They should be binned off.
It's probably impossible (legally) but there should be mandatory relegation clauses in all players/managers contracts. All the clubs that are relegated now (possibly with the exception off the odd outlier like Luton) are able to generate the best part of £100M by selling 3 or four players, parachute payments should not be required.
A sensible system would see players signed whilst a club is in the PL automatically having clauses in their contracts, which cut their wages to a maximum cap upon relegation, with all players having a minimum sensible release clause to give them the opportunity to leave if they attract attention from elsewhere. Rather than just handing clubs a shit tonne of cash to continue playing PL wages in the Championship, and holding a ridiculous advantage over all other clubs.