Player contracts and compensation about NFL

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The National Football League Players Association (NFLPA) has historically served as the labor union for NFL players. Among its duties is negotiating collective bargaining agreements (CBA) with league owners, which governs the negotiation of individual player contracts for all of the league's players. The NFLPA was established in 1956, and has decertified at least twice in its history during labor disputes: the 1987 strike and the 2011 lockout. where to buy cheap NFL Jerseys?ujersy is a good choice.

The most recent CBA was in place since 1993, and was amended in 1998 and again in 2006. But in 2008, the owners exercised their right to opt out of the agreement two years early.This has eventually led to a lockout in 2011, the NFL's first work stoppage since 1987, which is longer than Major League Baseball (1994 and beginning of 1995 seasons), the NBA (1998-99 season) or the NHL (2004-05 season canceled).

Under that recently expired CBA, players were tiered into three different levels with regards to their rights to negotiate for contracts:

Players who have been drafted (see below), and have not yet played in their first year, may only negotiate with the team that drafted them.If terms cannot be agreed upon, the players' only recourse is to refuse to play ("hold out") until terms can be reached.Players often use the threat of holding out as a means to force the hands of the teams that drafted them. For example, John Elway was drafted by the Baltimore Colts in 1983 but refused to play for them. He had a fallback option of baseball, as he had played in the New York Yankees organization for two summers while at Stanford. The Colts traded his rights to the Denver Broncos and Elway agreed to play.Bo Jackson sat out an entire year in 1986, choosing to play baseball in the Kansas City Royals organization rather than play for the Tampa Bay Buccaneers, the team that had drafted him. He reentered the draft the following year, and was drafted and subsequently signed with the Los Angeles Raiders.
Players that have played three full seasons in the league, and whose contract has expired are considered "Restricted Free Agents" (see below). They have limited rights to negotiate with any club.
Players that have played four or more full seasons in the league, and whose contract has expired, are considered "Unrestricted Free Agents"(see below) and have unlimited rights to negotiate with any club. Teams may name a single player in any given year as a "Franchise Player" (see below), which eliminates much of that player's negotiation rights. This is a limited right of the team, however, and affects only a small handful of players each year.

 

In the 2010 season, the CBA was not extended, thus changing the rules so that players don't become "Unrestricted Free Agents" until they have played at least six full seasons in the league. They will be "Restricted Free Agents" if they have three–five full seasons in the league. recommend directory: McCourty AFC #32 All-Star 2011 NFL Jersey.

Among the items covered in the CBA are: The league minimum salary
The salary cap
The annual collegiate draft
Rules regarding "free agency"
Waiver rules

The salary cap is defined as the maximum amount that a team may spend on player compensation (see above) in a given season, for all of its players combined. Unlike other leagues, for example the NBA (which permits certain exemptions) or Major League Baseball (which has a "soft cap" enforced by "luxury taxes"), the NFL has a "hard cap": an amount no team under any circumstances may exceed. The NFL also has a so-called "hard floor", a minimum payroll that each team is required to pay regardless of the circumstances.

The NFL salary cap is calculated by the current CBA to be 59.5% of the total projected league revenue for the upcoming year. This number, divided by the number of teams, determines an individual team's maximum salary cap. For 2008, this was approximately $116 million per team.For 2009, it increased to $127 million.As a result of the NFL owners opting out of the CBA two years early, in the absence of a new CBA 2010 will have no salary cap or floor.

Teams and players often find creative ways to fit salaries under the salary cap. Early in the salary cap era, "signing bonuses" were used to give players a large chunk of money up front, and thus not count in the salary for the bulk of the contract. This led to a rule whereby all signing bonus are pro-rated equally for each year of the contract. Thus if a player receives a $10 million signing bonus for a five-year contract, $2 million per year would count against the salary cap for the life of the contract, even though the full $10 million was paid up front during the first year of the contract.

Player contracts tend to be "back-loaded". This means that the contract is not divided equally among the time period it covers. Instead, the player earns progressively more and more each year. For instance, a player signing a four-year deal worth $10 million may get paid $1 million the first year, $2 million the second year, $3 million the third year, and $4 million the fourth year. If a team cuts this player after the first year, the final three years do not count against the cap. Any signing bonus, however, ceases to be pro-rated, and the entire balance of the bonus counts against the cap in the upcoming season. recommend directory: Miles Austin #19 Dallas Cowboys white NFL Jersey.

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This article was published on 2011/04/16