Mark Cuban Is Flawed About Why WNBA Pay Is So Low

Throughout the previous few months, numerous WNBA gamers have argued the league ought to improve its participant salaries. A partial record of these making this argument would come with A’ja WilsonSeimone AugustusKia NurseLiz Cambage, Brittney Griner, Layshia Clarendon, Skylar Diggins-Smith and Elena Delle Donne.

The common wage within the NBA is reported to be $7.four million, whereas common pay in the WNBA is reported to be lower than $80,000. Nonetheless, as Kelsey Plum notes, these numbers alone usually are not the difficulty:

“I’m uninterested in folks considering that us gamers are asking for a similar sort of cash as NBA gamers. We’re asking for a similar share of income shared inside our CBA. NBA gamers obtain round 50 % of shared income inside their league, whereas we obtain round 20 %.”

The 20 % determine Plum mentions was initially famous in an article I wrote for Forbes. Though many gamers suppose this share illustrates how women and men are handled in a different way by skilled basketball, Mark Cuban, proprietor of the Dallas Mavericks, lately argued that the pay distinction between the NBA and WNBA isn’t about gender:

“The distinction is the entire quantity of income,” he stated. “It’s not a gender situation. It’s similar to we paid a decrease share to the boys till the revenues went up. And when our revenues went up, we have been in a position to pay the next share.”

This argument might sound affordable on the floor. Nonetheless, information from sports activities historical past make it clear that Cuban is wrong concerning the hyperlink between league income and the way a lot the leagues pay their gamers.

Participant pay in a sports activities league isn’t about how a lot income the league is incomes. What issues is the alternatives made by the leagues.

To see this, let’s begin with some baseball historical past. In response to information collected by economist Rodney Fort, the common Main League Baseball staff in 1953 had $2.1 million in income. Fifteen of those 16 groups reported participant payroll information. On common, these groups paid $426,154 in salaries. That implies that in 1953, the common staff paid about 20.7 % of its income to its gamers. 

In different phrases, baseball in 1953 paid about in addition to the WNBA as we speak.

Now let’s flip to the NBA. Fort additionally stories information from the Seattle Supersonics in 1968-69 season. On the time, the Supersonics reported that they earned $992,000 in income. Fort doesn’t report common salaries from that season.

However for the 1970-71 season, Fort stories that the common wage on the Sonics was $45,000. With 14 gamers on the staff that season, the Sonics paid out $630,000 in salaries. If we assume income in 1970-71 was much like income simply two years earlier, then the Sonics in 1970-71 have been paying 63.5 % of their income in participant salaries.

That 12 months, the NBA was in its 25th season, about as outdated because the WNBA is as we speak. Nonetheless, the Sonics seem to have paid a a lot increased share of its income to its gamers than the WNBA is presently paying theirs.

Twelve years later in 1982-83, an article by David DuPree in The Washington Publish indicated that the NBA paid out about 59 % of its income in participant salaries (64 % should you embody Dupree’s estimate of participant advantages and insurance coverage).

NBA groups in 1983 had decrease income in actual phrases (i.e. as we speak’s ) than a baseball staff 30 years earlier. However similar to we noticed with the Sonics, the share of income paid out in salaries was nonetheless a lot increased.

So why did baseball pay so little (in share phrases) in 1953 and the NBA was paying a lot extra just a few many years later? The difficulty is the bargaining energy of the employees and the alternatives this energy allowed groups to make.

In 1953, every baseball participant’s contract included the reserve clause. This clause acknowledged that when a participant’s contract expired, a staff had the proper to resume the contract for one 12 months below phrases the staff would decide. This clause ― because it was interpreted by baseball groups ― tied a participant to a selected staff for so long as the staff wished to make use of the participant. Which means gamers in 1953 had little or no bargaining energy. Consequently, baseball groups selected to pay its gamers comparatively little.

The NBA within the late 1960s confronted a really totally different labor market. In 1967, the American Basketball Affiliation (ABA) started operations. That meant skilled basketball gamers within the late 1960s might work for both the NBA or the ABA. With a couple of staff bidding for a participant’s providers, bargaining energy for gamers elevated and so too did the participant’s compensation.

In different phrases, NBA groups had to decide on to pay gamers comparatively extra with the intention to preserve them within the league.

Skylar Diggins-Smith has argued the WNBA should increase the salaries paid to its players.



Jessica Hill/ASSOCIATED PRESS

Skylar Diggins-Smith has argued the WNBA ought to improve the salaries paid to its gamers.

After 1976, the ABA ceased operations. However that very same 12 months, the NBA additionally settled a go well with filed in 1970 by the Gamers Affiliation, then led by Oscar Robertson, that gave NBA gamers the flexibility to proceed to elicit gives from a number of groups. Such bargaining energy allowed NBA salaries to maintain rising.

In 1983, NBA gamers agreed to a cap on payrolls (i.e. the wage cap) that assured the gamers at the least 53 % of league income. In different phrases, gamers seem to have taken a pay reduce. The settlement in 2005 was higher for the gamers, giving them 57 % of league income. Nonetheless, after the 2011 lockout, the share assured the gamers was lowered in order that now gamers obtain between 49 % and 51 %.

This current historical past of the NBA’s wage cap tells us once more that Cuban’s story isn’t fairly proper. In response to Forbes, the NBA’s complete income in 2010-11 was $three.96 billion. For the 2016-17 season, Forbes reported, NBA income was $7.four billion. And this subsequent 12 months, income is anticipated to eclipse $9 billion. Regardless of this speedy improve in income, the share paid to gamers ― opposite to Cuban’s story ― has declined.

Ultimately, participant pay in a sports activities league isn’t about how a lot income the league is incomes. What issues is the alternatives made by the leagues.

The WNBA shouldn’t consider a rise in pay as a value. Maybe it will be higher to think about this as an funding.

When baseball had the reserve clause and gamers had little or no bargaining energy, groups selected to pay little or no to their gamers. When the NBA confronted competitors from the ABA, the league selected to pay a a lot larger share of its income to its gamers.

So, what does this imply for the WNBA? The WNBA gamers lately opted out of the league’s collective bargaining settlement. It might not take a lot for the WNBA ― and their NBA accomplice ― to shut the gender-wage hole.  

At present, it’s estimated the WNBA has about $60 million in income with about $12 million of this going to the gamers. To offer the WNBA gamers 50 % of league income would require league payrolls to extend by $18 million.

In different phrases, for what the New York Knicks are paying Joakim Noah to not play basketball this 12 months (Noah is being paid $18.53 million), the gender-wage hole between WNBA and NBA gamers could possibly be closed.

For the NBA, this can be a very small quantity. Nonetheless, if different prices couldn’t be lowered, paying extra might make it extra expensive to function the WNBA. However maybe the WNBA shouldn’t consider this improve in pay as a value. Maybe it will be higher to think about this as an funding.  

As HuffPost columnist Jessica Luther writes, many WNBA gamers spend their low season enjoying ― and risking damage ― in leagues around the globe. By rising the pay to gamers, WNBA gamers would have an incentive to focus all their consideration on the WNBA. Selecting to pay a small quantity extra as we speak would defend the first asset of the WNBA (i.e. the gamers) and likewise encourage these gamers to advertise the league all year long.

Ultimately, participant pay all comes all the way down to the alternatives the WNBA and its NBA accomplice make. As sports activities historical past tells us, the share of income paid to the gamers isn’t about how a lot income a league is incomes. It’s about energy, and it’s concerning the share of income that house owners like Cuban can preserve for themselves.