Covid-19: Arsenal Slashes Squad’s Pay By 12.5 Per Cent

Arsenal have announced that they have agreed a 12.5% pay cut with their first team squad, coaching staff and head coach Mikel Arteta.

Confirmation of the agreement, will offer significant clarity to Arsenal as they plan their response to the coronavirus pandemic, which has seen football postponed for over a month with a return unlikely before June at the earliest.

We understand that the overwhelming majority of the first team squad have agreed to the pay cut but not all of the squad. For those that have not the offer will remain on the table before the club undertake any individual negotiation.

A statement from Arsenal said: “We are pleased to announce that we have reached a voluntary agreement with our first-team players, head coach and core coaching staff to help support the club at this critical time.

“The move follows positive and constructive discussions. In these conversations there has been a clear appreciation of the gravity of the current situation caused by the Covid-19 pandemic and a strong desire for players and staff to show their backing for the Arsenal family.

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“Reductions of total annual earnings by 12.5% will come into effect this month, with the contractual paperwork being completed in the coming days. If we meet specific targets in the seasons ahead, primarily linked to success on the pitch, the club will repay agreed amounts. We will be able to make those repayments as hitting these targets, which the players can directly influence, will mean our financial position will be stronger.

“The agreement is based on the assumption we will finish the season 2019/20 and receive the full broadcasting revenues. The resulting savings will help cover some of the financial risks we have this season in relation to our matchday and commercial income.

“We are proud and grateful to our players and staff for pulling together to support our club, our people and our community in these unprecedented times which are some of the most challenging we have faced in our history. “

Players will be able to claw back their wage packet through European qualification. Reaching the 2020/21 Europa League will see the cut reduced to 7% whilst qualifying for the Champions League will allow Arteta’s squad to recoup the entirety of their lost earnings.