By Robert J. Romano, St. John’s University, Division of Sports Management
During the 2019 football season, NCAA member institutions with a Division I football program paid out, collectively, more than $294 million in head coaches’ salaries. Those same member institutions also collectively paid $318 million for their athletic program’s assistant coaches.[1] Compensation for all head and assistant coaches at schools with a Division I basketball program totaled in excess of $205 million.[2] These same coaches also received millions of dollars in incentive bonuses for a wide array of achievements, including: team wins, championship appearances, game attendance, automobile stipend and compensation for summer recruitment camps.
A large number of these Division I football and basketball coaches are often the highest-profile figures on their respective college or university’s campus, seeing as their multi-million-dollar salaries often outweigh those of the most esteemed professors and even a college or university’s president. These high-dollar contracts provide the coach with long-term financial security in an atmosphere where job security for even other highly-paid university employees can be far less secure.
But what about non revenue-generating sports? Does a Division I gymnastics, wrestling, or lacrosse coach have the same financial security as their basketball and football colleagues? Typically, the answer is no. Coaches for non-revenue generating sports do earn a good salary, but not at the same level as football or basketball counterparts. For example, a Division I head women’s gymnastics coach earns approximately $195,000 per year. A Division I wrestling head coach has an average salary of around $266,000.00.[3] These coaches are being paid significantly less while working the same 80-hour work weeks. And their responsibilities can include not only coaching, but recruiting, counseling, academic advising, fundraising, and whatever else the athletic director or president requires on behalf of the athletic department or university.
But since non-revenue sport coaches typically earn much less than their university’s football and basketball coaches, are they left facing less job security? Apparently, the University of Minnesota doesn’t feel that it needs to provide such a safety net. As a way of thanking its non-revenue sports coaches for all of their dedication, commitment, and hard work, both on and off the field, the Minnesota athletic department has begun to include a “program-elimination” clause in each contract of a non-revenue sports coach. This means that the University has the power to unilaterally terminate a coach’s contract unilaterally, without notice and/or without cause?
Specifically, the University of Minnesota’s “Program Elimination” clause reads as follows:
If the University makes the decision, which it may make in its sole discretion, to eliminate its ____________ program, then this Agreement, as well as Coach’s appointment, will automatically terminate 120 days following the effective date of the decision, without the need for any further notice, and without the payment of any Termination Fee. Termination under this Section shall supersede all rights Coach may have under the Policies and Procedures including but not limited to any rights to notice of termination or to participation in any layoff program.
Normally, when a coach is terminated without cause (meaning fired, not for any significant workplace misconduct), as opposed to being terminated with cause, he or she is entitled to the remaining balance of compensation owed, per the terms of the contract. For example, if a coach signs a five-year agreement and is subsequently released without cause after the second year, the university is obligated to pay either an agreed upon buy-out amount, or, in the absence of such a provision, it will pay the remaining three years of salary due. Again, per the terms of the contract. However, it appears that the University of Minnesota doesn’t want to be normal when it comes to terminating a coach without cause.
As per its “program elimination” clause, if the University decides to cut a non-revenue sport, which the school can do “in its sole discretion”, the contract and the coach’s employment will automatically end after 120 days. And neither the buyout, nor the remaining balance due under the contract, will be paid. The decision to place these clauses came about in 2019, coincidentally at the same time the University of Minnesota was contemplating eliminating up to three various non-revenue sports. Since then, Minnesota has placed this ‘program elimination’ language into seven head coaches’ contracts, Additionally, Minnesota has shown no sign of ending such a practice.
In response to questions about this issue, Minnesota athletic director Mark Coyle conceded that the clause is now a standard part of non-revenue generating sports coaches’ contracts. He stated “Starting in summer 2019, for Olympic sports, our practice has been to include the clause in new contracts and contracts up for renewal, and our intent is to continue this practice.”
Non-revenue head coaches at the University of Minnesota, and all other Division I sports programs, need to be aware of and prepared for the potential ramifications of these one-sided clauses. Currently, there is no union to protect the interests of college head coaches of non-revenue generating sport. So, it may be beneficial for these coaches to hire an attorney with expertise in this area, in order to help ensure that these ‘program elimination’ clauses are, if possible, negotiated out of these coaches’ next contract.
If not other Division I coaches are not prepared, they may end up in a similar situation as Minnesota’s men’s gymnastics coach Mike Burns, after he signed his contract extension in 2019.
Sometime later, he simply said “The world I live in was changed a little bit with that clause.”
1. https://sports.usatoday.com/ncaa/salaries/football/
2. https://sports.usatoday.com/ncaa/salaries/basketball/
3. https://www.usatoday.com/story/sports/2019/08/12/ncaa-power-5-schools-steeply-raising-pay-non-revenue-sport-coaches/1946843001/
