McIlroy sees a positive as PGA Tour in turmoil over mega-merger

A day after dropping the bombshell news that the PGA Tour is joining hands with Saudi sovereign wealth fund Public Investment Fund (PIF), which conceptualised and bankrolled the contentious LIV Golf, commissioner Jay Monahan had to face enraged players in a stormy meeting on the sidelines of this week’s RBC Canadian Open.

The ire was understandable. After being told repeatedly over the past 18 months that LIV Golf was the demon they wanted to quash, Monahan was now asking them to sleep with the enemy.

‘Hypocrite’ was probably the softest word used to describe Monahan during those heated arguments. For a Tour that supposedly belongs and answers to its members, players were angry at the lack of information.

Monahan kept insisting that only the broad framework of the deal has been agreed, and the details are yet to be thrashed out. One of the major issues of contention, especially for players lower down in the FedEx Cup standings, is how it will affect their livelihood if and when the Tour reinstates the players who left for LIV Golf.

And then there is the question of the players who passed on the opportunity to move to LIV Golf and take the signing amounts. The figures are not official, but Tiger Woods was reportedly offered a $800 million contract, Jon Rahm and Hideki Matsuyama $300 million and someone like the resurgent Rickie Fowler $75 million.

There have been a few media reports on whether these players need to be compensated by the PGA Tour for showing loyalty, and some have asked for monetary fines to be imposed on the returning LIV players for their disloyalty.

Rory McIlroy, the current world No. 3, who was the PGA Tour’s unofficial frontman in this protracted and bitter battle, was among those who was informed of the upcoming deal only four hours before the announcement was made. Woods, according to reports, was in a similar situation.

McIlroy was asked if he thought the LIV players need to be penalised financially.

“The simple answer is yes. The complex answer is: how does that happen?” said McIlroy.

“There still have to be consequences to actions. The people that left the PGA Tour irreparably harmed this Tour and started litigation against it. Like, we can’t just welcome them back in. That’s not going to happen. And I think that was the one thing that Jay was trying to get across yesterday that we are not just going to bring these guys back in and pretend like nothing’s happened.

“That’s all a grey area up in the air at the minute but yeah, it’s hard for me to not sit here and feel somewhat like a sacrificial lamb, feeling like I’ve put myself out there. But removing myself from the situation, I see how this is better for the game of golf. There’s no denying that for me as an individual, there’s going to have to be some conversations.”

With PIF dividing its wealth with the PGA Tour, clearly the LIV players have more to lose. Some of the leading stars may have been paid three-figure million, but a majority of them signed a three- to four-year contract between $10 million to $20 million. This is to be paid over the period of their contract. And some players like Phil Mickelson, Dustin Johnson, Brooks Koepka and Bryson DeChambeau have also received stake in their franchise.

Compare that to what happened on the PGA Tour since the advent of LIV Golf, and as a direct consequence of the competition.

The FedEx Cup bonus pool, which was $60 million in 2021, has been upped to $100 million this year. The Players Impact Programme went up to $100 million in 2022 compared to $50 million in 2021. Prize funds in 12 designated events were more than doubled to $20 million each. The Comcast Business Tour Top 10 (paid at the end of the regular season) is now worth $20 million. Each member is now guaranteed an earning of $500,000, irrespective of how his season turns out.

The notional loss of earning should not be an issue for the big PGA Tour stars. And the rank-and-file players have never had it so good…ever.

PIF is reportedly planning to put in one billion dollars into the new, for-profit entity that has been created along with the PGA Tour and the DP World Tour. If morality is put aside, it can only mean more good times for the elite professional golfers.

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