The National Basketball Association is a prominent men’s professional basketball league, with over 5.5 million viewers during the 2011 final game^1. Unfortunately, immediately after the final game, the NBA players and owners began disputing on player salaries. The purpose of this disagreement is that the team owners want to make a decrease in the player salaries, but the players are unwilling to give up the asked amount^2. After several meetings, the NBA’s commissioner and representatives have decided to pursue a lockout, having many questions it’s future. As a result, are NBA players being intelligent by not accepting a lower salary, or just stubborn?
First, the salary decrease is quite reasonable because it will not substantially affect the player’s income. In 2011, the players would receive 57% of the total revenue made through the NBA. The team owners want to decrease this to 54%; a decrease of 3% in player incomes^3. Therefore, the salary cap for each team will drop from 58 million to 56.42 million dollars^3. Furthermore, It seems that the Owners have no intention on reconsidering their decision; consequently, the players will have no job at all if they do not accept the proposed incomes.
Footnotes:
^1- Bill Gorman, 11/05/27, http://tvbythenumbers.zap2it.com/2011/05/27/2011-nba-playoffs-on-tnt-average-5-5-million-viewers-most-watched-in-cable-television-history/94080/
^2-Sid Chadha, 11/09/22, NBA Lockout Overview, http://gotsportsblog.com/nba-lockout-overview/
^3- NBA News, Official NBA website, 11/10/09, http://www.nba.com/home/index.html