Nov 7, 2012, 10:56 AM EST
CBA negotiations between the NHL and NHLPA are expected to resume sometime later this afternoon in New York, with the focus of the discussions reportedly on the so-called “make whole” provision.
The “make whole” provision was first introduced in mid-October when the league made its 50-50 offer to the union. It was intended to satisfy the players’ demands that all current contracts be paid out in full under a new CBA.
The League proposes to make Players “whole” for the absolute reduction in Players’ Share dollars (when compared to 2011/12) that is attributable to the economic terms of the new CBA (the “Share Reduction”). Using an assumed year-over-year growth rate of 5% for League-wide revenues, the new CBA could result in shortfalls from the current level of Players’ Share dollars ($1.883 Billion in 2011/12) of up to $149 million in Year 1 and up to $62 million in Year 2, for which Players will be “made whole.” (By Year 3 of the new CBA, Players’ Share dollars should exceed the current level ($1.883 Billion for 2011/12) and no “make whole” will be required.) Any such “shortfalls” in Years 1 and 2 of the new CBA will be computed as a percentage reduction off of the Player’s stated contractual compensation, and will be repaid to the Player as a Deferred Compensation benefit spread over the remaining future years of the Player’s SPC (or if he has no remaining years, in the year following the expiration of his SPC). Player reimbursement for the Share Reduction will be accrued and paid for by the League, and will be chargeable against Players’ Share amounts in future years as Preliminary Benefits. The objective would be to honor all existing SPCs by restoring their “value” on the basis of the now existing level of Players’ Share dollars.
The problem the players had with the proposal is that future reimbursement was to be chargeable against the players’ share of revenue, meaning players would essentially be paying players to make it work.
Last week, however, it was reported that the league was willing to absorb some or all of the reimbursement. Which brings us to today, when the NHL will presumably explain its plan to the NHLPA.
The Globe and Mail’s James Mirtle has a good breakdown of the “make whole” provision, if you’re a big fan of math.
Mar 6, 2015, 6:39 PM EST
Those contract extensions were announced Friday.
Mar 6, 2015, 5:00 PM EST
Meaning Anders Lindback looks to play against Ottawa tonight.
Mar 6, 2015, 4:00 PM EST
“There’s no such thing as a ‘must-win.’ Nobody gets locked up or thrown in the ocean or anything like that.”
Mar 6, 2015, 3:13 PM EST
Gritty forward will miss most of the remainder of the regular season.
Mar 6, 2015, 2:19 PM EST
“There’s no question Chiarelli would have a chance to work as soon as he wanted to.”
Mar 6, 2015, 2:03 PM EST
News and notes from around the crease…
Mar 6, 2015, 1:43 PM EST
Not the best timing for Winnipeg.
Mar 6, 2015, 1:13 PM EST
Making it virtually impossible for him to play again this season.
Mar 6, 2015, 1:10 PM EST
However, “We’re not hearing that from fans. Fans like the way the game is.”
Mar 6, 2015, 12:41 PM EST
The Scotiabank Saddledome opened in 1983.
Mar 6, 2015, 12:38 PM EST
It’s likely he’ll take the morning skate on Saturday.
Mar 6, 2015, 12:08 PM EST
“It was a mutual agreement between both parties.”
Mar 6, 2015, 11:50 AM EST
Hence, all the trades.
Mar 6, 2015, 11:43 AM EST
Huge blow to Colorado’s already slim playoff chances.
Mar 6, 2015, 11:01 AM EST
A bad week for the Jets and Canucks.
Mar 6, 2015, 10:53 AM EST
Which is good, considering he’s in the final year of his entry-level deal.
Mar 6, 2015, 9:50 AM EST
Both players were scheduled to become restricted free agents after this season.
Mar 6, 2015, 9:45 AM EST
He was handed the key to the city on Thursday in Ottawa.
Mar 6, 2015, 8:50 AM EST
He’s been out of the lineup since Feb. 13.
Mar 6, 2015, 8:00 AM EST
Friday’s collection of links.
- Byfuglien out 2-4 weeks with upper-body injury; Little hurt, too 9
- Bettman concedes there are ‘some members of the NHL family who would like to see fewer shootouts’ 40
- Season over: Avs lose MacKinnon to broken foot 19
- Playoff watch — what the bubble teams need to do 18
- Bruins sign Krug and Smith to contract extensions 35
- Lawyer: Ribeiro to ‘vigorously fight’ $1M lawsuit alleging abuse of ex-nanny (Updated) 15
- In praise of the Hamburglar 14
- Leafs’ Panik latest to be fined for diving 9
- Connor McDavid is just on fire right now 21
- Video: Zidlicky’s first goal with Detroit gives Red Wings OT win over Rangers 32