
After five interminable months, it appears the NFL labour dispute might come to an end sometime in the next couple of weeks – early enough to salvage a full 16-game regular season. Despite agonizing legal manoeuvring and aggravating bluster from both sides, logic seems to be prevailing as everyone paused and thought, “Wait a minute. We have this enormous, delicious pie. Instead of screaming over who gets more pie, why don’t we just get around to splitting it instead of letting it get stale?”
But for those of you who need your fix of monotonous labour negotiation news, the NBA is here to pick up the slack. Those of you who have souls and prefer competitive sporting events over hearing the words “hard cap” and “revenue sharing” repeated ad nauseum, buckle up.
And maybe take up a hobby, because we might not be watching basketball in November.
The NFL’s problems basically stemmed from one problem – the league is bringing in a huge amount of money, and both the players and owners thought they were entitled to a large portion of it. (See the clichéd pie analogy above.)
The NBA has a much different problem. Despite enjoying one of their most successful seasons in recent memory, thanks in large part to the vilified Miami Heat and the Bulls’ return to prominence, the owners claim the league lost $340 million last season. (Note: You’re going to see a lot of discussion about that veracity of that figure.) If it seems hard to believe that the Association could lose that kind of money when the on-court product is so popular, remember that Rashard Lewis makes nearly $20 million a season. For those just tuning in, Rashard Lewis scores 11.7 points per game. 109 NBA players scored more than him last year. Only one made more money.
The league believed that a luxury tax would prevent owners from handing out long, inflated contracts, but it simply hasn’t worked. The teams that can afford to pay the tax (Lakers, Mavs, Knicks, etc.) have done so liberally, forcing small-market teams to overpay their way into the red. As a result, the league will push for a hard salary cap and four-year limits to contracts.
If it sounds like the owners are trying to regulate against their own stupidity, like installing a breathalyser on their car’s ignition – well, that’s the players argument. (“It’s not our fault you offered Eddy Curry $60 million without holding him accountable for his performance/pot belly! Do you realize how many steak sandwiches you can buy with $60 million?”)
The players believe that 22 owners are losing money because of a lack of revenue sharing – a model that has been paramount to the success of the NFL. The eight teams that make money, due primarily to big markets and secondly to good management, have no obligation to share that money with the less-successful smaller-market teams.
Trying to get the league – particularly big market owners like the Knicks’ James Dolan and Bulls’ Jerry Reinsdorf who would essentially be propping up failing business in cities like Sacramento and Charlotte – to agree to a revenue sharing model would cause a ton of infighting that will only draw the dispute out further.
The above is only a very shallow look at the crisis facing the NBA in the coming months. If it doesn’t look quite grim enough for you, note that the sides don’t plan on coming together for any full-scale negotiations until sometime in August – a lack of urgency born of stupidity, short-sightedness, stubbornness.
In the meantime, players are beginning to look overseas for a paycheque in the event the 2011-12 season is cancelled, much like NHL players did during their lockout in 2004-2005.
The tone of the discussions will undoubtedly change come fall when reality sets in for both sides, but right now there aren’t many reasons to get excited.
Unless, of course, you have a fetish for watching rich people argue over millions of dollars.