WNBPA opts out of historic 2020 CBA to renegotiate with the league

The GIST: As discussed on yesterday’s episode of The GIST of It, the WNBPA announced it’s opting out of its historic 2020 collective bargaining agreement (CBA). The news was expected, meaning yet another precedent-setting CBA is imminent — let’s hoop to it.

The context: These days, the W is more popular than ever. Team valuations are sitting at $96M on average, while everything from attendance (up 48% YoY) to merch sales (up 601% YoY) continues to skyrocket. Add in a new media rights deal that’s six times more lucrative than the previous one, and it’s evident the league’s financial pie is expanding. Delish.

The priorities: In the midst of this revenue surge, women’s hoopers are hoping for multiple commas of their own. The WNBPA will push for an equity-based economic model to build on the players’ 10% share of league revenue, while additional points of negotiation will include professional standards (no children’s birthday parties here) and retirement, pregnancy, and family planning benefits.

The complexity: The NBA has been subsidizing the WNBA for years, which has allowed the W to take millions of dollars in losses as it continues to build — but because of this, the WNBA only controls 42% of its cap table. The NBA controls another 42% and an investment group that includes Nike owns the remaining 16% after a $75M raise in 2022.

• The W’s diluted equity stake is notable because, despite the overall increase in revenue, less than half of those earnings are actually flowing back into the league, meaning there’s a gap between what’s economically feasible and the salaries players deserve.

Looking ahead: The WNBPA has until the end of next season to strike a deal with the league, but according to current ESPN analyst (and former W hooper) Chiney Ogwumike, the players are in no rush to finalize a deal and would consider a work stoppage if necessary. What we do know is that the league wins when its players do — watch this space.