What's new

Sounds like the Players need to give back a little.

Which side needs to budge


  • Total voters
    51
Here is a great Article from espn's Michael Wilbon.

The NFL ought to be embarrassed to call its little labor dispute a lockout. No regular-season games will be missed; no preseason games will be missed. When all is said and done, not a single day of training camp will be lost. How dire can it be if the commissioner and the union chief are flying around the country together, all chummy like the stars in a buddy movie? The sum total of the damage from pro football's work stoppage will be the sacrifice of a bunch of manufactured and overstated offseason activities that didn't even exist 20 years ago and don't need to be on the sports calendar now.



The NBA, on the other hand, is about to show the NFL how to conduct a truly contentious labor war and stage a lockout likely to do real damage in terms of dollars, goodwill and reputation.



The NFL was never going to miss anything meaningful.



The NBA might miss the entire 2011-12 season.

Yes, the two sides are that far apart. They're miles apart. The only thing that passed for optimism came and went during the feel-good NBA Finals when the two sides had a few days of civility. This isn't a matter of figuring out how to split up profits, which is what the NFL faces. This is how Tom Penn, ESPN's expert on professional basketball's financial matters, put it Wednesday: If the NFL labor dispute is a sprained ankle, the NBA's is a torn ACL and a ripped Achilles. NFL teams still make money; it's just that instead of $30-40 million a year in profit, they've been down recently to, say, $9-10 million.

The NBA, meanwhile, has teams losing real money. The league says 22 of 30 are operating in the negative; the players association would surely say it's fewer than that. Either way, it's reasonable -- if not downright inescapable -- to conclude there are NBA teams awash in red ink. It costs less for those owners to keep their arenas closed than to stage the games. The owners of those teams want a harder salary cap than exists now, and probably a cap that down the road becomes not just harder, but hard, period. The owners say that's a must, while the players say a hard cap is a no-go. Instead of the players getting 57 percent of basketball-related income, the owners want something more akin to a 60-40 split in their favor.



In other words, the two sides ain't close. They're not even close to close. They're further apart, actually, than they were in 1998-99 when the entire season came within 24 hours of being canceled.



The NBA is going to miss games, and the smart money is on the league missing lots of games. A new group of owners who paid a ton of money for their franchises since the last work stoppage 13 years ago are ready to sacrifice the season. The six owners who have both NHL and NBA teams saw first-hand how sacrificing essentially an entire season led to an overhauled NHL with slashed costs, and they're drooling over the prospect of an NBA with similar cost certainty.



This dispute, ladies and gents, starts at contentious. David Stern, while he won't want a missed season staining his legacy as commissioner, nonetheless said last week that once a lockout starts, the league's offers will only be lowered, which doesn't exactly sound like good-faith negotiating. There's very little reason to be optimistic, other than the fact that Stern and union chief Billy Hunter were the same guys doing these exact jobs 13 years ago and are acutely aware of the damage the sport sustained then. Hunter has even said it took at least six years for the league and its players to get back to where they were before the 1998 lockout.



Yet, the lockout is in place as of 12:01 a.m. Friday, even though the NBA -- thanks to a compelling past 12 months and 2011 season -- stands on the verge of a boom cycle, even though every single indicator of interest is up. The owners are determined to come up with a new system more profitable to them and the players say they're stronger and smarter and more prepared than in '99 and won't cave as easily as they did then.



While there are players out there who say they have hope the season will begin on time, November, December and January seem already lost if the prevailing mood is any kind of indication.



Hunter told reporters Thursday it's too early to call it an eventuality, saying, "I hope it doesn't come to that. Obviously, the clock is now running with regard to whether or not there will be a loss of games, so I'm hoping that over the next month or so there will be a sort of softening of their side and maybe we have to soften our position as well."

Still, there's not a ton of optimism floating around. ESPN's Penn, who has the experience of working for a couple of small market teams (Portland and Memphis) and practically dealing with all 30 teams in the league, told Tony Kornhesier and me on Thursday's "PTI" that he'd put the odds of the season being canceled at as high as 75 percent. Charles Barkley said recently it wouldn't surprise him if the season was canceled.



Stern and Hunter can hope for a full season, but at least they aren't misleading anybody by predicting a quick end to the dispute. Stern said, "These kinds of things take on a life of their own, and I just don't know where their life is going to lead."



Does that sound like a realist talking, or what? Hunter's latest characterization was, "The gap is too great."



Could the two sides be moving forward with less energy? It's eerily reminiscent of 13 years ago when the union and management went more than 40 days without any kind of bargaining session, which led Barkley to savage both sides for dragging their feet. And officials from both ends of this dispute, 13 years later, characterize the two sides as being further apart now than they were then.



And to think: Back during the NBA All-Star break, both parties were thinking that a quick resolution to the NFL labor dispute might help push basketball's two sides to move fairly quickly.



So now, as the sport with the greatest hold on the nation moves closer to resuming activity, basketball exits stage left, not only failing to cut into pro football's sizeable lead but failing to capitalize long-term on 12 months of being front and center in a way no marketing exec could dare have dreamed. Very quickly, the NBA has waved bye-bye to momentum and goodwill, and hello to uncertainty and an annoyed if not outraged fan base, most of which is sophisticated enough to know that a great storm is brewing just over the horizon.
 
The Players don't seem to be living in reality. If the Owners are really losing as much money as they say, there is no way they can go on with the present situation. If they really repected the game, and were not so selfish, they would be more willing to work out some kind of a deal. So what if the average salary goes down to 2 or 3 million- The average person in america is only mkaing somwhere around 30 to 40 thousand a year; If 2 or 3 million is not enough a yeart becasue your not responsible with money, then it sounds like you need to have a pay cut. Really players Union, you sound really selfish right now.

You would think that it would be better in the long run to come to some sort of agreement that affords the owners a profit, otherwise they can't sustain their nba Investment, and the league would therefore eventually tank. If they really respected the game, and had some kind of sense of business ethics and genuine gratiude for what they already have, you'd think they would not make such a lame stand. I guess i could be wrong , but there motives just sound pretty slef absorbed to me.

I have to hope that there are a great deal of players in the league that are willing to give back, so that the league and the owners can continue to flourish. At the Peak of the NBA's pristige, why sacrifice all you have worked for, as well as the foundation that those who went before you worked for money which the owners obviously can't continue to pay you?? I Hope the Owners lockout the players as long as it takes for them to relent. It sounds like the players need a powerful wake up call, so they can be brought back to reality!
 
If 22/30 owners are really losing money every year, then they have no reason to budge. They actually do better financially by NOT having a season. So there are two options, those 8 teams that are making money share more with the smaller markets, or pay the players less. Both make some sense, if the Lakers are going to get a crazy amount in their new TV contract, they have to have sometime to play. Why not divide out some of that TV money to the teams you are playing, it takes two teams to make a game. Players could easily take a 10% cut in pay, they should take more than that really. Someone teach these guys how to invest and they will more than be able to make up for it.
 
I agree that the owners should be able to cover many of their expenses instead of guaranteeing a certain % of revenue, however, from other articles I have seen it appears the owners include a lot of junk into their "expenses." This causes the expenses to be inflated.

Are some teams losing money even with accounting tricks? Yes. But I don't agree with the owners counting players as depreciating assets and using that as an expense. I also don't agree with owners taking out loans for their teams (even though they could have paid cash) and then listing these loan payments as expenses and whining that they aren't making huge profits on it each year (even though they likely give themselves salaries). And when it comes down to it, the owners are the ones giving out ridiculous contracts in the first place.

This is one article which talks about this stuff: https://deadspin.com/5816870/exclus...-7-million-profit-look-like-a-28-million-loss
 
Sorry if this is off subject, but what happens with the draft if the season is canceled? How do they decide who picks where?
 
If 22/30 owners are really losing money every year, then they have no reason to budge. They actually do better financially by NOT having a season.

Not necessarily. It depends what their fixed costs are compared to the variable costs associated with a season and the accompanying revenue.
 
I voted half way, but its going to be more like 25-75, as in the Owner's come a quarter of the way.
 
I hate how the players say "we won't cave like we did in '99 " while also saying " we like the current deal". Make up your minds.
 
The players are getting screwed bad. I mean how the hell does Rashard Lewis get by on 22M per season?

...what I want to know is how can he make 22 million per season and shoot less than 30% from three point land! And what knot-head owner would pay him that much to do that little???
 
I agree that the owners should be able to cover many of their expenses instead of guaranteeing a certain % of revenue, however, from other articles I have seen it appears the owners include a lot of junk into their "expenses." This causes the expenses to be inflated.

Are some teams losing money even with accounting tricks? Yes. But I don't agree with the owners counting players as depreciating assets and using that as an expense. I also don't agree with owners taking out loans for their teams (even though they could have paid cash) and then listing these loan payments as expenses and whining that they aren't making huge profits on it each year (even though they likely give themselves salaries). And when it comes down to it, the owners are the ones giving out ridiculous contracts in the first place.

This is one article which talks about this stuff: https://deadspin.com/5816870/exclus...-7-million-profit-look-like-a-28-million-loss

Agreed. It is amazing how many do not yet realize the accounting craziness that goes on these days with the fat cats. They have a zillion loopholes to make profit look like loss.

That said, there needs to be some fix to the contract situation. These long term guaranteed contracts are nuts.
 
It's like normal businesses.

You have one person who puts pressure on another, so that extremes occur, which screw up the whole company.

Example: The owner puts pressure on the GM to win or else. As a result, the GM feels pressure to give ridiculous contracts to average players, like AK, Joe Johnson, Rudy Gay, Iggy, etc.
the GM cannot lose these players, or else his head will be put on a skewer. Yet, by dishing out large sums of money, the GM retards his franchise's ability to progress, and creates this mess of exponentially increasing players salaries.

You see the same crap at the college football level.

The President/alumni can put pressure on the AD... Or the AD/alumni put pressure on the coach. The coach then cheats, "forgets to report infractions", and does everything possible to WIN (at any expense).

In all my job experience the question hasn't been IF we stand by ethics. It's how far can you push ethics before you actually can get in trouble.

The same issue with sports. We're always going to extremes. Players demanding extreme contracts. Owners demanding the extreme. GMs feeling pressure to WIN BIG NOW or else.

Everyone is dirty. The owners, GMs, and players are at fault.

However, as a fan for a small market team, we need a CBA. Not only to help us small market teams compete against the big boys. But to sadly, protect us from ourselves. A few years ago, people were wanting to extend Boozer, Memo (which was done), give Duron the max (which was done), keep Millsap, keep Wes, and still somehow add pieces. We, as a franchise, cannot survive this. We cannot pay the LT.

So sadly, the new CBA needs to protect teams like the jazz, from themselves. We're not Dallas or Mark Cuban. We need something in place to prevent us from signing AK like contracts... Or from going crazy with money and signing Boozer, Memo, and Duron to huge contracts. Going too far over into the LT.
 
Well, if I'm losing money by doing something, I'd stop doing it too. Quite simply, if the owners haven't been MAKING money in prior seasons, what possible motivation could they have for playing another season under the same conditions? If I was an owner, I'd want expenses cut, and paying the players is the #1 expense. If the players don't want to "give in", they all got th $$ to survive, thanks to THE OWNERS; none of them will starve...
 
I understand the players are a big part of the teams, and they should be paid well for that, but the owners are just that... the owners.
In the real world it is the owners that take the risk burden for owning a company, and it is the owners that get the payout when it goes well. Employees get their salary, and if the owners are nice they also may get a profit-sharing as incentive to help the company be profitable.

When it comes down to it, the owners are who lose their shirt if the company/team goes down, and the players still get paid.
If the players want to act like owners, then they can take the risk like owners, and get paid like owners.
In good years they can go ahead and split the profit 50% to the owner, and the remaining 50% to go to players and coaches.
In the bad years the players and coaches can take their minimum salary (which will be much less than they make now) and use that as incentive to do better. I'm sure they can work out bonuses for records, playoffs, and all that. Of course there would have to be some sort of audit done on the books to ensure the owners aren't hiding profit.

Ok, despite my longwinded soapbox story, I think the players need to give ground... but that is my opinion based on little detailed information on the issues.
 
Sorry Bro, I actually don't have the computer prowess to post a link, lol. Serious! :)

Moe is actually "Sis", not "Bro". :-)

But you don't have to do anything special to post a link. You just copy & paste the URL into your post, and the software automatically creates the hyperlink.
 
Agreed. It is amazing how many do not yet realize the accounting craziness that goes on these days with the fat cats. They have a zillion loopholes to make profit look like loss.

That said, there needs to be some fix to the contract situation. These long term guaranteed contracts are nuts.

The thing is these reports were prepared by certified audit firms and players don't actually question the validity of the "teams lose money" statement. They say "you are ****ty businessmen then" instead.
 
Back
Top