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Spillerforeningen, the Danish Football Players’ Association, has reached an agreement with Brøndby IF on payment of holiday allowances, pension, penalty and interest in arrears worth €4.5 million for a total of 94 players. Other Danish clubs must follow suit.

 

On 11 September 2012, Spillerforeningen won a fundamental victory securing pension and holiday allowances for football players in Denmark. Based on three trial cases, the Danish court of arbitration for football ruled that Brøndby IF were obliged to pay pensions and holiday allowances to both current and former employees. This is in compliance with the collective bargaining agreement that the Danish League (Divisionsforeningen) and the Danish Footballers’ Association (Spillerforeningen) have entered into.

 

Initially Brøndby agreed to pay arrears to the three players previously mentioned, but only today, Tuesday October 8th, the club has agreed to pay the arrears to the additional members. A new management and new capital at the club has been key in reaching an agreement, which amounts to €4.5 million.

 

Spillerforeningen director Mads Øland is happy that an agreement has been reached: ‘We are pleased that we can bring closure to this case today in agreement with Brøndby, so our members can receive their payment in arrears. The dialogue with the club’s chairman, Aldo Petersen, has been good and professional and the club has been very cooperative in the effort to calculate the total claim. We look forward to cooperating with Brøndby IF on a number of areas in the years to follow.’

 

The agreement which follows the ruling means that the clubs must pay…

  • pensions and holiday allowances in arrears to all players over the age of 20 with two months of seniority, who have not had a mandatory pension scheme set up
  • salaries and pensions in arrears to all players, who have had a gross pension scheme set up, where the employer contribution has been set off against the salary. The missing wages and the reduced contribution to the pension fund must be paid in arrears
  • 12.5% in holiday allowances in arrears of all bonuses
  • 12.5% in holiday allowances in arrears of all one-off payments for instance sign-on and sign-off fees
  • interests of all amounts listed above
  • a penalty of 10% to Spillerforeningen of all amounts and interests listed above

 

The ruling from 2012 has also set a precedent for other Danish clubs. These clubs must pay players pensions and holiday allowances from 2004, when the current collective bargaining agreement was signed, and onwards. Agreements have already been made with FC Copenhagen, Esbjerg fB, AC Horsens and Lyngby BK and Spillerforeningen will continue negotiations with all other clubs affected by the ruling.