Under the soon-to-be-finalised ‘Brayshaw Ruling’, AFL clubs will be able to exclude a larger portion of the wage of a player medically retired due to concussion in the initial years following their retirement than they would be in any later years of an outstanding contract. This means that long-term contracts that extend beyond five years could carry greater risks for clubs if they lose a player to concussion early on in their deal.
The AFL has been working on developing a policy on the issue since Melbourne midfielder Angus Brayshaw was medically retired in the pre-season with five years, including this season, remaining on the six-year deal he signed midway through 2022. Collingwood’s Nathan Murphy last week became the second player to be medically retired, with clubs expected to be informed in coming weeks of the new policy.
A source familiar with the league’s direction, who wanted to remain anonymous due to the ongoing nature of the discussions, confirmed the AFL was working towards a model that gives clubs greater salary relief in the early years of the player’s contract.
AFL CEO Andrew Dillon told AFL Media last week that a policy would be sent to clubs within weeks.
“Is there a mechanism whereby potentially a proportion of the payments that are made to a player who is forced to retire as a result of going before the AFL [medical] panel … does it make sense for a proportion of them to be outside the cap?” Dillon said.
He said the AFL were working on setting “aside a policy so that it is known to all clubs what the provisions are.”
One club boss, who spoke on the condition of anonymity to speak freely, suggested the ruling could mean a high percentage of the payments due in the first year or two after a player’s retirement sits outside the cap, then 50 percent is included in years three and four, and then a greater percentage after the fourth season.
This would mean clubs signing players to long contracts would need to consider the risk of concussion in their dealings with player managers, just as they may if there was a history of other injuries.
The likely ruling could have a significant impact on contract negotiations, with long-term contracts becoming increasingly prevalent as clubs spend the extra money now allocated in the cap as a result of the collective bargaining agreement. Brayshaw signed his six-year deal with Melbourne midway through 2022, while Murphy signed a one-year extension with the Magpies earlier this season as he weighed up his football future.
Some players also have extra insurance coverage relating to concussion.
Three senior club officials, who spoke to this masthead on the condition of anonymity because their clubs did not have formal positions on the issue, said they believed some proportion of the retired player’s wage needed to remain in the salary cap to create a moral hazard for clubs when signing players.
However, the league, which has also been warning clubs about signing players to long-term deals more generally, prefers the scaling up option.
The number of players retiring early due to concussion is increasing at a time when more players are seeking long-term deals, with clubs aware they need to offer them to attract or retain players.
