NCAA settlement roils college athletics . . . and union organizing
A landmark $2.8 billion settlement announced by the National Collegiate Athletic Association (NCAA) in an antitrust class action filed by former college athletes reportedly sets a path for schools to share revenue with players. Although many of the details of the settlement haven’t been made public and the judge has yet to approve it, many commentors are predicting a massive restructuring of college athletics, a torrent of Title IX suits, and the possible unionization of students working at colleges and universities—beyond the football and basketball players involved in the settled lawsuit.
Impact on low revenue sports and Title IX
Under the reported terms of the settlement, colleges will be allowed to pay their athletes as much as $22 million annually through television and ticket revenues—while also spending an additional $5 million to $10 million in a new model with unlimited scholarships. Even major universities in the so-called “Power 5” conferences will have difficulty finding that kind of money unless they make major cuts to low revenue sports, including particularly women’s sports. Such cuts, however, raise numerous issues under Title IX, a federal statute that prohibits discrimination based on sex in education programs and activities.