Serie A Updates: Clubs agree to 33% wage cut

Serie A confirmed that the cubs have agreed to 33% wage cuts on playing and coaching staff to reduce losses during the coronavirus outbreak.

Serie A Updates - Clubs agree to 33 percent wage cut
Serie A Updates - Clubs agree to 33%wage cut

Serie A have officially announced a unanimous agreement regarding the cutting of wages by one third due to cope with financial challenges that it is currently facing due to COVID-19 emergency.

Late last month it was announced that Juventus would be cutting the salaries of players – obviously with their agreement – for the months of March, April, May and June. It was suggested by La Gazzetta dello Sport on Sunday that Milan could follow suit and save up to €16m in the process.

Now, the league have confirmed an obligatory measure will be put in place due to the Coronavirus emergency, which not only blocked the continuation of the season, but has economically devastated the football system and the accounts of most clubs all across Europe.

League clubs held an emergency conference call on Monday after a meeting of the Italian players’ union (AIC) failed to reach a concrete agreement on wage cuts. The formula proposed by the managers Dal Pino and De Siervo has all the clubs in agreement, apart from Juventus who as mentioned have already solved the issue internally week ago.

The deal will see players for 19 of the 20 Serie A clubs give up a sixth of their wages should football resume and the 2019-20 campaign be completed. If the season is cancelled altogether, wages will be cut by one-third.

In line with actions aimed at decreasing labour costs both in Italy and abroad, Serie A today decided unanimously, with the exception of Juventus who have already reached an agreement with their players, a common line of address to contain the amount represented by the salaries of players, coaches and other first-team staff.

This intervention, necessary to safeguard the future of the entire Italian football system, provides for a reduction of one-third in total gross annual earnings (or four average all-inclusive monthly payments) if the season cannot be resumed and a reduction of one-sixth in total gross annual earnings (or two average all-inclusive monthly payments) if the remaining matches of the 2019-20 season can be played in the coming months.

It is understood that the clubs will define the agreements with their members of staff directly.”

Statement – Serie A

The Italian football players association has not yet signed off on the deal. But it seems to be a compromise that the Rossoneri players seem happy to sign, and it will also help the club’s accounts while they are in dire need of it.