Social media explodes over GRV’s proposed prizemoney cuts
Greyhound Racing Victoria (GRV) announced $4.61 million in prizemoney cuts on Tuesday, December 19, 2023
The prizemoney cuts were justified by GRV due to weakening wagering revenue.
Victorian participants are set to face cuts to fourth-placed prizemoney, travel subsidies, and Grade 4 and above greyhound racing, and will now be required to pay for greyhound trials, amongst a raft of other measures.
No such cuts in GRV administration costs were proposed in the announcement.
GRV has long been criticised for holding the greyhound industry in the state to ransom, returning just over 39% of total industry revenue to participants, while the remaining 61% was spent at GRV's discretion and their own administration and marketing costs.
GRV annual reports are not transparent enough to ascertain exactly how that money is spent, but a quick look at the most recently published Annual Report shows just over $76 million in returns to participants in the financial year of 2023 (FY23).
However, it is important to note that GRV includes many other measures other than prizemoney as a participant return.
Prizemoney returns for FY23 were $62.6 million for the period.
GRV received just short of $150 million in revenue for the same period and enjoyed $3.4 billion in wagering turnover.
Greyhound racing fans were quick to vent their anger toward the proposed cuts on Australian Racing Greyhound's Facebook page.
“Just another nail in the coffin forcing participants to leave the industry, aiding the grubberment (sic) to shut it down.”
“Ridiculous, give the trainer's more, not less; they have rocks in their heads.”
Several pointed out the increased costs of living and how hard it was to make ends meet while training greyhounds in the current climate.
“Damn so they are cutting prize money even though we are living in a cost of living crisis…”
“We work 7 days a week, crappy hours; it's becoming less and less viable to train dogs even as a hobby! And we, as a rule, make money out of dogs; not sure how others are getting by when both of us work?”
“So they are reducing prizemoney, without factoring in the cost of living and everything that a trainer needs to get a dog to the track. Like meat, dry food, petrol, car wear, and tolls, catchers fees, meals, etc., all are going up in cost.”
“So are the hierarchy that are making the decisions to cut the prize money taking a cut in their wages as well 🤔. It's a sad state of affairs especially for the smaller trainer. I think my late fathers words maybe coming to fruition.”
Many were sceptical of the proposed cuts and dismayed that GRV spending was not also targeted as a cost reduction measure.
“Hm always seems to be the participants who cop the brunt of things like this. I would expect cuts within GRV also if this is the case, and not just a measly few employees (who will be entitled to redundancy packages, no doubt).”
“GRV will not take any cuts but expect their participants to work harder for less.”
The GRV Annual Reports show that revenue at their disposal has risen every year for the past five years, from $103 million in FY19, to almost $150 million in FY23.
Prizemoney returns for the same period were not published in the 2023 GRV Annual Report, and the 2019 Annual Report did not state those levels either.
A single line entry with a number of different measures in 2019 labelled “Prizemoney/Travel and Starter Fees/Breeders Schemes” was the subject of a $46.5 expense for GRV in 2019.
In 2023, a similar line entry labelled “Prizemoney/Travel and Starter Fees/Breeders Schemes” incurred $74.1 million in expenses, but it is not known if the two entries are directly comparable.
In the same period, GRV employee expenses have risen from $21.9 million in 2019 to $28.2 million in 2023, but again, it is not known if the two numbers can be directly correlated.
Total GRV expenses have risen from $104.8 million in 2019 to $156.6 million in 2023, an increase of 67%.
Greyhound racing fans seemed to be aware of the increased expenditure and questioned why savings were not being made in GRV internal budgeting.
“💯 GRV expenses new cars on high finance, laptops, phones, no doubt still paying people to work from home and covering cost all the time forgetting we supply the product for them to be employed”
“How about reducing some of your (GRV) overpaid underperforming executives first????? Perish the thought”
“CEO taking a pay cut? Haha not a chance!”
“Total revenue for the financial year 22-23 is up 9.4million on last year as per the annual report. Sounds like expenses at GRV have gotten out of control, the participants have to cop the changes once again.”
There were also those that made it clear the proposed cuts would affect the smaller and hobby trainers disproportionately to the larger kennels and the top 10 percent of trainers.
“l honestly believe they are trying to get rid of the smaller trainers the old war tactics of starve them out seem to apply ,and we are supposed to believe that revenue is down when it is actually up.”
“l know for a fact that they wanted only the bigger kennels to exist so they could manage them more effectively.”
“They have been trying to have 100+ kennel blocks for more than a decade because they think they can control it more & lower administration costs, but they don't realise they will be under the thumbs of the kennel owners, who can pull a hundred dogs from nominating & bring the whole thing to a standstill.”
Another reader though, could see at least one positive in the proposed cost-saving measures.
“Good to see the 2 dog match races finishing what a waste of money!!!!”
Have your say about the proposed cuts in participant returns either by commenting on this article or on our Facebook page.