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Changing the NFL Salary Structure


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ivanvamp

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I've been thinking about the NFL salary structure with non-guaranteed contracts, etc. The player doesn't seem to have much leverage as the NFL clubs can just cut them and not pay out the rest of the contract. But usually cutting them leaves teams with dead money against the cap. If you put your heart and soul into performing for your team, but suffer an injury, then the team can just cut you. Doesn't seem quite fair. Of course, this is how the CBA works, and the players agreed to it. I just think there's a better way. Here's my proposal.

Make contracts guaranteed, so if you cut a player, you still owe him the money. However, if you cut the player, the remainder of that contract does NOT count against the salary cap. This way, the players get some protection against being cut, but the teams still have the flexibility to pursue other players. I realize this will cost the owners some money. But it has the advantage of not crippling a team's salary cap so they can pursue other players still.

Now, what happens if a player gets cut and then gets picked up by another team? That team assumes his contract, OR they can negotiate a new one. But if they can't negotiate a new one, the old team still is on the hook to pay him the contract.

So for example...

Pats sign Hicks to a 4 year, $24 million deal, structured however they work out - any $ amount in any year, as long as it's at least at the league minimum. Actual $$ count against the cap. So let's say it's structured this way:

2016 - $7 m
2017 - $6 m
2018 - $5 m
2019 - $4 m

Let's say for whatever reason they cut him after 2017. He's still owed $5 million for 2018 and $4 million for 2019. But those figures don't count against the Pats' cap, so they can use that $9 million combined to pursue someone else they like. If Hicks goes unsigned, then the Pats still pay him the $9 million in actual dollars, so he has some security. If Hicks gets picked up by Philly, they can either stick with this current deal or they can negotiate something else. Let's say Hicks has fewer options and has to negotiate down to $4 million in 2018 and $3 million in 2019. So be it. But at least he gets $$. Why would he sign to play for less than he'd get sitting there? He probably wouldn't. The draw would be that he'd probably have to get signed for a third year to make it worth it. So I don't know how often teams would negotiate new deals versus just picking up the rest of the player's contract.

Obviously if Philly signs him at all, the Pats are freed up from paying him anything those remaining years, so they're off the hook financially.

This gives the player greater security but it gives teams flexibility vis-a-vis the cap.
 
i think a better option, in line with what you are saying, is that players will be given the option for full gaurneteed contracts, but that they would come at a rate of about 65% of normal.

Soinstead of top QB's getting 20-22 million a year not fully guaranteed, they would get 12-14 full guarenteed.

the end result would be similar money assuming they would had been cut, if it just had been all big up front, and a ton back loaded.
 
The point (theoretically) of a salary cap is that the teams are on an even playing field with regards to paid talent. So the richer markets and teams don't have an advantage (like teams in MLB) over small market teams, at least when it comes to players.

Your proposal gives the richer teams a leg up, because they can more easily recover from a bad deal. They don't care if they have to eat a few million, so long as they can replace that player with a better one under the cap. Smaller market teams wouldn't be able to do that.
 
So once you sign a long term contract with enough guaranteed money you are safe. You even dont have to play anymore, since the money is guaranteed. Dont negotiate with other teams, dont risk your health any further - just sit there, fat, dumb and happy, and let the $$ come in.
I dont see any team risk that.
 
There's no rule against fully-guaranteed contracts in the NFL. In fact IIRC Adam Vinatieri had one at one point (I'm not talking about playing under the franchise tag).

It's that players would rather roll the dice on themselves and bet that they won't get injured and will play up to the value of their contracts. Because there's no way that a team who gives a player a (say) $10mil non-guaranteed contract would give them a $10mil guaranteed contract. The team will demand to be paid (in the form of giving out a lower salary) for assuming that risk. So players would rather have a $10mil non-guaranteed contract than a $6mil guaranteed contract because (rightly or wrongly) they think they'll play out enough of the contract to come out ahead taking the non-guaranteed one.
 
Also, lots of contracts (especially for big-name free agents) have significant fractions of the contract guaranteed already.
 
If contracts were guaranteed, then the value of contracts would go down significantly for the overwhelming majority of players.
 
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