The NCAA at a Crossroads - A Death Knell or New Beginning?

With multiple lawsuits, unionization efforts by college students, and state laws allowing students to sign NIL deals, the NCAA has been pummeled in the courts, the states, the National Labor Relations Board, and the court of public opinion. In this episode of the Sports Business Podcast with Prof. C., he examines the mounting challenges this venerable organization faces, and the ways in which it could solve its problems and reform college athletics. Hard decisions will have to be made and purists won’t like it, but, as Professor Conrad explains, a brave new world will await the NCAA, like it or not. Tune in!

Host: Mark Conrad Producer: Victoria Ilano Additional Production: Jeffrey Haynes Artwork: Pamela V. White Marketing: Michelle Miller Music: ”MarcusWay/Energetic Pop Punk/Tribe of Noise”

Episode Transcript

(00:07):
Hello and
welcome to the Sports Business Podcastwith Prof.
C, the podcast that exploresthe world of professional,
collegiate, amateur, and Olympic sports.
I’m Mark Conrad or Prof.
C from Fordham University's Gabelli Schoolof Business, where I serve as Professor

(00:27):
of Law and Ethics and the Directorof the Sports Business Initiative.
The NCAA is the legal giftthat keeps on giving.
If betting on the outcome inany of the myriad legal challenges
against its authority was allowed,it is almost a sure thing
to wager against thisbeleaguered organization.

(00:51):
One courtgrants, class action certification
to student athleteschallenging its compensation restrictions.
Another court grantsa preliminary injunction
preventing enforcement of its name, imageand likeness rules.
A Supreme Courtjustice calls its business model
illegal injust about any other business in America.

(01:13):
It is likely that studentathletes will be considered employees
in the next year or so, and after that,look for team
athletes to unionizeto negotiate compensation and benefits.
How could things go so badlyso fast for this venerable organization?
How did it stay stuck in the grounduntil it was too late?

(01:35):
These are questionswe can all ask, but at the core, is
its flawed conception of its missionor its credo,
not a business,but a bastion of amateurism.
The notion is nonsensical in today's ageof multibillion dollar TV contracts,
merchandising, brand identity,and conference realignment.

(01:58):
The big time schools use athletic successas a recruitment tool.
Many other institutionstout the achievement of their athletes
as a way to entice alumnito shell out money
to subsidize these programsand to help students get NIL deals.
Finally, top tier collegecoaches are highly paid

(02:20):
for their services, even in schoolsthat are not vying for national titles.
So who are we kidding?
But the NCAA waives its tattered
flag of amateurismto judges, labor regulators,
and the halls of Congressto little avail and increasing mockery.
At the same time, it takes tentativesteps to a semblance of reality.

(02:45):
When it recently proposeda compensation system
for athletes in certain top programs.
The latest nail in the
coffin of amateurism was the recent voteby members of Dartmouth
College's men's basketball teamto unionize.
That vote - 13 to 2 -

(03:05):
comes shortly after the regional directorof the National Labor Relations
Board concluded that these studentsfit the definition
of employees under the labor laws.
While this determination will be appealedto the entire National Labor
Relations Board -and possibly endure court challenges
after that - the voteby a group of Ivy League students

(03:28):
who don't receive scholarshipsand play on a team
that is not one of the powerhousesof college sports is significant.
The seismic changesput college sports at a crossroad.
Schools can go one of two ways - embracea professional system of compensation
and unionization, or continuea path of litigation and more litigation

(03:53):
and attempts to lobby Congressto save the NCAA’s
butt by creating an exemptionfrom antitrust laws.
But there's another approach.
For some college athletic programs.
It may make more senseto abandon this NCAA system
for a system of home grown club sports.

(04:13):
No big money, no pressure,
no alumni base NIL collectives,just the experience
of playing on an athletic teamfor the joy of doing so.
An alternative that meets the morevirtuous goals of amateur college sports.
Any thoughts?
Send them to me at [e-mail].

(04:37):
Thank you for listening.
Until next time, this is Prof.
C for the Gabelli Schoolof Sports Business Initiative.