S. 2469: College Athlete Right to Organize Act

This bill, titled the College Athlete Right to Organize Act, aims to establish collective bargaining rights for college athletes. Here is a summary of its key components:

Purpose of the Bill

The bill seeks to address perceived inequalities and exploitative practices faced by college athletes, particularly regarding their compensation and working conditions. It aims to empower them to negotiate as a group, similar to professional athletes, by allowing them to form labor organizations and engage in collective bargaining with their colleges and athletic conferences.

Key Findings

• The National Labor Relations Act (NLRA) is intended to balance the power between employees and employers, ensuring workers can organize to improve working conditions.
• Labor organizations have historically helped secure fair treatment and compensation for professional athletes.
• College athletes are often treated as amateurs by the NCAA and its member institutions, which restricts their rights and benefits.
• College athletes perform valuable services for their schools under agreements that provide them with scholarships and stipends, thus making them subject to workplace protections.
• To negotiate fair terms, college athletes need legal representation and the ability to form collective bargaining units.
• Intercollegiate sports generates substantial revenue, justifying the need for regulation under the NLRA.

Amendments to the National Labor Relations Act

The bill proposes several amendments to the NLRA, including:

• Definitions: The bill would redefine "employer" to include public colleges concerning their college athlete employees and define college athletes participating in intercollegiate sports as employees if they receive compensation tied to their athletic participation.
• Collective Bargaining Units: It allows for the establishment of multiemployer bargaining units across institutions within the same athletic conference, facilitating collective negotiation on compensation and conditions.
• Jurisdiction: It clarifies that the National Labor Relations Board (NLRB) will have jurisdiction over labor relations involving college athlete employees and their institutions.
• Non-Waiver Clause: Athletes cannot signing agreements that waive their rights under this Act.

Tax Implications and Federal Assistance

The bill stipulates that:

• No changes will be made to the taxation of direct compensation already classified under the Internal Revenue Code, meaning athletes will not face new tax implications due to their status as employees.
• The bill will not alter the treatment of scholarships under tax laws or affect their eligibility for federal financial assistance.

Severability Clause

The bill includes a severability provision, meaning if any part of the Act is deemed unconstitutional, the remaining provisions will still apply.

Relevant Companies

None found