World Cup 2003 player contracts

The Interim Committee of the Board of Control for Cricket in Sri Lanka (BCCSL) wishes to make the following statement in order to clarify the status of the Player Contracts for the World Cup Tournament to be held in South Africa from February - March 2003.

All but two players selected for the World Cup Squad have contracts with the BCCSL whereby they have agreed to make themselves available for any tournaments or other commitments as directed by the BCCSL. The BCCSL wishes to emphasize that these players are generously remunerated for these contracts. In fact, during the year 2002, 1.7 Million US Dollars (i.e., 70%) have been paid as remuneration for players contracted with the Board from a total income of 2.4 Million US Dollars that the BCCSL received. This amounts to 70% of the Boards income.

The terms of the contract also specifically require the players to take note that the BCCSL depends on its contracts with financiers for the purpose of its funding. This funding is not only required for making payments to players but also for the overall development of the game in Sri Lanka, including support for domestic clubs and domestic club tournaments, coaching and training programs etc.,

Insofar as the present issue is concerned, the BCCSL is required to, and has entered into, a contract with the ICC for the purpose of participating in the World Cup Tournament. A condition of this agreement is that the BCCSL should also submit individual contracts with the players selected for the squad (Squad Members) whereby they agree to grant the ICC and the sponsors of the World Cup with certain promotional and advertising rights for specified periods. These requirements are universally applicable to all participating countries and their Squad Members.

Consequent to this requirement the BCCSL requested the Squad Members to sign the Player Contracts. The players thereupon nominated Mr. Graham Labrooy, of the Sri Lanka Cricketers Association to negotiate on their behalf. At the discussions held with him, Mr. Labrooy suggested a payment of 12% of the Guarantee Fee of 6.4 Million US Dollars or 10% of the Guarantee Fee plus a Match Incentive Fee. The BCCSL being of the view that the payment should be based on performance, offered US$ 200,000 plus a Match Incentive Payment tied to its performance at the tournament. This would have in total amounted to approximately 9% of the Guarantee Fee.

However, after discussions with the Squad Members in Australia, Mr. Labrooy has informed the BCCSL that the Squad Members had demanded a flat 20% of the Guarantee Fee. The BCCSL having considered the issues involved, revised its offer to 10% of the Guarantee Fee plus a Match Incentive Fee as originally suggested by Mr. Labrooy as being reasonable. Despite this revised offer the Squad Members continue to insist on a payment of One Million US Dollars plus Normal Match Fees.

The BCCSL is unable to meet this demand, not only because it is unreasonable, and also not being based on performance. It will seriously undermine the Boards ability to meet its obligations vis a vis the developmental activities for domestic cricket. Unlike most other Cricket Boards, the BCCSL has no other significant streams of revenue. Hence, the income earned through the World Cup tournament would be the mainstream of its income for the next four years for the development of cricket in Sri Lanka. In these circumstances, the Board is of the view that the demand by the Squad Members is unreasonable and inequitable.

Considering the fact that the BCCSL has already exceeded the deadlines set for the submission of the Player Contracts it has urged the Squad Members to act reasonably in the larger interests of Sri Lankan cricket and finalize the contracts immediately. However, in the event that the Squad Members fail to do so the BCCSL will be reluctantly compelled to avail itself of all remedies available to it.