Bill Sweeney: Why is RFU chief executive facing demands to resign after huge bonus? | Rugby Union News

We look at the reasons why RFU chief executive Bill Sweeney is facing calls for his sacking after 141 member clubs signed a letter calling for a special general meeting…

What happened to get things going?

A total of 141 signatories were included in the letter sent to the RFU on Thursday, easily exceeding the 100 member clubs required to launch an SGM under the governing body’s rules.

A statement released by the Rugby Football Referees Union (RFRU), which is leading the on-field rebellion, revealed that the initial resolution being discussed at the SGM would include calling on the board to terminate Sweeney’s employment “as soon as possible”.

RFU chairman Tom Ilube was the main target of the rebellion, but he resigned from his post last month in response to the outcry over the executive pay and bonus scandal that engulfed Twickenham.

What was the RFU’s response?

After receiving the letter, the RFU claimed that it contained “a number of inaccuracies” and that it “does not comply with the relevant requirements and is therefore invalid as a request for SGM.”

It also said the nine professional referees it employs had distanced themselves from the RFRU, with officials saying “we have not endorsed any statements or meetings they have proposed”.

A spokesman for the 141 clubs seeking a vote of no confidence in Sweeney hit back by insisting the RFU was using technicalities to avoid being held to account.

“The RFU can play as long as they like, but this is a mass movement of a stronger, united team,” the spokesman said.

“Putting hairs over the rules about what is or isn’t a valid complaint form is just delaying the inevitable.”

Bill Beaumont, who has since been confirmed as interim chairman of the RFU Board, wrote an open letter to clubs (see full below) and the RFU confirmed in a statement on Friday that a special AGM would be held some time after the Men’s game. Six nations.

“The RFU is in the process of confirming the additional information that has now been submitted to request a special general meeting (SGM),” the statement said.

“The notice requesting an SGM contained a significant number of inaccuracies, however, the RFU respects the right of its members to request an SGM and have their views heard.

“The date of the SGM will be announced in the next two weeks and will take place after the Guinness Men’s Six Nations has finished.”

Why is Sweeney so unpopular?

The problems are wide-ranging, and some stem from financial cuts made during Covid.

This latest rebellion was fueled by the decision to hand Sweeney a £358,000 bonus this year, despite the RFU posting record operating losses of almost £40m. Meanwhile, the RFU fired 42 people in September.

RFU reports published in November revealed that Sweeney received a salary of £1.1m for the 2023-24 financial year, made up of a £742,000 pay rise and a £358,000 bonus.

Bonuses totaling nearly £1m were paid to a further five executives, although the RFU reported an operating loss of £37.9m for 2023/24, its biggest ever loss.

In addition, the England men’s national team have won just five of their 12 matches in 2024 and attendances on the pitch are in decline.

Other areas of contention mentioned in the letter to the RFU are its excessive bureaucracy and mismanagement, the sacking of development officers, the “debacle” over the introduction of a new catching height in the community game and the cost of sacking former England head coach Eddie Jones.

“What you are seeing is the result of years of frustration affecting all levels of our game,” Chichester RFC chairman Paddy McAlpine said.

“Now it has erupted as a result of the anger felt by clubs when directors were paid bonuses. Every club I know wants to see change at the top.”

Meanwhile, several professional clubs in the country have been liquidated due to financial problems in the form of Wasps, London Irish, Worcester Warriors and Jersey Reds.

Who is calling for his dismissal?

The group consists of 10 Championship clubs from the second tier of rugby in England, various refereeing bodies, as well as clubs from the lower leagues and the community game.

Their number on Thursday night totaled 152 – but they say it has now risen to over 250 at the same time on Friday. They are calling for a special general meeting (SGM) and a vote of no confidence in Sweeney.

In addition to the executive bonuses awarded late last year, they also point to the following management failures:

• Excessive bureaucracy and a flawed GMS computer system which has caused huge extra burdens on the thousands of volunteers who keep rugby alive in towns and villages across England
• Poor financial performance, including losses of £130m over the last two World Cup cycles and a backdrop of staff cuts at Twickenham and among the ranks of development officers serving lower levels of English rugby
• The “debacle” of introducing a new catch height to the community game
• Poor game management at the highest levels of the RFU
• Money wasted on sacking the English coaching staff

What are the rules about forcing a change? Why now?

The threshold for calling the SGM is 100 clubs, so the rebels were confident that they would be able to force a vote.

Alistair Bow, chairman of Nottingham RFC, has insisted throughout that they have the necessary signings.

This has been building for some time. It was started by the latest executive bonuses, but it goes back much further.

Championship clubs have been hit by a number of funding cuts – including those made during Covid which have never been reinstated.

They also believe the Premiership is effectively closed, with regulations put in place to prevent promotion from another league.

At community level, the decision to reduce the attack height law in 2023, without consultation with grassroots clubs, went down very badly and remains the cause of much ill feeling.

Bow is calling for a complete overhaul of the governing structure, including halving the RFU Council from 66 to 33 members.

Are these bonuses and salaries normal in other sports bodies?

Performance related bonuses are common – but the problem for many is that the bonuses do not reflect the RFU’s performance.

They reported record operating losses of almost £40m – while the England men’s team won less than 42 per cent of their Test matches in 2024.

What did Sweeney say?

Nothing – he has not spoken publicly since the release of the RFU’s annual financial statements at the end of November.

He was also absent from an extraordinary council meeting on December 18, where it was decided that chairman Iluba should step down over executive bonuses.

What happens next?

The rebels will hope to gather more support and secure the SGM in early 2025.

Failing that, they hope the unwanted publicity will force Sweeney himself or the RFU Council to make a decision on his future.

Meanwhile, Beaumont was confirmed as interim president at Friday’s council meeting, where Sweeney could face some tough questions.

Bill Beaumont’s open letter to clubs in full:

Today, the Council of the RFU ratified my appointment as the interim president of the RFU Board; It is a great honor for me to take on this role and I thank the Council for its support.

I’ve had a busy few weeks working with the RFU Board and Council and listening to players, volunteers, match officials and fans. It’s very clear from those conversations that the game wants and needs unity, and my priority is to help the game come together.

Unity does not mean that there are no challenges or debates. I hear and sympathize with some of the concerns about the payout of the long-term incentive plan. I want to understand how decisions were made and it is right that an independent review of the process has been commissioned. The revision should be allowed to take its natural course and I look forward to its results.

This is a serious moment for rugby in England. There were requests for changes without clear real reasons or proposals for an alternative vision. There has been a call for a Special General Meeting (SGM) and we will respect the right of members to have their views heard.

Our sport has a long history of infighting and sometimes we lose sight of what is best for rugby as a whole. Whatever they do next has to be for the good of the English game.

We must listen and support each other. That is why I will be embarking on a national tour of rugby clubs in January and February, so that we can discuss and agree a way forward together.

We also have to think about how difficult the past few years have been. I can offer a wider context on this from my recent position as President of World Rugby. The impact of Covid, inflation and the cost of living crisis on the game around the world has been significant in terms of participation, confidence and finances at all levels.

Objectively, we should question whether English rugby was effectively managed after that. Having seen all countries struggle with the same problems, I can safely say that the RFU has come out of this period very well compared to many other countries.

The RFU has not received any loans from the government or World Rugby. However, he successfully negotiated support on behalf of community clubs and gave professional clubs access to government loans, which ensured that rugby received more financial support in England than any other sport.

It takes a lot of work to rebuild and come together as a united game, and I’m committed to supporting that. In the short time I’ve been back in this role, I’ve also seen that rugby in England has a lot of positives to build on.

The RFU has committed to a program of investment in the community game which will see more coaches, more resources for clubs and accessible forms of rugby to be included in thousands of schools.

We are ready to host the Women’s Rugby World Cup – a generational opportunity to get more women and girls involved in rugby. Participation in the men’s game is also back close to where it was before Covid.

I’ll be listening to your feedback and suggestions when I’m on the road so please sign up to join one of the sessions that will be announced in next week’s community game update.

We all want to win in the men’s and women’s England teams, and that can’t happen without a successful community game. I want us to have the unity and stability needed to achieve this. If we work together, we will succeed. If we work against each other, English rugby will not be victorious on or off the field.