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Sports Agents are facing scrutiny over high fees

By Ido Lekota and Mcelwa Nchabeleng | Aug 06, 2012 | COMMENTS [ 25 ]

SPORTS agents who are milking desperate soccer players by charging them exorbitant fees could soon have their wings clipped.

If it eventually becomes law the Employment Services Bill will bring relief to players who are currently indebted to sport agents who have a stake in every income they generate.

The Bill, which has recently been presented to Parliament for discussion is aimed at, among others, regulating private employment agencies. Sport agents are classified as such agencies.

The Bill also deals with the regulation of the controversial labour brokers which Cosatu wants banned.

As it stands, most agents get a 10% commission of the players' signing-on fee plus another 10% of the players' monthly salary. In addition they also charge the players some management fee for belonging to their stable.

With the average PSL signing-on fee at R2-million, agents get an average commission of R200,000.

Teko Modise is believed to be among the highest earners in the PSL, earning more than R250,000 a month.

Top agents in the country have more than 10 players in their stable.

Section 16 of the Bill prohibits any agency from charging any job seeker for providing employment services to that work seeker.

According to the Bill, the agency must only be paid agency fee by the employer who employs such a job seeker.

In terms of the Bill "any agreement concluded with an employee that is in breach of this section is invalid and of no force and effect".

Department of Labour deputy director-general for public employment service Sam Morotoba said the objective of the section on private employment agencies is to protect vulnerable employees and job seekers.

Morotoba said normally players were desperate to be signed by major PSL clubs and ended up agreeing to whatever conditions set by the agent.

He also said the bill was aimed at dealing with current situation in which employers use labour brokers to acquire contract workers to avoid paying any employment benefits to such employees.

South African Football Players' Union's national organiser Cappy Matutoane said they welcomed the Bill, which he described as "long overdue".

"It has been our call to have such a Bill and we hope it will become law," Matutoane said.

"Our players have been exploited by the agents who always take advantage of their desperation."

Matutoane added that they were also concerned about the huge disparity of players' wages in the PSL.

He said there were players who earned a monthly salary in the region of R300,000, while others got a paltry R5,000.

An agent will pocket a cool R30,000 if he or she were to get a 10% from a player earning R300,000 a month.

Players' agent Jazzman Mahlakgane also welcomed the bill.

"I always put the interests of my players first and if this Bill will protect their interests I don't see the reason why I should not support it," said Mahlakgane who manages a horde of top PSL players, including Modise, Siphiwe Tshabalala and Itumeleng Khune.

Another players' agent Steve Kapelushnik could not comment because he had not read the Bill.

Spain-based Rob Moore said he could not comment on things happening in South Africa.

"I can't comment about things that are happening in South Africa as I don't stay in that country any more," he said.

Attempts to solicit a comment from renowned players' agent Mike Makaab drew a blank yesterday.

COMMENTS [ 25 ]

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One must also understand that a sportsman's career last for not more than 5 years. thus he/she must earn enough money to make a living for the rest of his/her life.
Unfortunately our sportsmen (especialy) soccer they dull up stairs, no investments,no savings whatsoever and when they career take a nose dive they fall flat and we must pay for their funerals,etc,etc.

Aug 06, 2012 7:31 | 0 replies

@ Dadaman1

Your desparation for Chiefs is so bad that you even lose consice.
I guess you are not earning anything close to the players that you have mentioned here.

So yet you write for the sake of writing. Your life become uneasy if there is nothing bad to say about Chiefs. The article has nothing to do with KC nor its players. You can say what ever you may wish to say but You can not revome the glass that KC is rated. NARROW MINDED.

Aug 06, 2012 9:53 | 0 replies

@Flemza

Who cares what they earn ,its only temporaly so what , they can earn a million a month who cares , as long I`m able to earn a living from mearger R5 500 a month and driving my comfortable 1,6 sedan and no one bothering me , they can earn million rand who the hell cares anyway

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The purpose of this article is not to hurt your feelings, they just want to address issues, sorry thou. Your 5 500 does not make you less a man.

Aug 06, 2012 10:8 | 0 replies

Wooooww Mr. Rob Moore now that you're rich with inyuku ka Lucas Rhadebe nabo Quinton Fortune no Benni. Now you dont live in that country anymore.

Aug 06, 2012 10:45 | 0 replies

dadaman1
There are players in the PSL who earn up to R300,000 - a month! - while others get a paltry R5,000
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And those who earn R5000 before deductions are

Lucky Baloyi
G Lebese
Masango
Nqcobo
Zvasiya
Katsande
Nale
B Khuzwayo
Mathoho
Bartman and
Nengomashe(was)-hence he left
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so kaizer chiefs players are earning less neh mxm u stupido......am dating soccer players and i dated them before i now who's earning how much and who's not u p!g.go to khoza's camp u will see poor guys with lousy cars they are driving

Aug 06, 2012 11:29 | 0 replies

C'mon guys, these European folks all look the same to me. I am neither colour nor pattern-blind. They all hate the ANC, and behind their back they will tell you how black the ANC is. You ought to listen to them behind their avatars, they assume that every black person in South Africa is a member / supporter of the ANC. They all look and behave the same. Ok, I have to be a little nicer to them; there are a few less retarded whites who for some odd reasons just look slightly different. The other day I told one unicellular retard whilst travelling India that I came from South Africa. He told me he came from Australia and he has a friend from Kenya. He continued to ask me if I knew his friend from Kenya, he comes from the same place as you.

Aug 07, 2012 10:25 | 0 replies

@Chichi7
I actually do not expect to earn the same amount as my director earns which is 15 times more than my take home.
So the point here is what?
Do team players with Ronaldo want to earn the same as he does?
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Ronaldo is not their director, he is a colleague. Unrelated example. A junior and a senior could have been more appropriate :-D

Aug 07, 2012 12:3 | 0 replies

@NewKidOnTheBlock

word says he is so broke he even went back home (Tembisa) and he now drives around with old vw citi golf.
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i was with Lerato in Thokoza 2 weeks ago, he mingles around with a VW golf r 2011 model..scirocco version....

Aug 07, 2012 1:30 | 0 replies

Chichi7
I actually do not expect to earn the same amount as my director earns which is 15 times more than my take home.
So the point here is what?
Do team players with Ronaldo want to earn the same as he does?
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Chichi sweety...the issue is not how much the players are earning but actually how much the agent is pocketing from the players...10% is alot of moola plus whatever other incentives or bonuses are awarded they benefit from aswell...in other words they are upmarket PIMPS

Aug 07, 2012 3:22 | 0 replies

Chichi7
These people signed these contracts willingly not at gun point. Govt goes on and on trying to control things they should not and yet the govt workers have huge descrepancies in their pay.
Not everyone gets the salary of Ronaldo, Pls!!
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Yes baba, willingly but under preassure. you know a plight of a person who has been looking for job for a long time? this person will sign whatever document that guarantees him/her a job and a salary at the end of a month. he will sign that, fully aware that some of his hard earned money will be drawn by the agent. it is not easy to refuse to sign a contract when you are desperate.


Tse ntsho tsona di tla dula di le ntsho.....

Aug 10, 2012 8:26 | 0 replies

They must have first played football before they can become agents

Sep 10, 2012 3:38 | 0 replies