Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: SUNDAY, October 23, 1994 TAG: 9410250035
SECTION: SPORTS PAGE: E-6 EDITION: METRO
SOURCE: Associated Press
DATELINE: NEW YORK LENGTH: Medium
Owners also will propose minimum salaries ranging from $115,000 for rookies to $500,000 for fourth-year players, a person familiar with the memo said Saturday, speaking on the condition of anonymity.
The plan also drops the owners' proposal to split licensing revenue with the players. In the original proposal, made June 14, owners called for all licensing money to be included in the 50-50 revenue split they were asking players to accept. The union objected because players use their licensing money as a strike fund.
The source said the owners haven't decided when to make the proposal to the union.
Owners made the changes, one management official said, so teams could unilaterally implement their plan without the union's consent, their right under federal labor law.
The original proposal couldn't be imposed because owners couldn't force players to share their licensing money. It also lacked details on the minimum salary.
Ravitch, the head of management's player relations committee, refused to comment when reached at home.
``This is a memo. We haven't even discussed it with the clubs,'' acting commissioner Bud Selig said from his home. ``This is just thinking from the PRC and operations committee. Other than that, I don't have any comment because the only proper place to talk about it is at the bargaining table with the union.''
Donald Fehr, head of the union, said owners hadn't made the proposal to players, but he had heard about it.
``Once again, they're more interested in making proposals to the press than us,'' he said.
The $1 billion guarantee was based on estimates that 1994 revenue would be about $1.8 billion. The players' strike, which wiped out the final 52 days of the regular season and the postseason, cost clubs about $600 million in revenue.
``There's no way clubs can guarantee $1 billion now,'' said a management official, speaking on the condition of anonymity. ``There's not enough money in the system.''
The minimum salary, currently $109,000, would rise to $115,000 under the plan. Second-year players would have a $175,000 minimum and third-year players would make at least $275,000. If fourth-year players are Type A or B under the annual Elias Sports Bureau rankings, their minimum would be $750,000. If fourth-year players aren't Type A or B, their minimum would be $500,000.
The memo also advises clubs that any signing bonuses given players this autumn and winter will strengthen the union if the strike continues.
``It was telling them to just be aware of the fact that you're financing a strike against yourself if you give a signing bonus,'' the management official said. ``They're free to make their own decisions.''
Fehr said ``it could'' violate the collusion provisions designed to keep clubs from acting in concert.
by CNB