Proposed Bill Says College Athletes Aren't Employees: What That Means for Rights and Protections

The 'Protecting Student Athletes Economic Freedom Act of 2025' aims to draw a clear line in the sand: participating in college sports doesn't make a student-athlete an employee. According to Section 2, under this proposed federal law, student-athletes wouldn't be considered employees of their university, athletic conference, or governing association based solely on playing varsity sports. This classification would apply under both federal and state laws.

Drawing the Line: Athletes vs. Employees

So, what does not being an 'employee' actually mean here? Essentially, it means that the standard bundle of rights and protections that come with employment status under labor laws – things like minimum wage requirements, overtime pay eligibility, and the right to unionize under the National Labor Relations Act – wouldn't apply to student-athletes because they play sports. Section 2 explicitly states their participation in varsity intercollegiate athletics isn't grounds for employee classification. Think of it like this: the job you work part-time at the campus library might make you an employee, but under this bill, your time on the field or court wouldn't carry the same legal weight regarding employment law.

Who Gets the Assist?

The bill provides legal clarity primarily for the institutions, conferences, and associations overseeing college sports (as defined in Section 3). By formally designating student-athletes as non-employees in the context of their sport, these organizations would sidestep the obligations that typically come with an employer-employee relationship, such as payroll taxes, workers' compensation premiums tied to employment status, and collective bargaining requirements triggered by employee status. The legislation defines 'student-athlete' broadly as anyone participating in a varsity program at a higher education institution.

The Real Score for Student Athletes

For student-athletes themselves, the major impact is the formal removal of employee status as a potential avenue for seeking compensation or negotiating conditions related to their athletic participation under labor laws. While debates around Name, Image, and Likeness (NIL) deals continue separately, this bill specifically prevents athletes from leveraging federal or state employment law based on their status as a player. This means avenues like forming a players' union recognized under labor law or filing wage claims based on practice hours would likely be blocked if tied solely to their athletic role. While proponents might argue this preserves the 'amateur' model, the practical effect is limiting access to legal protections and bargaining rights typically afforded to employees.