New Zealand Rugby special general meeting set to shape the future of the game

With its current model operational model having been deemed not fit for purpose, New Zealand Rugby (NZR) will tomorrow be holding a special general meeting (SGM), to vote on its future governance structure.

Described as the most important meeting of its kind in the game’s professional history in New Zealand, the SGM aims to address last year’s Pilkington Review, in a climate that has been described as representing a ‘civil war’ in the country’s national sport.

The New Zealand Rugby Players’ Association (NZRPA), most of the NZR board (seven of the nine directors), Super Rugby Pacific clubs, New Zealand Rugby Commercial (NZRC), New Zealand Māori Rugby Board and some provincial unions (including Taranaki and Manawatū) are supporting what is called the review proposal.

This is for a nine-person board of independent directors, not affiliated to one stakeholder, appointed by a truly independent panel.

They believe this will lead to better decision-making at all levels of the game and enable rugby to start fixing many of its problems around participation, fan engagement, elite pathways and financial management.

On the other side, there is a grouping of provincial unions led by Auckland, North Harbour, Wellington, Canterbury, Hawke’s Bay, Northland and Bay of Plenty - who say they want the same thing, the exception that at least three of the nine directors must have some experience serving on a provincial board.

This is being referred to as Proposal 2.

NZR and the NZRPA are both supporting the review proposal but have disagreements over now the investment in the game from US-based private equity firm Silver Lake was handled.

When the Silver Lake talks reached a stalemate over the initial deal in June 2021, the NZRPA said it would only be willing to negotiate a new agreement on the condition NZR agreed to an independent review of its governance.

With 90 votes to be cast by secret ballot - each union has two to seven votes, depending on the number of registered teams they have - the SGM will first vote yes/no to the review proposal.

Even if it gains a two-thirds majority, they will still vote on Proposal 2.

If Proposal 2 gains a majority it will prevail, even if the review proposal also gained a majority.

If neither proposal wins a majority, they may repeat the vote to see if they can get a majority.