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SFA considering salary cap


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Still don't see it working. There'd be ways around it.

 

For example we only have �£5K/week left to bring in Rothen, but he needs 20K to come. We pay him �£5K/week and SDM employs his wife to work for MIH at �£15K/week. Simples.

 

There's loads of other problems with it as well.

How do work in bonuses?

Why not take into account other expenses (one club's stadium expenses may be 5% of income whereas another's may be 40%)?

What if a club get's in cash from a share issue?

etc etc.

 

Sorry but I think it's a crap idea.

 

All valid points. But other than the window dressing one are they problems that cant be overcome ?

 

Taking them in turn :

 

The Rothen example. Obviously difficult to get around from an SFA perspective. You have to rely on the integrity of all clubs and we know that doesnt always happen.

 

Bonuses. No reason why they can't make this formulaic. Lets not forget that the rules would be there for all. It would not necessarily prevent manipulation but there is a chance that if a club heavily weights someone's wage on bonuses (assuming bonuses are treated as less than par with basic wages) then the player may not come. I dont see this one as being THAT difficult to overcome.

 

Stadium/Other expenses. Fair point but is it really likely in the current environment that salaries are not the major cost drivers ? Most clubs operate whereby over 50% of their expense load is on wages. Some significantly so. Wages are one expense which is well within the control of the club. Certain other expenses aren't. Some stadium expenses could perhaps be cut but would it have as significant a bearing on the health of the club as wages ? For the most part it is wages and inflated transfer fees that have seen football where it is currently at, not the other wages.

 

Share issue. Again, no reason there couldnt be some kind of formula to allow this income to be included. Possibly not in one particular year but more of a "drip-feed".

 

There are a number of sports that have salary cap rules in effect and, rather than widening the gap between the haves and have-nots it has drawn them closer together. not quite the same in football given the influx of satellite money and arabian oil money getting pumped into the EPL so not quite as easy to resolve.

 

As important as that is that someof those sports with salary cap rules have the problems of bonuses, extended contracts, additional incomes etc - and they have managed to get workable solutions.

 

I am not saying that it is an easy solution but there is no reason that it can't work. What it absolutely requires though is an awful lot of thought and much work to ensure as many loopholes are closed as possible.

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So celtic do their retail inhouse and get �£20m of income. We do it through JJB and get �£4.5m.

 

Both clubs are equally profitable on this but Celtic get to pay �£13m salaries on this whereas we get to pay around �£3m.

 

Yeah, great idea, Gordon. :rolleyes:

 

That's a point I was going to make.

 

In reality it won't affect us as we only pay around 50% in wages anyway.

 

However, it's an incredibly erroneous metric.

 

All Hearts needs to do is make Romanov's bank a subsidiary of the club and then they can spend as much as they like.

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It may be unworkable but it is certainly unethical as far as I'm concerned. Entirely typical of Scottish society today, Gordon Smith would have us sacrifice freedom and nreward in return for authoritarian interference and pursuit of the lowest common denominator.

 

How about this Gordon. Merge the SPL, SFL and SFA - cut paid officials by 75%, have one office facility and one set of costs. Use the money saved to promote the grass roots game in this country so that we can go back to producing our own stars again and allow clubs to bring funds into the game that way.

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I fear it's somewhat harsh to single out Scottish society for that criticism...that's an inevitable result of untrammelled world capitalism.

 

I thought Scottish was harsh, British maybe more suitable? I don't see the USA or Australia struggling as much when it comes to sport because they aspire to be the best not drag everyone down to mediocrity.

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I fear it's somewhat harsh to single out Scottish society for that criticism...that's an inevitable result of untrammelled world capitalism.

 

I meant it was another example of the culture of governmental interference in the life of the individual in this country. You know, the "we know what's good for you" syndrome. It doesn't make much difference whether you consider that to be Britain or Scotland but the latter seems particularly reluctant to allow people or companies to seek their own direction. Personally, I could do with less authoritarian guidance and a lot more untrammelled capitalism.

 

You have to wonder what makes Gordon Smith think he or any other football administrator is best placed to pronounce on what players should earn, or what clubs should decide to pay them. Socialist twaddle. Maybe we should advise Gordon Smith what he and George Peat are worth?

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