Future lockout possible as NBA discusses contraction
From salary reduction to league contraction
NBA commissioner David Stern is not ruling out the possibility of contracting the size of the league as a means of solving the league’s financial troubles.
Stern has already said publicly that he would like to see player costs reduced by as much as $800m.
It has been reported by the NBA that the league is losing $350m every year and that 57 per cent of basketball revenue goes to the players. As a result of these stats the league has proposed a number of
ideas to make the league sustainable. One of these is a cut in salaries that has been in negotiation since last January, but most recently is the proposal to contract the size of the league.
Stern’s comments on contraction and his openness to its implementation rightfully worry the players and the union that represents them.
Derek Fisher, union president of the L.A. Lakers, said: "we have a responsibility to protect as many jobs as we possibly can, so that would be more for the commissioner and the league and the owners to
make a decision on contraction and numbers of teams and those things."
Contraction as a last resort
As of right now it seems as though Stern is more set on making small-market teams viable than on reducing the size of the league itself.
Stern quelled any uneasiness amongst the players and the union by asserting that they were “committed to small-market teams.” Stern also brought up his history with the league saying, "It's a sensitive
subject for me because I've spent 27 years in this job working very hard not only to maintain all of our teams, but along the way add a few."
The Collective Bargaining Agreement between the league and its players is set to run its course come the 30 June where a new agreement will have to be negotiated.
On Thursday, Stern made public his desires to slash the salary costs of players by one-third in the coming CBA. Upon hearing of this the executive director of the players’ union - Billy Hunter - issued
a statement threatening the owners with the possibility of a lockout and a partial loss of the 2011-2012 season.
When asked about the threat of a lockout Stern was incredulous.
“I don't believe that Billy wrote that, because he wouldn't threaten me with a lockout," adding, "and all I can say is that's what negotiations are for and we're looking forward to our next negotiating
session."
Fisher points out that the negotiations were never meant to enter the public domain saying, “we were going to keep in the room and behind closed doors," adding, "we don't plan to negotiate through media
[or] through public forums.
Fisher, despite downplaying recent statements from Stern as posturing, does not rule out the possibility of contraction, admitting that it is "fair to say that contraction would be on the table." Fisher
also added that an ensuing lockout would be equally possible.
The National Basketball Players Association has begun to tell its players to prepare for a lockout. All-Stars Chris Kaman and Rajon Rondo have already made public their intentions to save money this season
as a precautionary measure against a possible lockout.
Stern remained optimistic about the coming bargaining negotiations and pointed out his experience in similar situations as an asset.
"I’ve probably been in a dozen collective bargaining negotiations, the last ten of which involve some of the same actors that are currently at this table,” he said.
The success of the negotiations seems to hinge on the financial success of this season. Stern seems to be banking on a good fiscal year saying, “we think that the enthusiasm of the season and the prospective
growth that it will ultimately represent will enable us to sit down with the players and negotiate in good faith.”
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