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Collective Bargianging Agreement Notes Essay

461 words - 2 pages

Collective Bargaining Agreement

The current Collective Bargaining Agreement, initially negotiated in 1993, has been extended on several occasions, most recently in March 2006. The 2006 extension, which could have continued through the 2012 season, gave both the NFL and the NFLPA an option to shorten the deal by one or two years. NFL clubs recently voted unanimously to exercise that option and to continue negotiating a new agreement for the 2011 season and beyond that will work better for both the clubs and the players.
The NFL earns very substantial revenues.  But the clubs are obligated by the CBA to spend substantially more than half their revenues (almost $4.5 billion this year ...view middle of the document...

  As a result, under the terms of the current agreement, the clubs’ incentive to invest in the game is threatened. Also, on February 21, 2008, the NFLPA filed the first collusion case ever against the NFL owners for their recent agreement to reduce by 20% the debt limitations that apply to individual NFL Clubs. NFLPA alleged that NFL owners violated the anti-collusion and anti-circumvention provisions of the CBA and the White Settlement Agreement, which were agreed to in 1993. The debt limits starts the beginning of the un-capped salary cap.
Even without another agreement, NFL football will be played without threat of interruption for at least the next three seasons. The 2008 and 2009 seasons will be played with a salary cap.  If there is no new agreement before the 2010 season, that season will be played without a salary cap under rules that also limit the free agency rights of the players. If not extended, the agreement would expire at the end of the 2010 league year.
A collective bargaining agreement has to work for both sides.  If the agreement provides inadequate incentives to invest in the future, it will not work for management or labor.  And, in the context of a professional sports league, if the agreement does not afford all clubs an opportunity to be competitive, the league can lose its appeal.
← What happened with the CBA? – paragraph 1
← The issues at hand: -paragraph 2
← How does all of this affect the fans and future NFL seasons? – paragraph 3
What must happen? – paragraph 4

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