Panarin Says Escrow Needs to be Fixed Before Players Return to Camp

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There's no doubt that this is a trying time for multi-millionaire professional athletes. Their economic anxiety must be crippling.

I support Artemi in his bid to turn his net 9 million dollar salary in to 9.75 million. We're all in this together.

There's no doubt that this is a trying time for multi-millionaire professional athletes. Their economic anxiety must be crippling.

 

I support Artemi in his bid to turn his net 9 million dollar salary in to 9.75 million. We're all in this together.

"You Must spread some reputation around.."

maybe we can start passing a hat around to help him pay some bills and to offset the horrible injustice of it all.

Great great hockey player but like many other pro athletes he's just completely tone deaf to real world problems. But it's even more disturbing in times like these.

Before we roast the dude alive, let's actually get the facts straight as to his ask, since this is clearly a bit google-translatey.

The way escrow works is as follows:

Player salaries are locked in; those are known expenditures totaling 2.526 billion dollars for this season (assumptive that all teams spend to the cap). What that means is that in order to ensure a 50/50 split in HRR, the league must generate 5.053 billion dollars. The NHL made that, almost bang-on, last year, and they try to forecast this year over year. They basically say "well, based on trends we expect to make 5 billion dollars, so players get half, and divide by 31...that's the salary cap". But what if they don't make the money? Enter escrow; the owners skim 15% off the top of the paychecks as a guarantor against not getting their share of the revenue, and once the books close on a fiscal year (usually well after the year itself), they return whatever money is left after the dollars are apportioned. At best, it's a zero-interest loan to the owners for a period of well over a year in some cases. The NHL has gotten famously bad at projecting; players have lost over 8% of that escrow every year since 2012.

A much better explanation here

This is a bigger issue here because of COVID, obviously for four reasons:

1 - The players have already foregone their final paychecks of the season

2 - The players do not get paid for playoffs

3 - HRR will almost assuredly not hit projection, even with the income from the playoffs

4 - There's not really a protocol for what happens if HRR shortfalls are greater than escrow.

From Panarin's view, he and his fellow players are being asked to come back to play and risk their health in a pandemic for no paycheck, not enough revenue to bridge the escrow gap, and the very likely scenario that per the CBA, the players might actually owe the owners money at the end of all of this, since owners are entitled to their 50% share, whatever that 50% is. And the 15% they put aside for something like this doesn't cover the gap, nor should it ever actually have to in any meaningful way in spite of the fact that it's been a crutch for years now.

I get he's way fucking richer than any of us, but I can't help but think he's actually got a pretty damn good point here. And, unfortunately, one that could seriously complicate a return to play if it's not worked out.

Simple solution: Just cancel the season.

With cases rising again in many states it sure as hell wouldn?t surprise me.

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Sorry you can explain the numbers all day long it's another example of a issue between millionaires and in most cases billionaires. The timing of his comments when the world is turned upside down and millions of people are unemployed and thousands of businesses are lost he's talking about being wronged and not returning to play until the issue is resolved.

It's piss poor timing I don't think he or any other professional athlete (see mlb as well) get the benefit of the doubt here whatsoever. Are we going to pretend the most important thing going on in the world isn't a pandemic but whether or not there's another hockey game played this year or worse yet whether their escrow grievance is settled before as he mentions they agree to return to camp? Cancel the season if the hardship is so cruel compared to what the average Joe is dealing with.

Now was not the time for any of this in fact there probably couldn't possibly of been worse timing.

Stay home if they don't want to play.

Sorry you can explain the numbers all day long it's another example of a issue between millionaires and in most cases billionaires. The timing of his comments when the world is turned upside down and millions of people are unemployed and thousands of businesses are lost he's talking about being wronged and not returning to play until the issue is resolved.

 

It's piss poor timing I don't think he or any other professional athlete (see mlb as well) get the benefit of the doubt here whatsoever. Are we going to pretend the most important thing going on in the world isn't a pandemic but whether or not there's another hockey game played this year or worse yet whether their escrow grievance is settled before as he mentions they agree to return to camp? Cancel the season if the hardship is so cruel compared to what the average Joe is dealing with.

 

Now was not the time for any of this in fact there probably couldn't possibly of been worse timing.

 

Stay home if they don't want to play.

I hear you on the timing thing, but controversial stances: Panarin and the NHL are not responsible for the failings of national governments to adequately provide during a pandemic (not a topic for this forum, but true). They're accountable to the league and the safety of players, and in this case, I can't help but think Panarin might just be right.

I'll take a flip-side stance here: why should player contracts be impacted in any way by the league's continued failings to meet projected growth targets? Salary cap, sure, but contracts themselves?

Before we roast the dude alive, let's actually get the facts straight as to his ask, since this is clearly a bit google-translatey.

 

The way escrow works is as follows:

 

Player salaries are locked in; those are known expenditures totaling 2.526 billion dollars for this season (assumptive that all teams spend to the cap). What that means is that in order to ensure a 50/50 split in HRR, the league must generate 5.053 billion dollars. The NHL made that, almost bang-on, last year, and they try to forecast this year over year. They basically say "well, based on trends we expect to make 5 billion dollars, so players get half, and divide by 31...that's the salary cap". But what if they don't make the money? Enter escrow; the owners skim 15% off the top of the paychecks as a guarantor against not getting their share of the revenue, and once the books close on a fiscal year (usually well after the year itself), they return whatever money is left after the dollars are apportioned. At best, it's a zero-interest loan to the owners for a period of well over a year in some cases. The NHL has gotten famously bad at projecting; players have lost over 8% of that escrow every year since 2012.

 

A much better explanation here

 

This is a bigger issue here because of COVID, obviously for four reasons:

 

1 - The players have already foregone their final paychecks of the season

2 - The players do not get paid for playoffs

3 - HRR will almost assuredly not hit projection, even with the income from the playoffs

4 - There's not really a protocol for what happens if HRR shortfalls are greater than escrow.

 

From Panarin's view, he and his fellow players are being asked to come back to play and risk their health in a pandemic for no paycheck, not enough revenue to bridge the escrow gap, and the very likely scenario that per the CBA, the players might actually owe the owners money at the end of all of this, since owners are entitled to their 50% share, whatever that 50% is. And the 15% they put aside for something like this doesn't cover the gap, nor should it ever actually have to in any meaningful way in spite of the fact that it's been a crutch for years now.

 

I get he's way fucking richer than any of us, but I can't help but think he's actually got a pretty damn good point here. And, unfortunately, one that could seriously complicate a return to play if it's not worked out.

this exactly

how many of us on this board are gonna go to work for no paycheck?

people will shit on athletes who make millions but not say shit about owners who make billions.

The fact that the salary cap is 15% higher than the 50% share they are projecting to receive is the problem. The cap should be set at the projected 50% mark, period. Itll equate to lower salaries but we are talking a couple mil off a 12 mil salary.

The only reason they set the cap 15% higher is to accommodate higher salaries and to me, that is dumb. Go with the more or less guaranteed monies. Projections have sucked and haven't been true anyways.

Nothing wrong with I’m not playing without a paycheck. This would be different if it were a holdout on a season for 700k. It’s not. This is actually the EXACT problem that is causing so many to lose their jobs during this pandemic - corporate greed. If the players here, similar to our country’s workers, were simply guaranteed their salaries for this year and the owners gave up their share of profits, writing it off as a risk for owning a whole franchise, then there would not be a problem would there? Instead, the rich owners are going to try to get richer all while watching in the safety of their homes while their employees put their lives at risk for relatively few dollars.

There’s nothing wrong with this and if they don’t settle on an agreement I hope they don’t return. People need to be paid to work and god knows Dolan doesn’t need another 60vmillion.

this exactly

 

how many of us on this board are gonna go to work for no paycheck?

 

people will shit on athletes who make millions but not say shit about owners who make billions.

If I already got paid 9 million this season, yes I would go play hockey for free lol.

It's just stupid to post that on social media. It really just goes to show you how toned f owners and players are to what's going on in the real world.

That's okay Artemi, fon't play. Let the league fold. Then what are you going to do for a living?

Before we roast the dude alive, let's actually get the facts straight as to his ask, since this is clearly a bit google-translatey.

 

The way escrow works is as follows:

 

Player salaries are locked in; those are known expenditures totaling 2.526 billion dollars for this season (assumptive that all teams spend to the cap). What that means is that in order to ensure a 50/50 split in HRR, the league must generate 5.053 billion dollars. The NHL made that, almost bang-on, last year, and they try to forecast this year over year. They basically say "well, based on trends we expect to make 5 billion dollars, so players get half, and divide by 31...that's the salary cap". But what if they don't make the money? Enter escrow; the owners skim 15% off the top of the paychecks as a guarantor against not getting their share of the revenue, and once the books close on a fiscal year (usually well after the year itself), they return whatever money is left after the dollars are apportioned. At best, it's a zero-interest loan to the owners for a period of well over a year in some cases. The NHL has gotten famously bad at projecting; players have lost over 8% of that escrow every year since 2012.

 

A much better explanation here

 

This is a bigger issue here because of COVID, obviously for four reasons:

 

1 - The players have already foregone their final paychecks of the season

2 - The players do not get paid for playoffs

3 - HRR will almost assuredly not hit projection, even with the income from the playoffs

4 - There's not really a protocol for what happens if HRR shortfalls are greater than escrow.

 

From Panarin's view, he and his fellow players are being asked to come back to play and risk their health in a pandemic for no paycheck, not enough revenue to bridge the escrow gap, and the very likely scenario that per the CBA, the players might actually owe the owners money at the end of all of this, since owners are entitled to their 50% share, whatever that 50% is. And the 15% they put aside for something like this doesn't cover the gap, nor should it ever actually have to in any meaningful way in spite of the fact that it's been a crutch for years now.

 

I get he's way fucking richer than any of us, but I can't help but think he's actually got a pretty damn good point here. And, unfortunately, one that could seriously complicate a return to play if it's not worked out.

For some reason, with all of these kinds of cases, the lens is always how selfish the player is and not the owners who, comparatively, are in the realm of being an order of magnitude richer.

Owners aren't posting Whoa Is Me sob stories on IG.

It's business, I get it, go get yours, but don't look for pity or understanding from me because the contract you vetted and signed is only panning out to 95% of your money over 7 years. We don't fucking care.

As others said, it's just pathetically tone deaf.

not all owners are making billions on their franchises. Some are perpetually in the red. But they do get to write off their losses.

Panarin and his ilk deserve everything they get and more. They are one in a million type athletes, in Panarin's case probably one in 100 million. These are exceptionally talented humans and if we don't compensate them properly we'll be watching 20 Jed Ortmeyers on every team. Dolan was born into wealth and is replaceable. Panarin isn't. He's one of a kind

Owners aren't posting Whoa Is Me sob stories on IG.

 

It's business, I get it, go get yours, but don't look for pity or understanding from me because the contract you vetted and signed is only panning out to 95% of your money over 7 years. We don't fucking care.

 

As others said, it's just pathetically tone deaf.

Bingo. That's really the only issue. If owners went on and said "I need these guys to start playing so I can feed my children" there'd be some criticism there. Millionaires complaining that billionaires are greedy, in front of the general population who can't afford to even go to games anymore...It fucking rich (pardon the pun).

Owners aren't posting Whoa Is Me sob stories on IG.

 

It's business, I get it, go get yours, but don't look for pity or understanding from me because the contract you vetted and signed is only panning out to 95% of your money over 7 years. We don't fucking care.

 

As others said, it's just pathetically tone deaf.

do we fucking care how much a bathroom attendant makes? Generally we don't fucking care how much anyone other than ourselves make, unless its an employee in the next cubicle. And if he/she makes more, then we fucking care.

this exactly

 

how many of us on this board are gonna go to work for no paycheck?

 

people will shit on athletes who make millions but not say shit about owners who make billions.

People also have to remember, how many of these guys are coming back to play and don't have a contract anymore? What protection do they have if they get hurt or sick? Contracts end in about a week, and guys will be playing for free for teams that they won't be coming back to. Are the owners gonna step up when a guy without a contract goes down with a serious injury?

People also have to remember, how many of these guys are coming back to play and don't have a contract anymore? What protection do they have if they get hurt or sick? Contracts end in about a week, and guys will be playing for free for teams that they won't be coming back to. Are the owners gonna step up when a guy without a contract goes down with a serious injury?

i think the league had a thing where they extended all contracts through to the end of next season so i dont think thats a huge worry

Why do people always try to compare sports to real life jobs?

 

If I already got paid 9 million this season, yes I would go play hockey for free lol.

 

It's just stupid to post that on social media. It really just goes to show you how toned f owners and players are to what's going on in the real world.

 

That's okay Artemi, fon't play. Let the league fold. Then what are you going to do for a living?

Work is work. a job is a job. yeah they make a lot of money but they're literally the .01% best at what they do in the world in an industry that generates billions for an even smaller group of people. They've earned their salaries and we shouldn't expect them to play for free.

Panarin is't claiming some kind of poverty. he's just saying that the players deserve to get paid for their work. i dont think there's anything wrong with that.

i think the league had a thing where they extended all contracts through to the end of next season so i dont think thats a huge worry

 

 

 

 

Work is work. a job is a job. yeah they make a lot of money but they're literally the .01% best at what they do in the world in an industry that generates billions for an even smaller group of people. They've earned their salaries and we shouldn't expect them to play for free.

 

Panarin is't claiming some kind of poverty. he's just saying that the players deserve to get paid for their work. i dont think there's anything wrong with that.

people in general do not like hearing "the rich" complain about anything. But if someone made a million and you couldn't, doesn't mean they have no rights.

I'd also probably reckon that there are more players not named Artemi Panarin who feel this way harder than he ever will. For every one of him, what are there, like 20 Greg McKeggs?

He's a top player on a big market team using his position to make a difference for others.

Artemi Panarin - F**k you for whining about money when there are millions of regular people starving and out of work for MONTHS already during a GLOBAL PANDEMIC.

Jamal Adams - F**K You too you spoiled, self entitled, selfish, over rated wanna be superstar turd.

Hot news flash for you. Sports is NOT AN ESSENTIAL business! Life has, and will continue to go on without you and your Escrow.

Seriously though, why do these over paid whiners think anyone cares about their salaries, especially now? Honestly, at my age, I am starting to hope sports never come back. So tired of living in my shithole apartment while kids like Jamal Adams and Artemi Paneran play games, make millions, live in mansions with 15 rooms, 12 bathrooms, bowling alleys, movie theatres, 4 pools and all, yet still find things to whine and complain about. Would love to see them all have to go out and get regular jobs like us working stiffs.

Now having said all of that, who's watching the lottery tonight LOLLLL?

I would also bet that if it was Giroux, or Sid of Brett Burns of some star player on another team more people here would be flaming them on the timing and the platform. Yes it's part of a negotiation / grievance they're hoping to address in the upcoming deal, it should of been kept behind closed doors.

Hated it when I saw his post still do, will it pass yes of course. There are just so many bigger problems in the world right now and the NHL and this issue specifically is pretty damn far down the list. Again just should of kept it as part of the ongoing talks behind closed doors.