Under the huge pressure of public opinion, Liverpool withdrew its decision to use government subsidies to pay salaries to some non-player employees, but this is not a comfort to some clubs in the middle and lower reaches of the Premier League. They now know that giving employees temporary vacations may be risky to public opinion.
To a large extent, it was the two official announcements at Anfield that made the term "temporary vacation" a bit "toxic"-on the one hand, well-funded clubs such as the Manchester duo immediately cleared their positions and announced that they would all On the other hand, even if the helpless small and medium clubs want to use the "temporary vacation" plan, they have to wait for the direction of public opinion (the Southampton team is an exception, we will discuss this issue separately in the end).
On March 20, the British government issued a series of planned measures to help companies and employees survive the new crown crisis, including the "
In short, employers can use this plan to contact the UK Revenue and Customs to apply for a grant to cover 80% of full-time or part-time employees’ wages (up to £2500 per month) and the corresponding social security , Minimum pension, etc., the subsidy period will be maintained until it can resume work. In the latest guidelines issued by the government on April 4, labor fees, commissions, and bonuses can also be included in the subsidy as appropriate.
When an employee is declared furlough by the employer, he will be temporarily in a state of no work (during which he absolutely cannot work for the employer), but his name will still be kept on the payroll, which means he has not lost his job. Therefore, furlough or temporary leave and dismissal cannot be equated, and it is not scientific to use the term "temporary dismissal".
In addition, temporary leave does not mean unpaid leave. Although most employers may no longer pay their employees out of their own pockets after applying for government subsidies, there are exceptions. As Liverpool’s first statement stated, based on 80% of the government subsidy, the club will make up 20% of the full amount in proportion.
The plan is applicable to any British employer, including football clubs. The size of the company, whether it is a charity or non-profit organization, does not matter. In addition,
Before Liverpool, the four Premier League clubs of Newcastle United, Tottenham, Bournemouth and Norwich have already announced the implementation of temporary vacation plans.
On March 30, Newcastle became the first Premier League team to announce the implementation of a temporary vacation plan for all non-first team staff. However, they promised that these employees will receive their full salary until the end of April. A day later, Tottenham announced that they would also use the plan. In addition, they also reduced the salaries of all 550 non-player employees by 20% in April and May. On April 1, Bournemouth and Norwich also joined, Eddie Howe became the first Premier League coach to voluntarily cut his salary significantly.
, Champions League champion and league leader in 2018-19 season
It can be said that since Liverpool’s first official announcement on April 4, the attitude of other Premier League teams on the issue of "temporary vacations" has undergone subtle changes; and the subsequent reversal incidents have even given "temporary vacations". The word "has become a kind of alternative "virus", allowing many clubs to avoid it.
Next, we can look at the impact of the Red Army's reversal incident from three aspects: the wealthy clubs that are not bad for money, the four clubs that have announced their implementation, and other small and medium-sized clubs.
The next one to make clear was the old rival of the Red Army, Manchester United. Woodward, the executive vice chairman of the club, sent an open letter to the employees by e-mail. He said in the letter that the Red Devils
If Liverpool can withstand the pressure of public opinion, this would be a great thing for the four clubs that have announced the implementation of temporary vacation plans. It's a pity that the league leaders reversed their positions in just two days, and the four clubs that lost their "leading brothers" suddenly became targets of public criticism.
Among the four clubs, Newcastle United owner Mike Ashley, who is in the process of acquisition negotiations, first stated that the team still adheres to the original decision. However, under the current pressure of public opinion, the possible change of ownership of the Magpies is just a case. The other three teams still have not issued an official statement on whether to continue the temporary vacation plan.
As former Tottenham coach Redknapp said: “I thought the government would pay ordinary people’s wages and help small businesses that are struggling. But now
"This kind of thing does not help us," an unnamed club executive commented on the "reverse incident." He also said that Manchester City’s clubs are backed by chiefs with a net worth of about 24 billion pounds. It is easy to not allow employees to take temporary leave during the game-free period, but for those clubs whose profits have not reached 42 million pounds like Liverpool. , The financial reality is completely different.
As the huge TV broadcast revenue is the most important source of income for many small clubs in the Premier League, if the Premier League is cancelled, those clubs that have lost money for many years will suffer further. According to the calculation of the league rankings during the suspension of the Premier League, the expected revenue loss of Everton’s television broadcasting in the consecutive loss-making clubs will be 32.2 million pounds, Crystal Palace and Brighton are 31.9 million pounds and 23.9 million pounds respectively.
Sheffield United, another team that often loses money, has been hit harder. In this season’s new Premier League’s overseas TV broadcast rights deal, for the first time there has been a distribution plan that the top-ranked teams (as of the end of the league) receive far more broadcast fees than the low-ranked teams. This makes Sheffield United The team is quite uncomfortable-their current ranking is relatively high (7th), which means that they will lose more, is expected to be as high as 38.8 million pounds.
In addition to television broadcast revenue, these clubs will also lose their expected match day revenue and commercial retail revenue. The detailed expected loss is shown in the table below.
As can be seen from the huge expected loss figures listed by the Sports Post,
For example, Brighton has lost a total of 100 million pounds in the past five years, including a loss of 21 million pounds last year. Supporting their unconventional business model is businessman Tony Bloom. Bloom has invested 300 million pounds in the club, but now due to the new crown epidemic, Brahm’s leisure industry has suffered. influences. If Bloom tightens his pockets, this may cause Brighton to face the risk of cutting off funds.
The worst case seems to be much more serious than many people publicly claim. If a wage reduction agreement can be reached with the Professional Players Union of England now, it will help slow down the epidemic. In this way, clubs that save money no longer need to stare at taxpayers’ pockets and take advantage of government subsidies.
On April 9th, Beijing time, the Southampton team became an exception in our discussion. As a mid-range team, they even made it clear that they would not use the temporary vacation plan, as well as the Mans duo, and paid 100% in full. Employee salary.
At first glance, this seems inconsistent with our analysis, but if you read all the contents of their statement, you will find that the Southampton first team players, head coach, coaching staff and team seniors have agreed to four or five. The postponement of part of the salary in June and three months has reduced the pressure on the team to a considerable extent.