NFL labor: Owners OK deal, players yet to vote
COLLEGE PARK, Ga. — The country's most popular sport is in limbo for at least another day.
NFL owners overwhelmingly approved a tentative agreement Thursday to end the lockout, provided players re-establish their union and sign off on the deal. The players, however, didn't vote, saying they had not seen the full proposal.
Owners voted 31-0 — the Oakland Raiders abstained — and soon afterward, the league issued a press release announcing: "NFL clubs approved today the terms of a comprehensive settlement of litigation and a new 10-year collective bargaining agreement with the NFL Players Association."
Then NFLPA head DeMaurice Smith sent an email to team reps saying: "Issues that need to be collectively bargained remain open; other issues, such as workers' compensation, economic issues and end of deal terms, remain unresolved. There is no agreement between the NFL and the players at this time."
Players held a conference call Thursday night and decided not to vote.
Commissioner Roger Goodell spoke on the phone several times Thursday with Smith, including filling him in on the results of the vote before it was announced.
"Hopefully, we can all work quickly, expeditiously, to get this agreement done," Goodell said at a news conference at an Atlanta-area hotel. "It is time to get back to football. That's what everybody here wants to do."
But several players took to Twitter, expressing opposition to the proposal. Pittsburgh Steelers safety Ryan Clark wrote: "The owners want u to believe that they have been extremely fair everywhere and this is their 'olive branch' to finalize it."
The four-month lockout is the NFL's first work stoppage since 1987. And as a result, this season's exhibition opener was canceled Thursday — the Aug. 7 Hall of Fame game between Chicago and St. Louis in Canton, Ohio.
"The time was just too short," Goodell said. "Unfortunately, we're not going to be able to play the game this year."
Providing players eventually approve the agreement, team facilities would open Saturday, and the new league year would begin Wednesday.
Owners exercised an opt-out clause in the old collective bargaining agreement in 2008, setting the stage for the recent labor impasse. The new deal does not contain an opt-out clause.
"I can't say we got everything we wanted to get in the deal," New York Giants owner John Mara said. "I'm sure (players) would say the same thing. ... The best thing about it is our fans don't have to hear about labor-management relations for another 10 years."
Thursday's owners meeting near Atlanta's airport lasted nine hours — including breaks for lunch and dinner. Black limousines that lined up outside at midafternoon wound up waiting and waiting for owners to emerge. More than 100 members of the media packed into the lobby and lined the hallways leading to the conference room where the owners met behind closed doors.
After word of the owners' vote emerged, one fan at the hotel, Dave Gower of Knoxville, Tenn., said: "Finally. I don't understand why it took so long. I hope the players take it and run with it."
The old CBA expired March 11, when federally mediated negotiations fell apart, and the owners locked out the players hours later. Since then, teams have not been allowed to communicate with current NFL players; players — including those drafted in April — could not be signed; and teams did not pay for players' health insurance.
The basic framework for the league's new economic model — including how to split more than $9 billion in annual revenues — was set up during negotiations last week.
"These things, by their very nature, aren't supposed to make you necessarily happy when you walk out the door. It was a negotiation," Cowboys owner Jerry Jones said. "I don't mean to sound negative, but it isn't exactly like Christmas has come along here."
Final issues involved how to set aside three pending court cases, including the antitrust lawsuit filed against the NFL in federal court in Minnesota by Tom Brady and nine other players. NFL general counsel Jeff Pash said the owners' understanding is that case will be dismissed.
One thing owners originally sought and won't get, at least right away, is expanding the regular season from 16 games to 18. That won't change before 2013, and the players must agree to a switch.
"We heard the players loud and clear. They pushed back pretty hard on that issue," said Atlanta Falcons president Rich McKay, chairman of the league's competition committee.
Goodell also announced that owners approved a supplemental revenue-sharing system, something Smith noted in his email to team reps. "Obviously, we have not been a part of those discussions," he wrote.
Even after all acceptable terms are established, a deal would lead to a new CBA only if NFLPA team reps recommend re-establishing the group as a union, which must be approved by a majority vote of the 1,900 players.
In March, when talks broke down and the old CBA expired, the NFLPA said it was dissolving itself as a union and instead becoming a trade association, a move that allowed the players to sue the league under antitrust law. But only a union can sign off on a CBA.
"We think we have a fair, balanced agreement," Panthers owner Jerry Richardson said.
The deal would make significant changes in offseason workout schedules, reducing team programs by five weeks and cutting organized team activities (OTAs) from 14 to 10 sessions. There will be limited on-field practice time and contact, and more days off for players.
Current players would be able to stay in the medical plan for life. They also will have an injury protection benefit of up to $1 million of a player's salary for the year after his injury and up to $500,000 in the second year after his injury.
A total of $50 million per year will go into a joint fund for medical research, health-care programs, and charities.
If the players approve the deal, the NFL would go back to the business of football pretty quickly:
—On Saturday, teams can stage voluntary workouts at club facilities, and players may be waived. Contracts can be re-negotiated and clubs can sign draft picks and their own free agents. Teams can also negotiate with, but not sign, free agents from other clubs and undrafted rookies.
—On Sunday, teams can sign undrafted rookies.
—On Wednesday, the league year officially begins, so free agency opens in full, and all training camps will open with a 90-man roster limit; activities that day will be limited to physicals, meetings and conditioning. All clubs must be under the salary cap.
—Players can practice without pads next Thursday and Friday.
Key terms of proposed deal
ECONOMICS:
— Salary cap plus benefits of $142.4 million per club in 2011 ($120.375 million for salary and bonus) and at least that amount in 2012 and 2013.
— Beginning in 2012, salary cap to be set based on a combined share of "all revenue," a new model differentiated by revenue source with no expense reductions. Players will receive 55 percent of national media revenue, 45 percent of NFL Ventures revenue and 40 percent of local club revenue.
— Also beginning in 2012, annual "true up" to reflect revenue increases or decreases versus projections.
— Clubs receive credit for actual stadium investment and up to 1.5 percent of revenue each year.
— Player share must average at least 47 percent for the 10-year term of the agreement.
— Leaguewide commitment to cash spending of 99 percent of the cap in 2011 and 2012.
— For the 2013-2016 seasons, and again for the 2017-2020 seasons, the clubs collectively will commit to cash spending of at least 95 percent of the cap.
— Each club will be committed to cash spending of 89 percent of the cap from 2013-2016 and 2017-2020.
— Increases to minimum salaries of 10 percent in Year 1 with continuing increases each year of the agreement.
PLAYER AND HEALTH SAFETY:
— Reducing the offseason program by five weeks, reducing organized team activities from 14 to 10;
— Limiting on-field practice time and contact;
— Limiting full-contact practices in the preseason and regular season;
— Increasing number of days off for players.
— Opportunity for current players to remain in the player medical plan for life.
— An enhanced injury protection benefit of up to $1 million of a player's salary for the contract year after his injury and up to $500,000 in the second year after his injury.
— No change to the 16-game regular-season/4-game preseason format until at least 2013; any subsequent increase in the number of regular-season games must be made by agreement with the NFL Players Association.
— $50 million per year joint fund for medical research, healthcare programs and NFL Charities, including NFLPA-related charities.
RETIRED PLAYER BENEFITS:
— Over the next 10 years, there will be additional funding for retiree benefits of between $900 million and $1 billion. The largest single amount, $620 million, will be used for a new "Legacy Fund," which will be devoted to increasing pensions for pre-1993 retirees.
— Other improvements will be made to post-career medical options, the disability plan, the 88 Plan, career transition and degree completion programs, and the Player Care Plan.
DRAFT AND FREE AGENCY SYSTEM:
— An annual draft of seven rounds, plus compensatory picks for teams which lose free agents.
— Unrestricted free agency for players after four accrued seasons; restricted free agency for players with three accrued seasons.
— Free agency exceptions for franchise and transition players.
ENTRY LEVEL COMPENSATION SYSTEM:
— All drafted players sign four-year contracts.
— Undrafted free agents sign three-year contracts.
— Maximum total compensation per draft class.
— Limited contract terms.
— Strong anti-holdout rules.
— Clubs have option to extend the contract of a first-round draftee for a fifth year, based on agreed-upon tender amounts.
— Creation of new fund to redistribute, beginning in 2012, savings from new rookie pay system to current and retired player benefits and a veteran player performance pool.
2011-2012 TRANSITION RULES:
— Special transition rules to protect veteran players in 2011. All teams will have approximately $3.5 million in what would otherwise be performance-based pay available to fund veteran player salaries.
— Each club may "borrow" up to $3 million in cap room from a future year, which may be used to support veteran player costs.
— In 2012, each club may "borrow" up to $1.5 million in cap room from a future year. Both these amounts would be repaid in future years.
OTHER:
— No judicial oversight of the agreement. Neutral arbitrators jointly appointed by the NFL and NFLPA will resolve disputes as appropriate.
— Settlement of all pending litigation.