NHL players to receive huge payout at the end of season
The collective bargaining agreement the NHS has forged with its players is complicated and quite dry.
One portion however is quite clear. If the NHL reaches $6.2 billion in revenue this season, the players will receive half of their escrow payment back which appears to be happening.
NHL insider and CEO of dailyfaceoff.com Frank Seravalli explains that the players hold 6% of their salaries every season to guarantee the NHL there 50% of the total revenue.
This means that it's a safety net for the league in case of a dip in revenue such as the pandemic.
This is a huge windfall for the players if this all comes true as many players face heavy taxes in the States and provinces, they play in along with this escrow payment.
What's also striking is that the NHL could have rose the salary cap this season as the league was facing higher than expected revenue.
With the current salary cap at 83.5 million it's slated to rise 5% which will put it at 87.7 million in 2024.
This kind of boost will help teams like the Rangers and other cap strapped teams who are looking to either add players to their roster or hand out extra money to solidify their core.
It was also reported that the salary cap should be rising every season for the next number of years as the NHL continues to come out of the pandemic lull that has kept the cap at a flat rate.
The players will need to continue to wait to see if this money will come their way but it appears the NHL is quite healthy financially minus a few teams like Arizona.
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