WRU status update 17/06/20
CEO comment:
In directly addressing a variety of topics which have received extensive public focus recently, our financial situation is a good place to start.
The problem has been well documented, so I’d like to focus on where the solution will lie.
Given the financial shock of this pandemic the only solution is to increase our borrowing. We are in discussions with a range of institutions to assess our options. We are working hard to secure a loan and, importantly, on terms that allows for repayment over a number of years. So, whilst the current financial hit is extreme and focused, we will look to smooth and dampen its ongoing impact through a manageable repayment profile and interest rate.
In terms of specifics, funding for our community game is ringfenced which means that we hope all of our clubs will survive this crisis. I would also point out that the Professional Rugby Board (PRB) is, rightly, united in its support of this approach to the community game, to safeguard the long-term future of Welsh rugby. Likewise, I was a participant in a video conference last week with representatives from the Indigo Premiership where we discussed options at length for how the league can restart, at some point, and explored scenarios and contingency plans to navigate our way through what is an evolving situation.
Much of the loan will be onward lent, to Welsh rugby’s four professional regions. Again, this is only right, as the international and professional game is the financial powerhouse of Welsh rugby. Without it we would have little income or funding to re-invest. The professional game will bear the responsibility for servicing the loan, but will also benefit from any bounce back of any financial revenue over performance in future years. Meaning, in that regard, the professional game bears both the risk and the reward. Our goal, like with our semi-professional and community clubs, is to ensure all four regions survive this crisis.
We have also approved plans to grow the women’s game and to strengthen its performance side in particular. Clearly COVID-19 has impacted those plans like all areas in our organisation, but we have taken the conscious decision to continue with planned investments. It’s very possible that continued investment will allow us to more rapidly close the gap with other nations, which has always been at the core of our strategy.
We are at an advanced stage of planning for how we manage our costs over the next two years in particular. I would like to thank the staff within the WRU Group for their understanding, as we have extended salary reductions for a further three months to the end of September, which is when we will review the situation again.
We are also exploring synergies with our regions to find cost benefits. In reality, between the WRU and each region, we have five of many things. Sometimes that is wholly appropriate and sometimes it isn’t. There are opportunities to combine our efforts and we need to be thoughtful in how we do this. Some things make sense to do together, whilst other things need to be done independently particularly to preserve identity, culture and competition on the pitch.
There has been a lot of commentary about players wages. Back in April the players agreed to temporary wage cuts to help us through the crisis, again for which we are grateful. We are now in further discussion, the first step of which is a responsibility of the PRB to, as transparently as possible, set out the financial situation and then work together with the players to find options that both safeguard the game and also deliver to the players’ personal situations. There is a requirement for continued dialogue over the next few weeks to explore options and land on a way forward that works for all parties. I’m sure we can achieve this together.
There has also been a lot of discussion about international fixtures and the potential to improve the global season. There is a backlog of professional club and country fixtures to schedule for the remainder of this calendar year. All parties are around the table and working hard to find a compromise that works for all.
In that vein, the global season will also require compromise. I have been involved on the small working group tasked with consulting with players, other unions and tournaments to help find a long-term solution. Nobody will get everything that they want, but the opportunity is there for everyone to have a season structure which is better going forwards.
In my experience, when you consult as widely as we have, the challenge can be that you create a situation where people interpret consultation as an indication that they will get exactly what they want. Clearly, that is rarely the case but I very much hope that, whilst at individual level there will be compromises required, the end result – based on continuing consultation – will be infinitely better for rugby as a sport and in particular for players, supporters and commercial partners.
Finally, I was heartened to find almost 300 individuals, many having recently taken up the role of Club Operations Managers and representing our member clubs, participated in a video conference with our community rugby department on Monday evening. Well done to the team for organising the event and thanks, in particular, to those who participated. As we have said all along we are working hard to communicate as regularly and transparently as possible, in addition to listening hard to understand the day-to-day reality at club level.
The optimist in me hopes that we have seen the worst of this crisis and that any future spikes can be dealt with quickly and locally where possible. Whilst we don’t know everything we need to yet, we know a lot more than even a few weeks ago.
We have a plan, we can see the other side and we will calmly go about our business to ensure the game is better coming out of this crisis than it was going in.
Stay safe,
Martyn Phillips
WRU CEO
National Council Member election
The election to find a new National Council Member has re-opened, with Nigel Davies, Ieuan Evans and John Manders each competing for the votes of member clubs.
The COVID-19 pandemic interrupted proceedings in March after final nominations for the position, vacated by Mark Taylor, were received but the WRU Board has now been able to re-instate the process.
Clubs will have received detailed letters from each candidate offering statements of intent and both describing and illustrating, in impressive terms, just why each is most suitable for the role – and to say the field is a strong one is an understatement:
Evans is the former Wales and British & Irish Lions and Scarlets wing who has 79 international caps, captained his country 28-times and has more recently worked as a television pundit for Sky, BBC and ITV whilst also holding Board positions with the likes of Welsh Tourist Board and VisitBritain.
He says, in his letter to clubs:
“The constitutional changes introduced under the chairmanship of Gareth Davies have given the professional game the chance to flourish, but have also presented the community game with huge opportunities that, as yet, have been largely unexplored.
“I’d really like to be a part of pushing the boundaries at that level in order to make our competitions more enticing and exciting… You ignore the base of any pyramid at your peril.”
Davies is also a former Wales and Scarlets player, with 29 caps, who went on to coach both the region and his country. He is currently chief executive at Merthyr and is a former head coach at Ebbw Vale but has also worked for the WRU’s rugby department and served as director of rugby at Gloucester.
He writes:
“I truly and wholeheartedly respect and understand the vital part that rugby plays in all communities in Wales, with clubs at the core of our game, with rugby part of the nation’s sense of pride and identity and its leading role in uniting people and communities.
“I want to be part of a representative governing body that, not only leads and helps develop the game, but also serves its diverse communities and its clubs fully, visibly and effectively…”
Manders was a Welsh Youth international who played for Newport, Cardiff and Pontypridd and is a stalwart of Old Illtydians rugby club, having served multiple roles including chairman and team manager, and is described as the “heartbeat of the club”. He is a former sergeant with South Wales Police. After retiring from the Police service he has continued to work as an assessor, lectures in law at the University of South Wales, is also artistic director at Tickledom Theatrical Productions and a director of learning at Credwch Ltd.
He comments:
“I am an experienced practitioner and strategist regarding issues associated with equality, diversity and good governance in sport and I have a passion and commitment to fulfilling these principles.
“I have more than 30 years of experience professionally and as a club volunteer regarding community engagement… I can assure you that I will work tirelessly for your club and all clubs in Wales and be the ‘voice’ for the Community game, in all its aspects from mini & juniors, youth, seniors and, of course, the expanding women’s game in Wales.”
This is just a snapshot of the submissions from each candidate which cannot do justice to the strength of each applications and clubs are strongly encouraged to consult the comprehensive profiles already supplied before voting.
Each candidate has also provided contact details, welcoming further enquiries and the WRU is in the process of setting up a number of online ‘drop in’ sessions (one per candidate) to help clubs decide where to lend their support, which must be submitted electronically via ballot form before the 3pm, Friday 10th July deadline.
Community game planning:
Around 82% of clubs have already nominated a Club Operations Manager, who will help manage all protocols for returning to play locally as advice from Welsh Government and the Public Health Board evolves, and we are grateful for the swift response in each case.
The first webinar open to all member clubs, to explain the Club Operations Manager role and talk through plans to return to train and play was hosted by the WRU Return to Rugby Working Group on Monday night, with nearly 300 individuals tuning in, including Club Operations Managers representing their clubs and a host of other stakeholders.
As stated in this webinar, it is now clear that the community season won’t start in September, but all options remain in consideration, whether that is October, December or January starts for the game. We also know the season will look different when it returns and that there will be an emphasis on returning safely and staying local when fixtures are drawn up.
We will continue to work very closely with the Welsh Government and other sports governing bodies and will update clubs each time the Welsh Government issues a new three-week plan to describe how this affects rugby in Wales.
A key ambition for the community game in Wales is that we want to be part of the solution and not part of the problem in spreading the disease and will therefore not do anything to compromise public health.
There are four clear caveats to the resumption of rugby in Wales:
– Public Health and Government authorities allow a return
– Public health services aren’t compromised
– Clubs have time to educate & prepare facilities
– Players have an appropriate re-conditioning period
– Contact tracing
Contact tracing will be key – it will be vital to complete an online World Rugby module before returning to play AND symptom checks will need to be completed even before leaving the house to train on EACH occasion.
It is also clear that, after the longest time away from rugby in their lives, for many players there will need to be a period of conditioning before resumption and the WRU’s strength and conditioning leads will supply training plans for the community game at the appropriate time.
There will be other measures and we will help clubs to be prepared in each eventuality, such as if elements of rugby allowed before club houses are allowed to open.
We will run through every step of the facilities process and we are also working closely with our insurers so that when rugby does resume, clubs have full cover.
Detailed Community Return to Rugby Guidelines will be issued in the coming weeks as advice changes, but please continue to follow Welsh Government guidelines closely in all instances.
