The Edmonton Oilers signed superstar forward Leon Draisaitl to an eight-year, $112M contract extension on Tuesday, keeping one of their most important players in the organization for the foreseeable future.
That contract carries a $14M salary cap hit per season, which is now the new high mark for salary cap numbers in the NHL.
That $14M per year cap number surpasses the $13.25M salary cap hit owned by Toronto Maple Leafs forward Auston Matthews.
In terms of actual salary, Draisaitl will make $16.5M in the first year of his contract during the 2025-26 season, which will also make him the highest-paid player in the league in terms of real dollars (salary cap hit is simply total dollars divided by number of years; but the actual salary can be higher or lower in a given year).
That alone makes it a significant contract for Draisaitl and the Oilers.
It also highlights just how far behind the NHL is compared to the other big-four sports leagues in terms of player salaries and how much they have climbed over the past 15 years.
In 15 years, the NHL has gone from the highest paid player making $10m to $16.5m AAV. In that time...
— Bob Sturm (@SportsSturm) September 3, 2024
The NBA went from 23m to 63m.
The NFL went from 15.3m to 55m.
MLB went from 33m to 70m.
Those are significant increases for the NBA, NFL and MLB. It is not uncommon for bench players and role players to make upwards of $15M or $16M in the NBA, while $15M or $16M in Major League Baseball might get you a decent starting position player or a middle-of-the-rotation starting pitcher.
In the NHL, it gets you the best players in the league.
The NFL is simply a monster and is swimming in money, so it makes sense that their players make more. Especially when the physical toll the game takes on players. Major League Baseball also has, by far, the longest season, while the NBA has significantly smaller rosters and fewer players to spread their revenue among.
It is also eye-opening when you consider that NHL players were making more money in the late 1990s and early 2000s than they are now. At least at the top half of the league. In 1997 the highest paid player in the NHL was Sergei Fedorov at $28M per year. Joe Sakic made over $17M that same season.
Part of the change is the fact the NHL now has a hard salary cap now, limiting what teams can spend. Another major factor is that the NHL is largely a gate-driven league and relies on ticket sales more than any of the other major sports, while it has what might be the worst TV deal.
The salary cap — and by extension, player salaries — is expected to rise significantly in the coming seasons, and could go from $88M this season to as much as $92M next season and continue to climb after that.
That will result in higher salaries for players, including the top-tier players. It is still not likely to catch up to their counterparts in the NBA, NFL and MLB anytime soon.
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