
The topic of whether student athletes should be paid has been a subject of debate for many years. While some argue that student athletes are students first and not employees of the school or university, others believe that they should be compensated for their contribution to the success of their educational institution's sports teams. In recent years, there have been some developments, such as the introduction of athletic scholarships and endorsement deals, that have allowed student athletes to receive some form of payment or compensation. However, the debate continues as to whether this is sufficient, with some calling for student athletes to be treated as employees and receive salaries.
| Characteristics | Values |
|---|---|
| Student athletes' compensation | Scholarships, endorsements, sponsorships, booster gifts, and agreements with companies to utilize their name, image, and likeness |
| Student athletes as employees | Not considered employees, but there is ongoing debate and legislation surrounding this |
| Student athlete compensation regulation | NCAA, a nonprofit organization, regulates intercollegiate athletics |
| Student athlete compensation trends | A shift towards direct payment to athletes and an increase in scholarships |
| Student athlete compensation impact | Potential threat to college sports and concerns about the financial burden on students |
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What You'll Learn

Student athletes and scholarships
Student athletes do not receive salaries like professional athletes. Instead, they are "'paid" through scholarships that cover part or all of their tuition and fees, course-related books, room and board, and sometimes even living expenses. These scholarships are awarded to high school and college athletes with extraordinary talent and commitment to sports and academics.
There are various scholarship awards available for student athletes, such as the National Society of High School Scholars (NSHSS) scholarship, which is dedicated to student athletes who excel in their respective sports. Student Athlete Scholars is another scholarship programme that offers mentorship, recognition, and leadership development programmes in addition to scholarships.
It is important to note that not all student athletes receive full-tuition scholarships. In fact, only about 1% of student athletes do. Many athletes receive partial scholarships or no scholarships at all. To increase the chances of receiving a scholarship, an athlete can fill a specific and important role on the team or leverage multiple recruiting offers to get coaches to increase their offer.
While student athletes are not paid a salary, they can now receive compensation for using their name, image, and likeness. This allows them to earn money through endorsements, corporate sponsorships, and other sources. This change was brought about by the Supreme Court ruling in 2021, which decided that the NCAA could not prohibit compensation for education-related benefits.
The discussion around paying college athletes has been a controversial issue. While some top athletes are now earning money through endorsements and sponsorships, the majority of college athletes do not receive a salary for participating in college sports. The NCAA operates under the amateurism model, prohibiting student-athletes from being compensated beyond scholarships and other benefits.
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Student athletes and endorsements
Student athletes in the United States are not paid salaries like professional athletes. Instead, they are "compensated" through athletic scholarships that usually cover part of their tuition. The National Collegiate Athletic Association (NCAA) operates under the amateurism model, prohibiting student-athletes from being paid beyond scholarships and other benefits.
However, in 2021, the Supreme Court ruled that student-athletes could receive payment for using their names, images, and likenesses. This ruling enables student-athletes to receive compensation through booster gifts, agreements with companies, and endorsements. They can also earn through corporate sponsorships and other sources. This has led to the formation of "collectives," which are groups of supporters who raise funds to attract or retain key players at their chosen schools.
The NCAA started allowing athletes to be paid for the use of their name, image, and likeness (NIL) in endorsement deals in 2021. This policy change has sparked debate about the future of college sports and the potential for unionization among student-athletes. Some argue that student athletes, who can generate millions for their universities, should be treated as employees. However, others believe that college sports should not become professionalized and that student athletes are amateurs who receive expert coaching and other benefits.
While the NCAA has agreed to a proposed settlement, commonly referred to as House vs. NCAA, which would allow schools to share broadcast revenue with players, this settlement is still awaiting approval. The settlement includes a revenue-sharing plan that allows schools to distribute up to 22% of the average athletic department's income to players in all sports. Additionally, the House settlement imposed new scholarship rules and roster limits and resolved multiple antitrust lawsuits with payouts to athletes who missed NIL opportunities due to the timing of their college careers.
The issue of paying student athletes has sparked mixed reactions, with some students and graduates expressing opposition to the idea of paying for athletes. Colleges have adopted various strategies to fund athlete payouts, including adding fees to sports tickets or charging more at concession stands, while others have chosen to increase student fees to cover the costs.
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Student athlete compensation and litigation
Student athletes in the United States are not paid salaries like professional athletes. Instead, they are "paid" through athletic scholarships that usually cover part of their tuition. The National Collegiate Athletic Association (NCAA) operates under the amateurism model, prohibiting student-athletes from being compensated beyond scholarships and other benefits.
However, recent developments have challenged this model. In 2021, the Supreme Court ruled that student-athletes could receive payment for using their names, images, and likenesses. This ruling enables student-athletes to receive compensation through booster gifts, agreements with companies, and endorsements. They can also earn through corporate sponsorships. This has led to a wave of litigation against collegiate athletics governing rules, with athletes arguing they were denied the chance to earn money from endorsements and media appearances, which they alleged was a violation of antitrust laws.
The House v. NCAA, Carter v. NCAA, and Hubbard v. NCAA cases resulted in landmark settlements totaling $2.8 billion. These settlements compensate athletes for lost opportunities and ensure fair treatment moving forward. Additionally, the NCAA agreed to pay $2.75 billion to former college athletes who played before 2021, when it changed its rules to allow players to earn money from their name, image, and likeness rights.
Colleges have also adopted a new regime, deciding to pay athletes directly and limit the total number of athletes on their campuses. This change aims to increase the number of scholarships available and strengthen non-revenue sports. However, some critics argue that commercializing college sports may not be beneficial due to tax implications and the potential loss of the NCAA's tax-exempt status.
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Student athlete pay and universities
Student athletes in the United States are not paid salaries like professional athletes. Instead, they are "compensated" through athletic scholarships that usually cover part of their tuition. The National Collegiate Athletic Association (NCAA) operates under the amateurism model, prohibiting student-athletes from receiving compensation beyond scholarships and other benefits. However, in 2021, the NCAA started allowing athletes to be paid for the use of their name, image, and likeness in endorsement deals. This ruling enables student-athletes to receive compensation through booster gifts, agreements with companies, and corporate sponsorships.
The debate over whether college athletes should be paid has been ongoing for years. College athletes can generate millions of dollars for their universities, yet they do not receive direct remuneration. This has created friction between athletes and schools, as athletes seek to be compensated for their contributions. In response to public pressure and court cases, there have been efforts to allow student-athletes to unionize and earn money from their name, image, and likeness. Additionally, a proposed settlement in the House vs. NCAA class-action lawsuit would introduce direct payments to players in football and basketball from schools' broadcast revenues.
Some universities have started implementing fees for all students to help offset the cost of paying student athletes. For example, the U of M students at the Twin Cities campus will pay $200 a year towards athletic fees, but this has faced some backlash from students who feel that paying for athletes is not their responsibility. On the other hand, some student-athletes feel positively about receiving compensation for their contributions to their schools' athletic success.
While the discussion around paying student-athletes continues, it is important to note that college sports are not professional sports, and efforts must be made to preserve and expand opportunities for student-athletes while maintaining the amateurism model. This includes expanding and maintaining scholarship opportunities and roster spots, as well as ensuring transparency in the distribution of funds to athletes.
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Student athlete pay and unionization
Student athletes in the United States are not paid salaries like professional athletes. Instead, they are "compensated" through athletic scholarships that usually cover part of their tuition and other benefits such as academic support and healthcare. However, recent developments have led to a shift in this dynamic, with student athletes gaining more agency over their earnings.
In 2021, the Supreme Court ruled that student-athletes could receive payment for using their names, images, and likenesses (NIL). This ruling enabled student-athletes to seek compensation through booster gifts, agreements with companies, and endorsements. This marked a significant step towards recognising the value of student athletes and their fame.
Despite this progress, the National Collegiate Athletic Association (NCAA), which governs college athletics, has historically opposed attempts by athletes to organise and unionise. In 2014, the National Labor Relations Board (NLRB) ruled that football players at Northwestern University were employees with the right to unionise, but the NCAA appealed and the petition was rejected.
However, in 2021, the NLRB's general counsel, Jennifer Abruzzo, issued a memorandum asserting that athletes at private universities are indeed employees with the right to negotiate and unionise. This memo effectively reinstated and expanded upon a 2017 document issued during the Obama administration. Additionally, Senator Chris Murphy introduced the College Athlete Economic Freedom Act in 2021, which, if passed, would allow student-athletes to unionise and earn money from their name, image, and likeness.
The push for unionisation is not without challenges. Colleges have expressed concerns about the financial burden of recognising student athletes as employees, especially with projected declines in college-age enrolment. Additionally, the employment status of athletes at public universities is governed by state laws, which may prohibit or limit unionisation. Nevertheless, the tide seems to be turning in favour of recognising student athletes as workers, and the potential impact on college sports and the NCAA's amateurism model remains to be seen.
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Frequently asked questions
Student athletes are not paid salaries like professional athletes. Instead, they are "paid" through scholarships that usually cover part of their tuition.
The NCAA is a nonprofit organisation responsible for overseeing and regulating intercollegiate athletics in the United States. The NCAA operates under the amateurism model, prohibiting student-athletes from being compensated beyond scholarships and other benefits.
Yes, in 2021, the Supreme Court ruled that student-athletes could receive payment for using their names, images, and likenesses. This enables student-athletes to receive compensation via endorsements, corporate sponsorships, and booster gifts.
The future of college sports is uncertain. While there is a push to preserve and expand college sports, there is also a need to protect non-revenue sports and maintain reasonable rules and guardrails. Some colleges have started charging students additional fees to fund the payout to athletes, which has been a source of controversy.
















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