Canada Soccer’s general secretary denies bankruptcy considerations, acknowledges financial issues

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The general secretary of Canada Soccer insisted on Monday evening that the organization was not considering bankruptcy, contradicting news reports it was mulling the move to escape the dire financial straits it has been in since the men’s national team qualified for last year’s FIFA World Cup.

“Absolutely, unequivocally, we are not contemplating bankruptcy,” said Jason deVos, during an interview with The Globe and Mail. “We are working every hour of the day to ensure that we can support and fund all of our programming at every level of the game, from grassroots through to our men’s and women’s senior national team programs.”

His comments came hours after TSN reported that Mr. deVos had told the outlet he had discussed the possibility of bankruptcy with others in the organization.

On Monday, he explained that those conversations were purely hypothetical. Mr. deVos, a former men’s national team captain who served for six years as Canada Soccer’s director of development, was named interim general secretary in April as part of a transition team to new permanent leadership, after both the federation’s president and general secretary resigned. The general secretary is in effect the organization’s chief executive officer.

“The discussions that I’ve had have been for my information, for my education and for my knowledge,” Mr. deVos said. “So, I am the operational leader of Canada Soccer now. I don’t come from a financial background. I come from a technical background, and I’m very, very fortunate that I am surrounded by people who have incredible experience in legal affairs, in financial affairs, in business affairs.

“So, when I’m having discussions about [bankruptcy], it’s so that I can better understand what it entails. Not that it is a strategy that we are contemplating, but that I understand the parameters around all of these different options.”

He acknowledged that the organization had been scrambling to find solutions to its financial challenges, including seeking more partnerships with the philanthropic and business communities.

“We currently have the reserves to cover a deficit position for the next few years. But we know that is not sustainable, and that is what we are working to change,” Mr. deVos said.

TSN had reported that Canada Soccer may have to cancel plans for the men’s and women’s national teams to play this fall during the international windows that are a regular part of the teams’ development, because of a lack of funding.

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Canada Soccer’s finances are only part of the turmoil afflicting the federation, which governs the sport of soccer in Canada.

Last June, the men’s national team boycotted a game against Panama over a series of labour complaints, including the lack of equitable treatment for the women’s national team. Since then, the federation and its programs have been hampered by chaos behind the scenes, board upheaval, parliamentary scrutiny and questions about a contract with a private company that limits the amount of revenue the federation can earn from certain sponsorships and media rights.

In February, the women’s national team players briefly walked off the field during training in Florida for the SheBelieves Cup tournament to protest cuts to their program’s budget. The shadow of the women’s dispute with Canada Soccer hung over the opening match, which began with the U.S. and Canadian teams joining each other at midfield in an unusual display of solidarity.

The Canadian women’s team still lacks even a temporary labour deal that governs its appearance at next month’s Women’s World Cup, which will be played in Australia and New Zealand. The team departed on Monday for Australia’s Gold Coast to begin its training camp there. And both the men’s and women’s teams remain locked in negotiations with the federation for a three-way contract that would likely see them equally divide the prize money from their respective international competitions.

Earlier on Monday, John Herdman, the head coach of the men’s national soccer team, said Canada Soccer has to solve its financial challenges soon or the country may wind up regretting a massive missed opportunity to grab glory at the 2026 World Cup, which it is co-hosting with the United States and Mexico.

“This is the moment now,” he said, during a news conference on the eve of the team’s first game of the CONCACAF Gold Cup group stage play, scheduled for Tuesday night at Toronto’s BMO Field against Guadeloupe.

“We don’t want to be 10 years down the line saying, ‘Wow, we should have done this.’ ”

Mr. Herdman noted that the financial problems, which prompted significant cuts to his own program, came as a surprise after the national outpouring of support for the men’s national team in Qatar last November, playing in its first FIFA World Cup in 36 years. The men’s appearance came with a guaranteed payment from FIFA of more than US$10-million, and was expected to jump-start sponsorship and other revenue opportunities.

“I think everyone expected coming off a World Cup that it was going to be all sunshine and rainbows, that there was going to be finances to take the team to the next level,” he said. “And it’s not. So, it’s a challenge. That’s a leadership challenge for the organization. We have to find solutions – and find them quick.”