According to Pro Football Talk, Chicago Bears general manager Jerry Angelo is worried that a lockout of National Football League players would forever taint the game.
Simply, Angelo’s rant is utter nonsense.
Every business has expenses in order to make their service available to customers. What gets a business in trouble is allowing their expense to exceed the amount of sales revenue that is coming in. The fact of the matter is under the current collective bargaining agreement that is already happening.
No one will dispute that the last CBA was clearly lopsided towards the players. If you don’t think so then how about these numbers.
The salary cap was introduced in 1994 and was set at $34.6 million and rose to $85.5 in 2005 under the old designated gross revenue formula. That is an increase of almost $51 million over 12 years.
The current CBA was ratified prior to the 2006 regular season and in that CBA the formula for figuring the salary cap was changed. The change was so much favor of the players that in the last year of the salary cap in 2009 it was $128 million. That is an increase of $40 million over four years and that is way too much even for the NFL.
The current formula is hurting small market teams a lot to the point that even the Green Bay Packers are in trouble of losing money.
According to their financial report the Packers made only $9.8 million, which was down from $20.1 million in 2009. In 2007 the Packers profit was $34.2 million, which means profits are down $24.4 million due to players salary. That means if things are not corrected there is a good possibility that in two years the Packers will start losing money.
The fact of the matter is that the only way to fix this is through fixing the salary cap formula. Some people may say raise the price on luxury suites and tickets, but a business can only raise their prices so high before customer start walking away.
In the end, a lockout wouldn’t taint the game, because everyone knows that it is necessary for the future of the game.