Thursday, November 10, 2011

PLAYERS UNION ~ "TO BE OR NOT TO BE?"



Although impasse issues have previously occurred in labor disputes in both Major League Baseball and the National Football League, the biggest recent controversy is the National Basketball Association (“NBA”) and National Basketball Players Association (“NBPA” or “Union”) role in the NBA lockout.   The role of the Union is to represent the players in negotiation with the owners.

The current 2011 NBA lockout is the fourth lockout in the history of the NBA, which began at 12:01 am on July 1, 2011.  The lockout will remain in effect until the Union reaches a deal with the NBA owners.  The union generally negotiates on the player’s behalf for improvement in wages, however, in more recent negotiations involving major sports leagues, many unions have been seeking to maintain the current situation, also known as the status quo.

It is important to note that this is not a strike.  Although the effect is the same, the strategic difference between a strike and a lockout is the leverage assumed by each party. When it is timely implemented, a strike, or threat of a strike, is initiated by the union and becomes the chief weapon for the union.  It can be very effective if implemented prior to playoff or championship games, which is a great source of team revenue.

A lockout, or threat of a lockout, is initiated by the management and is leverage for the management.  It serves as the leagues’ and owners’ strategy. The optimal time to implement a lockout is prior to the start of the season, and before the players receive the majority of their salaries.  According to Mark Conrad, “The owners can save money, put pressure on the union for settlement, and not pay out any salaries as the weeks go by.” This is a tactic intended to force the players hands to salvage the season and their paychecks.

As of this date, David Stern, NBA Commissioner, and the owners have delivered an offer that most players feel is unacceptable.  According to CBS Sports’ Ken Berger, the Union could acquire half of the leagues needed signatures from the Players and deliver a petition for a vote to decertify the Union as early as Monday, November 14. “The union needs signatures from a third of its membership to order a vote, which would then be decided on a majority ballot. Delivering a petition with half of the union's Hancock could send chills through the NBA and signify the end of the 2011-12 season.” (Ziller, 2011)

What does it mean to decertify?  Charlie Zegers with about.com explained,

“"Decertification" of the NBAPA would mean the union would no longer have the authority to negotiate on behalf of the players -- essentially making every NBA player an independent contractor. Such a move would give the players some flexibility; they could challenge the salary cap as an anti-competitive measure under anti-trust law, for example. But they'd also be giving up any collectively-bargained benefits (pensions, minimum salaries, etc.) It's an option for the players, but it's probably a last resort.”

For more information about the implications of an NBPA decertification, watch this video!




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