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What are the side effects such as the outflow of talent overseas?

E-sports will also be introduced with a balanced spending system, also known as salary caps, that is applied to orthodox sports such as baseball and basketball. LCK, which organizes the domestic League of Legends (LoL) e-sports professional league, has declared the introduction of a balanced spending system. LCK plans to completely apply it from the stove league in 2024 after a guidance period in the stove league at the end of this year. 카지노사이트

LCK is a league where the world’s top-level players play, and has achieved more than anyone else’s. As such, the status and treatment of players have also risen rapidly, and the average annual salary of LCK players is currently the highest in the world. The average amount, which adds up the total annual salary of the top five players in each team, has increased by 71% in just two years.

As the annual salary of players soared to the highest level in the world, each team had difficulty finding additional growth engines. As more than half of the annual salary expenditure increased, a system was needed to balance the team and the league to secure sustainability. Ten teams agreed to introduce a balanced spending system. The move is aimed at promoting balanced growth of teams, players, and leagues by maintaining the annual salary of each team at a sustainable level.

An LCK official emphasized, “The goal of the system is to recognize the careers and achievements of the best players and to establish a system to set long-term goals of finding and fostering leading stars rather than bleeding through excessive competition for recruitment.”

However, there are also concerns that the outflow of talented people in Korea will intensify. The salary cap cap can turn to overseas leagues that offer more salaries. LCK predicted that it will be able to offset overseas outflow to some extent through exceptions that favor players with excellent performance and long-term service.

First of all, LCK provides a significant reduction and exemption by setting an exception clause for players who have played for a long time or have performed well on a team. For players who have won LCK splits more than five times or three times at international competitions (MSI·LoL World Championship), only 50% of their annual salary will be reflected in the total amount. On top of that, regardless of the number of wins, players who have served for more than three years in a team will receive a 30% reduction when calculating the total amount as a preferential treatment for long-term service. If both conditions are met, only 35% of the annual salary will be included in the salary cap. For example, assuming that Lee Sang-hyuk’s annual salary is 1 billion won, it is calculated that only 350 million won is included in T1’s salary cap.

However, the scope of the reduction and exemption is extremely limited. Considering the players who have played for more than three years on a team that can currently receive a 30% reduction, there are all the T1 players, D+ Kia’s “Cannon” Kim Gun-bu, “Showmaker” Heo Soo, OK Savings Bank’s “Umty” Um Sung-hyun, and “Hannah” Park Jeung-hwan. Moreover, “Faker” Lee Sang-hyuk is the only player included in the excellent performance. Lee Sang-hyuk meets both reduction and exemption conditions.

An LCK official said, “Since long-term service is judged based on an integrated roster, it is recognized regardless of whether you play in the first division or in the second division, and it will be difficult for a player to think that unconditional overseas advancement is the answer.”

As of the 2023 Spring Integrated Roaster submission date, the contract is recognized as an “existing contract player,” and if this existing contract player’s contract expires after 2023, the player’s annual salary will be calculated at up to 20% of the spending cap. It will be reflected as the lower of the amount reduced through 20% of the upper limit and exceptional benefits.

The cap level was set in consideration of the recent proceeds of the 10 teams participating in the LCK. It is judged only based on the total amount of the top five remuneration players for each team, not all registered in the team roster, and this reference point is re-established every two years. There is no salary cap for each player. If the game team spends more than the standard amount, different luxury taxes will be applied depending on the section, and this luxury tax will be evenly distributed to the rest of the teams. The lower limit was set at 70% of the profits distributed by LCK to each team this year. Teams that spend less than this amount as total player remuneration are excluded from the distribution of luxury taxes.

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