Clubs furloughing staff

[PannickAtTheDisco]

It’s absolutely staggering this is happening.

I know, given it's the Scousers I assumed they'd just sack them and go round and rob them for good measure.

 

[kaz7]

https://www.bbc.co.uk/sport/football/52168692

Wow!

Hancock should have kept his fucking nose out

 

[cheekybids]

I don't know what Liverpool's wage bill is. Let's say £250m.

With revenues at zero and no telling when they might start to flow again (maybe not for a year; or two years), no bank is going to rush to loan £250m to pay wages (not to mention all the other costs that the club will still have to meet). £250m for a capital project in normal circumstances, no problem. But for wages in the midst of a crisis with no end date? Not cut and dried at all. Especially not when the banks themselves are going to be under enormous pressure in the coming years.

Jim Jim Jim the amount we are talking is a drop in the ocean 1/25 of their wage bill do why do it.

Airlines stopped immediately as they had to ground staff & survive, execs & everyone & their wage bill is astronomical etc etc

it’s piss poor to expect the tax payer to pick up the pieces, it’s not what it was intended for & I’d say the same if it was City.

these same clubs are saying the season will finish, If that’s the case then it really takes the piss. All they’ve done is seen an opportunity for someone to supplement their costs & its piss poor.

 

[cleavers]

Season ticket revenues will have to be repaid if games can't be played. Sponsorship money will have to be repaid if games can't be played. TV money will have to be repaid if games can't be played.

Besides which, most income will have been allocated and spent - or held back to meet future obligations falling within the year. Whatever cash reserves clubs do hold will be quickly exhausted if, as I believe, football cannot return to normal for at least a year.

So these clubs won't be signing new players then ? OK.

 

[prestonibbo_mcfc]

So these clubs won't be signing new players then ? OK.

Makes your heart bleed, doesn't it.

 

[mindmyp's_n_q's]

Cash flow. Cash flow. Cash flow!

Whatever happened a year ago or even six months ago genuinely isn't relevant currently. It's a question of what is available now to meet the costs that must be met. Season ticket money, sponsorship money, TV money......it has all been allocated. Companies have to plan for the future. They have to invest. Clubs don't hold cash for the sake of it. At least, not enough to allow for such a wholly unprecedented crisis as this. Whatever they do hold will quickly be devoured by the costs that they have to honour in the absence of further monies coming in. And there's no telling when this crisis will end. It might be a year or more from now.

So why didnt Liverpool take the option of the government LOANS that are available for business to cover staff costs at this time.

The loans are paid immediately and the repayment terms are both favourable in time and interest rates. They could have covered any shortfalls for however long it went on for and not cost the tax payer a penny.

Liverpool chose the option that would cost them the least, simple as that. If no other option was on the table for finance I could almost see (not agree) with your point.

They could have done this many different ways but haven't. No matter how it gets spun from now on, people will not forget.

 

[I'm With Stupid]

How are they haemorging (sp) money ? A club makes most of its gate money at the start of the season in season ticket sales. it is paid in advance for sponsorship and they have the TV money. They will have planned for June-Mid August where they still have to pay players and staff with no money coming in.

Not Liverpool. They famously keep season ticket allocation low so they can sell tickets at a higher price to day trippers and tourists at the expense of real fans.

To be fair to them (for once), most Liverpool fans seem to be outraged by this decision.

 

[marc_mcfc90]

Disgraceful, the amount of scousers defending the decision to furlough their staff!

if city did or ever do furlough their staff I would be absolutely raging and so embarrassed

 

[skiddypants]

Scousers embarrassed never!
They are Disgusting,
Father, forgive them; for they know not what they do.

 

[Blue Maverick]

I wonder if the Liverpool decision is based on FSGs other franchises, if they pay the wages in the U.K., the ones in the USA maybe saying they should do the same, I’ve no idea what their finances are like in the USA. It’s still disgraceful and I hope they are held accountable for many years to come.