Trouble Spells For NFL As Owners And Players Hit A Deadlock
Are you a football fan? If so, you may be crying into your beer and pretzels come 2011. We're looking at a good possibility for a strike, because of conflict between owners and players.
Things are really moving in that direction. Owners have backed out of the current collective bargaining agreement with the players. The first step toward strike is an uncapped season, and that is in place for 2010-2011 season already. Assuming the disagreement is not resolved, next year will see a national football strike no NFL season that year. You read that right, the months of September through January would be empty in the minds of many sports fans.
This potential strike has been triggered by the owners. They are no longer in favor of the agreement they have had with their players. Instead, they favor a rookie wage scale that will let them hold salaries for rookies down, in case their performance does not measure up to expectations.
Currently, this isn't how new players are compensated. At present, owners have to entice new players with extravagant salaries that are guaranteed, even if the players don't turn out to perform as expected.
The overall pay scale in the NFL is also under attack by owners. Currently, players are entitled to 59.5% of the total revenues that the league brings in. Owners are not happy about this. They have to deal with falling revenues at the same time that they have to manage the rising costs of maintaining stadiums.
The owners also point out that they bear the cost of promotion and development of the league. Players don't have to pay out for any of this, and only take profit.
Who knows if they will reach an agreement? It's going to be a matter of wait and see. Regardless of how t his turns out, there's a lot at stake. A lockout will put the brakes on NFL's growing popularity. It will be interesting to see how players deal with being without pay for a year.
This fight could resolve in favor of the players or the owners or not resolve at all and end in a strike. There is strong motivation to solve this conundrum though, as a lockout will jettison the NFL's hopes of gaining an overseas market and expanding market share in the off season here in the U.S.
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