NFL proposed 35% escrow and players tell them to kick rocks

Well this is about to get interesting.

I’m curious what these players think is going to happen here?

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Making some popcorn to eat while I watch the fun

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This is what I was trying to say when we discussed this ten days ago. The players were sure to push back.

Indeed they were. There are always things proposed that only benefit the owners. That’s why we have a CBA. I’m sure next negotiation will have this on the table.

They have an agreed upon CBA. If they don’t make concessions it’s only going to hurt the players next year as teams start trimming the big contracts to hit the adjusted cap.

There’s nothing to have on the table. Per the CBA the cap is a projected number based on revenue share. Revenue is lower than projected and per the CBA both sides must make a good faith effort to make concessions. If they refuse to reach an agreement the cap will suddenly drop (likely next year) and teams will cut big contracts to get under it. Meaning players will lose jobs and contracts will be smaller.

What do they think is going to happen here?

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Cap might go down a lot.

Maybe the owners should have put some of their profits in Escrow to prepare for something like this, rather than asking the employees to absorb their losses.

This money is then divided evenly between the 32 teams regardless of individual performance. According to the Green Bay Packers’ 2018 annual report, the NFL earned over $8.1 billion in national revenue last year , meaning each team received about $255 million in national revenue from the league.

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But there is. If the players refuse to play then there is no season that triggers a smaller market cap. The players point of view should be (and IMO will be) consider leaving the cap as is our hazard pay for playing during a pandemic.

Does that mean that the CBA is then thrown out completely and a new one has to be negotiated?

I’m not sure what it means exactly. But the players and their families will be the one’s taking the risk and they are well aware of that. They are going to push back hard on this. I always felt they would.

Doesn’t matter how rich the NFL owners are, by NFL regs each team has to stay under the salary cap for that year. So, if the cap goes into a decline, which it will, then the teams will have to pay out the guaranteed money owed under contract and then use whatever is left to sign the other players. A bunch of good players are going to get cut and either sign elsewhere for a lot less money or quit playing. And quite a few players will be playing for the minimum, more than now.

And there’s no telling if this is going to be a one-year problem or if we’re entering a multi-year economic depression that will impact the salary cap, among other things.

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I don’t think you understand what’s happening here. The owners don’t get their share until TV contracts are fulfilled and paid.

The profits are divided. It’s a revenue share CBA. Key word is share.

Keep in mind some of the players contracts are paid ahead of the actual earnings. Based on a projected cap. If earnings don’t meet projections then money must be paid back.

Think of it this way. You work for me on a contract basis. Your earnings are based off the profit share we make on a job. I pay you some money in advance and agree to pay you the rest weekly until all the work completed. Your projected income is 100k for the job.

The job then starts going way over budget and the profits appear like they could be 50% less. I ask you if it’s ok if I put 30% in escrow until the job is 100% completed. Where we will then settle up after profits are determined. You tell me to kick rocks.

What do you think will happen?

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You clearly don’t understand the situation here.

No the CBA is locked in for 10 years.

Contract and earnings are based off a revenue share.

Let me explain this another way.

Let’s say the TV contract and projected earnings for the season is $200.

The CBA says the players get 45% of the Revenue share and the owners get 55%. This is what they agreed to.

45% of $200 is $90 bucks. So the projected income for the players is $90.

I agree to pay each player a % of that $90.
Stafford gets $3, KJ gets $1 and so on.

But now my projected earnings are looking like they will be $100 instead of $200.

The CBA states each side must work in good faith to make concessions.

So I ask my players. Not to take a pay cut but to allow me to put %30 of their projected income into escrow until we can get a real number and figure it out.

That’s all that’s happening here. It would be wise for the players to accept this and then work towards concessions.

Refusing to do so will only result in players losing jobs and future contracts to be smaller. Because the cap will go down drastically.

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Then explain it to me rather than insulting me. You told me I was wrong in a prior instance and then sure enough the players started tweeting
in support of my argument and in direct opposition of yours. Air, my point is that the players absolutely can and will initiate a work stoppage rather than take a 35% pay cut as reward for playing during a pandemic. It’s that simple.

Let’s debate instead of being rude to other posters.
Sound fair?

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The NFL has been around for a long time, it’s not going away and the owners and the NFL should plan for the inevitable, something going wrong in this world that will hurt the revenues of the NFL.

The owners make BILLIONS per year, every year, the average player yearly earnings are 2.7 MILLION. If the NFL plays 16 games, who should take the hit ?

Sorry for my lack of sympathy for the owners for not making as many billions as normal…or even having a down year where they lose money, the billions they’ve made in the past and future will more than make-up for it.

So here’s a supposed breakdown of the talk between the NFL and NFLPA regarding playing in 2020 and financial protections for the players. This is just a small snippet of the article.


Among the requests in the players’ recent proposal to the league, according to a source involved:

  • An opt-out clause for at-risk players to receive salary (but not bonuses) if they decide not to play.*

  • An opt-out clause for players with at-risk families to earn an accrued season and benefits if they decide not to play.*

  • An opt-out clause for players who leave the team after reporting (terms uncertain).*

  • A $250,000 stipend guaranteed to all players if they show up to camp and everything is shut down because of COVID-19 concerns. That amount rises to $500,000 if the season starts, only to be shut down.*

The definition of “at-risk” is part of the discussion, and procedures for applying for medical opt-outs are not yet finalized.

If a player is serving a suspension and the season gets canceled, the games unserved will not carry into the next season.

The league’s June 7 memo listed the following as considerations for high-risk individuals:

  • African American, Hispanic or Pacific Islander*

  • BMI ≥ 28*

  • Sleep apnea*

  • Hypertension*

  • Altered immunity*

  • Diabetes mellitus*

  • Cardiac disease*


The rest of the article is here…

So one of the high risk considerations is based on race. If 74% of the league falls in the high risk category, and high risk players are allowed to “opt-out” and still receive their salary (per the NFLPA’s demand),…well, let’s just say I’m glad I didn’t re-up my NFL Sunday Ticket.

Saying that you clearly don’t understand is not an insult. I’ve explained it to you multiple times but your not listening or not understanding it. I’m not sure which it is.

The CBA is based on a revenue share.

They can cause a work stoppage if they choose but the CBA the players agreed upon is that they must make a good faith effort to make concession in the event that the revenue is less than projected. If they hold out and go to arbitration they will lose and be forced to pay for any future losses the hold out would cause.

They do not have a legal leg to stand on.

Here’s what’s going to happen if they refuse concessions.

  1. The cap drops next year. Teams are forced to cut players to get under the cap.

  2. Players hold out breaking the CBA. It goes to arbitration. Players are forced to pay back the losses.

All that’s happening right now is grandstanding by the players. Once the NFLPA explains the options to the players I suspect things will change.

But in the meantime it’s going to be interesting to see how this unfolds.

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The players have already agreed to take 45% of the hit in the CBA.

Out of 100% of the profit the owners get 55% and the players get 45%. Your incorrect assuming the owners make billions while the players millions. The owners make just 55% of the profit.

The Owners and Players have agreed to share in the profits and losses in the CBA.

Your tone was quite rude, Air. I’m not accustomed to it from you. I have always understood your point about the CBA. My point trumps that. The players will force a labor stoppage before playing with all of this additional risk to then take a 35% haircut. It’s just not going to happen, Air. Look at the wave of player’s tweets the moment the story came out. It’s a complete non starter.