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Sporty India Institutions:   by  on 2009-10-31 01:19:04
 Subject :AIFF plans salary caps, will clubs agree?.. 2011-08-09 23:35:19 
sportyin
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Published: Tuesday, Aug 9, 2011, 8:00 IST
By Mihir Vasavda | Place: Mumbai | Agency: DNA

The All India Football Federation (AIFF) has decided to introduce salary caps in the I-League from the 2012-13 season.

The purpose of it, a federation official said, is to keep a check on the amount club’s spend on paying players’ wages and encourage them to invest in infrastructure and youth development.

“I-League clubs usually utilise around 95 per cent, sometimes 100 per cent, of their budget in paying salary to the players. Hence, very little amount is spent on improving infrastructure and youth development. We want to change that scenario,” I-League CEO Sunando Dhar told DNA on Monday.

“Our intention is to strike a balance in paying salaries and investing in development.”

Football leagues in Europe, including the English Premier League (EPL), have advocated the idea of introducing a cap on players’ wages but the clubs have staunchly opposed it.

Though, AIFF’s idea is yet to be backed by the clubs, Dhar is confident that they will able to convince them.

“I have had unofficial talks with a few clubs and they have been quite supportive. In the long term, this shall be beneficial for Indian football. I hope the clubs will realise this,” Dhar said, adding that the AIFF will explain the clubs in detail at a meeting in New Delhi on August 18.

The purpose of having a check on the salaries in India and rest of the world is totally different, though. EPL, for instance, is pushing for salary caps in order to decrease the gulf between the richer and poorer clubs and gain a level playing field. In I-League, it is more development oriented.

“We will tell clubs to use ‘X’ percentage of their budget on salaries and ‘Y’ percentage on development. In Ireland, for example, the clubs are allowed to use only 65 per cent of their total budget on player salaries. The rest goes in investing in the youth development, infrastructure and other such things. Development is a must and we need to focus on that aspect,” Dhar explained.

The AIFF is yet to decide on the exact figure that the clubs can spend on paying wages, Dhar said. “We will fix a salary-development ratio. The clubs can increase or decrease their total budget as per their needs,” he said.

Though Dhar maintains that the idea will receive support, a club official made his views clear, saying, “They (AIFF) shouldn’t be telling us how to use our money. We have our priorities set and work accordingly.”

The official did not wish to be quoted as they hadn’t received any official communication from the AIFF on this issue.
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