Friday, February 05, 2010
The NFL and the CBA
I hate to sound like a corporate man, sticking up for the big bosses and spitting on the little man, but let's face it, the NFL is nothing like that. Players sign multi-million dollar deals. They are not just a bunch of nameless blue collar workers grafting hard to earn a few bucks for their family. They're big name stars who earn millions at work and supplement their incomes with equally lucrative endorsement deals. And it's about to come to a screeching halt I feel.
Why? Because the players demands are ludicrous. Their major gripe is that they're being asked to take an 18% pay cut. This despite the fact that the league claims they only want a 8-9% pay cut for players.
The NFLPA points to the finances of Green Bay, proudly stating that a small market team made $20 million in it's last fiscal year. The NFLPA claims that no-one has shown them that teams are seeing reduced profits, so why do players need to take a pay cut? Well maybe if they went back and looked at Green Bay's finances again, they'd realise that Green Bay has seen it's profits dip by 40% to end up at that $20 million figure. That's a significant loss.
With the world still clambering to get back into the black after the major financial crisis of the last year or so, is it any wonder the league wants player salaries cut? Take guys like Albert Haynesworth, whose current contract is worth an estimated $100 million. How can you argue that guys making that kind of money can't afford pay cuts?
And the whole 18% pay cut thing is a shame in itself. The NFLPA claims that on average players will lose somewhere in the region of $345,000. But that's simply not true. The reality is that the players portion of the revenue pie will increase dramatically in the near future. Even though on paper they'll be taking a percentage pay cut, in real terms, actual dollars made, the players cut will stay the same, if not increase.
And then we have the risk of a strike in 2011. The NFLPA claims that the league made sure in it's last TV contract negotiations that it will still make the $5 billion for the year. The NFLPA is basically accusing the league of getting ready for a big payday. The truth is, the TV companies are not stupid. Do the players representatives really believe the TV guys are gonna let the NFL walk away with $5billion for nothing? Trust me, come the next time to negotiate, the TV companies will get that revenue back. They'll pay nowhere near as much money for the next deal, and in the process will effectively recoup the money wasted if there's a stoppage in 2011.
Business people are not stupid. The players representatives are.
-- In other news, Chad Ochocinco has reached out to Terrell Owens, asking him to come sign with the Bengals. Owens will be an unrestricted free agent this off season and so there is nothing to really stop the Bengals from making a move. I for one would love to see these guys on the field. How many teams can claim they have enough quality at cornerback to cover Owens AND Ochocinco? I can think of two, and one of them is the Bengals....
-- LaDanian Tomlinson has said he doesn't expect to return to the Chargers next season. The 30-year old running back had a so-so season this year with the Chargers, but I think he still has more left in the tank than people think. I'm excited to see where he lands, though I think he may have to accept a role as a backup.
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