Robert Sarver is wealthy and in a position of power, and because of that he thought he could do and say things without consequence.
And he probably did it in non-NBA and WNBA work environments.
But as owner of the Phoenix Suns and Mercury, Sarver must follow workplace standards, and a 10-month investigation into Sarver’s conduct found he violated common workplace standards.
“This conduct included the use of racially insensitive language; unequal treatment of female employees; statements and behaviors related to sex; and harsh treatment of employees that sometimes amounted to bullying,” the law firm Wachtell, Lipton, Rosen & Katz wrote of Sarver in a comprehensive and unflattering 36-page report.
NBA commissioner Adam Silver, who has conducted three serious investigations into team ownership since taking over from David Stern in 2014, issued a significant sanction, fining Sarver $10 million and suspending him from all Suns and Mercury activities for a year.
It is the second toughest punishment for an NBA owner after former Los Angeles Clippers owner Donald Sterling was banned for life, fined and forced to be sold.
Sarver, according to reports, had the nerve to bristle at the punishment. He’s lucky he didn’t get the Sterling treatment.
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‘SHOULD BE ASHAMED’: Sarver’s punishment draws a lot of criticism
What were the main conclusions of the report?
Sarver has used the N-word on at least five occasions – mostly recently in 2017. Each time, Sarver said he was just saying what someone else said, and others told him that he couldn’t say that word even when recounting what someone else said.
He “engaged in instances of unfair conduct towards female employees, made numerous gender-related comments in the workplace, made inappropriate comments about the physical appearance of female employees and other women and, repeatedly engaged in inappropriate physical conduct towards male employees, according to the investigation.
He told a pregnant employee that she would be unable to do her job becoming a mother and made comments about women crying too much.
Sarver also insulted and shouted at employees and sometimes intimidated workers.
Why is he not obliged to sell the Suns and Mercury?
According to a key sentence in the report, “the investigation does not conclude that Sarver’s conduct was motivated by racial or gender animosity.”
In the Sterling case, there was clear racial animosity, and Sterling doubled down on his comments, entrenching himself in an untenable position.
This line of the report saved Sarver from further sanctions. On a practical level, Silver doesn’t want to force owners to sell their stake in a team even though it’s in his power to make decisions that are in the best interest of the league.
Also, owners in general don’t want to be in the position of pushing others away. They must approve of such a tactic, and it is naïve to ignore their financial interests.
Don’t forget that phrase “animus”. This report was written by lawyers for lawyers. In the absence of more conclusive evidence that Sarver acted with intent (evidence which included evidence that Sarver emailed pornography to a small group of male executives) and without Sarver’s lame apology, the NBA chose not to. pursue a greater sentence. But you’re not wrong if you thought the punishment was too lenient.
What was Silver’s reaction?
The commissioner was not happy. “The statements and conduct described in the findings of the independent investigation are troubling and disappointing,” he said in a statement, concluding, “On behalf of the entire NBA, I apologize to all those affected by the misconduct described in the investigators. report. We have to do better.”
Silver earns a significant amount of money in her role in part for situations like this. He works for the owners and is responsible for keeping 30 NBA teams on the same page when there isn’t always universal agreement on league matters. Part of that duty is to protect the league, its owners and their investment.
How did the Suns, Sarver react?
Suns Legacy Partners, the LLC that manages and operates the Suns and Mercury, said in a statement that it is committed to “creating a safe, respectful and inclusive work environment free from discrimination.”
The NBA asked the Suns to take specific steps to improve workplace culture and update the league with regular reports “related to the steps the organization has taken to meet these requirements.”
Sarver released a statement that included this line: “While I disagree with some of the details of the NBA report, I would like to apologize for my words and actions that offended our employees.”
He added, “I accept the consequences of the NBA’s decision. This moment is an opportunity for me to demonstrate an ability to learn and grow as we continue to build a work culture where every employee feels they belong. comfortable and valued.”
This contrasts with Sarver’s November statement following ESPN’s initial exposure on Sarver which said the n-word was not part of his vocabulary. “At this point,” he said then, “I would be completely satisfied with an impartial investigation by the NBA which might prove our only outlet to clear my name and the reputation of an organization whose I am so proud.”
Where does the fine money go?
The NBA will donate the money “to organizations that are committed to addressing race and gender issues in and outside of the workplace.” The league did the same when Dallas Mavericks owner Mark Cuban was fined the same amount after an investigation into the Mavs’ dysfunctional work culture.
What future for Sarver?
Sarver’s one-year ban means he can’t have anything to do with the teams and that includes attending games or practices; visit any NBA or WNBA team facility; representing the Suns or Mercury publicly or privately; no involvement in the business or basketball activities of the Suns or Mercury; and no involvement “in the business, governance, or activities of the NBA or WNBA, including attending or participating in meetings of the board of directors of either league.”
Sarver, 60, must also complete a training program that focuses on respect and proper conduct in the workplace.
Is that enough for Sarver to sell his part of the team? Sarver and others bought the Suns for $401 million in 2004 and quadrupled in value according to Forbes, which said in 2021 the Suns were valued at $1.8 billion. Last year, USA TODAY Sports learned that Sarver owned about 35% of the Suns, and co-owner Jahm Najafi is the second largest investor.
The behind-the-scenes dynamic of team ownership will be interesting to watch unfold in Phoenix.
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