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National Labor Relations Act Case Study

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The National Labor Relations Act (NLRA) was enacted by Congress in 1935. This act provides the legal structure governing employer-employee relations in the United States. The National Labor Relations Board oversees and enforces the NLRA and determines which issues may be collectively bargained (Mitten et al., 2013) This allows the right to form, join and assist labor organizations.
The most recent collective bargaining agreement, or CBA, covers a seven-year term (2017-18 through 2023-24). The option to opt out is only available after the 2022-23 season. Some elements of the bargaining agreement are unchanged, including the following: players share of BRI or basketball related income (49%-51% band), the Salary Cap and Tax,(calculation of Cap/Tax Levels), escrow system, restricted free agency (with certain process related changed), and existing rules on maximum free agent contract length. …show more content…
I will summarize the three in order to evaluate which side obtained the better deal in this agreement.
Wages
For veteran players, extensions will be made to provide for a first- year salary of at least 30% and no more than 35% of the salary cap. A rookie player who meets certain performance criteria is able to negotiate a maximum salary of up to 30% of the salary cap. “Maximum annual salaries will be calculated using the actual Salary Cap. (Under the 2011 CBA, a separate (lower) salary cap is used to calculate players’ individual maximum annual salaries.)” (Basketball
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