that we add great value to national life in other ways.
“The sight of the Springboks running for the first time since they won the Rugby World Cup would be a powerful milestone in the nation’s journey to the other side of this crisis, as well as being a boost to national morale.”
“While the return to play of our provincial teams, even if it is behind closed doors, it would still be very beneficial for a closed nation.”
“We understand that there are larger agendas at stake, but we believe that the risk of transmission could be well managed by our protocols. We are confident that the minister and the government will take our case seriously. “
The Industry Savings Plan came into effect on May 1 and is scheduled to run until the end of December in the first instance.
Meanwhile, SA Rugby broadcast a video (below) to thank the industry and its broadcast and sponsorship partners for their continued collaboration during these difficult times.
Click here to watch the video
