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Volume 26 No. 174
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MLS Clubs Will Implement Training Compensation, Solidarity Payments

MLS announced Thursday that its clubs will now "assert training compensation claims for any player developed in a league-affiliated academy who signs his first professional contract with a non-MLS team outside the U.S. and Canada," according to Kevin Baxter of the L.A. TIMES. Clubs will also "seek FIFA-administered solidarity payments when players developed in MLS club academies are transferred for a fee between clubs that are members of different international federations." These moves could "potentially bring millions of dollars into an academy system in which the league and its clubs have invested heavily." FIFA's '18 guides to training compensation payments "range between $2,000 and $100,000, depending on the federation and the quality of the club." Solidarity payments could "easily top" $500,000, "depending on the size of the transfer fee" (LATIMES.com, 4/18). The AP's Anne M. Peterson noted the move toward training compensation and solidarity payments "comes as the league's teams have increased their investment in player development." Last year, MLS clubs "collectively spent a record" of more than $75M on their academies, and the additional funds "offer the potential to increase that investment." They also come as "international interest in players" from the U.S. has increased (AP, 4/18).