SAN ANTONIO, June 21 (UPI) -- The National Basketball Association and its players' union announced Tuesday the terms of a new six-year collective bargaining agreement.
NBA commissioner David Stern and National Basketball Players Association executive director Billy Hunter held a joint press conference to discuss the agreement in principle.
The sides compromised on several key issues that had hampered negotiations between the owners and players for several months.
The new agreement includes a 3 percent increase in the salary cap, a reduction in the luxury tax, a decrease in the escrow withholding over the term of the deal (10 percent to 8 percent) and a guarantee by the league that the players will receive at least 57 percent of basketball related income.
The minimum draft entry age will be increased from 18 to 19 years or the individual must be at least one year removed from high school. Any player not 19 by draft night will be ineligible to declare for the NBA.
