The NHL and the NHL Players’ Association are close to announcing they have struck a tentative agreement on a return to play protocol and a three-year extension to their current collective bargaining agreement.
An industry source with knowledge of the negotiations said Thursday the two sides “are there” in terms of an agreement and that a memorandum of understanding was being drawn up with hopes of it being presented to the players and the NHL board of governors either later Thursday or Friday. The source was granted anonymity in order to speak freely about the negotiations.
The agreement would have to be ratified by both sides, and it’s expected the players could vote on it as early as this weekend.
If the agreement goes through it would bring three more years of labour peace to the league, which was set to see its current CBA expire after the 2021-22 season. The new deal would end after the 2024-25 season.
Key among the details is a flat cap of $81.5 million (U.S.) for the first two years, something which the players made work through other avenues in the deal, including escrow, contract restructuring and subsidies for players who stand to lose opportunities in the changing face of free agency.
The escrow rate opens at 20 per cent in the first year of the deal. The players had not decided on the rate in the final years of the agreement, but it could range between five and 10 per cent.
The new deal would also include participation in the Olympic Winter Games in 2022 and 2026.
With the July 4 holiday weekend arriving in the United States, the two sides hoped to have a copy of the agreement into the hands of the governors and players by Friday.
The NHL paused its season March 12 because of COVID-19. It’s currently in Phase 2 of its four-phase plan to return — allowing some voluntary practising within small groups. Phase 3 will see NHL summer camps open July 10, but reports have suggested that date could be pushed back to July 13 in order to allow time to properly establish coronavirus protocols.
Phase 4 would see the start of play-in rounds and playoffs in late July, with Toronto and Edmonton serving as the hub cities. Each would host 12 teams from the respective conferences that will compete for the Stanley Cup.
More to come.
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