On Oct. 21, the day after the New York Liberty were crowned 2024 WNBA champions by defeating the Minnesota Lynx 67-62 in Game 5 of the Finals, another announcement sent shockwaves through the women’s basketball world: The WNBA Players Association had opted out of the current collective bargaining agreement.
In a press release, the association outlined its five priorities for the upcoming negotiation: a new economic model, player salaries, minimum professional standards, retirement benefits, and pregnancy and family planning benefits. Topping the list was the new economic model.
“Opting out isn’t just about bigger paychecks—it’s about claiming our rightful share of the business we’ve built,” said WNBPA President Nneka Ogwumike. “We’re not just asking for a CBA that reflects our value; we’re demanding it because we’ve earned it.”
The WNBA has experienced unprecedented growth, with Sportico reporting a record $1.16 billion valuation for its teams in 2024. The Seattle Storm, the league’s second most valuable team, experienced a 1,250% increase from its owners’ initial $10 million investment in 2008 and is now valued at $135 million. Another indicator of growth is expansion fees. In October 2023, the Golden State Warriors reportedly committed $50 million to establish the Valkyries. Nearly a year later, Portland paid $125 million—a 150% increase—to join the league.
Basketball-related income (BRI) for the league has also surged. In July, the WNBA signed an 11-year, $2.2 billion deal with Disney, Amazon Prime Video, and NBCUniversal, bringing in $200 million annually in media rights. That represents a 230% revenue increase compared to today’s estimated $60 million. Ticket sales and merchandise followed a similar trend, with attendance rising 48% and merchandise sales increasing by more than 600% through official stores.
One figure, however, has not kept pace: player salaries. The current maximum salary under the CBA is $241,984. While this is a significant increase from 2019’s $117,500, it still accounts for less than 10% of the league’s revenue. Addressing this disparity is at the heart of the WNBPA’s demands.
In the opt-out announcement, the WNBPA described its vision for a new economic model as “transforming the current system, which imposes arbitrary and restrictive caps on the value and benefits players receive, by introducing an equity-based model that grows and evolves in step with the league’s business success.”
Unlike the NBA, the WNBA operates under a hard salary cap, which limits team spending to $1.46 million with no flexibility for supplemental acquisitions. In contrast, the NBA allows teams to exceed the cap by paying luxury tax fees, which contribute to a revenue-sharing pool that helps smaller-market teams remain competitive. The WNBPA has emphasized that the hard cap restricts teams’ ability to navigate challenges such as injuries and pregnancies, resulting in job instability and over-reliance on short-term contracts.
In 2024, 28 of the 427 transactions listed on the WNBA’s official website were seven-day contracts, while 23 were rest-of-season contracts. Many of the latter followed multiple renewals of the former. Odyssey Sims (Los Angeles Sparks), Jaylyn Sherrod (New York Liberty), Queen Egbo (Las Vegas Aces), and Amy Atwell (Phoenix Mercury) are examples of players who signed two or three seven-day deals before securing a rest-of-season contract.
The prevalence of short-term contracts highlights the limitations of the WNBA’s hard salary cap, which is closely tied to the league’s inequitable revenue share with players. The current cap restricts teams’ ability to offer stable, competitive salaries and fully utilize their rosters. If the revenue-sharing model were restructured to provide players with a larger share of league income, it could facilitate a more flexible salary cap system. This, in turn, would significantly improve the player market, allowing teams to invest more in their rosters, reduce reliance on temporary contracts, and enhance overall job security for players.
Reaching a 50/50 revenue split between the WNBA and its players presents two primary challenges. First, the WNBA’s profit margins are not yet as robust as the NBA’s. Without transparency into the league’s financial records, it remains unclear whether the league is even turning a profit. This lack of visibility complicates efforts to advocate for a specific share of revenue, as the players cannot quantify what constitutes an equitable split.
Second, the WNBA’s ownership structure adds complexity. Currently, 42% of the league is owned by the NBA, 16% by a private investment group following a 2022 capital raise, and the remaining share by WNBA franchise owners. However, some WNBA teams are owned by NBA team owners, further empowering the leagues’ operations and decision-making. This overlapping control increases the NBA’s influence over WNBA financial policies, which could make negotiations for a revenue share model akin to the NBA’s more challenging.
While these factors present hurdles, they also underscore the importance of ongoing growth and collaboration between players and ownership to establish a sustainable financial model. The WNBPA’s push for transparency and equity could be pivotal in shaping a future where players are better compensated for their contributions to the league’s success.
Roberta F. Rodrigues is a Brazilian-American professional in the sports industry. With a journalism degree from Universidade Anhembi Morumbi and an MBA in Sport and Entertainment Management from Seattle University, she combines her passion for storytelling with her strategic insight. Her work with the WNBA and deep understanding of the dynamic sports industry reflects her commitment to advancing equity in professional sports.
