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Leagues and Governing Bodies

Sources: NFLPA Reps Approve Plan To Create Fund In Case Of Work Stoppage

The NFLPA board of representatives in March approved a resolution that will "divert millions of dollars in licensing royalties to a work-stoppage fund," according to sources cited by Tom Pelissero of USA TODAY. Based on current rates, that "could add in the neighborhood" of $90M to NFLPA coffers over the next four years before the current CBA expires around March '21, on "top of union dues that already are saved for that purpose." One of the sources said that players "still will receive their royalty checks this fall as usual" from FY '16. The source added that "only the 'equal share' distributed to all players will be affected starting next year, not any additional royalties earned by individuals." The NFLPA’s last annual report shows the equal share was $13,200 for '15 and "multiplied over 53 players on 32 active rosters, the total would be $22,387,200." The resolution says that "royalties would be held in the work stoppage fund until there is a work stoppage or upon a player’s retirement." If there is no work stoppage, the funds "would be paid out to players immediately upon approval of a new CBA." If there is a work stoppage, the funds "would be paid out as determined by the NFLPA board" (USATODAY.com, 5/12).

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