Essendon has backtracked on their decision to withhold nine per cent of player wages this month.

Bombers players received an email on Friday informing them that a sum of their salary would be withheld from their November pay by the club.

Angry Bombers players contacted their managers and informed the AFL Players Association, who then contacted the club and told them about the risk of breaches if they continued with their plan to withhold money.

But on Sunday, Bombers CEO Xavier Campbell said the club will not withhold money from its players.

"We didn't get the communication right and we own that. Our intention was to create a 'holding position' for the next fortnight to allow us the time to meet properly with the playing group," Campbell told The Age's Michael Gleeson.

"I'm disappointed that we didn't consult properly with the players prior, and that is our fault. But we will do this over the next few days."