JOE BABINSACK LOOKS @ POTENTIAL FALLOUT FROM THE WWE LAWSUIT
- 08/17/2008 (2:01:41 am)
- Georgiann Makropoulos
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We live in a litigious world, and the reality is that professional wrestling remains a billion dollar industry. The only real question about the lawsuit is -- why did it take so long? Eric Bischoff speculates that some “down on their luck” wrestlers decided to run with the lawsuit. With Scott Levy part of the mix, that seems furthest from the case. Actually, most guys who would have an axe to grind with the WWE, and/or considered desperate, would probably have already settled for a Legends contract, and the several thousand dollars that comes with selling their names and likenesses (and other fine print stuff, I’m sure.) The lawsuit filed threatens the WWE’s long established business practices of hiring out talent as “Independent Contractors” and presents some interesting questions. Most are concentrating on dollar amount ramifications. I’m sure the industry can survive with potentially higher employee or contract costs. The WWE is reported to be awash in money, and capable of withstanding several years of downturns and stale storylines. The legality of the issue isn’t easy to predict, although common sense and logic suggests that the points of reality of being an Independent Contractor don’t exactly line up with what the WWE practices. While my opinion likely differs from the WWE opinion, which differs from what the wrestlers would want, the obvious important opinion is in the courts, as well as the IRS and potentially other governmental agencies. But an interesting twist, one that I haven’t heard yet, is that the bigger picture of this lawsuit, if it is won by the plaintiffs, may result in a big positive -- for both the wrestlers (in terms of opportunities, not just back pay) and also for fans. The question of unionizing wrestlers as workers has persisted for many decades, and still remains a pipe dream. The “Independent Contractor” status has always divided and conquered the ranks of talent. It just never makes sense for the top dogs to put all their economic positioning on the line for the less profitable guys. Sure, some have tried -- Bruno Sammartino and Jesse Ventura and others, and have come away with mixed results. Bruno stuck up for the guys making a few dollars a night, and insisted that they get paid better, even if it came out of his potential payoff. Ventura tried to organize, but the fabulous Hulk Hogan stabbed him in the back, according to the story. Any sort of mixed result from this trial could result in a strong bargaining position for the wrestlers, especially in the WWE. One thing that has killed any realistic hope for unionizing is that the wrestlers are not employees, but contractors. If that practice is significantly altered in the WWE, then we may see wrestlers labeled employees, and employees have an easier route to organizing. But beyond that, the opportunities for the talent would increase if the Independent Contractor relationship is better clarified. Almost all the points of the 1992 IRS guidelines (look at Eric Bischoff’s blog, or my cursory look at them on the www.wrestlingobserver.com site) benefit the WWE and their interpretation and how they’ve been allowed to operate. Considering that the WWE currently owns names and likenesses, controls appearances by contracted talent, dictates storylines, insists upon various aspects of a wrestler’s livelihood (style of wrestling, character, unwritten physical appearance, etc.) and basically denies the opportunity to work at will, or work with other promotions, one can readily see a defeat that redefines the realities of Independent Contractors (ie wrestlers) would greatly change a lot of dynamics. Let’s set aside monetary compensation, back pay or future contracts. That’s not insignificant at all, but that’s the aspect everyone focuses upon. My take is this: opportunity will grow by leaps and bounds for wrestlers if the Independent Contractor status is redefined. So much so that the WWE would almost have to start hiring talent instead of maintaining that business relationship. Consider: 1) The WWE may be positioned to where they could not dictate appearances, nor deny wrestlers from making appearances. Ric Flair quit because he had lucrative signings and was denied doing them. If wrestlers truly become independent, then they should be able to line up their own appearances. Furthermore, they may be able to turn down WWE appearances, and book their own. They may be able to turn down a match, citing a better opportunity. After all, they are Independent Contractors, not employees. 2) Furthermore, what’s to deny someone wrestling in multiple promotions? Why not see Bryan Danielson wrestle in ROH, TNA and the WWE in a month? If a guy isn’t used, and could get better deals here and there, one could envision that happening under a clarification. That might just affect the UFC as well… 3) One interesting ramification would be better wrestling for the fans. Imagine if wrestlers are contracted by their talent, not just their contracts to one promotion. It would break up some of the glass ceilings, and it would allow talented guys who went all out on a smaller promotion to get paid a bit more to wrestle for the bigger ones. Exclusive Contracts would be a logical next step, where it would cost the WWE much more to tie someone up. That goes back to the financial end, but the realities of wrestlers shopping their wares, and showcasing their talent, and the ability of guys to turn down stupid stuff, and run for better storylines, would all make for better wrestling for everyone. 4) That leads into a more full blown point, being that the promotions would have a bigger incentive in creating compelling storylines, and would be compelled to involve talent in such decisions. Days of crappy angles and stupidity and abject nonsense may fade away. Wrestlers would be more powerful in turning down scripts that don’t make sense, or would harm their careers. If they could be deemed truly independent, then those independent minds would have to be enticed to work, not just with money, but with better product. Just like movie stars turn down scripts and companies and projects, the mid-range wrestlers could shop around and take up offers that would better position themselves. 5) Opportunity would then be a little more centered on talent and drive and choices, not just getting locked into contracts. I saw Colt Cabana the other night, and screamed at how badly the WWE introduced him. Of course, he’s getting paid (likely) a lot more than he ever did in ROH or on the indy scene, but imagine if he had some say in his character development. Sure, it’s a double-edged sword, because some talent would not have the capability of developing their personality, and almost everyone would insist on not losing and creative control that would make Bret Hart or Hulk Hogan look like idiots in their top notch contracts, but things would play out. Point is, things may very well change because of fallout from this lawsuit against the WWE, and while the financial considerations may be the greatest part, the freedom of wrestling talent to make more money from their own choices, and the potential for upgrading the current situations and creating better wrestling may just be a side effect that fans could really appreciate! Joe Babinsack can be reached at [email protected]. Reviews coming up include Guest Booker with Greg Gagne, Best of Heartbreak Express, and a look at the Insane San Francisco wrestling scene (though not as great as JR Benson’s book.) |
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