New Zealand Cricket to cut costs by three million dollars

Last Updated: Sunday, June 19, 2011 - 13:59

Wellington: With New Zealand Cricket attempting to reduce costs by up to three million dollars, the country`s professional cricketers will have part of their salaries for the next financial year deferred until 2015.

According to a website, the appreciation of the Kiwi currency has meant projected income for the financial year ending July 31 is significantly lower than expected.

Poor gate receipts from Pakistan`s tour last summer have also left New Zealand Cricket facing a financially bleak time in the next 12 months.

In August last year, the NZC board ratified a ground breaking eight-year master agreement with the New Zealand Cricket Players` Association. The deal centered on a risk and reward model where the country`s professional players received significantly more money during economically prosperous times, but would be called upon to absorb any potential financial shortfalls if they ever arose.

Sooner than expected that has occurred and NZC and the NZCPA are now working together to prune the costs of the professional game.

NZC boss Justin Vaughan said the result was disappointing but his organisation had refrained from the temptation of reducing next summer`s domestic schedule.

"That would very much be a last possible option because we are a cricket organisation and we want to preserve as much content and as much cricket as possible," he told a newspaper.

He added: "We are looking in the region of trying to claw back about three million dollars in cost savings. Ideally, we`d do it through driving additional revenue but the US dollar rate doesn`t help us and the market internationally is tough."

Heath Mills, CEO of the NZCPA, said the upcoming financial year was always going to be the most difficult to manage of the eight-year cycle given it had the smallest forecasted revenue.

But he said while the players were disappointed with the cost-cutting measures, they were prepared to grin and bear it for the good of the amateur game.

ANI



First Published: Sunday, June 19, 2011 - 00:00

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