151-point F1 driver may have received 2024 pay cut due to underperforming performance clauses

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The world of Formula 1 is brutal and while the amount of money spent on the sport is eye-watering, teams are always looking for a way to save some cash.

F1 introduced a cost cap in 2021 that encompasses all the parts on the car but also the salaries of every member of a team’s staff.

Three personnel within each team are exempt from that cap, which typically involves both drivers.

However, the Constructors’ Championship denotes how much prize money a team receives and if an outfit underperforms compared to where they expected to finish and therefore budgeted, allowances need to be made.

Kym Illman was speaking on his YouTube channel about driver contracts and one deal in particular that might be worth less than it was at the beginning of the season.

Red Bull would have been the favourites to win the team championship at the start of the year based on how they performed in 2023.

They won every race except one last year, but Max Verstappen and Sergio Perez haven’t had it all their way this season.

Verstappen will win his fourth title should he achieve victory at the Las Vegas Grand Prix, but he hasn’t had it all his own way.

He went on a 10-race run without a win before the Sao Paulo Grand Prix but has still opened up a considerable gap to Perez in the driver’s standings.

Illman believes that Perez might have taken a pay cut because he’s so far behind his teammate in the championship.

He’s only scored 151 points compared to Verstappen’s 393 this year, and it means not only is his current salary in danger but his future in Formula 1.

Sergio Perez may have taken 2024 pay cut due to performance clause in Red Bull contract

Talking about the clauses that might exist in certain contracts, Illman said: “So, what will a team expect of a driver? Well, the performance clauses will dictate that.

READ MORE: Red Bull driver Sergio Perez’s life outside F1 from net worth to nickname

“Let’s take a look at Sergio Perez. It’s been mentioned that he has a clause in his contract that if he falls 150 points behind his teammate Max Verstappen, he would be penalised, probably in the form of a pay cut.

“Of course, these are put in place to keep a driver motivated and focused, after all, big dollars are at stake and a team can’t afford to have drivers slacking off.”

Sergio Perez has to step up for Red Bull during the final races of the 2024 F1 season

Red Bull are 49 points behind McLaren and 13 points worse off than Ferrari in the Constructors’ Championship with three races remaining.

Although Verstappen is the clear favourite to secure the individual title before the season finale in Abu Dhabi, Perez’s underperformance has cost Red Bull in the team standings.

READ MORE: Everything you need to know about Red Bull Racing from engine to Ford links

Bonuses within teams are typically based on where a manufacturer finishes in the championship, meaning Perez’s inability to match Verstappen may not have gone down too well at the factory.

Red Bull have apologised to Perez for not listening to his concerns about the car sooner.

However, he’s also struggled to drive around those issues in the same way that Verstappen has.

Liam Lawson has been linked with Perez’s seat and that should be all the encouragement the Mexican needs to pick up his form over the final three races.