Student-athletes at state universities would be allowed to organize into unions under bills recently sponsored in the Michigan House of Representatives. The Democratic sponsors say the bills would empower student athletes who often provide great value to their institutions.
The legislation would classify student athletes as university employees instead of amateur competitors. If signed into law, the bills would set the stage for union bargaining over questions like revenue sharing, training and work conditions, and name image and likeness (NIL) agreements.
Representative Joe Tate (D-Detroit) is a former Michigan State University football player who also went pro. He said student athletes who bring money into schools get a bigger voice in their working conditions and, in some, cases, a share of ticket sales and lucrative broadcast deals.
“Whether it’s this revenue coming in, and just kind of that explosion there, and student athletes not being able to take advantage of that,” he said.
The legislation follows a settlement agreement between the NCAA and Division 1 schools, which includes Michigan State University, on revenue sharing with student-athletes.
Earlier this year, the National Labor Relations Board -- under pressure from President Donald Trump – also rescinded a 2021 memo that classified college athletes as “employees” with collective bargaining rights. The Trump administration also fired the NLRB attorney who wrote the memo that determined college athletes meet the legal definition of employees.
“Welcome to the future because now that there’s billions of dollars pouring into these schools, these athletic departments for sports entertainment, it is professional,” said Thomas Dieters, who helps negotiate name, image and likeness deals for college athletes, including the Michigan State University women’s gymnastics team. "The schools and the leagues and the NCAA, they just have to come to that realization and admit it, this is professional sports.”
The two bills would allow student athletes to form labor unions and make collective bargaining agreements and strengthen rights to make name, image and likeness (NIL) deals. The legislation is silent on academic requirements or student status to be eligible to play.
That is by design, said state Representative Carrie Rheingans (D-Ann Arbor), one of the bill sponsors.
“That’s so the students and their labor organizers and the universities and the athletic departments would be able to negotiate the terms of the contract,” she said. “I don’t want to dictate the terms of the contract because it’s for the experts, the people who are living this life to negotiate the terms of the contract.”
She said student-athletes at smaller state universities would benefit even if their schools do not have big broadcast and endorsement contracts. She said bargaining could still include a share of ticket receipts, as well as training conditions and medical benefits.
Legislative Republicans, who control the Michigan House, said they are watching to see how legal developments play out, but are definitely cool to the idea of unionizing student athletes at public universities.
“I think there’s a lot of questions about NIL deals right now. I don’t think anyone’s looking to expand things to let student athletes have a union representing them,” said Representative Greg VanWoerkom (R-Norton Shores). “I think there’s much more interest in getting roads funding done and getting the school budget done than in letting student athletes form a union.”
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