Indian cricket players

By: Vineet Raj Kapoor

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 SystemNew System

Retainer

Tendulkar 50 Lacs5 Lacs

Yuvraj S35 Lacs5 Lacs

Zaheer K20 Lacs5 Lacs

Match Fees

Tendulkar 48 Lacs45 Lacs

Yuvraj S 48 Lacs45 Lacs

Zaheer K48 Lacs45 Lacs

Test Matches

Tendulkar 25 Lacs25 Lacs

Yuvraj S 25 Lacs25 Lacs

Zaheer K25 Lacs25 Lacs

Tendulkar 0 Lacs27 Lacs (1x15+3x4)

Yuvraj S 0 Lacs27 Lacs

Zaheer K0 Lacs27 Lacs

Test Matches

Tendulkar 0 Lacs18.5 Lacs (2.5x5+3x2)

Yuvraj S 0 Lacs18.5 Lacs

Zaheer K0 Lacs18.5 Lacs

Total Earnings

Tendulkar 123 Lacs120.5 Lacs

Yuvraj S 108 Lacs120.5 Lacs

Zaheer K93 Lacs120.5 Lacs

Wining 70% Matches

Old SystemNew System

Retainer

Tendulkar 50 Lacs5 Lacs

Yuvraj S35 Lacs5 Lacs

Zaheer K20 Lacs5 Lacs

Match Fees

Tendulkar 48 Lacs45 Lacs

Yuvraj S 48 Lacs45 Lacs

Zaheer K48 Lacs45 Lacs

Test Matches

Tendulkar 25 Lacs25 Lacs

Yuvraj S 25 Lacs25 Lacs

Zaheer K25 Lacs25 Lacs

Tendulkar 0 Lacs39 Lacs (1x21+3x6)

Yuvraj S 0 Lacs39 Lacs

Zaheer K0 Lacs39 Lacs

Test Matches

Tendulkar 0 Lacs24 Lacs (2.5x7+3x3)

Yuvraj S 0 Lacs24 Lacs

Zaheer K0 Lacs24 Lacs

Total Earnings

Tendulkar 123 Lacs138 Lacs

Yuvraj S 108 Lacs138 Lacs

Zaheer K93 Lacs138 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 incentivesArticle Search, which again is fair)

So in the end the new proposed system is much better than the earlier system. Thumbs Up.

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