MLB fans should brace for lockout as owners throw down the gauntlet in labor war
· Yahoo Sports
The Major League Baseball Players' Association braced their players for years this would be coming, and there it was Thursday, presented in black-and-white, MLB’s first official salary cap proposal since 1994.
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The reaction?
Pure, unadulterated disgust.
The 200-page proposal was worse than they ever anticipated after submitting their initial proposal on Wednesday.
“Yesterday, the MLBPA presented a comprehensive package of proposals designed to improve compensation for players at all levels, and to incentivize and reward competition on the field,’’ interim union chief Bruce Meyer said in a statement. “The owners responded today with a demand for a salary cap system, something generations of players have fought against. The last time the owners made such an explicit push for a cap – over 30 years ago – it led to the longest work stoppage in MLB history.
“For generations, our members have fought against cap systems because they harm players at all levels, erode or eliminate contractual guarantees, pit player against player, lead to more work stoppages, not less, and get worse for players over time."
In other words, MLB’s proposal was a complete non-starter.
The union anticipated that MLB would offer to significantly raise the minimum salary, maybe not to $1.5 million as they are seeking in 2027, but at least increased from $780,000. They expected free agency to possibly be lowered from six years to five years, as they desire, for players 30 years or older. They thought that the salary arbitration pool would be expanded.
No. No. And no.
There was nothing, well, at least in this initial proposal.
MLB proposed a $245.3 million salary cap, which would cause eight teams to lower their payroll, and in return, offered a $171.2 million salary floor, which would cause 12 teams to increase their payroll.
The players would immediately gain $38 million in the return.
Sorry, the union isn’t buying it.
The cap and floor would be significantly lowered, the union believes when benefits and amateur signings are included.
It brought back memories of their collective bargaining talks in 2021 when MLB offered a luxury tax system beginning at $180 million, with also a salary floor at $100 million. It was flatly rejected by the union, and MLB implemented a lockout that lasted 99 days.
This proposal was rejected by the time the union lawyers walked out of the door.
They will talk again, perhaps in a few weeks, with meetings occurring more frequently later in the fall, but barring a more stunning surprise than the Colorado Rockies winning the NL West, there will be no agreement when the clock strikes midnight on Dec. 1.
MLB will impose a lockout.
The start of spring training will be delayed, and perhaps games will be missed.
MLB realizes that with the influx of new owners, showing more interest in acquiring real estate holdings than their actual team, this is their best and perhaps last chance to secure a salary cap.
If it doesn’t happen now, it never will.
So, MLB could keep the lockout going until mid-April, forcing the players to miss a paycheck, and see if they blink. If the players stay strong, then MLB must decide how long they are willing to keep the game shut down, and how many more missed paychecks will lead to any softening of their stance.
In the meantime, there will be plenty of rhetoric.
MLB is telling the players that if they don’t agree to a salary cap, they won’t come close to getting their fair share of the financial pie, and are offering 50% of all baseball revenue. MLB says the players are costing themselves money under the current system.
Payrolls increased by 149% since 2003, MLB says, while MLB’s revenue has increased by 247%. In fact, MLB says, the players’ share has actually declined in the last four collective bargaining agreements.
The union argues that if they agreed to MLB’s proposal, the players would receive less money than they’re getting now, worried about league-wide escrows which could potentially force them to return money once revenues are calculated.
MLB also says the middle class is getting squeezed, with their data showing that 10% of its highest-paid players receive 60% of the total payroll, compared to 51% in the NFL, 41% in the NBA and 31% in the NHL.
“The biggest issue we need to solve next to continue to grow the game off the field is fixing the payroll disparity unseen in any other major U.S. sport,” MLB spokesperson Glen Caplin said. “Ultimately the game is about hope and competition and too many fans in too many markets have too little hope their team has a fair chance to win. Fans overwhelmingly support a salary cap and floor like in the other leagues because they don't believe a $446 million spending gap from top to bottom is a fair fight. Our salary cap and floor proposal levels the playing field while sharing baseball revenue with the players 50/50 as we grow the game together."
The union calls it a cop-out, arguing that competitive balance isn’t a problem considering that small-market clubs like the Milwaukee Brewers, Tampa Bay Rays and Cleveland Guardians are currently leading their respective divisions, with the Brewers winning an MLB-best 97 games last season.
“Caps don’t lower ticket prices for fans, eliminate tanking or ensure teams are run with equal competence,’’ Meyer said. “They suffocate competition by offering owners an all-purpose excuse for inaction and mediocrity.
“Baseball is experiencing unprecedented momentum and owners are enjoying record viewership, revenues and franchise values. Billionaire owners are not seeking to cap their profits or asset values, only player salaries. This isn’t out of generosity or a desire to protect the game’s well-being. It’s a play to control costs, increase profits and maximize franchise values – all at the expense of players past, present and future.
“We’ll continue our review of the owners’ proposal and stand ready to negotiate system improvements that benefit players and fans alike.’’
In other words, let baseball’s labor war proceed, with a whole lot of arguments, rhetoric, and hostility coming to a ballpark near you.
This could be a doozy.
This article originally appeared on USA TODAY: MLB salary cap proposal from owners has players union fuming