Tuesday, August 10, 2010

One Year Contracts

I think there is a solution to some of the wasted money on free agents, holdouts in training camps, over-priced NFL rookies, and all the other problems that occur when professional athletes are over-paid or under-paid for their on-field performance. My solution is that everyone gets one year contracts. Of course, it isn't just that simple so I elaborate.

This sequence of events can work for any sports league. Once a player is drafted, they must sign with the team who drafted him for the predetermined amount on the rookie scale. In baseball this works like a signing bonus, there is a predetermined signing bonus and once you get to the major leagues then you follow the rules I'm about to lay out. So each drafted rookie gets a 1-year contract for the predetermined amount, then they are a restricted free agent after their first year.

With the 1-year contract the NFL 1st round bust hasn't been paid tons of money and the 5th round superstar can get paid like he should without having to hold out. Since they are restricted free agents after their rookie year the team that drafted the player can keep the player as long as they are willing to match the highest offer they get from any other team.

In the NFL, a player has to sign 1-year contracts as a restricted free agent until they have played 5 years. In the NBA - 7 years, and in MLB - 8 years. After that time is up the player becomes an unrestricted free agent and can go wherever they want...but they can still only get 1-year contracts for another 3 years; once you've passed that amount of time you can sign 2-year contracts.

The main point of the one year contracts is so that players get paid based on their performance. If they perform well one year, they will get paid the next year. If they have a bad season that next year, their contract will suffer the subsequent year. Every year is a contract year so there is no relaxing and letting the money flow in...and no more mythical NFL contracts.

It's probably a good idea to have a salary cap in every league, but baseball may never get one. It may be hard to stay under the salary cap in a effort retain all of a team's restricted free agents but a team could go over the cap to keep their own players, however, they would have to pay a luxury tax. And once a player reaches the ability to become an unrestricted free agent then the team they were on the previous year an offer 10% more than any other team. So there are maximum contracts like the NBA has now. If baseball isn't going to do a salary cap they certainly need to have maximum contracts and base it on how long a player has been in the league.

That is my idea. It would never happen, but if it did I think it would be better for professional sports. I get tired of baseball players putting in the extra effort before their contract years but not having the desire in other years. Then all the holdouts in the NFL get annoying. Don't forget over-paid NBA players who hog tons of cap space year after year because a team can get out from under their contract.

JB

1 comment:

  1. Interestingly enough Derelle Revis' holdout with the Jets is reaching new heights today. So this solutions rings even louder...if anyone is listening that is.

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