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Tag:Adam Silver
Posted on: September 26, 2011 1:32 pm
Edited on: September 26, 2011 1:59 pm
 

NBA, union to meet Tuesday

NEW YORK -- Officials from the NBA and its players' union are finalizing details of a bargaining session that will take place Tuesday in New York and possibly extend to Wednesday, a person familiar with the details told CBSSports.com.

With the prospect of two days of negotiations as the calendar marches toward the eventual canceling of regular season games in less than three weeks,  National Basketball Players Association executive director Billy Hunter has postponed a regional meeting that had been scheduled for Tuesday in Miami and will stay in New York for talks with the league, the person with knowledge of the meeting said.

On Friday, the league indefinitely postponed the start of training camps and canceled preseason games scheduled for Oct. 9-15. Deputy commissioner Adam Silver said the schedule will be further evaluated on Oct. 1. It is likely that the league would have to begin canceling regular season games by Oct. 14 if it is unable to reach an agreement with the union on a new collective bargaining ageement.

The precise composition and format for the negotiations is still being determined due to a scheduling conflict of at least one key member of the parties that have made progress in small-group settings since Aug. 31. Once that is resolved, the goal is to continue with the small-group sessions with commissioner David Stern, Silver, deputy general counsel Dan Rube and Spurs owner Peter Holt representing the league and Hunter, NBPA president Derek Fisher, general counsel Ron Klempner and economist Kevin Murphy representing the players.

Tuesday and Wednesday represent the last opportunities to bargain this week with several key members of both sides' negotiating teams observing Rosh Hashanah on Thursday and Friday.

Negotiations resume after the league made a slight but significant revision last week to its most recent proposal on how to divide the sport's approximately $4 billion in basketball-related income (BRI). Sources say the owners' latest economic proposal amounted to an average 46 percent of BRI for the players over the life of the deal, which the union deemed "unacceptable." But the revised proposal represented a 2 percent increase from the owners' June proposal of a flat $2.01 billion annual guarantee for the players in the first eight years of a 10-year deal. That proposal started at about a 50-50 split of BRI in the 2011-12 season, but with revenues projected to increase about 4 percent a year, the players' share would shrink over time -- to about 39 percent in the eighth year of the deal.

The latest proposal from the owners called for the players' share to decline at a slower rate, sources said. According to one of the people familiar with the negotiations, the players most recently proposed a six-year CBA that would begin with a salary freeze in the first year ($2.17 billion, same as they made last season) and then go to 54 percent -- a 3 percent decline from the players' guarantee of 57 percent in the six-year deal that expired July 1.

Hunter also has signaled a willingness to negotiate below the 54 percent offer, with the caveat that it not include the implementation of a hard salary cap. Sources say both sides have expressed a willingness to negotiate on system and cap issues once they agree on the economic aspects of the deal.




Posted on: September 23, 2011 11:45 am
Edited on: September 23, 2011 12:28 pm
 

Sources: Owners' offer still below 50 percent

NEW YORK -- More details emerged Friday of a revised proposal from the owners on the split of revenues with the players, with two sources telling CBSSports.com that the aggregate share offered by the league remains below 49 percent.

The number offered Thursday by commissioner David Stern and deputy commissioner Adam Silver was deemed "unacceptable" by representatives of the National Basketball Players Association, according to one of the sources familiar with the proposal. The two sides emerged from a five-hour negotiation with no deal and with full recognition that training camps would be postponed and preseason games would be canceled.

That inevitable and widely expected announcement came Friday, when the league postponed indefinitely the start of camps -- which were supposed to open Oct. 3 -- and scrapped 43 preseason games scheduled from Oct. 9-15.

The two sides are communicating Friday to schedule another bargaining session for next week, when the owners' gesture -- however small -- to move off the $2 billion-a-year players' share for the first eight years of a 10-year proposal is expected to accelerate negotiations on the economic portion of the agreement.

This is the first time the league has formally offered a number in terms of the BRI split since they proposed an annual guarantee of $2.01 billion as part of a 10-year proposal in late June.

It is both curious and an inevitable function of the calendar -- the league is still three weeks away from having to cancel regular season games -- that the owners emerged from a series of productive bargaining sessions and a full Board of Governors meeting to present a BRI split that still has the players receiving less than half of the league's approximately $4 billion in revenues. After NBPA executive director Billy Hunter stated his intention to go below the union's previous offer of a 54.3 percent share for the players, Stern and Silver acknowledged that an agreement on the economics was within reach.

Stern told reporters last Tuesday that the players' gesture -- which was preconditioned on the owners dropping their insistence on a hard salary cap -- was "on the road" to a compromise on the overall dollars.

"The question is, how long is that road?" one person connected to the talks said Friday. "Is it the Road to Hana?"

Under the six-year CBA that expired July 1, the players were guaranteed 57 percent of basketball-related income.

Examining the owners' June proposal of $2.01 billion for eight years, the numbers work out to an average of 44 percent of BRI for the players. (Estimating 4 percent annual revenue growth, total revenues in the first eight years of the deal would be approximately $36.4 billion, reaching $5 billion for the first time in league history in the seventh year.)

So even though the players would get an estimated 51 percent of BRI in the first year of the deal ($2.01 billion out of $3.95 billion), with revenues increasing and salaries remaining flat, their share would decline to 39 percent in the eighth year.

The numbers offered by league negotiators Thursday amounted to an average share for the players that was still less than 49 percent and provided what one person familiar with the numbers described as a lesser decline in their percentage over the years.

So in estimating how far apart the owners and players are economically, my presumption that the league must have offered more than 50 percent on Thursday -- since that's what they'd offered in the first year of the June proposal -- did not take into account the declining percentage over time. Since the previous offer was 44 percent in the aggregate over eight years, what the owners came forward with Thursday had to have been in the the 45-48 percent range on average over the life of a new CBA.

So how far apart are they? It's hard to say for sure since so many of the proposals have been hypothetical and they haven't gotten around to negotiating what system they'd be tied to. But if you look at a six-year horizon -- the longest proposal the players have offered -- the difference between 53 percent for the players and a possible owners' proposal of, say, 46 percent, would be about $2 billion.

What's a couple of billion among friends? It's a lot of ground to cover in three weeks, but vastly less than the $8 billion over 10 years that separated the two sides three months ago.







Posted on: September 23, 2011 11:23 am
Edited on: September 23, 2011 11:30 am
 

NBA postpones camps, cancels preseason games


NEW YORK -- As expected, the NBA on Friday indefinitely postponed the start of training camps and canceled preseason games scheduled from Oct. 9-15 -- a total of 43 games -- because it has yet to reach a new collective bargaining agreement with the players.

"We have regretfully reached the point on the calendar where we are not able to open training camps on time and need to cancel the first week of preseason games," deputy commissioner Adam Silver said. "We will make further decisions as warranted."

Camps were scheduled to open Oct. 3.

Although the owners on Thursday moved off their previously proposed split of revenues, the two sides were unable to reach an agreement. They remain apart on dollars andr continue to have opposing views on what kind of cap system the new CBA will have -- with owners wanting a hard cap and players calling it a "blood issue" they will not accept.

Commissioner David Stern was briefing the full labor relations committee by phone today and then the two sides will discuss scheduling details for another bargaining session early next week -- prior to the Jewish holidays, which begin Wednesday night and run through Friday.

 
Posted on: September 20, 2011 10:26 am
Edited on: September 20, 2011 12:48 pm
 

More NBA talks with on-time start at stake

NEW YORK -- With time running short on efforts to preserve an on-time start to the NBA season, the league and players' association will have a staff-level meeting Wednesday with the hopes that it will set the stage for the next round of bargaining, multiple sources told CBSSports.com.

The meeting Wednesday in Manhattan will not feature the heavy hitters for either side -- no Billy Hunter or Derek Fisher for the union, and no David Stern for the league, sources said. Some key figures involved in the talks requested this format, which will consist mostly of lawyers and staff for both sides.

UPDATE: It is unclear what items will be on the agenda, but the staff meeting is expected to set the stage for a possible meeting of top negotiators on Thursday, one of the sources familiar with the plans said. The two sides have been discussing the possibility of another high-level bargaining session this week after talks featuring the full committees broke down last week. Although the Thursday meeting is not yet confirmed, it is expected to include the same rosters as three small sessions that preceded last week's talks -- Stern, deputy commissioner Adam Silver, Spurs owner Peter Holt and deputy general counsel Dan Rube for the league with Hunter, Fisher, economist Kevin Murphy and lead attorneys representing the union.

After the full session last Tuesday left the two sides stalled on system issues and the owners' desire for (and players' resistance to) a hard cap, the players met Thursday in Las Vegas to reassure membership and urge players to stick together. The owners' full Board of Governors met the same day in Dallas, where the planning committee chaired by Celtics owner Wyc Grousbeck was expected to update the board on enhanced revenue sharing plans.

The fact that the two sides are willing to reconvene so soon after large-group talks stalled is neither a positive nor a negative sign until we learn what each side is bringing to the table. Sources familiar with the negotiations said the players want details about the owners' revenue sharing plans and a firm commitment from owners on how and when they plan to implement them. The two sides also remain entrenched in their respective positions on a hard salary cap, although Stern said last week that everything was negotiable and sources familiar with the league's stance say the owners have always been open to negotiating the changes to the system they are seeking.

After the large group session last week -- in which each side spent more time in separate rooms than actually bargaining face-to-face -- the dynamics are shifting back to the smaller sessions that prevailed in three meetings over the two weeks prior. With hopes of starting the season on time expected to dim significantly after this week, now would be the time for movement from both sides.



Posted on: September 9, 2011 4:24 pm
 

Sources: No movement on major NBA issues

NEW YORK -- As the basketball world awaits a crucial phase of the NBA labor talks next week, the devil we don't know has been in the details of accelerated negotiations that concluded Thursday with a second 5 1-2 hour session in as many days. And while the tone and pace of talks has picked up, CBSSports.com has learned that there has been no formal movement in either side's position on the biggest sticking points in the deal: the split of revenues and the cap system.

According to five people briefed on the three days of high-level talks over the past two weeks, the two sides essentially are in the same place they've been since the owners' most recent formal proposal in late June: billions of dollars apart.

"I don't think they've made any progress there at all," one of the people briefed on the negotiations told CBSSports.com. "They're talking a lot, and the conversations are more cordial. But as far as the real numbers, I don't think there's anything there."

Before panic sets in, it is not necessarily a doomsday scenario that no new numbers have been agreed upon because, as two of the people with knowledge of the talks said, exchanging formal proposals was not the objective of this week's negotiations. This, in addition to the agreed upon strategy for neither side to discuss specific negotiating points, explains the vague answers given Thursday by union president Derek Fisher and deputy commissioner Adam Silver when pressed on whether new proposals have been exchanged.

"Ideas, proposals, concepts and numbers" have been discussed, Silver said, while Fisher said "tons of ideas" were exchanged. What this means is that Tuesday's full negotiating session including the complete bargaining committees for both sides could be extraordinarily significant. The larger meeting will serve as a litmus test for the concepts discussed in smaller groups consisting of Silver, commissioner David Stern, Spurs owner Peter Holt, deputy and general counsel Dan Rube for the owners and Fisher, executive director Billy Hunter, general counsel Ron Klempner, outside counsel Jeffrey Kessler and economist Kevin Murphy for the union.

"Next week's really important," one of the people briefed on the talks said.

But another person connected to the talks at the highest level stressed that the significance of Tuesday's meeting would be greatly enhanced only if one side or the other decided it was time to transform the ideas discussed at recent meetings into a formal proposal. Technically, it is the owners' turn to make one, as the players were the last side to do so June 30 before the lockout was imposed.

"The reality is, until one side or the other is ready to make significant movement, nothing is going to happen," the person said.

According to one of the people familiar with the talks, Fisher's statement Thursday about making sure "our general membership" agrees with ideas before he can "sign off on those type of deals" suggested that negotiators presented new concepts that must be vetted with a larger group of players before they can be negotiated further. The goal Tuesday will be to see if the conceptual, small-group discussions can provide any framework for the larger groups until the owners disperse for their Board of Governors meeting in Dallas. Both sides seem to be feeling a sense of urgency to present a significant status report to their constituents on Thursday, when the players also have scheduled a meeting in Las Vegas to update union members on the talks. 

It's when you consider the possibility that each side may prefer to report to its constituents that it is holding the line and not making any more concessions that the prospects for a breakthrough seem remote.

"They're bringing the full committees in to sit down with each other and see if they can make any progress by Thursday," one of the people with knowledge of the talks said. "They'll either say, 'Here, we've made progress and here's where we're at,' or, 'We're not making any progress and we're light years apart.'"

Sources say the two sides are trying to tackle the biggest obstacle first -- the split of revenues -- before fully addressing the system by which the money will be distributed. One of the people informed of the state of negotiations said the players have expressed a willingness to compromise on the split of revenues -- they received 57 percent under the previous deal and have proposed 54.3 percent as a starting point in a new collective bargaining agreement -- if they can keep many aspects of the current system in place, such as guaranteed contracts and contract lengths. But if asked to accept a dramatic decrease in their percentage of BRI and a curtailment of guarantees, rookie scale, cap exceptions and contract lengths, "I think the players would fight that to the end," one of the people said.

The owners' proposal to cut salaries and hold them steady at $2 billion a year "is a big point," one of the people said. "But the cap is an even bigger point. The players are willing to give back more if the structure and the NBA operating the way we've always known it stays the same or similar."

As Silver has said on more than one occasion, the owners are unified in their belief that they cannot continue operating under the current system.

The most recent concessions by the owners that were made public included a "flex-cap" with a $62 million midpoint and a sliding scale up and down -- similar to the cap system implemented in the NHL after a lockout that cost the entire 2004-05 season. On June 23, the players declined to counter that proposal after Hunter called the owners' demands "gargantuan" and said, "We just can't meet them." At the time, the owners also expressed a willingness to relax their insistence on eliminating fully guaranteed contracts -- which Hunter has called a "blood issue" for the players.

The players' most recent publicly known concessions included a $100 million-a-year salary reduction over a five-year CBA -- which Stern called "modest" and league negotiators view as more of a $100 million-a-year decrease in salary growth. Subsequently, the players offered a more owner-friendly split of future revenues and added a sixth year to their proposal, which Stern rejected June 30 because he said it would increase the average NBA player's salary from its current level of $5 million to $7 million by the end of the proposed deal.




Posted on: September 7, 2011 5:43 pm
 

Stern: 'Three weeks' to get a deal

NEW YORK -- With rhetoric toned down and secrecy at a premium, top officials from the NBA and its players' union met Wednesday for more than five hours and emerged saying they've agreed on nothing except the next meeting.

After the second high-level bargaining session in as many weeks, the two sides will meet on consecutives days for the first time since the lockout was imposed July 1. Sticking to a mutual agreement not to charaterize the talks or divulge details, lead negotiators from both sides acknowledged that time was running out to get a deal that would avert a shortened or canceled season.

When asked if there was still time to achieve such a negotiating breakthrough, commissioner David Stern said, "Yes. We have three weeks."

With that, Stern dropped the first publicly acknowledged deadline for a deal to be reached without canceling at least a portion of training camps or preseason. Three weeks from Wednesday is Sept. 28, and training camps league-wide are scheduled to begin the first week of October.

Asked if there is still time to agree on a new collective bargaining agreement without missing regular season games, union chief Billy Hunter said, "I think there is. I think there clearly is. There's more than enough time."

In addition to the rosters of negotiators present at the most recent session on Aug. 31 -- Stern, deputy commissioner Adam Silver and Spurs owner Peter Holt for the owners, and Hunter, president Derek Fisher and general counsel Ron Klempner for the players -- other members of the negotiating teams were in the room Wednesday. The players brought outside counsel Jeffrey Kessler and economist Kevin Murphy, while  the league brought deputy general counsel Dan Rube. The presence of Rube, the leading expert on cap mechanics and player contracts at the league office, may have indicated a shift to more specific, system-related talks. But Stern tersely rejected the notion that Rube's presence was related to what topic areas were discussed.

The two sides will meet again Thursday, and possibly beyond, as the calendar continues its inexorable march toward the possible cancelation of preseason or even regular season games. 

"We agreed that we're going to sit here for as many days as we can to see if we're going to be able to make progress," Stern said. 
Posted on: September 6, 2011 3:38 pm
Edited on: September 6, 2011 3:44 pm
 

League, players meeting on two fronts Wednesday

NEW YORK -- It will be a busy day Wednesday in the NBA labor case, with another bargaining session featuring only the heaviest hitters and activity in the league's federal lawsuit against the players, as well.

In addition to the second meeting in as many weeks among the top negotiators for both sides, the judge in the NBA's federal lawsuit in the Southern District of New York has called a telephone conference for 5 p.m. Wednesday. U.S. District Judge Paul Gardephe has ordered attorneys for both sides to join a conference call to discuss the scheduling of hearings, the basic positions on each side and the motion to dismiss the players' attorneys have informed the court they will be filing.

In short, it will be the busiest day of the lockout, now in its third month, since the NBA sued the National Basketball Players Association in federal court and also filed an unfair labor practices charge with the National Labor Relations Board on Aug. 2.

Progress? Maybe. The two sides at least have been able to agree on how to conduct the negotiations, even if they remain fairly entrenched in their positions. All precautions the league and players have agreed to -- limiting the number of people in the room for bargaining sessions, endeavoring to keep the timing and location of the talks secret and vowing not to publicly discuss what happens in the meetings -- have been steps that are conducive to constructive negotiations that actually could lead to a compromise.

The sessions that led to the July 1 lockout and the first two meetings thereafter were tinged with rhetoric and ill will -- distracting forces that have since been eliminated. As was the case the last time the two sides met, Wednesday's meeting will be limited to commissioner David Stern, deputy commissioner Adam Silver and Spurs owner Peter Holt representing the league side with union chief Billy Hunter, president Derek Fisher and lead counsel Ron Klempner appearing for the players.

As for the legal developments, the federal court conference is a mere formality, but a reminder to all involved on both sides that the case will move forward at an excruciatingly slow pace if they don't reach an agreement in time to avoid the cancellation of games. In the players' NLRB case, which remains the most expeditious path to legal leverage for either side, the investigation has concluded and both sides are awaiting a decision from the board. No one on either side is willing to hazard a guess as to when that will happen.

One thing both sides have agreed on from the beginning is that the only realistic resolution to this dispute will happen at the bargaining table, and so it should be taken with a reasonable amount of optimism that the only people with the power to make that happen will be staring across the table at each other again Wednesday for the second time in 14 days. It isn't insignificant at all.

Longtime NBA writer Chris Sheridan, who has left ESPN to launch his own site, has been more optimistic than most from the beginning. And Sheridan, national NBA writer for the Associated Press for a decade before spending the past six years at ESPN, launched the aforementioned site Tuesday with a carefully executed piece detailing why the two sides aren't as far apart as they've been letting on. In the newspaper-dominated days when Sheridan covered the 1998-99 lockout, there was no more challenging job in sports media than covering a competitive national news story for the AP, so he knows of what he speaks.

My take: Nothing has changed, per se, on either side. But what we're beginning to witness with the secretive meetings with only the big dogs invited is a demonstration that the league and players are meandering down the path they have been destined to travel for months. The loud, destructive voices have been banished from the negotiating room, the rhetoric has been toned down or eliminated and the time has come to "give peace a chance," as one source deeply involved in the talks put it.

The heating up of meaningful bargaining is in lock step with the timetable and various external forces I laid out for you here, when I predicted on July 1 that the league and players would agree on a new collective bargaining agreement in time to avoid missing any regular season games. It's worth reading back on that predicted timeline now, because Wednesday's bargaining session will occur one day before a very key date in my timeline: Sept. 8, opening night of the NFL season. The NFL owns the fall sports calendar no matter what, but there's great risk to the NBA and to the players if they give up whatever foothold both have worked so hard to achieve.

In the absence of any external legal pressure or leverage for either side, the calendar is beginning to do its job. That doesn't mean there will be a deal in the next six weeks and that a shortened or lost season will be averted. But it means that an environment conducive to actually negotiating finally has been achieved. And for those hoping to see the NBA on display in 2011-12, that is anything but a bad thing.


 


Posted on: August 25, 2011 12:46 pm
Edited on: August 25, 2011 1:04 pm
 

League, union to meet next week

NEW YORK -- While owners and players are not expected to hold the second full bargaining session of the lockout until next month, a high-level meeting of top negotiators for both sides will take place next week, a person with knowledge of the meeting confirmed to CBSSports.com on Thursday.

The session is expected to include only the highest-level people from both sides, likely limited to commisioner David Stern, deputy commissioner Adam Silver, union chief Billy Hunter and president Derek Fisher, the person said. Also possibly in attendance could be Spurs owner Peter Holt, the chairman of the owners' labor relations committee.

The limited number of people in the room and the fact that both sides are trying to keep the meeting quiet -- not even divulging the date or location in an effort to avoid media coverage -- should be seen as positive signs. Though full bargaining sessions featuring multiple owners and players get more public attention, smaller sessions -- especially involving the lead negotiators -- typically are more conducive to serious negotiation.

The sides have convened only one full bargaining session since owners imposed the lockout on July 1, and the day after that session, the NBA filed an unfair labor practices charge and federal lawsuit against the National Basketball Players Association.

There is no indication that either side's position has changed. In fact, to the contrary, as NBPA officials travel the country informing players of the status of talks, the rhetoric from both sides has reached an unhealthy level. Players have beome incensed with Stern's public characterization of the owners' position in various media appearances, and their latest retort came Wednesday from union vice president Maurice Evans, who took Stern to task for his portrayal of the owners' latest offer.

 "In the proposals we've given them, the players have compromised over $650 million into the owners' pockets over six years," Evans said. "You say you're losing money, and we've offered over $100 million a year to take out of our pockets and they say, 'That's all? That's all? Just a modest $100 million a year?' That's just not bargaining in good faith. It's hard to get anything done that way."

No significant movement is expected until the players' unfair labor practices complaint is acted upon by the National Labor Relations Board or the two sides get close enough to a time when regular season games would be jeopardized. As in the 1998-99 lockout, mid-October represents the timeframe when the league would have to begin canceling games.

A complaint from the NLRB against the league on the players' charge of failing to bargain in good faith, which could come in the next 30 days, would provide leverage for the NBPA in the form of a possible federal injunction lifting the lockout. Conversely, a failure in the players' bid to get the NLRB to issue a complaint would bolster the owners' position. Either result would be likely to spur more serious bargaining and enhance the chances of compromise. 

Until then, a small meeting of the most important minds involved in the process couldn't hurt. 
 
 
 
 
The views expressed in this blog are solely those of the author and do not reflect the views of CBS Sports or CBSSports.com