Who would you sympathize with In any other business, if when revenues grow by 50% in 7 years, the management would try to cut employees pay by 25%? I would definitely side with workers in such a case.
First of all, it is not a matter of like or dislike.
Second, it is not enough information here: increase in revenue does not alway mean increase in profit. I don't know anything about their expenses (btw, PA knows for sure). It wouldn't be matter if revenue skyrocketed, while expenses grow even faster. Look at some public companies' Form-10k for last 2-3 year. Many of them show increase in revenue, and decrease in profit. I haven't see nhl teams financial documents, however, I can reasonably assume they wont be far from the pattern I just mentioned. It is also indirectly proved by persistant talks about small market teams suffering despite inscreased revenue.
Fact is, without a union, everything the owners are asking for would be illegal...
Wow! Thats a bold statement. AFAIU, you refer to professional sports only, because I know plenty examples of businesses operating without unions and not concidered illegal. So, tell me, what is/are such drastic difference(s) that make operating proffesional sport team without a union illegal?
I think if there is no PA, there would be no CBA, salary cap, max salaries, etc and lockouts
... Any contract would be negotiated and signed by a team and a players, no one would force another to sign, etc.
Yes, you are right owners come up with idea of cap to restrict PA growing power. However, in the free market, they would love to pay what they think is reasonable and players are free to sign or reject.
Business also doesn't typically have a lottery to pick its employees as 18 year olds and tell them which franchise they work for, own their rights to be employed, or trade their employees for compensation.
You're really oversimplifying how a professional sports league works.
I haven't had a single conclusion about league operating complexity... I just said that businesses intend to generated profit, otherwise they'll eventually die.
Edited by ami, 18 September 2012 - 11:45 AM.