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Salary Caps in Professional Team Sports - Bureau of Labor ...

3 Compensation and Working Conditions Spring 1998 The use of Salary caps , limitinghow much teams can paytheir players, is a relatively newdevelopment. Basketball was the firstsport to cap salaries, in the 1984-85season, and a similar restriction wentinto effect in football in 1994. In othersports, Salary caps were contested inboth the 1994-95 baseball strike andthe 1994-95 lockout in hockey. Inthese Sports , unions have been able tofend off acceptance of a general cap,although luxury taxes were put intoeffect on baseball team payrolls ex-ceeding specified amounts, and hockeynow has a Salary cap for relations models in the foursports have certain 1967, when the initial teamsports collective bargaining agreementwas reach

sat down with Lawrence Fleisher, counsel for the NBPA, and its presi-dent Bob Lanier, to work out what is considered one of the pioneering col-lective bargaining agreements in all of sports. 2 Negotiations were difficult, particularly because of the proposal to moderate salaries. There was even talk of a strike. Although the 1982-83 sea-

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