HomeSportsNWSL eliminates draft, increases salary as new CBA reshapes league

NWSL eliminates draft, increases salary as new CBA reshapes league

The NWSL is eliminating the annual draft, raising salaries and granting players league-wide a no-trade clause, all as part of a new labor agreement quietly ratified earlier this month.

The deal contains some of the most player-centric language of any employment agreement in major American team sports, and notably shifts the NWSL toward the more traditional soccer contracts often seen in Europe. For example, starting next year, all transactions or transfers will require player consent. All contracts are guaranteed.

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The details underscore how quickly the NWSLPA has been able to turn a profit, as the league’s business opportunities (and valuations) have grown rapidly. The NWSL’s current CBA, signed in April 2022, was the first in league history. The NWSL had its first free agency period just two years ago; now, all players have been granted unrestricted free agency.

The deal was negotiated over the past year despite the league’s current CBA not expiring until after the 2026 season (Sporty was the first to report that a deal had been reached). The agreement now expires at the end of the 2030 season, a crucial extension for the league’s owners. Players are making clear gains in a number of key categories, but owners are ensuring labor peace well beyond their next big media negotiation, stability that will prove valuable in a few years when those talks begin.

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“This CBA gives us control over our affairs and gives the players control over their careers,” NWSL Commissioner Jessica Berman said in a statement.

The NWSL’s meteoric commercial growth has been well-documented, but the league has also been keeping an eye on Europe, where some of soccer’s biggest brands are beginning to invest more in their long-neglected women’s teams. The NWSL and England’s Women’s Super League have increasingly competed for talent, a business rivalry that many expect to become more direct in the coming years. Shortly after Chelsea defeated NJ/NY Gotham FC earlier this week, the WSL’s official Twitter account posted: “Does that end the debate?” alongside a winking emoji.

Some details in this CBA, such as the elimination of the draft, guaranteeing all player contracts and no-trade clauses, are all in line with what is already offered in Europe. NWSL owners have agreed to align the league’s standard player contract with FIFA’s Regulations on the Status and Transfer of Players (RSTP), bringing the league closer to traditional soccer structure and further away from the more American framework seen in leagues like the NBA or MLS.

Here are some other details from the new CBA:

  • The league’s base salary cap will rise from $2.75 million this year to $3.3 million next year. It will continue to rise at preset levels throughout the deal, reaching $5.1 million in 2030.

  • In addition to the base cap, the league has agreed to a supplement based on the NWSL’s media and sponsorship revenue from the previous year. While no specifics were released, the revenue-sharing component is a first for the league and should encourage greater alignment between the two parties.

  • The league’s minimum wage will increase from $35,000 this season to $48,500 next season. It will increase annually to $82,500 by 2030. That means minimum wages will increase by 135% over seven years.

  • Charter flights, currently prohibited outside of a few specific scenarios, will now be allowed for up to six legs within a season, plus other unspecified scenarios. Last year, the league fined the Kansas City Current more than $55,000 for unauthorized chartering.

  • The NWSL will have exclusive rights to commercialize player performance data.

  • The bonus players earn for awards such as Rookie of the Year (currently $5,000) or Golden Boot ($5,000) will double in 2027. The bonus for league MVP ($5,000) will quadruple.

  • Parental leave and childcare allowances are being expanded, as are the requirements for healthcare professionals such as trainers and physiotherapists.

  • The new agreement has no age limit for players, in line with the current agreement.

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This CBA comes amid increased public interest in both women’s sports and the NWSL, which has dramatically impacted the market for teams. In January 2022, when the current deal was signed, most NWSL franchises were valued in the single-digit millions. Now, the average team is worth $66 million, according to Sporty‘s numbers. The San Diego Wave were sold earlier this year for $113 million; Willow Bay and Bob Iger are buying a majority stake in Angel City FC in a $250 million deal.

The league is also in the midst of expansion talks. Groups from multiple cities, including Cincinnati and Denver, met with the NWSL this week in New York. The latest round of expansion teams were sold for $53 million.

The NWSL’s quick extension, well before its current deal expires, could stand in stark contrast to what could happen to the WNBA, which is also experiencing commercial growth and a valuation bump. Most experts expect the league’s players to exit their current CBA as soon as possible to push for better terms. WNBPA CEO Terri Carmichael Jackson provided a preview of those conversations last month when she accused the NBA of undervaluing the WNBA in recent media interviews.

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