Date published: 11th July 2017

On the one hand, you have multi-millionaire stars that have the world at their feet. On the other, you have an industry of huge, house-hold brands that will always look to ensure that their reputation is held in the highest regard. This often leads to turbulent situations.

Social media, third-party ownership, undercover journalists and brand reputation all play into a minefield of Employment law for all involved in the football industry. Many stories over the past year have demonstrated just how important it is for football clubs and governing bodies to distance themselves from any misconduct.

The Most High-profile in Recent News is the Story of Sam Allardyce

Allardyce, former England Manager, was dismissed from his role last month after an undercover report caught him on tape discussing ways of “getting around” the third-party ownership issue (where a player’s financial rights are owned by third-party sources such as football agents rather than a club). This practice was banned by the FA in 2008-09, due to many seeing ulterior motives for players being bought and sold.

From a reputational point of view, sacking Allardyce was the only option the FA seemed to have. The manager of the national team, similar to a director of company, must recognise his/her reputational and leadership duties to the team and the FA. In going directly against the FA, Allardyce had ensured he was only ever to manage England for one game.

In this case, we are told that the contract was mutually terminated. This, in most cases, prevents the employee from bringing a successful unfair or wrongful dismissal claim. However, this would not have been available for Allardyce, regardless, as there is a requisite period of 2 years continuous employment to lodge any claim. The FA and Allardyce also reached a settlement agreement which (almost certainly) bars any legal claims.

However, if the FA wanted to stamp their authority they could have taken a different route. The undercover reports, it could be argued, were clear evidence of gross misconduct. This would have justified the FA terminating Allardyce’s contract with no notice.

Reputation Management Extends Beyond Undercover Journalism

A few high profile incidents in the football world have been related to social media posts.

Social media plays a massive part in the football industry and can reap huge financial benefits, for both club and player. With their extended reach and millions of followers, footballers can gain lucrative sponsorship and advertising opportunities.

Footballers often also pull a lot more followers than their clubs. An example is that of Cristiano Ronaldo who has 47 million followers, compared to his club Real Madrid with a mere 21 million. This means that the club is an interested party when it comes to what a player, as a representative of the club’s brand, puts online to so many people.

A recent example of where this went wrong for both club and player was an incident in August in relation to tweets Burnley striker, Andre Gray made in 2012. As Gray was playing against Liverpool these tweets, which were homophobic in nature, were uncovered. Later, more tweets from Gray were uncovered which were racist and sexist. The fall out of these tweets led to a charge of misconduct by the FA, a ban of four games, a fine of £25k and a club statement to distance the club from any derogatory comments made.

Interestingly, unlike the Allardyce case, Gray was not sacked. This is a feature of many footballers who find themselves guilty of misconduct. It must be noted that a footballer is an asset to a football club, and in Gray’s case, an asset that provides goals. Goals can can lead to more prize money, better TV rights, and more sponsorships.

Nonetheless, clubs and governing bodies must regulate the use of twitter very carefully. Controversial tweets can affect the player-club employment relationship and reputation management of the club must come at the forefront of any action taken.

Social media policies have been a common thing in business practice in recent times. They are vital in making sure employees understand what constitutes misconduct in the online world and that damage to a brand can be kept to a minimum. You should ask the question – does my company have one?

Our expert Employment Solicitors can guide you in this complicated area of law, and advise in any HR legal issue. Please click here for a call back or message us your enquiry.