AC Milan’s owners Elliott Management Corporation have done a fantastic job of cutting the wage bill since they took control of the club.
Ever since taking over from Yonghong Li’s financially extravagant time as Milan’s owners, Elliott have centred their strategy around getting costs under control by eliminating wage expenditure on players that quite frankly weren’t repaying the investment.
The shift to a more youth-led recruitment policy has also aided this, as the American hedge fund have built a young core of players on far from astronomical salaries with the help of Paolo Maldini and Ricky Massara.
So far it seems to be working well. As per PianetaMilan, in the five years prior to Elliott’s arrival, the wage bills were…
Since Elliott arrived, year on year…
2019-20: €92.6m (-23.8%)
2020-21: €82.06m (-10.7%)
Total drop since Elliott arrived: -32%
Milan manage to free themselves of €10.54m in wage bill by letting €28.79m in wages leave and replacing them with €18.25m of expenditure.
The list is as follows in terms of wages cut: Biglia (6.4), Bonaventura (3.7), Paquetà (3.1), Reina (2.7) and Rodriguez (1.94).
Further cuts came from the savings of players who were on the budget until January, so: Caldara (2.03), Piatek (1.6), Borini (2.3), Suso (2.7), Laxalt (1.57) and Begovic (0.65).
The most significant investment is on Ibrahimovic’s salary, as he will receive €7m net which is a rise on what he was on for 2019-20. The other additional costs are those for Kjaer (3.2), Saelemaekers (1.31), Tonali (3.7), Brahim Diaz (0.7), Tatarusanu (1.57), Kalulu (0.78), Hauge (1.31) and Dalot (1.8).