50-50 Split Not Enough for NBA Players

Posted: October 21, 2011 by RenzReport in NBA

Late Thursday night, news broke that the NBA players and owners could not agree to terms for a new CBA after 3 consecutive days and 30 hours worth of negotiations.  Thursday may have marked the last straw for both sides to agree to a deal.  Owners put out on the table 50-50 Basketball Related Income (BRI) to be shared between owners and players.  When the owners proposed the 50-50 split, they informed the players to take it or leave it.

In the previous CBA, the players received 57% share of BRI.  The initial proposal from the owners was for the players to go down to 47%, but the players want 53% of league revenue.  The owners met them at 50% but that isn’t enough for the players.

With the season originally planned to begin on November 1, all games through November 14 (100 total games) have been cancelled, costing players nearly $170 million in salaries.  Now the players are at risk of more games being cancelled and a loss of more game checks.

Check out the graphs below that represent individual player salary ranges and the amount of money they are at risk of losing based on negotiated BRI% in a new CBA:

Source: NBA Lockout Analysis: Simple Basketball Economics

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