The Montreal Canadiens have announced that Patrik Laine will be sidelined for an extended period. However, there is a strong likelihood that Laine will not be placed on the Long-Term Injured Reserve (LTIR). This has raised speculation among fans about the potential for the team to manipulate salary cap space, similar to past situations involving Carey Price.
Laine’s Injury and Salary Cap Implications
Currently, the Canadiens do not benefit from placing Laine on the LTIR. Kent Hughes, the team’s general manager, is likely to avoid this move. Instead, staying put allows the Canadiens to maintain nearly $18 million in salary cap space as the trade deadline approaches, according to forecasts by PuckPedia.
The system allows teams not using the LTIR to save daily expenses, increasing their salary cap flexibility throughout the season. The Canadiens’ desire to trade Carey Price during the offseason was partly driven by this new strategy.
Understanding the Long-Term Injured Reserve Rules
Recent changes to the collective bargaining agreement have introduced new regulations regarding the LTIR. There are now two classifications of long-term injuries:
- Players Likely to Return: These players may return during the season, providing minimal cap relief.
- Players with Season-Ending Injuries: This classification offers more substantial salary cap relief.
For teams under the salary cap, like the Canadiens, the maximum increase allowed under the LTIR for returnable players is capped at $3.8 million, which is tied to the NHL’s average salary in the 2024-2025 season.
Financial Calculations for the Canadiens
If the Canadiens were to place Laine on the LTIR, the financial implications would not be favorable. Current estimates suggest that with Laine eligible to return before the season’s end, the Canadiens’ calculations would show a negative figure: $3.8 million (maximum relief) minus $4.4 million (their current cap space), resulting in a value of negative $0.6 million. Therefore, utilizing the LTIR in this situation would not provide a financial advantage.
Additionally, should the Canadiens seek to acquire a center and increase their salary near the cap of $95.5 million, the scenario could become more advantageous. Nonetheless, it seems unlikely that Laine will end up on the LTIR.
Playoff Considerations
Fans mistakenly believe that placing a player on LTIR entirely removes their salary from the team’s financial obligations. This is incorrect. The league adjusts salary caps for teams under certain conditions, but during the playoffs, only the salaries of 20 active players count against the cap. Should Laine remain sidelined, his $8.7 million salary would not affect the Canadiens’ postseason cap space.
In summary, while Patrik Laine’s injury will impact the Canadiens, the financial implications of his status remain manageable. The current strategy seems to favor not utilizing the long-term injured list, allowing the team greater flexibility moving forward.
