Marty Walsh, executive director of the NHL Players’ Association (Photo by Joel Auerbach/Getty Images)
Will NHL players finally receive a reduction in NHL expansion fees via Hockey Related Revenue (HRR) in the next collective bargaining agreement?
Since 2017, NHL owners have each received an equal share of the combined $2.7 billion the league has received in NHL expansion fees from the Vegas Golden Knights ($500 million), Seattle Kraken ($650 million) and Utah Hockey Club ($1.2 billion). It’s worth noting that the league purchased the Arizona Coyotes for $1 billion before turning around and selling the team to Utah HC owner Ryan Smith for $1.2 billion. Unfortunately for NHL players, the expansion fee is not part of the 50/50 HRR split with NHL players under the CBA and, as a result, players have not seen a dime of profit on this fee.
New NHLPA general manager Marty Walsh has no great illusions NHL owners will simply suddenly hand over some of the profits they make on NHL expansion teams.
However, with the current CBA expiring in 2026 and with talk of potentially two more teams entering the league, it can’t hurt to at least bring up the topic when negotiations begin for a new CBA.
“I mean, it’s obviously always been like that….” Walsh responded when asked directly by R.G. if the NHLPA requests a reduction in NHL expansion fees. “I haven’t had a conversation with Gary Bettman about that. On the plus side, there have been two cities, Las Vegas and Seattle, that have had very successful expansion processes recently, and that’s obviously great for the game. Utah is there now and they’re selling out every game. So, yeah, it’s great in that regard, but the players, in terms of HRR, have never benefited from the fees, and the owners’ profit figure has increased significantly every time we’ve had The owners obviously won’t say, “OK guys, come on in, we want to share this with you,” but I’m sure it will be a conversation at some point.
Again, Walsh is realistic on the subject, but he wouldn’t be doing his job as head of the NHLPA if he didn’t at least ask questions about it.
“It may be a short conversation, but it will be a conversation,” Walsh joked. “Look, maybe we can get creative and make this benefit retired players, but again, the problem is once you no longer have an advantage, or you lose an advantage, it’s hard to get it back in negotiations. Look, I can’t explain why we haven’t had a reduction in the past, but maybe they fought to get it, and I haven’t had conversations with my predecessors for the ask.”
Walsh and the NHL Deputy Commissioner Bill Daly has now confirmed to RG that they share a desire to begin new negotiations with the CBA in 2025. Whether this will become a real sticking point remains to be seen, but it’s worth keeping an eye on as rumors of NHL expansion continue to swirl.
