Re: labor negotiations

[Kim Malo <kmalo19@idt.net>]

At 06:58 AM 6/27/98 -0700, Mishra wrote:

>Sorry for the confusion, but what I meant was, that the only way a team
>exceeds the cap limit is through the LB exemption. So what is new about it?
>right now when a team exceeds the stipulated cap, it is not penalized (in
>fact it is the norm).  In the new CBA, such a team will be asked to pay a
>hefty sum back to the NBA in form of a luxury tax, which will then be
>distributed equally amongst rest of the teams. The question is, will it
>bring fiscal sanity ? I don't see that, because after all luxury taxes in
>baseball haven't brought any fiscal responsibility in owners like
>Steinbrenner and members of that ilk. The only hope is that since NBA has a
>better revenue sharing plan than major league baseball, so it may dissuade
>teams like New York to toe the line, rather than flex their financial muscle
>to wiggle out of front office mistakes.

Hmm. I'd still let teams go over to sign new drafttees, especially in
combination with the rookie pay scale making that a limited amount. But your
idea of a luxury tax isn't bad. I think it's too soon to call it a total
failure with baseball.

But it also made me think of something truly evil <g>. Why should the owners
be the only ones imposed upon that way? Put a luxury tax on excessive player
salaries. Say, someone making 5x the league median at his postition. You can
even do good with it and impose on the players to their own benefit. Put all
or most of it into a retirement fund, individual or otherwise. Yeah, I know
-no way in hell the players' association goes for it. But ya gotta admit
that with the young and shortsighted, it would probably make them think a
bit about what they're demanding and make up for the fact that too many of
them get worked over for their money by others, from agents on down.

-Kim
Kim Malo
kmalo19@idt.net