Colleges and some coaches earn millions of dollars from major college sports, but student-athletes don't even make minimum wage because they aren't employees, at least not according to the National Collegiate Athletic Association (NCAA). However, college athletes eventually may be compensated following a Dec. 5 letter from NCAA President Charlie Baker to Division I member schools, proposing reforms to enhance student-athletes' financial opportunities. Meanwhile, courts and the National Labor Relations Board (NLRB) are addressing student-athletes' claims that they are employees who can unionize. We've gathered articles on the news from SHRM Online and other media outlets.
Proposed Overhaul
Under the proposed overhaul, Division I schools could enter name, image and likeness (NIL) agreements with their own athletes and proposed a subdivision for schools with the resources to pay. He outlined an environment in which athletes in this subdivision would be required to be compensated at least $30,000 per year through a trust.
Pending decisions about granting athletes employee status and back pay for NIL, as well as Dartmouth College basketball's ongoing effort to unionize, may reshape the college sports landscape before action can be taken on Baker's initiative.
In June 2021, the NCAA implemented an interim policy on NIL, allowing student-athletes to make money from their personal brand.
(The Wall Street Journal and NCAA Sports)
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