NWSL Drops 'Rodman Rule' Criteria in NWSLPA Settlement 2026

The NWSL and the NWSL Players Association have reached a settlement to drop the restrictive criteria around the controversial High Impact Player (HIP) rule, allowing any player to earn the league's highest salaries. The agreement, announced Friday, resolves a grievance filed by the union and marks a significant shift in how the league regulates player compensation.

What Was the High Impact Player Rule?

The NWSL introduced the HIP rule late last year, permitting teams to spend an additional $1 million above the salary cap to sign star players. To qualify for the designation, players had to meet one of eight criteria, ranging from US national team minutes and Ballon d'Or recognition to NWSL Best XI honors and media lists such as the Guardian's Top 100 and a ranking that ordered athletes by marketability.

About 100 players qualified under these criteria. At the time the rule was introduced, the list included stars like Trinity Rodman and Sophia Wilson but would have excluded two-time NWSL MVP Sam Kerr and US national team player Catarina Macario.

Why the NWSLPA Filed a Grievance

The NWSLPA opposed the mechanism and filed a grievance, arguing that the classification of players violated federal labor law and the existing collective bargaining agreement. The union contended that the criteria were arbitrary and created an unfair system that limited players' earning potential.

The dispute centered on whether the league could unilaterally impose such criteria without bargaining with the union. The settlement resolves this legal challenge and paves the way for a more inclusive approach.

Key Changes Under the Settlement

Under the settlement, the eligibility criteria were eliminated. Beginning January 1, 2027, clubs will be able to designate any player as a High Impact Player, so long as their salary equals at least 12% of the base salary cap. The league can also set a limit on the number of HIP players per club.

• Eligibility criteria for High Impact Player designation are eliminated.
• Starting January 1, 2027, any player can be designated as a HIP if their salary is at least 12% of the base salary cap.
• The league may limit the number of HIP players per club.
• The settlement resolves the NWSLPA's grievance over the rule.
• The change allows more players to earn top salaries without restrictive criteria.

Impact on Players and Clubs

The elimination of the criteria means that players who were previously excluded, such as Sam Kerr and Catarina Macario, could now be eligible for the HIP designation. This change is expected to give clubs more flexibility in building their rosters and allow star players to be compensated more fairly.

For clubs, the new system simplifies the process of designating high-impact players. Instead of navigating a complex set of criteria, teams can focus on negotiating salaries that meet the 12% threshold. The league's ability to set a limit on HIP players per club ensures some level of competitive balance.

Comparison of Old vs. New HIP Rules

What This Means for the League's Future

The settlement reflects a broader trend in sports labor relations, where unions push back against restrictive eligibility rules that limit player earnings. By removing the criteria, the NWSL is moving toward a more market-driven approach to player compensation. The background to this story is set out in Washington Spirit NWSL Success: Continuity, Chaos, and Rodman. A related thread runs through Washington Spirit NWSL Success: Continuity and Chaos Driving. Earlier coverage in NWSL Record Attendance at Citi Field Highlights League Growth shows how the argument developed.

This change could also impact the league's competitive balance. While the ability to designate any player as a HIP gives clubs more freedom, the potential cap on the number of HIP players per club may prevent wealthy teams from stockpiling stars. The league will need to monitor how this affects parity. A closer look at the same subject appears in Business: latest articles. Anyone following the wider picture can start with Mercadona Ordered to Rehire Employee After Surveillance and Dismissal. The same theme surfaces in Brazil Cuts Work Week to 40 Hours in Major Labor Reform, which takes a different angle.

The settlement also avoids prolonged litigation, which could have distracted from the league's growth. Both parties can now focus on the upcoming season and the continued development of the NWSL. Context on how this played out before sits in Trump's ICC Sanctions and Russia Diesel Deal Threaten Global Rule.

The resolution of this dispute is a positive step for the league and its players. As the NWSL continues to grow, such labor agreements will shape its future. For a deeper look at how teams build success through continuity and star power, see our analysis of the Washington Spirit NWSL success.