PFA urges clubs not to break contracts

The Professional Footballers’ Association are urging football clubs not to break players’ contracts by trying to enforce pay cuts on them.

Leicester City are the latest Nationwide Football League club to experience financial difficulties and it is feared they will announce on Monday that they will have to enter administration.

The Foxes have asked their players to have their contracts reduced by about 20%.

But Mick McGuire, deputy chief executive of the PFA, has insisted there are other ways to help clubs deal with their difficulties that do not break their members’ contracts.

“The PFA have spoken to more than half of the First Division clubs to offer our support,” explained McGuire.

“We want them to know there are more appropriate ways in which we can help. We firmly believe contracts are sacrosanct and should be honoured.

“The PFA have spent the past 100 years ensuring our players honour their agreements, and we would hope that clubs did the same.

“Football is unique in that it protects both the player and the club. Both parties should abide by the League’s rules and regulations, underpinned by a collective bargaining arrangement.

“That ensures a club who has a major asset can receive sizeable compensation should he leave, which is unique and different from any other industry.

“Without this arrangement in place, an employee could technically leave to seek employment elsewhere, giving only statutory notice to his employer, with potentially limited damage to compensate.

“Rio Ferdinand’s move to Manchester United in the summer is an example of how Leeds at least benefited from losing his services to a level which would never be available in any other industry.”

McGuire also does not want to see football clubs using the collapse of the ITV Digital deal as an excuse to enforce pay cuts on their players.

He added: “We are aware of the financial difficulties experienced by all clubs following the collapse of the ITV Digital deal, but too often the financial problems go way beyond simply the shortfall in television monies.

“Without wishing to criticise, there has been a clear mismanagement of clubs over the past five years which has left many with the difficulties they are experiencing today.

“We are concerned by the manner in which clubs are approaching the players and using what is almost emotional blackmail.

“They are basically saying: ‘You have 24 hours in which to accept a pay cut, or else we shall have to go into administration’.

“Therefore the players are left with a simple choice of co-operating by cutting contracts and they are given little notice to deliberate, nor any time for ourselves to advise the players as to the financial position of the club, or the opportunity to assist the club in a more appropriate way forward.”

Leicester will join Notts County, Carlisle, Barnsley, Bradford and Bury if they are forced to follow the route into administration on Monday, although all are hoping it will prove to be only a temporary measure.

John Nagle, head of communications for the Football League, said: “No club would ever wish to go into administration by choice as it creates a huge number of problems and a great deal of uncertainty.

“It can lead to people losing their jobs, creditors receiving a fraction of what they are owed and clubs reducing their involvement in the local community which cannot be in the best interests of football as a whole.

“However, it does give a business some protection from its debts so that it can have time to restructure its affairs.

“Past experience has shown that this usually enables clubs to re-emerge financially stronger and fitter.

“Also it can often lead to a positive sea change in the way the club is run, for example at QPR it has led to a leaner more business-like approach, whilst at Chesterfield it has given the club’s true fans the opportunity to manage the affairs of the club.”