Interpretation of CFA New Policy

Interpretation of CFA New Policy
On 31 December 2019, the Chinese Football Association (hereinafter referred to as “CFA”) issued a set of policies, which will apply to Chinese professional leagues, i.e. Chinese Super League - “CSL”, China League One - “CL1” and China League Two - “CL2” for the 2020 season.

Background

 

Originally, CFA issued the said notice on 20 November 2019, which had required all professional football clubs to suspend the conclusion of personal labor contracts with domestic footballers, including but not limited to drafting new contracts or renewing contracts in force. Many football stakeholders believe that the “salary caps” (amongst other measures) represent CFA’s measures aimed at finally limiting excessive salaries and over investment.

Some parts of the new policies can be traced back to as early as the end of 2018, when CFA issued the so-called “four...

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