Scott Abbott says if he is forced to pay Battalion players a minimum wage, the team would likely have to shut down.
Abbott made the statements in an affidavit sent out by the Canadian Hockey League in defence of a class action lawsuit where current and former players claim major junior hockey is a strong enough industry that they should be able to pay all the players a minimum wage salary.
“If the Battalion were required to pay its players minimum wage, the consequences of this additional expense item would likely result in the team shutting down,” stated Abbott in the affidavit, among many that were made out by OHL teams as part of the CHL defence.
Abbott claims in the legal document that the franchise never had a profitable season in any of the 15 years in Brampton.
“We ran a deficit of at least $100,000 per year with our losses often being as high as $400,000 per year. In our last year in Brampton, the team lost approximately $800,000. Only after our move to North Bay in 2013, the team began to break even or turn a nominal profit of less than $100,000,” stated Abbott in the affidavit which was submitted in the fall of 2015.
Players currently receive about $475 per month from the team for spending money. However, on top of that the teams cover room and board for the players, along with medical and dental insurance, along with hockey equipment that - depending on the player - could be close to $7,000 for each player.
When they leave the CHL, the league says players are eligible for university and college scholarships if they don’t pursue a long-term pro hockey career.
It’s been estimated that paying players minimum wage would cost each club about $300,000 per year. The league claims that would force teams to cut back benefits such as scholarships and might even drive some teams like the Battalion, into bankruptcy.
“The only way the team could possibly continue to operate would be for the team to re-allocate funds spent on other benefits (education package, equipment, social events, training, facilities) to minimum wage payments,” Abbott continued in the affidavit.
“The players would be receiving minimum wage but they would no longer benefit from having the best hockey development experience in the world with top of the line coaching, facilities and equipment. Players would potentially lose out on fully paid education packages. The atmosphere, personality and purpose of the OHL would be significantly altered after being a staple in the hockey world for so many decades.”
To see the entire Scott Abbott affidavit along with other teams go HERE.
Court proceedings relating to the landmark case have continued in 2017 in both Toronto and in Calgary.
