RFU bonus backlash: Three former chairmen call for resignations
Three former rugby league chiefs have called for the governing body’s senior leadership to resign following controversy over record financial losses and executive bonuses.
In an open letter seen by the BBC, Martyn Thomas, Graeme Cattermole and Brian Baister claim that the RFU’s reputation has been “huge and irreparable”.
Last month the company posted a record operating loss of almost £40m, but chief executive Bill Sweeney pocketed £1.1m after receiving a £358,000 bonus and a £742,000 salary.
Sweeney was one of six executives to share a £1.3m bonus amid a union cut of more than 40 jobs.
Thomas, Cattermole and Bust wrote in the letter: “Recently, the RFU announced a world record net loss to the reserves of the national sports governing body of £42 million, along with significant pay rises and bonus payments… as soon as the announcement was made The news comes a month after the redundancy of 42 staff has caused huge and irreparable damage to the RFU’s reputation among member clubs, staff and match supporters.
“We respectfully advise that the positions of chairman, chief executive and relevant RFU board members are now untenable.
“We believe a new leadership team is needed to chart a new path forward and begin the process of rebuilding trust and respect so that responsible officers are urged to do the honorable thing.”
Amid the backlash, the RFU’s three former presidents have joined former chief executive Francis Baron in calling for changes to the governing body’s hierarchy. The Community Clubs Alliance – a group of grassroots clubs fighting for change – also said it fully supported the letter.
RFU chairman Tom Ilube defended the bonuses, saying the RFU’s incentive scheme recognized pay cuts caused by the pandemic and challenged multi-year targets.
The RFU also said it had been affected by rising operating costs for businesses, rising utility prices and the aftermath of the pandemic. The RFU is now preparing to hold an emergency meeting of its council later this month to discuss the crisis.
The RFU has been contacted for comment.