[Date Prev][Date Next][Thread Prev][Thread Next][Date Index][Thread Index]

No Subject




 Slam Dunk for NBA owners
A show of hands, please: Who among you thinks the NBA will cave in =
before its players in the latest game of Labor Roulette?=20

No hands? Not one?=20

You've been paying attention.=20

Labor negotiations are about leverage. The NBA has all the leverage. On =
the morning after the league announced that it was locking out its =
players because they won't agree to salary-slowing changes in their =
collective bargaining agreement, that much is obvious.=20

The timing pressure is on the side of the NBA. The economic pressure is =
on the side of the NBA. The David Stern factor is on the side of the =
NBA.=20

The union isn't winning here. The union will only decide the terms and =
timing of its surrender.=20

Timing:=20

December? January?=20

See you then.=20

There is, by the way, someone you can feel sorry for here -- other than =
yourself. Because you have a basketball franchise in this city that =
finally has managed to gain some positive momentum after years and years =
in reverse, and that momentum is about to run into the kind of =
impediment that only a bunch of lawyers could concoct.=20

Starting at midnight tonight, the Sixers can't have anything to do with =
their players. They can't use their players in their marketing plans. =
They can't use their names, or their pictures, or anything. They can't =
train them or teach them or sign them or sell them.=20

For a young team on the move, this is terrible. For a young team that =
has spent seemingly forever pushing that boulder up the mountain, well, =
you can't help but feel bad.=20

So, do that. Feel bad for the Sixers. And feel sorry for the union, if =
you can summon up the energy to cry for millionaires. Because, to =
repeat, the union is not winning this thing. The players will be lucky =
to get out of this thing with their union intact. They are about to find =
themselves in a battle with not only the smartest league in the =
business, but also the best-prepared financially to withstand a long =
fight.=20

Why? Because they have a big, new TV deal with NBC, and part of the deal =
is that NBC pays the money even if the league is shut down, subject to =
repayment some years down the road. And the thing is, there are very, =
very few NBA games telecast nationally before the end of the football =
season; that is, before Feb. 1.=20

So if the lockout goes, say, into January, the owners will have lost =
virtually none of their national television money while the players will =
have lost one-third to one-half of their salaries.=20

If you look at the math, you come up with this: For every game lost in =
the strike, the owners lose gate receipts and local media revenue, yes, =
but they also don't have to pay the players' salaries. And these numbers =
are roughly equivalent leaguewide.=20

Put another way, the players will be losing 100 cents on the dollar for =
every game they miss in November, December and January, while the owners =
might be losing 10 cents on the dollar.=20

So who's the pressure on? That's right -- your favorite millionaires.=20

Stern does nothing to discourage the notion that this thing could drag =
on into the winter. In fact, he endorsed such talk in a teleconference =
yesterday as "fair and accurate."=20

"Unfortunately, a lot of clubs would do better not operating than they =
will operating," Stern said. "That's something players don't understand =
at this point."=20

To say that the players will get no sympathy, well, it goes without =
saying. When the average salary in the league is $2.6 million, when =
there are something like 230 players in the league making more than $1 =
million, when one of your players is Latrell Sprewell and when national =
magazines and television shows are headlining the stories of deadbeat =
NBA dads, well, this union isn't exactly poised to win any =
public-relations battles.=20

PR doesn't really matter, of course. Paychecks matter. Economic pressure =
matters. And it couldn't be more clear. Stern says that, with the salary =
explosion in recent years, the NBA has essentially become a break-even =
proposition on a leaguewide basis. He says that this fact guides his =
every move.=20

"We can't afford, in effect, to play the season under the current system =
. . . That's just the reality," Stern said yesterday.=20

Of course, franchise values have skyrocketed, too. Stern doesn't talk =
about that much, mostly because he doesn't have to talk about it. This =
isn't a debating society where a panel of judges awards points for =
particularly telling bits of argument. It's not a debate. It's a fight, =
an economic fight. And the NBA is in this with both feet.=20

Are there risks? Certainly. But this isn't baseball.=20

The baseball strike of 1994 came at the absolute worst time for a sport =
that already was declining. The NBA, by comparison, has just finished a =
final playoff series that received the highest ratings ever.=20

The baseball strike of '94 came late in the season and resulted in the =
cancellation of the World Series, the kind of stunning, symbolic blow =
that the sport still is working to overcome. This NBA lockout begins in =
the summertime, when nobody cares anyway, and has months and months to =
sort itself out before anything really significant is jeopardized.=20

And the baseball stuff was captained by baseball people. The NBA thing =
is being orchestrated by Stern, a man who is underestimated at the =
union's peril.=20

Again, the only question is when the union figures all of this out. It's =
really hard to believe that the players will be willing to sit out for =
two months and lose a collective $300 million while the owners sit =
around and lose a collective, oh, $30 million. Those are rough =
estimates, but that's the ballpark we're talking about.=20

If you're a player, and you're looking at those numbers, what would you =
do? Would you take that kind of financial loss in the hope that the =
owners will fold? Or would you negotiate some kind of adjustment to the =
collective bargaining agreement that assures everyone millions ever =
after?=20

Lots of questions.=20

And plenty of time to answer them.=20

arnfarm@tvsonline.net


------=_NextPart_000_000F_01BDA5E2.F60BC3C0
Content-Type: text/html;
	charset="iso-8859-1"
Content-Transfer-Encoding: quoted-printable

<!DOCTYPE HTML PUBLIC "-//W3C//DTD W3 HTML//EN">
<HTML>
<HEAD>

<META content=3Dtext/html;charset=3Diso-8859-1 =
http-equiv=3DContent-Type>
<META content=3D'"MSHTML 4.72.2106.6"' name=3DGENERATOR>
</HEAD>
<BODY bgColor=3D#ffffff>
<DIV>From the Philadelphia Daily News:</DIV>
<H2><BR>&nbsp;</H2>
<DIV>&nbsp;Slam Dunk for NBA owners
<P><!-- body begins here --><!-- SL HOFM30 --><!-- ST  --><!-- PAGE 55X =
--><!-- ED DN --><!-- PUB 0630 --><!-- CA  --><!-- start search here =
-->A=20
show of hands, please: Who among you thinks the NBA will cave in before =
its=20
players in the latest game of Labor Roulette?=20
<P>No hands? Not one?=20
<P>You've been paying attention.=20
<P>Labor negotiations are about leverage. The NBA has all the leverage. =
On the=20
morning after the league announced that it was locking out its players =
because=20
they won't agree to salary-slowing changes in their collective =
bargaining=20
agreement, that much is obvious.=20
<P>The timing pressure is on the side of the NBA. The economic pressure =
is on=20
the side of the NBA. The David Stern factor is on the side of the NBA.=20
<P>The union isn't winning here. The union will only decide the terms =
and timing=20
of its surrender.=20
<P>Timing:=20
<P>December? January?=20
<P>See you then.=20
<P><!-- begin format cw-3 -->There is, by the way, someone you can feel =
sorry=20
for here -- other than yourself. Because you have a basketball franchise =
in this=20
city that finally has managed to gain some positive momentum after years =
and=20
years in reverse, and that momentum is about to run into the kind of =
impediment=20
that only a bunch of lawyers could concoct.=20
<P><!-- end format cw-3 --><!-- begin format cw0 -->Starting at midnight =

tonight, the Sixers can't have anything to do with their players. They =
can't use=20
their players in their marketing plans. They can't use their names, or =
their=20
pictures, or anything. They can't train them or teach them or sign them =
or sell=20
them.=20
<P>For a young team on the move, this is terrible. For a young team that =
has=20
spent seemingly forever pushing that boulder up the mountain, well, you =
can't=20
help but feel bad.=20
<P><!-- end format cw0 --><!-- begin format cw-3 -->So, do that. Feel =
bad for=20
the Sixers. And feel sorry for the union, if you can summon up the =
energy to cry=20
for millionaires. Because, to repeat, the union is not winning this =
thing. The=20
players will be lucky to get out of this thing with their union intact. =
They are=20
about to find themselves in a battle with not only the smartest league =
in the=20
business, but also the best-prepared financially to withstand a long =
fight.=20
<P><!-- end format cw-3 --><!-- begin format cw0 -->Why? Because they =
have a=20
big, new TV deal with NBC, and part of the deal is that NBC pays the =
money even=20
if the league is shut down, subject to repayment some years down the =
road. And=20
the thing is, there are very, very few NBA games telecast nationally =
before the=20
end of the football season; that is, before Feb. 1.=20
<P>So if the lockout goes, say, into January, the owners will have lost=20
virtually none of their national television money while the players will =
have=20
lost one-third to one-half of their salaries.=20
<P>If you look at the math, you come up with this: For every game lost =
in the=20
strike, the owners lose gate receipts and local media revenue, yes, but =
they=20
also don't have to pay the players' salaries. And these numbers are =
roughly=20
equivalent leaguewide.=20
<P>Put another way, the players will be losing 100 cents on the dollar =
for every=20
game they miss in November, December and January, while the owners might =
be=20
losing 10 cents on the dollar.=20
<P>So who's the pressure on? That's right -- your favorite millionaires. =

<P>Stern does nothing to discourage the notion that this thing could =
drag on=20
into the winter. In fact, he endorsed such talk in a teleconference =
yesterday as=20
&quot;fair and accurate.&quot;=20
<P>&quot;Unfortunately, a lot of clubs would do better not operating =
than they=20
will operating,&quot; Stern said. &quot;That's something players don't=20
understand at this point.&quot;=20
<P>To say that the players will get no sympathy, well, it goes without =
saying.=20
When the average salary in the league is $2.6 million, when there are =
something=20
like 230 players in the league making more than $1 million, when one of =
your=20
players is Latrell Sprewell and when national magazines and television =
shows are=20
headlining the stories of deadbeat NBA dads, well, this union isn't =
exactly=20
poised to win any public-relations battles.=20
<P><!-- end format cw0 --><!-- begin format cw-3 -->PR doesn't really =
matter, of=20
course. Paychecks matter. Economic pressure matters. And it couldn't be =
more=20
clear. Stern says that, with the salary explosion in recent years, the =
NBA has=20
essentially become a break-even proposition on a leaguewide basis. He =
says that=20
this fact guides his every move.=20
<P>&quot;We can't afford, in effect, to play the season under the =
current system=20
. . . That's just the reality,&quot; Stern said yesterday.=20
<P><!-- end format cw-3 --><!-- begin format cw0 -->Of course, franchise =
values=20
have skyrocketed, too. Stern doesn't talk about that much, mostly =
because he=20
doesn't have to talk about it. This isn't a debating society where a =
panel of=20
judges awards points for particularly telling bits of argument. It's not =
a=20
debate. It's a fight, an economic fight. And the NBA is in this with =
both feet.=20
<P>Are there risks? Certainly. But this isn't baseball.=20
<P><!-- end format cw0 --><!-- begin format cw-3 -->The baseball strike =
of 1994=20
came at the absolute worst time for a sport that already was declining. =
The NBA,=20
by comparison, has just finished a final playoff series that received =
the=20
highest ratings ever.=20
<P><!-- end format cw-3 --><!-- begin format cw0 -->The baseball strike =
of '94=20
came late in the season and resulted in the cancellation of the World =
Series,=20
the kind of stunning, symbolic blow that the sport still is working to =
overcome.=20
This NBA lockout begins in the summertime, when nobody cares anyway, and =
has=20
months and months to sort itself out before anything really significant =
is=20
jeopardized.=20
<P>And the baseball stuff was captained by baseball people. The NBA =
thing is=20
being orchestrated by Stern, a man who is underestimated at the union's =
peril.=20
<P>Again, the only question is when the union figures all of this out. =
It's=20
really hard to believe that the players will be willing to sit out for =
two=20
months and lose a collective $300 million while the owners sit around =
and lose a=20
collective, oh, $30 million. Those are rough estimates, but that's the =
ballpark=20
we're talking about.=20
<P><!-- end format cw0 --><!-- begin format cw-3 -->If you're a player, =
and=20
you're looking at those numbers, what would you do? Would you take that =
kind of=20
financial loss in the hope that the owners will fold? Or would you =
negotiate=20
some kind of adjustment to the collective bargaining agreement that =
assures=20
everyone millions ever after?=20
<P><!-- end format cw-3 --><!-- begin format cw0 -->Lots of questions.=20
<P>And plenty of time to answer them.<!-- end format cw0 --><!-- begin =
format uf3030 --><!-- end format uf3030 --><!-- begin format zl1l =
--><!-- end format zl1l --><!-- begin format fs0 --><!-- end format fs0 =
--><!-- begin format dr.5,s5 --><!-- end format dr.5,s5 --><!-- begin =
format uf67 -->=20
</P></DIV>
<DIV><FONT color=3D#000000 size=3D2><A=20
href=3D"mailto:arnfarm@tvsonline.net">arnfarm@tvsonline.net</A><BR></FONT=
></DIV></BODY></HTML>

------=_NextPart_000_000F_01BDA5E2.F60BC3C0--