Wrestling Contract Notes

"Based on the old wrestling standards of talent getting 25% of the gross (in real sports the figures are in some cases 55% which I guess explains why pro wrestling is a lot more profitable a business these days then an NBA franchise and probably also explains the value and lack thereof in a multi-million dollar industry the isn't unionized), the average WWF salary this year should be $1.25 million per year and WCW (with more wrestlers) should be about $800,000 per year. Even though everyone is making more money than ever before, and in many cases working a lot less to do so, by major league sports and entertainment standards, these are not overpaid performers." - Dave Meltzer of the Wrestling Observer on Devember 12th 1998

"In most of the WCW contracts there is a 90-day non-compete clause which means after the contract ends if it isn't renewed, the talent can't work for WWF for three more months. Whether that is legal is speculative, and in the case of Steve Regal, it was taken to court and before a ruling was made, WCW simply dropped its claim of keeping Regal from appearing, which ended up being a moot point due to Regal's various injuries and illnewss this (98) year." - Dave Meltzer of the Wrestling Observer on November 23rd 1998.

"        There is a potential more than ever for labor issues. While wrestlers are earning more than ever, pro wrestlers pay is ridiculously below the loevel of athletes on terms that don't generate anywhere near as much money. While the idea that Sting or Scott Hall earned in excess of $1 million last year on the surface sounds like they are overpaid, and by the traditional standards of wrestlers' earnings, they were, by the standards of athletes and entertainers, it is doubtful there is an overpaid performer in this business (although if there were, those two would top that list). Most NFL teams, that this includes their huge TV contracts, gross between $60 and $100 million. Total payrolls for talent range from $35 to $70 million, depending on the team. WWF and WCW will gross probably $200 million last year (98), and more likely than not, more this coming year. WCW payroll for talent is said to be $35 million, while WWF's is considerably lower, probably under $20 million. The perception that WCW overpays talent is ignorant is you look at the big picture, but looks to be the case because WWF has so successfully kept their salary structure under control (aka screwed talent during this boom period). WWF and WCW talent still, unlike NFL talent, largely pay for their own road expenses (some stars get limos as part of their deal, but not a lot, and some get their hotel tabs paid, but they are in the distinct minority). The diference? Partially promoters have talent by the balls in wrestling because of the belief that they can create a star out of cloth in wrestling, which sometimes is true but isn't always, whereas in football, or any sport, there is real competition and you have to be able to play. The lack of unionization in wrestling may become a big issue if revenues continue to grow, but salaries fail to keep pace as has been the case. In addition, a pro wrestler earning $500,000 per year for the most part mentally feels that is incredible amount to be paid for a job that nearly all went into with the mind set they'd never earn anywhere close to that and most spent years early on making $50 per night. While fans of basketball have no sympathy for the stars, figuring they're already making 50 to 100 times what they'd be making if they had a "real job," basketball players for the most part all grew up with stars in their eyes fed by agents, sycophants and hangers on from the age of 14, and believe the kind of money they make is due to them. Wrestlers are begining to get that mentality, but it is still somewhat new.
        Actually there is one difference for the worst between the mentality of wrestlers, particulary in WCW, as compared to other athletes and major entertainment performers. Baseball players may very well resent having to go on the road all summer and play 162 games, but they know it's their job and at this point there doesn't seem to be a situation where guys create their own fake angles to avoid going to the games. Because of the atmosphere in WCW, the most powerful wrestlers either don't go on the road (Hogan) or do so in limited form, which leaves the next level of wrestlers continually trying to find ways of avoiding the road, and leaves tremendous resentment among the rest of the performers who are making far less money, and going on the road. It would almost be like the Bulls signing Michael Jordan for another year and Jordan demanding in his contract that he only works 25 games, and once that pandora's box is open, then Grant Hill, or Hakeem, or Scottie Pippin will then want their schedules cut down and you can imagine what that would do to the NBA if, say, the stars would mainly perform on national prime time but not the games that only air on the local market, not that this year hasn't screwed it up enough."