COLA to be replaced by rent subsidy

[ShockOfHair]

COLA will be dumped by 2017, which we more or less knew, but what is new is that the plan is to replace it with a rent subsidy for those earning less than the average AFL wage.

On the upside for the Swans, while COLA will be phasesd out, "all existing contracts, including Lance Franklin's," will be honoured going forward.

Swans' cost-of-living allowance on way out, but rent subsidy on way in

[ScottH]

Makes it fairer and clearer.
Should stop the whingers.

[Reggi]

$15k is a measly subsidy, ignores the fact that housing is only small part of cost of living. Pretty sure this will get tweaked over time

To their credit. It does remove the sting from the argument that it is just used to attract 'stars'

[Chilcott]

$15k is a measly subsidy, ignores the fact that housing is only small part of cost of living. Pretty sure this will get tweaked over time

To their credit. It does remove the sting from the argument that it is just used to attract 'stars'

Although I preferred the additional 9.8%, I am happy with the new arrangement.

I wouldn't classify $15,000.00 for rent assistance a measly subsidy. Put 2 or 3 young players in the same house and you have up to $45,000.00 to help cover your yearly rental payments.

I'm fairly sure most other costs, such as Petrol and basic foods are approximately the same price across most states of Australia.

[Swansongster]

I'm OK with these changes.

I know it is off thread topic but the last para of Caro's article identifies Swans players who are off-contract. Bird and then Pyke the most urgent to resign for mine. You'd imagine LRT and Goodes will retire or stay on in red and white. AJ is now a big risk but will surely receive an offer. Can't see Rhyce or Mal going anywhere unless we drastically reduce their earn. ROK might get one more year as a playing mentor - there are a few clubs that could benefit from that but not at Sydney.

[Reggi]

I'm fairly sure most other costs, such as Petrol and basic foods are approximately the same price across most states of Australia.

Sorry couldn't possibly be true. Housing is only 20% or so of cost of living. There will be players at Sydney earning average salary who have younger families I.e. someone like Marty matter

[Matt80]

$15k is a measly subsidy, ignores the fact that housing is only small part of cost of living. Pretty sure this will get tweaked over time

To their credit. It does remove the sting from the argument that it is just used to attract 'stars'

15k is a good subsidy for rent. I?ll take it.

Maybe lower paid players need to set up shop in less expensive Neighbourhoods.
They can live in Dulwich Hill. Get the Tram to Central and then a Buss from Central to Moore Park.

Simple as that!

[hot potato]

COLA will be dumped by 2017, which we more or less knew, but what is new is that the plan is to replace it with a rent subsidy for those earning less than the average AFL wage.

On the upside for the Swans, while COLA will be phasesd out, "all existing contracts, including Lance Franklin's," will be honoured going forward.

Swans' cost-of-living allowance on way out, but rent subsidy on way in

What is the average AFL players wage?

- - - Updated - - -

COLA will be dumped by 2017, which we more or less knew, but what is new is that the plan is to replace it with a rent subsidy for those earning less than the average AFL wage.

On the upside for the Swans, while COLA will be phasesd out, "all existing contracts, including Lance Franklin's," will be honoured going forward.

Swans' cost-of-living allowance on way out, but rent subsidy on way in

Whoops, meant the AFL Players Average wage?

[liz]

15k is a good subsidy for rent. I?ll take it.

Maybe lower paid players need to set up shop in less expensive Neighbourhoods.
They can live in Dulwich Hill. Get the Tram to Central and then a Buss from Central to Moore Park.

Simple as that!

I think they do. Most of the younger players seem to gravitate towards Maroubra rather than Bondi - significant difference in typical rentals due to the distance from the CBD and the trendiness of the two suburbs.

[Reggi]

15k is a good subsidy for rent. I?ll take it.

Maybe lower paid players need to set up shop in less expensive Neighbourhoods.
They can live in Dulwich Hill. Get the Tram to Central and then a Buss from Central to Moore Park.

Simple as that!

As a trained economist, You have made the equivalent statement to a physicist stating there is no such thing as gravity. Over time the overwhelming majority will not accept a lower standard of living I.e. a lower real income, when they could live in Prahran or St kilda etc in melbourne. If the subsidy is not equivalent, then in real terms they are being asked to earn less than they could elsewhere.

I wonder how many people here would accept a 10% to 15% actual pay cut?

Anyway I think the only fair thing is that the lower paid guys get enough to bring their pay in line with their interstate peers

[erica]

Whoops, meant the AFL Players Average wage?

Not sure about that, but Caroline Wilson says in her article:
"Instead the AFL will directly allocate an estimated $15,000 to every player on the lower side of the wage spectrum. By 2017 the qualification ceiling for rent subsidy is expected to include all footballers earning below an annual $300,000."

Read more: Swans' cost-of-living allowance on way out, but rent subsidy on way in

[teddys mum]

$15k pa works out to about $290 pw which is about the going rate for room in a Sydney sharehouse these days. Given this is on top of their salary and is not meant to pay for their rent entirely then ot seems like a fair outcome.

[Ludwig]

I figure there would be around 30 eligible players out of the 45, which would make $450k, plus around another 100 a year for Buddy's contract. So we will only get around $400k stripped from the COLA, which is not a bad compromise. It gives us a few years to work through the issues. Overall, it probably reflects a fair differential in living expenses for that group of players. I don't think there's any negativity associated with being a Swan in Sydney compared to being a Saint or a Demon or a Tiger in Melbourne. I can't see this change having much impact on our ability to recruit players in the future.

[Ludwig]

Now Malthouse has weighed in with his usual ignorance of the issues. He confuses the financial viability of poorer clubs with player compensation/cost of living equalisation issues. If Melbourne want to have half the clubs in the competition, the rich ones should chip in to support the poor ones.

mick-asks-afl-to-scrap-cola-now/

[Matt80]

Why do GWS still get the the COLA?

Their place of work is Homebush! Rents in suburbs around Homebush like Ryde, Concord, Auburn, Lidcome and Strathfield are far cheaper than the rents in suburbs around Moore Park.

GWS should have the COLA scrapped and should not even get a rent subsidy. I'm sure rents in Lidcome, Auburn and Ryde are equal to those in St Kilda and Prahan.

What is going on here. Logic is out the window.