Sunday, July 15, 2012

Chirping The CBA: Alleged Opening Offer Terms


There are media reports that the owners have tabled a summary of an opening offer to the NHLPA.  Keeping in mind that an opening offer is as much about gauging the opposition's attitude as it is towards setting the table for constructive talks (ie: the details mean nothing in the grand scheme of things), let's quickly look at those same alleged details in the framework of my CBA wishlist:
  • Reduce players share of revenues from 57% to 46%: this is a meaningless position.  We know the owners want more of the pie.  46% is never going to happen.  It is a good starting point from which to compromise.
  • UFA status now only happens at 10 years, not 7:  This I think is a ridiculous idea.  How many players' careers make it even to the seven year mark?  Increasing the length of time a player's rights are "owned" does nothing for the game, really.
  • Contracts limited to five years: yeah, that's pretty much verbatim one of my wishlist items.  I like this.  I don't understand why the owners are talking sense in this matter.  It is not in the interest of the individual teams to have shorter contracts even if it is in the interest of the League's overall health.  Maybe the grownups really are in charge for once.
  • End salary arbitration: honestly I don't know enough about arbitration to make an intelligent comment about this.
  • Entry level deals five years instead of three:  I don't like this, I think that there needs to be some more give on the matter of entry level deals.  Forcing new guys into a standard cookie-cutter deal for three years is bad enough -- there's a difference between Erik Karlsson and Zack Smith right from the get-go.  Locking them both up for five years at the same peanuts rate is stupid.  My suspicion is that this is a throw-away position to be compromised away through negotiation.
  • No more signing bonuses: I don't like this.  How management and players structure the transfer of money to the players shouldn't be an issue, as long as the cap hit issue is addressed (see the next item).
  • Future deals all have the same financial value for each year of the contract:  This is why they want the signing bonuses eliminated, because it makes the math simple for analysts like Dave Hodge to follow without a capologist calculator.  I'd let owners and players structure deals differently through different years as long as the cap hit reflected the money paid.  If they want to pay some guy (say) an extra $1 million as a signing bonus in year 1, I have no problem with that, as long as the cap hit for that year reflected that $1 million.
Overall: this sounds like a pretty standard opening offer.  There's no way it will be accepted (not that the owners would be heartbroken if it was).  It is a starting point for discussion.  There's stuff to like in here and stuff to hate.  But I don't agree that this amounts to the owners "declaring war" on the NHLPA.  What matters more is how the NHLPA reacts to the offer, how reasonable they are with a counter-offer, and how willing to move the owners really are.  Only once we see that, probably over the next two or three weeks, will we really understand if we're dealing with a contract negotiation or a "war".