The Wallabies have collectively agreed to a multi-million dollar pay cut to help the cash-strapped code through the coronavirus pandemic, Rugby Australia said Friday.

The players were already on reduced wages under an interim agreement reached last year and Rugby Australia said they would be restored to full pay under the new agreement.

But it said that pay had been reduced, with funds going to players being reduced by Aus$2.5 million ($1.9 million) a year.

"(The players) have embraced their responsibility in managing the game through the Covid-19 health and economic crisis," Rugby Australia chief executive Andy Marinos said in a statement.

The Wallabies were already on reduced wages under an interim agreement reached last year
The Wallabies were already on reduced wages under an interim agreement reached last year AFP / David Gray

"We are now built to not just survive but to thrive in this Covid-affected sporting landscape."

Rugby Australia's finances have been hit by reduced match revenues, a downgraded broadcast deal and the loss of long-time sponsor Qantas.

The money problems were exacerbated by a hefty payment to former Wallaby Israel Folau after his sacking over homophobic social media posts.

Rugby Australia axed 47 workers -- a third of its staff -- in June last year, blaming the virus-induced disruption to the code.

Coronavirus Qantas