Northwestern players win suit - can now unionize

[East Coast Mustang]

As soon as the first player goes on strike, boot them off the team and revoke their scholarship, kind of like when Reagan fired the air traffic controllers. nip that in the bud real quick

[Rebel10]

As soon as the first player goes on strike, boot them off the team and revoke their scholarship, kind of like when Reagan fired the air traffic controllers. nip that in the bud real quick

We could do like the NFL and have scabs replace them.

[Rebel10]

This could allow colleges to have their own medical plans and not preclude colleges with major revenues from offering better medical benefits.

There is actually another lawsuit out there that is not about pay for play but requesting colleges uncap their limit on benefits so the each college can determine what benefits they want to give.

[MustangStealth]

Do these employees need to file these benefits on their tax returns?

My understanding is that currently (and subject to change), scholarships are still considered grants in this argument. The claim that they are employees stems more from the nature of their required activities and other (non-cash) benefits received.

I believe to change the scholarships from grants to income in the eyes of the IRS would require action by the federal government unrelated to, albeit possibly inspired by, any actions of the athletes' union.

Here is an update including some legal precedent. It basically says that if your scholarship is tied to "employment services" which these likely would be classified as, then it becomes taxable. Additionally, it could apply not only to the scholarship but the value of any other compensation, such as medical benefits or training facility access.

The 45-year-old case is Bingler v. Johnson and focuses on Richard Johnson, who received a scholarship to go back to school by his employer, Westinghouse, based on the condition that he returned to the company. Johnson argued that the scholarship money was not taxable, but the IRS successfully countered and prevailed all the way up to the Supreme Court, maintaining that any amount related to employment services were not exempt. The ruling specifically mentions that compensation that is bargained for, which is what the Northwestern players would be seeking to do by forming a union, is excluded from scholarship funds and is to be reported as income.

I think the only certainty now is that some lawyers are going to be made very wealthy by all of this.

[SMU Section F]

Here is an update including some legal precedent. It basically says that if your scholarship is tied to "employment services" which these likely would be classified as, then it becomes taxable. Additionally, it could apply not only to the scholarship but the value of any other compensation, such as medical benefits or training facility access.

The 45-year-old case is Bingler v. Johnson and focuses on Richard Johnson, who received a scholarship to go back to school by his employer, Westinghouse, based on the condition that he returned to the company. Johnson argued that the scholarship money was not taxable, but the IRS successfully countered and prevailed all the way up to the Supreme Court, maintaining that any amount related to employment services were not exempt. The ruling specifically mentions that compensation that is bargained for, which is what the Northwestern players would be seeking to do by forming a union, is excluded from scholarship funds and is to be reported as income.

Interesting.

I think the only certainty now is that some lawyers are going to be made very wealthy by all of this.

No doubt about that.

[ponyte]

This could change quickly based on the SCOTUS decision regarding the NLRB composition. The Court is looking into the recess appointments made by the president when technically Congress was not in recess. If the court rules the composition of the NLRB isn't legal, then this decision could be tossed out with a whole bunch of other decisions.

But a union would create Hades for the NCAA. Imagine the NCAA trying to force some silly eligibility rules when a union is involved.

[RyanSMU98]

Northwestern just filed its appeal: http://www.insidehighered.com/quicktakes/2014/04/10/northwestern-formally-appeals-union-decision

[Big12Mustang]

If the players win the appeal, what would this mean for SMU?
Will we be able to open the checkbooks and employ the best Football and Basketball teams if we have an union?
The Public schools will probably not be included here in Texas since TX does not allow unions (that I am aware of), so the advantage would clearly go to privates (SMU, TCU, Rice).

[Rebel10]

If the players win the appeal, what would this mean for SMU?
Will we be able to open the checkbooks and employ the best Football and Basketball teams if we have an union?
The Public schools will probably not be included here in Texas since TX does not allow unions (that I am aware of), so the advantage would clearly go to privates (SMU, TCU, Rice).

Cllaim down dude, it's only insurance benefits. The rest is speculation.

[Rebel10]

Here is a quote from Alabama's Nick Saban.

"I've always been an advocate of players' rights," Saban said Monday night via the Associated Press. "I've always been an advocate of players being compensated the best that we can to help them. Whatever the NCAA rule is and whatever they decide to do, I've always been an advocate of the player and the quality of life that a player has. Having a voice in what happens, I think, is something that the players probably ought to have."

[mrydel]

If the players win the appeal, what would this mean for SMU?
Will we be able to open the checkbooks and employ the best Football and Basketball teams if we have an union?
The Public schools will probably not be included here in Texas since TX does not allow unions (that I am aware of), so the advantage would clearly go to privates (SMU, TCU, Rice).

We can open the checkbook today. There is nothing illegal about it. Might have a tough time getting the NCAA to allow us to join in their games as was the case in the past.