Indian Cricket Players To Earn More Under The New Proposed Contract
Did they tell you that Indian cricket players to earn more under the new (proposed) contract? Check out some important statistic everyone has been hiding...
Taking a tough stand in the wake of India's World Cup debacle, the BCCI on Saturday scrapped the players' contract system and reverted to payment of match fees, including bonus for every series win.
Previous contract system had three grades.
* Senior players like Rahul Dravid, Sachin Tendulkar and Virender Sehwag were Grade A players and got a retainership of Rs 50 lakhs. In addition they were paid Rs 2.5 lakh per Test and Rs 1.60 lakh per ODI.
* Grade B players included Yuvraj Singh, Mohd Kaif, Ajit Agarkar, Mahendra Singh Dhoni and they were paid Rs 35 lakh as retainership, Rs 2.5 lakh per Test and Rs 1.60 lakh per ODI.
* Grade C players like Zaheer Khan, Suresh Raina and S Sreesanth were paid Rs 20 lakh as retainer and the same as match fee for Tests and ODI as Grade A and B.
Under the proposal, the basic retainer fee will reduce to Rs 5 lacs, while the match fees will be Rs. 1.5 lac per ODI and Rs. 2.5 lac per Test.
Endorsements Restricting the players to 3 endorsements is a debatable clause, though the player's total earnings may not be affected, since the players would be extract their total endorsemens from these 3 contracts to a large extent since the availability of players would go down, so the best brands would vie for each player and consequently the brand value would go up for each player. Also it would reduce the load on the player and unexpected pressure on the player from the brand. In the end, however, it seems to be an infringement on their basic rights. Thumbs Down.
Retainership Fees Earlier the retainer fees were Rs. 50 lacs, 35 lacs and 20 lacs depending on the player grade (which anyway was controversial). Now the retainership fees is reduced and spread over the incetives. Please see analysis below. Thumbs Up.
Match Fees It decided to cut down the players' one-day fees from Rs 1.6 lac to Rs 1.5 lac each and Rs. 2.5 lac per Test. Hardly any change here. Neutral.
Performance Incentives: Linking payments directly to performance, the players would be played a flat fee with incentives for winning. As reported, the payments would be around Rs one lac for an ODI and about Rs 2.50 lac for a Test. They'd also be given a bonus of Rs 3 lac each for winning a series, BCCI sources said.
A Top player play about 30 ODI and 10 Test Matches every year which is about 8 ODI series and 4 Test Series. Presuming 60% wins, you end up winning 5 ODI series (out of 8) and 18 ODI matches out of 30, you'd expect a windfall of 45 lacs as match fees, and a bonus of 18 lacs for winning 8 ODIs and 15 lacs for winning 5 series. So you collect a total of Rs. 78 lacs from the ODIs alone. Compare it to 98 lacs tendulkar would've made under the earlier contract and 68 lacs that Zaheer Khan would've made under the earlier system. Now imagive if they were to win 70% of their matches, the earnings go up to 84 lacs and so on.
Let us analyse 2 extreme scenarios.
Wining 50% Matches
Old System New System
Retainer
Tendulkar 50 Lacs 5 Lacs Yuvraj S 35 Lacs 5 Lacs Zaheer K 20 Lacs 5 Lacs
Match Fees
ODI Tendulkar 48 Lacs 45 Lacs Yuvraj S 48 Lacs 45 Lacs Zaheer K 48 Lacs 45 Lacs
Test Matches Tendulkar 25 Lacs 25 Lacs Yuvraj S 25 Lacs 25 Lacs Zaheer K 25 Lacs 25 Lacs
Bonus
ODI Tendulkar 0 Lacs 27 Lacs (1x15+3x4) Yuvraj S 0 Lacs 27 Lacs Zaheer K 0 Lacs 27 Lacs
Test Matches Tendulkar 0 Lacs 18.5 Lacs (2.5x5+3x2) Yuvraj S 0 Lacs 18.5 Lacs Zaheer K 0 Lacs 18.5 Lacs
Total Earnings Tendulkar 123 Lacs 120.5 Lacs Yuvraj S 108 Lacs 120.5 Lacs Zaheer K 93 Lacs 120.5 Lacs
Wining 70% Matches
Old System New System
Retainer
Tendulkar 50 Lacs 5 Lacs Yuvraj S 35 Lacs 5 Lacs Zaheer K 20 Lacs 5 Lacs
Match Fees
ODI Tendulkar 48 Lacs 45 Lacs Yuvraj S 48 Lacs 45 Lacs Zaheer K 48 Lacs 45 Lacs
Test Matches Tendulkar 25 Lacs 25 Lacs Yuvraj S 25 Lacs 25 Lacs Zaheer K 25 Lacs 25 Lacs
Bonus
ODI Tendulkar 0 Lacs 39 Lacs (1x21+3x6) Yuvraj S 0 Lacs 39 Lacs Zaheer K 0 Lacs 39 Lacs
Test Matches Tendulkar 0 Lacs 24 Lacs (2.5x7+3x3) Yuvraj S 0 Lacs 24 Lacs Zaheer K 0 Lacs 24 Lacs
Total Earnings Tendulkar 123 Lacs 138 Lacs Yuvraj S 108 Lacs 138 Lacs Zaheer K 93 Lacs 138 Lacs
This is still not counting the earnings from playing the compulsory 40 days of domestic cricket.
Yes, if a person is dropped his earnings go. Which anyway should not have been there in the first case. In case of injured players they'd get the earnings (maybe not the incentives, which again is fair)
So in the end the new proposed system is much better than the earlier system. Thumbs Up.