In a significant move that could shape the future of the WNBA, the league’s players’ union is expected to opt out of the current collective bargaining agreement (CBA) by the fast-approaching November 1 deadline. With the WNBA seeing record growth in viewership and attendance, players are looking to capitalize on the league’s upward momentum by securing a larger share of its financial success and pushing for key improvements in working conditions.

Players Demand a Bigger Slice of the Pie

At the heart of the negotiations are demands for higher player salaries and increased benefits. With the league’s new 11-year media rights deal with Disney bringing in $200 million annually, players are calling for a greater share of the revenue. However, the WNBA retains only 58% of that sum, as the NBA owns 42% of the WNBA. This leaves the WNBA with roughly $100 million per year from the deal, a figure that, while significant, is still seen as underwhelming by players advocating for financial equity.

Players currently receive about 10% of league revenue, a stark contrast to the NBA, where players are allocated around 50%. The players’ union is pushing for a higher percentage, though the WNBA’s structure complicates the demand. Due to the NBA’s partial ownership, the WNBA cannot offer the same revenue-sharing model as the NBA. Even so, WNBA players believe that now, more than ever, they have leverage in these negotiations.

Key Player Union Demands

The WNBA’s financial landscape has significantly improved, but the players’ demands are broader than just salary increases. High-profile players like Breanna Stewart, who serves as vice president of the WNBA Players’ Union, have been vocal about the need for enhanced child care benefits, family planning support, and pensions for players who have served eight years or more in the league. While pensions for athletes may seem unusual, the NBA has set a precedent with its own health care policies and benefits for retired players.

Stewart, currently leading the New York Liberty in the WNBA Finals, acknowledged that navigating these negotiations during the season has been challenging but necessary. “We’ve had a lot of communication, and we know where we want to be,” she said. “The time is coming to take things to the next level.”

Salary Cap and Franchise Growth

One of the more immediate outcomes of the expected opt-out could be a substantial increase in the league’s salary cap. Currently, the hard cap is set at $1.4 million per team, but with the influx of new media revenue, many expect this to rise to as much as $3 million, with maximum player contracts potentially reaching $750,000. Some players, including Stewart, have even floated the idea of introducing million-dollar salaries, though this may not be feasible under the current landscape.

The league’s value has continued to soar, with franchises like the Dallas Wings being valued at unprecedented levels. A recent sale of a 1% stake in the Wings for $2 million is indicative of the rising interest in WNBA teams. As the NBA becomes increasingly out of reach for many potential team owners due to skyrocketing prices, the WNBA has emerged as an attractive investment for billionaires looking to break into the world of professional sports. These investors, many of whom are already deeply invested in sports, view the WNBA as a long-term asset that could appreciate exponentially in value, similar to what has been seen in Major League Soccer (MLS).

Operational Losses and Long-Term Vision

Despite the league’s growing popularity, the WNBA remains an operational loss leader. The introduction of charter flights this season alone is expected to cost the league about $50 million, pushing the total cost of league operations even higher. Nevertheless, owners appear willing to absorb short-term financial losses, banking on the long-term growth of the league and the value of their franchises.

For instance, Chicago Sky owner Michael Alter has expressed a willingness to lose millions annually, seeing the long-term potential of his franchise’s value growing substantially in the years ahead. The WNBA’s overall trajectory mirrors that of the MLS, where franchise values have soared despite modest revenue and operating losses.

A New Era for the WNBA

The stakes are higher than ever as the WNBA’s current CBA, which is set to expire in 2027, could see significant changes well before its end. If the union opts out and the league fails to meet the players’ demands, it could lead to a lockout—something both sides are eager to avoid. For WNBA owners, many of whom also own NBA franchises, a lockout could halt the rapid appreciation of their WNBA teams’ values, which is a risk they seem unwilling to take.

Commissioner Cathy Engelbert, speaking during her State of the League address at Game 1 of the WNBA Finals, emphasized her commitment to ongoing dialogue with the players’ union. “We’re here to listen to the players, take this league to the next level, and continue building for future generations,” Engelbert said. She pointed to the league’s recent strides, including the expansion of charter flights and increased playoff bonuses, as proof of the WNBA’s dedication to player welfare.

Future Media Rights Deal in the Horizon

Another pivotal moment for the league could come in a few years when the WNBA has the option to renegotiate its media rights deal. If the league continues its upward trajectory in viewership and popularity, players could see even larger paydays. The league’s current deal, while significant, is viewed as an underpay compared to what the WNBA could command if it sustains its momentum. Industry insiders predict that within three years, the WNBA could be in a position to double its annual media earnings, providing even more room for salary increases and further investment in the league.

With star players like Stewart, A’ja Wilson, and future prospects like Caitlin Clark and Juju Watkins set to elevate the league to new heights, the future of the WNBA looks brighter than ever. For now, all eyes are on the November 1 deadline and the transformative negotiations that could follow, shaping the course of the league for years to come.