NBA

ESPN Report says NBA is Pursuing Upper Salary Limit in new CBA

Oct 28, 2022, 12:44 PM | Updated: 1:09 pm

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With a new Collective Bargaining Agreement looming, the NBA has pursued implementing an upper salary limit in its negotiations this time around, a change that has been met with significant resistance, according to reports.

ESPN Insider Adrian Wojnarowski broke down Friday how the NBA plans to introduce a hard limit for teams in the luxury tax. Golden State, Brooklyn, and the LA Clippers have all had massive payrolls the last few years, pushing the boundaries of luxury tax penalties altogether. The change would no longer allow teams to exceed the hard cap to pay salaries, according to sources.

The proposal has been met with swift resistance from the NBPA, stating it is a “non-starter” in discussions, according to Woj.

The two sides are working to reach an agreement prior to a December 15 deadline, where both the NBA and NBPA, could give notice on opting out of the current CBA in December of 2023. The seven-year CBA expires after the 2023-2024 season.

Among the other top priorities in collective bargaining talks for the league, sources said:

• Finding mechanisms to incentivize top players participating in more regular season games, creating crisper competition and greater value in the league’s media rights deals.

• Working on a “smoothing” plan to incrementally add in the windfall escalation of revenue in the league’s looming media deal, which would avoid a repeat of the cap spike in 2016 that disproportionally rewarded one class of free agents and selected teams.

• To end the “One-and-Done” early entry rule and allow high school players back into the NBA Draft, the league wants a requirement that player agents can no longer pick and choose the teams with whom they supply prospects physicals and medical information. The NBA also wants some minimal requirements around presence and participation in the draft combine.

Still early in discussions, both sides tend to float ideas that typically get shot down before approaching a hard line stance closer to the deadline. Talks should pick up as we get closer to the end of the year, with the possibility of said deadline being extended if they are working towards a new agreement.

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