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The PA’s five points of emphasis from Thursday’s festivities

The Toronto Sun's Terry Koshan conveniently snagged a copy of NHLPA executive director Donald Fehr's email to his 700-plus constituents, summarizing Thursday's collective bargaining events as seen through the PA's eyes. Prepare for technical terms!

1. Transition payment ("make whole"): We moved off of our $393 Million proposal and accepted the League's December 5 offer of $300 Million. This means there is an agreement on dollars.

2. Individual SPC (standard player contract) length and Variability of SPCs: The Owners have proposed (i) a limit of 5 years, except that Players who re-sign with their Clubs could contract for 7 years, and (ii) a 5% limit on year-to-year salary variability in long-term deals. We believe that these restrictions would devastate the "middle class" of players and result in the NBA model, where a few players earn huge salaries while pushing everyone else down toward the minimum. (Their proposal would also undermine the free-agent market by giving a significant advantage to Clubs that want to re-sign their own Players.) Moreover, in spite of our concerns, in order to close the deal we moved from of our last offer (a 10-year limit and no limit on variability) and instead proposed an 8-year limit on all SPCs and a variability limit of 25% over the term of the SPC, applied to contracts of 7 years or longer.

3. Pensions: We agreed to the Owners' proposal on pensions, which included the Players' commitment of $50 Million of the $300 Million transition payment in order to address Owners' concerns about their liability in the event of underfunding.

4. CBA Term: The League pressed hard for a 10-year term, moving off their previous proposal of 6 + 1, and doubling the length of their initial proposal of a 5 years. In fact, they've moved away from us on this issue from the very start. Nevertheless, in an effort to reach agreement, we made a major move towards them, offering an 8-year term, with a Player right to opt out after 6 years.

5. Cap Benefit Recapture: We again made a move towards the League, responding to their complaint that this provision must apply to existing SPCs as well as new ones, by offering to cover all existing contracts that have 7 years or more remaining.

Continued...And no, I don't know why the Sun newspapers are going to this "Sun Plus" format...Paid subscriptions are obviously thorny issues, but they annoy the hell out of me, especially as I like the Toronto Sun's Sunshine Girls...

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Comments

dougie's avatar

I started to read this, so I would have a version of the “facts”, but I said “Screw this. Either play hockey, or don’t.” The details are not meaningful to me anymore.

But this is where I would have read it, George, if I truly gave a shit any longer.

Posted by dougie on 12/07/12 at 10:08 AM ET

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Paul Kukla founded Kukla’s Korner in 2005 and the site has since become the must-read site on the ‘net for all the latest happenings around the NHL.

From breaking news to in-depth stories around the league, KK Hockey is updated with fresh stories all day long and will bring you the latest news as quickly as possible.

Email Paul anytime at pk@kuklaskorner.com

 

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