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I got another interesting e-mail the other day. It was from Tim Harris, who writes-
"I watched UFC 114 last night and was talking with a few friends about salaries in different sports. We came to the conclusion that, endorsements aside, UFC fighters, especially the high profile ones, are seriously underpaid compared to other national sports. Is there a deal between the UFC and endorsers so that fight payouts only come out to a small % of revenue but fighters are still getting proper compensation? I'm sorry but $435,000 for Rashad seems low doesn't it?
After that it gets worse - out of the tens of millions of dollars a UFC event makes only 5-10% go to fighters? That seems insanely low, in the NBA for example players are guaranteed to earn at least 57% of revenues and benefits. And their contracts aren't reduced due to their large endorsement contracts. Boxers aren't paid pennies and nickels either.
It seems like the UFC, especially considering MMA is the hardest job in the world and it is a personal star driven sport is completely shafting it's fighters. Rashad Evans and Quinton "Rampage" Jackson for that matter should not have made less than $1 million last night - is it just all my friends and I or does the UFC's revenue distribution seem to award Dana White more then the people drawing in the money?"
Tim raises a very good point. UFC pay-per-views are about $45 for standard-definition, $55 for high-definition. I'll just use $45 as the baseline price. The other day Dana White predicted 850,000 buys for UFC 114. That equals out to $38.25 million. The actual number would be a shade higher, due to the $10 premium some would have paid for the broadcast in high-def. The live gate at the arena was $3.9 million. This puts the overall number at approximately $42 million. The reported salaries for all of the fighters at UFC 114 was a paltry $1.4 million. That number doesn't include so-called "locker room" bonuses or "fight night" bonuses, but those probably wouldn't shift the percentages that much anyhow.
As it stands, the reported salaries were a measly 3% of the projected gross for the event. The live gate alone was nearly 3 times what the fighters made. That's absurd. There's a huge disconnect between what should be, and what is. The UFC has been built on the backs of the fighters, the guys who actually do all the work. Yet these guys get paid a pittance compared to the money they bring in for the company. Rashad Evans and Rampage Jackson were each scheduled to make $250,000 for their fight, with Rashad getting $185,000 as a bonus. UFC 114 was marketed almost exclusively around their fight, there's no question that they are the main reason most people who ordered the PPV did so. Their salaries, though, comprising 50% of the reported payout, were just 1.5% of the expected gross.
I understand that the UFC has building rentals, advertising, and many other costs associated with running a televised show, but can't they take care of their fighters better? Even a jump to 10% for fighter salaries would be an astronomical leap, and 10% is still much too low. As Tim noted, NBA players get 57% of the revenue stream. NFL players get about 59%. I'm not saying that the UFC has to pay out those kinds of numbers, though I do think that would be justified, but they could jump to paying double digit percentages with ease. The UFC is built on individuals, they're the straw that stirs the drink. While it's true that no one is bigger than the UFC, it's also true that the UFC wouldn't be where it is without the fighters. It's past time for the UFC to pay their guys better.
Comments or suggestions can be e-mailed to me at hydenfrank@gmail.com
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