Last week, we showed how FIFA mandates that pro clubs must pay youth teams when a players signs his first contract. Not suggests. Mandates. We also told you how Canadian clubs are largely missing out. And that the main reason clubs here don't participate is largely based on false impressions that they don't qualify for that development fee.
Further, we heard from experts who explained why there is a concerted effort to keep that practice of not paying ongoing - one that sees our players continually mined for cheap - and that the onus is really on the local pro clubs to step up and support development.
Today, we hear from Costas Smyrniotis, an MLS agent, on how MLS is, in fact, paying for international player transfers and why they don't extend the same practice locally to development compensation. He also tells us how that practice may be changing in the U.S. and points to a recent FIFA document (released just this week) that shows in detail just how much teams are supposed to be paying these youth clubs.
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On May 3, FIFA released a document entitled Regulations on the Status and Transfer of Players - Categorisation of clubs and registration periods. Within it they detail exactly how much a region is required to pay youth clubs when they sign a player to a pro contract. What's interesting about this document is that it clarifies that the pro club must pay a fee based on what it costs their region to develop players. Not what it cost the region from where a player hails from.
Here is table breaking down the costs
For perspective, here is where CONCACAF countries are ranked.
To use a hypothetical example, if a UEFA club was to sign a Canadian player, the fee owed would be based on what it costs there to develop a player there (90,000 Euro), not what it cost in Canada ($10,000 for category 3 teams or $2,000 for category 4.)
Ignore for a second that Canada is ranked in the same category as Trinidad and ask yourself: with so much money to be made from a Canadian player signing abroad, or even closer to home in the U.S. why aren't cash strapped youth clubs looking to collect?
"I don’t think it’s ever been in the mindset here. We’re too busy focused on the youth game in terms of numbers and registration," Smyrniotis said. "We’ve never really thought beyond that. It’s never been anyone’s mandate, motivation or responsibility. It all comes back to the pro game not being the priority."
A big part of that lack of focus, has to fall to the shoulders of the Canadian Soccer Association. They're the ones who need to be providing direction to these clubs when their players sign pro-contracts.
"Once a player signs his first contract in another country, the national association he’s with before is notified. And if no one is reaching out to the clubs, then that indicates no one is asking on their behalf. Or there isn’t an internal framework to say what happens when it occurs. That indicates a lack of direction as well from the federation," Smyrniotis said. "I don’t think it’s ever been discussed (on the CSA level.) And I don’t think there has ever been any direction as is done in other countries from the national association to say ‘here how it works on an international transfer’ or even more ‘here’s how it works on a domestic transfer’"
The blame for lack of education doesn't just fall to the shoulders of the CSA, it's a result of the way the MLS system is set up. By and large the league has denied paying transfer fees for players. That's become a blatantly obvious 'untruth' in recent years. Any time a foreign player comes here now, the local papers abroad are always rife with reports on the transfer fee details.
Smyrniotis, who represents Toronto FC's Kyle Bekker, among other players and prospects, states the situation bluntly.
"Do they pay for player transfers? Yes. Do they want to pay education fees? I think the answer, is well they haven’t. Or it's not public knowledge that they have. According to them (MLS), 'the players have left the system and have gone off to college where we get free players.'"
But that's something that, according to Smyrniotis, clubs in the U.S. are trying to better figure out as well.
"There is a front working, from south of border, that this is a point that has to be dealt with. I think that as that system (U.S. development system) evolves the question will have to be answered eventually. It can’t just be the case you’ve left the academy and you’ve gone off college and everything from before is forgotten."
Especially, given the recent release from FIFA spells out the standards of paying for youth players with enhanced clarity.
"I think if you ask anybody within the academy system down in the U.S. its right up there on their list of things that need to be addressed."
That's not to say it doesn't ever happen. There are examples of youth clubs in North America, who have begun collecting development fees from pro clubs.
"It’s been done in one off situations. If you have relationships with clubs outside the country already established than those types of agreements are already in place for players they consider valuable."
So, why not everywhere?
"Partly it's education. People don't know about it. The other part is did anyone pipe up and say ‘hey, we were somebody that was part of his development here.’ Whether it was a team here or a team abroad and did the federations help assist them. At this point, largely, people aren't speaking up."
The series continues later this week when we hope to have something from the CSA and its registrar on what their policy is.