The Collateral Damage Of Lockouts…

Labor disputes in any business are never fun. We all want peace so that our cars are sold fairly, our pools stay open, our garbage is picked up and our teams play when they are supposed to. While fans grow frustrated with the current lockouts in the NBA and the NFL, the seasons are still far off enough so that most social unrest is still below the waterline. However the real unrest at this time of year is through the collateral damage that work stoppages have on an industry, this time the industry of sport. Here are some examples as to how the lockout has effected and can continued to effect this who make their living off the field but in the sport.

NBA Summer League: Canceled early on this year, the Vegas Summer League created more hotel jobs, broadcast spots, vendor opportunities and entry level basketball career jobs for a few hundred folks. Young people attended an annual job fair for teams and others in the business which will not happen this year, creating a void and a backlog in opportunities.

Fantasy Sports: Conventions which filled ball rooms, sold meals, and helped the travel industry will not be held or have been postponed this summer. Dollars by brands have been held up for fall spends on fantasy sites, creating great angst amongst salespeople and those who run sites that are dependent on the dollars brought in through fantasy football. It may seem silly to some, but that ancillary and primary income, especially for digital sites, could be a huge issue come the fall if that money is not spent by brands or reallocated outside of the fantasy industry.

Broadcast: In addition to fantasy specific shows like those on Sirius XM curtailing their football previews, announcers and broadcast staffers have been furloughed or put on delay as to what their fall income will be. No NBA hoops in the preseason or summer means no work for tech people or announcers. NBA-specific sites cannot cover player events, which leads to less traffic, dollars, and working hours.

Football Camp Workers: Many NFL teams have announced the move of training camp from colleges back to their own training facilities. The loss of hourly wages, meals and hotel rooms in places like Cortland, New York can be very hurtful to a local economy which thrives in those three to four week stints every summer where media and fans descend on the town.

Advertising Sales: Whether one is selling or buying, the uncertainty in the marketplace means deals are deferred, and for commission based sales folk, that deferrment does not necessarily mean dollars will come back when the lockouts are settled. Those dollars may go elsewhere, to entertainment shows for example, or they may not get spent at all by a brand looking to cut costs. While some feel those dollars would go to places like college sports or hockey or September baseball, the bottom line is that NFL brands spend NFL or NBA brands spend NBA, and they may not necessarily have to spend elsewhere because at some point the lockouts will settle, and they may wait until that point to infuse dollars.

Ticket Sales: Many entry level jobs in sport start at ticket sales. While the NFL may not have that many seats to fills on a per-game basis, the NBA does, and all that offseason sales activity can be curtailed by the lockout. That curtailing means less sales and with it less opportunity to sell for young people looking to get a foot up.

While all the news is not glum, and some remain optimistic that the lockouts will settle, the uncertainty makes for more issues for those who live off the game but never play the game. Wen teams are back, the fans will forgive and return and the excitement of pro sports will keep business flowing. However until that point, there are thousands who need income who will have many sleepless nights, and that income may be very hard to recoup. here’s to labor peace, and ehlping those in the industry to get on with business.