David Falk is remembered mostly for his role as the agent of Michael Jordan. He played a pivotal role in securing MJ’s groundbreaking deal with Nike and is credited for helping lay the foundation for his success. So, when Falk approached His Airness for help over a $1,500,000 conundrum, he happily obliged.
Advertisement
In the summer of 1990, the NBA considered offering their less fortunate players a pension program. But, that would require lowering the salary cap, something several agents were unhappy about, including Falk. And, as revealed in the book The Jordan Rules, he enlisted the support of the GOAT.
Michael Jordan once supported David Falk in his aim to prevent NBA’s $1,500,000 plan
Michael Jordan is one of the greatest and richest NBA players of all time. But, he would not have reached the financial heights he has today if it weren’t for the great support he had around him, something that includes his former agent, David Falk. Falk did a lot for Michael, including securing his lucrative Nike deal. To say that His Airness was indebted to Falk would be an understatement.
So, when David approached Michael for his support regarding a particularly dicey situation with the NBA, the latter wholeheartedly agreed to coerce it. In 1990, the NBA decided to provide their players with an option for a pension, a plan approved by several players across the league.
However, the agents weren’t so happy. The plan required franchises to reduce their salary cap by $1.5 million. And, that would affect the commission agents take on deals. So, using Jordan’s name, Falk subtly threatened Craig Hodges, who was the Bulls’ player representative, and a huge backer of the proposal, by suggesting that Michael would appreciate it if it were rejected.
“One of the leaders of the opposition was Jordan’s agent, David Falk, who had enlisted Jordan’s support. Publicly, it should have been an embarrassing position for Jordan to take, seeking a raise at the expense of players who were less fortunate. But the issues became muddied by charges and countercharges and never became clear publicly. Late in the summer, Hodges got a message to call Falk. ‘You know, Michael is against this proposal,’ Falk told Hodges, the Bulls’ player representative, who would cast the team’s vote at the upcoming union meeting. ‘He’d really like to see it rejected.'”
Clearly, Jordan’s bond with Falk was more important than the potential outrage of his fellow NBA players. Unfortunately, Falks’ words whether they got through to Hodges or not did not matter, as the plan was approved anyway.
The NBA’s pre-pension plan was approved despite David Falk and Jordan’s concerns
David Falk and Michael Jordan weren’t the only people concerned about the pre-pension plan. Players like Magic Johnson and Patrick Ewing weren’t fans either. However, despite their protests, the NBA had their pre-pension plan approved, giving Craig Hodges and the other less fortunate players what they wanted.
It was quite a success. And, while there have been several revisions over the years, the pension plan continues to thrive. It now includes such perks as an education program and healthcare for life. Regardless of the backlash it may have received, it’s good to see the NBA taking care of its players.
