Unprecedented Move in U.S. Sports: NWSL Eliminates Draft and Grants Free Agency to Players
In a groundbreaking decision, the National Women’s Soccer League (NWSL) and the NWSL Players Association have agreed to remove the draft and provide free agency to all players. This move marks a significant shift in major professional sports in the United States and is aimed at giving athletes more control over their careers.
As part of the new collective bargaining agreement, which has been extended until 2030, players in the NWSL will now have the freedom to choose where they play. This change could potentially attract top talent from around the world and elevate the league to new heights.
“We compete in a global labor market for talent,” explained NWSL Commissioner Jessica Berman in an exclusive interview with CNBC. “By eliminating the draft, we are leveling the playing field and positioning ourselves to recruit, retain, and develop the best players in the world.”
The new CBA also includes a substantial increase in player salaries. The league minimum salary will rise from $48,500 in 2025 to $82,500 by 2030, while the base salary cap for teams will grow from $3.3 million to $5.1 million over the same period. Additionally, individual players will have no salary limit, and teams will have the flexibility to allocate salaries as they see fit.
Furthermore, the CBA allows for the salary cap to increase in the future, based on the league’s revenue-sharing model. Players stand to benefit from additional sponsorship and media deals, incentivizing growth and collaboration between the league and its athletes.
The NWSL’s recent success is evident in the surge of attendance, viewership, and team valuations. Angel City FC, for example, recently received a $250 million valuation after Disney CEO Bob Iger and journalist Willow Bay acquired a controlling stake in the team. Moreover, the league secured a media deal worth $240 million over four years, a significant increase from previous agreements.
NWSL Commissioner Jessica Berman emphasized the importance of renegotiating the CBA early to provide investors and partners with a clear vision of the future. By extending the labor agreement, the league aims to instill confidence in potential stakeholders and ensure a smooth path for growth and investment.
“We believe this next phase of growth is going to unlock an incredible amount of investment and resources,” said Berman. The NWSL is positioned to capitalize on the momentum of women’s soccer and establish itself as a leading force in the sports industry.
Stay tuned to Extreme Investor Network for more updates on the NWSL and the latest developments in the world of sports business. Subscribe to our newsletter to receive exclusive insights and analysis straight to your inbox.