Worcester Warriors are currently at the helm with more than £25m in debt and have been suspended by the RFU; a termination order from HMRC could be issued in October
By Amar Mehta
Last updated: 30/09/22 9:44 am
The players and staff of struggling Premiership club Worcester Warriors will not be paid on Friday.
The players at the club in difficulty will receive their salary at the end of September, but Sky Sports News understand that will not happen.
Players will now be legally allowed to leave their contracts if they don’t get paid in the next two weeks.
Worcester was put into administration on Monday after being suspended from all tournaments by the Rugby League, having missed a deadline to show plans were in place to further their financial crisis. .
The Warriors are saddled with more than £25m in debt, with HMRC’s moratorium due in October.
The players are training alone but are hopeful they can return to some group training sessions, despite leaving the club’s training ground, at some point next week.
Association seeks ‘clarity’ about plans
On Thursday, the Rugby Players Association asked for “urgent information” to players, with players unable to move elsewhere at this time.
RPA confirmed that WRFC Players Ltd, the company that holds contracts for Worcester’s players, currently has no management rights, meaning there is no possibility to terminate the contract and move elsewhere.
“Our members are currently in a position that WRFC Players Ltd, the company holding their contracts, does not manage, while WRFC Trading Ltd (management) has been involved in the management process,” the statement said. RPA’s father wrote.
WRFC Players Limited will go to court on October 5 when facing the threat of contract liquidation, at which point players will be released from their contracts.
‘Credible’ talks with potential buyers are held
On Wednesday, administrators said they had held “credible” talks with multiple parties interested in buying the club.
Julie Palmer, one of the top administrators of Begbies Traynor, said: “We have been on the job for just over 24 hours and our main focus has been on interacting with interested parties. Sky Sports News.
“We’ve expressed concerns and credible initial discussions with multiple parties, but we wanted someone to come up with a credible, long-term financial proposition.
“Our duty is to the creditors, but the buyer must meet the RFU that they will be able to run a rugby club.”