Forced demotion: Matt Moylan. Credit:Getty Images Moylan is not the first player inconvenienced by the second-tier salary cap. The Panthers are not the first club to raise this issue. I'm hoping though, we will be the last. Newly appointed NRL chief executive Dave Smith and chief operating officer Jim Doyle have inherited this system. They did not create it. In my discussions with them over recent months both men immediately acknowledged the inadequacies of the salary cap rules and have instigated a full review. This review will coincide with a full review of the lower-tier competitions and development pathways we have in place because these two vital elements of our game are essentially joined at the hip. One does not survive without the either. Both men have indicated they will be totally revamping the salary cap laws to bring them into line with the demands of modern-day professional sporting codes. The salary cap laws, and the inflexible manner of their implementation, are actually counter-productive to the future goals of the NRL and its own strategic plan. Both Smith and Doyle have also indicated changes need to be made immediately to give interim relief to many of our NRL clubs who are in a similar position to the Panthers with regards to the second-tier salary cap. They've been working on this for some time. I can assure you they are not just reacting to the Moylan matter this week. I'm expecting announcements in the near future. Unfortunately, changes did not come soon enough to save him. On Friday, the salary cap auditor ruled two of the Panther second-tier players, Moylan and Travis Robinson, could not play in the NRL this weekend and their spots had to be filled by players in the top 25 who have recently returned from injury. Since then, Robinson has been approved to play; however, Moylan has to play for Windsor in Parkes against the Newtown Jets.

Wes Naiqama. Credit:Peter Stoop Let me explain. Moylan and Robinson are second-tier players over the age of 20. Both got their opportunity to play first grade some weeks ago as a result of an extremely heavy injury toll in the top 25 roster at the Panthers. All these players were unavailable around this period of time: Brad Tighe (three weeks); Sam McKendry (four months); Lachlan Coote (five months); Tom Humble (the season); Cameron Ciraldo, Wes Naiqama and Josh Mansour (all six weeks); Blake Austin and Jeremy Latimore (both 12 weeks); and James Roberts (12 weeks and now another four). And now Tim Grant will also be missing for a month. This, together with releasing Dayne Weston to the Storm, meant the Panthers quickly chewed up their second-tier salary cap allocation of $375,000 in replacing these players in the top grade. When the Panthers had to use players that would take us beyond this $375,000 allocation, we had to secure exemption from the salary cap auditor to avoid breaching the salary cap. Since coming into first grade, Moylan and Robinson have performed admirably and deserve to hold their positions in the top grade.

What the auditor is now telling us is that because we have 17 healthy players in our top 25 roster who, in their opinion, can cover all positions, then Moylan and Robinson have to go back to reserve grade. This also means that if the Panthers do not get any injuries in these positions for the rest of the season, Moylan and Robinson will not get another crack at first grade in 2013. I find that ridiculous. It would also mean any youngster at Penrith not in the top 25, no matter how hard they train, how well they play or how much they deserve a chance, will not be allowed to play in the top grade. We've received instructions from the auditor, saying words to the effect, that "loss of form is no justification for not selecting a player in first grade". Say what? It has been for a hundred years hasn't it? On Friday, acting salary cap auditor Jamie L'Oste Brown delivered instructions to Panthers such as, "Why not play Geoff Daniela at centre and either Dean Whare or David Simmons at fullback" or "Just play Naiqama at fullback and see how that goes". Right there, we see the arrogance and control with which this department of the NRL treats clubs. Firstly, who gave the salary cap auditor the right to start telling coaches who they should select in their teams and what positions they should play? We are not playing "tiddly-winks" here. This is supposed to be a professional sporting code. These careers are extremely important to these individuals. Winning is so important to the business models of our 16 NRL clubs. Having the salary cap auditor instruct a club to move players around to non-specialist positions, just to "see how that goes", is surely the height of naivety and amateurism. Secondly, this insensitive instruction totally misses the point of the whole dilemma.

What about Matt Moylan? A local junior who has battled his way through the junior systems and served his time in the NSW Cup, waiting and hoping to fulfil his dreams of playing in the NRL. A young man who is on an extremely meagre salary, well short of the minimum wage; and who earns an extra $3000 with every appearance he makes in the top grade. What about his future and his development as a player? I can also tell you Moylan's new contract for 2014 has incentives included that will increase his earnings next year based on the number of first-grade games he plays this season. This is a restriction of his earning potential as a professional footballer. What is even more incredulous in this instance is that the Panthers are $200,000 under the top 25 NRL salary cap. Penrith are also one of only two NRL clubs who do not qualify for the ridiculous $200,000 discount for long-serving players. This means in real terms, the Panthers in 2013 are spending at least (and I stress the words "at least") $400,000 less than other NRL clubs on their current top 25 roster. Yet the salary cap auditor maintains we can still only use $375,000 worth of second-tier talent. Add in the fact that the team the Panthers intended to play on Sunday against the Tigers was worth in total contract amounts less than $2.49 million; one wonders how the NRL possibly justifies relegating Moylan for this match. Surely common sense should have prevailed. In 2005, the second-tier salary cap was set at $300,000 which, at that time, was eight times the minimum wage of $37,500. In 2013 the minimum wage is now $75,000. However, the second-tier cap has only increased to $375,000. That's only five times the minimum wage.

On that basis alone the Rugby League Players Association should have been demanding a second-tier salary cap of at least $600,000 for season 2013, and increasing every year that the minimum wage increases. Our view is there is no need for a second-tier salary cap for players over 20 years of age. You should be allowed to play as many players as you like outside the top 25, provided all of them are earning less than the 25th highest paid player in your top 25 NRL roster. Anyway … from Penrith's point of view, we know Wes Naiqama will do a great job in the fullback role against the Tigers. That's not the issue for us. But as Wes himself said yesterday when told of his sudden selection, "I like playing first grade, but this is totally unfair on young Matt Moylan". Of course it is, Wes. Phil Gould is executive general manager of the Penrith Panthers Twitter - @gusgould91