French owner issues stinging rebuke to rivals who claim rugby players are generally overpaid
Jacky Lorenzetti has no intention of joining in the chorus that rugby players are paid too much and that one legacy ramification of the current coronavirus pandemic must be that salaries should be lower than they are in 2019/20.
The Racing 92’s president’s wings may have been clipped this week by his admission that the Parisians have failed in their ambitious seven-figure plan to secure the loan services of Maro Itoje next season. But he has no interest in siding with club owners in France and England who believe the stoppage to fight the virus outbreak is a perfect opportunity to reset the sport and bring spiralling player wages under control.
Lorenzetti’s business ventures, such as a calendar of sold-out concerts at Racing’s ground and his wine portfolio, have been hard hit by the pandemic, but he doesn’t believe rugby needs to cut its cloth to manage its bottom line going forward.
In an interview in the latest edition of Midi Olympique, the French bi-weekly rugby publication, the business magnate spoke about the current player salary cuts that have spread through the game globally. “I ask you a question: would you agree to lower your salary by 30 per cent? Wages in rugby are not extravagant. So I’m not a staunch defender of lower wages,” he said, dismissing the likes of Montpellier president Mohed Altrad, who revealed that his club lost €700,000 due to the stoppage.
“We are all talking about heavy losses in the Top 14 budgets but we are not talking about the considerable aid from the government. Our players receive from the state 84 per cent of their net salary, do you realise? We are talking about significant wages, wages far above the income of those who touch the minimum wage twice to save our lives. The French social system is exceptional. So stop crying, it becomes indecent. Rugby is not just about numbers and scribbles of accountants.
“I have been in rugby for twelve years. I’ve never seen a club shut down before. In the Top 14, everyone has their economic model but it works: the investment of a patron who takes care of their ego a little; the intervention of social patrons like in Clermont or Castres, who have created clubs to distract the city because what would Clermont and Castres be without rugby clubs?
“The CO, the ASM, these are the headlights of the week. There is also the classic model of a club that relies on its territory, such as Toulouse, Bordeaux or La Rochelle. And then there are entrepreneurs like me who are trying out a new model.
“I’ve put in €35 million over the past ten years, but now Racing and the Arena operates in near independence. The break-even point would be an average of 15,500 spectators at the Arena. And we are not very far…”
Lorenzetti refused to be downcast by the current situation, despite its potential cashflow implications. “The situation is not far from being catastrophic for our performance hall,” he admitted.
“McCartney is 40,000 seats. Green Day, 40,000 seats. And then we sold close to 200,000 tickets for Celine Dion. So there you have it, today we have to talk to agents, insurers and producers to find solutions. The futures (in the wine business) were postponed because there were no longer any Asian, Russian or American customers. Today, I have over a million bottles on my back. Won’t you help me drink them?
“Yeah, it’s weird, all that. The stock market is collapsing, the real estate is at a standstill but still, morale is good. We will defeat the baby, the rebound will be good… I’m an eternal optimist and I don’t have to complain. The real heroes of this time, it’s the doctors and nurses who are fighting to save lives.”
Comments on RugbyPass
What was the excuse for the other knockout blowouts then? Does the result not prove the Saints were just so much better? Wise call to put your eggs in one basket when you’ve got 2 comps simultaneously finishing.
27 Go to commentsReally hope Kuruvoli and his partner rock the Canes.
1 Go to commentsI wonder what impact Samson has had on their attack, as the team seems less prone to trundle it up the middle, take the tackle and then trundle it up again. I lost faith in the coach last year as the Rebelss looked like a 2nd/3rd rate South African team. I also disliked Gordon standing back, often ignored as the forward battle went on and on. Maybe its our Aussie way of not getting off our A***’s until the enemy is at the gate.
83 Go to commentsThanks for the write up. Great to see the Rebs winning, I am a little interested in how they will go against the remaining kiwi teams, I think they’ve only played Hurricanes and Highlanders but how great to see these players performing!! I also see Parling has a job beyond June 30! A good move by RA? Also how do you fix the Rebels previously scratchy defence?
83 Go to commentsbe smart - go black
13 Go to commentsNext week the Crusaders hopefully have Scott Barrett back. Will be great to have the captain back. Hopefully he will be the All Black captain as well.
12 Go to commentsExciting place to be for the young fella. I expected he was French Polynesian when I saw him included in the France 6N squad (after seeing him in NZs), and therefor be strong grounds we might loose him to rugby down here. Good, in that he is good enough to warrant such a profile, and from a journalism’s fan interaction aspect, to finally get a back ground story on the fella. Hope he has settled into NZ OK and that at least one rugby country will fit with him to help his development, which, if so, he should surely continue for a few years, and then that he can experience France to it’s fullest with a bit more maturity and less reliance on family than you would have at his current age. A good 3 or 4 years before he would be ready for International duty if he wanted to wait. Of course he already sounds good enough to accept a call up, and to cap himself, in the more immediate future (he’d have to be very very good in the case of the ABs), and he’ll get a great taste of that being with the Canes who have a bunch who are just a few years further into their career and looking likely Internationals themselves.
13 Go to commentsI remember towards the end of the original broadcasting deal for Super rugby with Newscorp that there was talk about the competition expanding to improve negotiations for more money - more content, more cash. Professional rugby was still in its infancy then and I held an opposing view that if Super rugby was a truly valuable competition then it should attract more broadcasters to bid for the rights, thereby increasing the value without needing to add more teams and games. Unfortunately since the game turned professional, the tension between club, talent and country has only grown further. I would argue we’re already at a point in time where the present is the future. The only international competitions that matter are 6N, RC and RWC. The inter-hemisphere tours are only developmental for those competitions. The games that increasingly matter more to fans, sponsors and broadcasters are between the clubs. Particularly for European fans, there are multiple competitions to follow your teams fortunes every week. SA is not Europe but competes in a single continental competition, so the travel component will always be an impediment. It was worse in the bloated days of Super rugby when teams traversed between four continents - Africa, America, Asia and Australia. The percentage of players who represent their country is less than 5% of the professional player base, so the sense of sacrifice isn’t as strong a motivation for the rest who are more focused on playing professional rugby and earning as much from their body as they can. Rugby like cricket created the conundrum it’s constantly fighting a losing battle with.
4 Go to commentsOh wow… “But as La Rochelle proved in winning in Cape Town this season, a cross-continental away assignment need not spell the end of days.” La Rochelle actually proved quite the opposite. After traveling to Cape town and back they (back-to-back and current champs) got mercilessly thumped the next week. If travel is not the reason, why else would a full-strength powerhouse like La Rochelle get dumped on their @r$e$ one week later?
27 Go to commentsYou know he can land a winning conversion after the full time siren is up. (Even if it takes two attempts.)
5 Go to commentsA very insightful article from Jake. I would love to know how South African’s feel about their move to Europe. Do you prefer playing in Europe or want to go back to Super Rugby?
4 Go to commentspure fire
1 Go to commentsA very well thought out summary of all the relevant complications…agree with your ”refer the Cricket Test versus 20/20 comparison”. More also definitely doesn't necessarily mean better!
4 Go to commentsMust be something when you are only 19 y.o and both NZ and France want you. Btw he wasn’t the only new caledonian in french U20 as Robin Couly also lived in Noumea until 17. Hope he’s successful wherever he chooses to play.
13 Go to comments“Several key players in the Stade Rochelais squad are in their thirties” South Africans are going to hate the implications of that comment!
5 Go to commentsI know Leinster did a job on La Roche but shortly after HT Leinster were 30-13 ahead of them and at a similar time Toulouse were trailing Exeter. At 60 mins Leinster were 27 ahead but after 67 mins Toulouse were only 19 ahead before Exeter collapsed. That’s heavier scoring by Leinster against the Champions. I think people are looking at Toulouses total a little too much. I also think Northhampton are in with a real chance, albeit I’d put Leinster as favourites. If Leinster make the final I expect them to win by more than ten and with control.
5 Go to commentsHey Nick, your match analysis is decent but the top and tail not so much, a bit more random. For a start there’s a seismic difference in regenerating any club side over a test team. EJ pretty much had to urinate with the appendage he’d been given at test level whereas club success is impacted hugely by the budget. Look no further than Boudjellal’s Toulon project for a perfect example. The set ups at La Rochelle and Leinster are like chalk and cheese and you are correct that Leinster are ahead. Leinster are not just slightly ahead though, they are light years ahead on their plans, with the next gen champions cup team already blooded, seasoned and developing at speed from their time manning the fort in the URC while the cream play CC and tests. They have engineered a strong talent conveyor belt into their system, supported by private money funnelled into a couple of Leinster private schools. The really smart move from Leinster and the IRFU however is maximising the Irish Revenue tax breaks (tax relief on the best 10 years earnings refunded at retirement) to help keep all of their stars in Ireland and happy, while simultaneously funding marquee players consistently. And of course Barrett is the latest example. But in no way is he a “replacement for Henshaw”, he’s only there for one season!!! As for Rob Baxter, the best advice you can give him is to start lobbying Parliament and HMRC for a similar state subsidy, but don’t hold your breath… One thing Cullen has been very smart with is his coaching team. Very quickly he realised his need to supplement his skills, there was talk of him exiting after his first couple of years but he was extremely shrewd bringing in Lancaster and now Nienaber. That has worked superbly and added a layer that really has made a tangible difference. Apart from that you were bang on the money… 😉😂
5 Go to commentsNot sure exactly what went wrong for him at Glasgow but it’s pretty clear he ain’t Franco’s cup of tea. Suspect he would have been better served heading out of Scotland around the same time as Finn, Hoggy and Jonny!
1 Go to commentsBulls disrespected the Northampton supporters and the competition. Decide quickly, fully in or out.
27 Go to commentsI wonder if Parling was ever on England’s radar as a coach? Obviously Borthwick is a great lineout coach, but I do worry he might be taking on too much as both head coach and forwards coach.
1 Go to comments