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Australian cricket and rugby union face additional cuts

Cricket Australia CEO Kevin Roberts looks set to leave the organisation just 20 months after his appointment (Photo by Kelly Defina/Getty Images)

Australia’s cricket and rugby governing bodies are to implement further cost-cutting measures in response to the Covid-19 downturn.

Cricket Australia chief executive Kevin Roberts said the body faces a A$80m (€47.9m/$53.2m) shortfall due to the pandemic. It looks unlikely to host the Twenty20 World Cup during October-November this year as planned, which will cost it around A$20m.

Roberts said there would be a A$50m blow from not having crowds attend games this summer and the organisation will spend around A$10m on biosecurity measures to ensure international teams can play in Australia.

CA’s financial position will improve with India’s four-test tour after the World Cup, worth an estimated A$300m if given the green light.

“We have made a commitment to significantly reduce the cost base of Cricket Australia, unfortunately that means that no area of the organisation will be untouched,” Roberts said. “It’s premature to talk about the detail of those plans, that will come in the not-too-distant future.”

CA has already furloughed about 80 per cent of its workforce, while state associations have also made deep staff cuts in recent weeks.

Rugby union governing body Rugby Australia is expected to announce significant job cuts this week.

RA has already undergone a number of cost-cutting measures, including staff and player pay reductions. It has furloughed 75 per cent of its staff until at least June 30, and the remainder of employees have taken significant pay cuts or are working reduced hours. It has secured a $14.2m loan from World Rugby to help navigate the crisis.

RA has submitted its most recent annual financial report to the Australian Securities and Investments Commission after the accounts were signed off by auditors KPMG and the RA board. RA reported a provisional A$9.4m loss at its annual general meeting at the end of March. KPMG was delayed in signing off the accounts amid ongoing financial uncertainty and staff and board level changes at the organisation.