For Competitive Balance MLBPA Makes First Proposal to MLB in Collective Bargaining

For Competitive Balance MLBPA Makes First Proposal to MLB in Collective Bargaining

Fans love watching competitive sports. And they love it even more when their favorite team is a contender for a title. What often leads to a franchise being among the best or top in their respective league is money. Using funds to sign great players can make a huge difference. But what if some teams do not spend much on their roster? What if some teams have way more to spend than smaller markets? Well, for more competitive balance the MLBPA made its first proposal to MLB today in collective bargaining.

ESPN’s Jeff Passan reported on key points from the proposal including salary increases, team spending and free agency. He reveals,

The MLBPA made its first proposal to MLB today in collective bargaining. Among the topline issues:

– A “competitive-integrity tax” for any team that does not spend $150M
– Increase minimum salary from $780,000 to $1.5M
– Increase in base CBT threshold from $244M to $300M

Changes to the revenue-sharing system that would distribute more money from local television revenue but decrease the amount distributed from in-stadium revenue — to incentivize teams that win and draw larger crowds

– Free agency for players who are 30 at 5+ years of service

– Teams that receive revenue sharing forfeit portions of their checks depending on payroll levels. Recipients that win receive more money

Pre-arb bonus pool increases from $50M to $180M
– $3M minimum tender in arbitration
– Arbitration super 2s jump from 22% of players to 44%.”

For Competitive Balance MLBPA Makes First Proposal to MLB in Collective Bargaining

So then, what does the league think of the above scenarios and suggestions? Well, Major League Baseball has already released a response to the MLBPA’s new proposal. MLB states,

‘We appreciate the union making a set of proposals and we look forward to continuing the bargaining process and working towards solving the competitive balance problem our fans are telling us needs to be addressed. We understand their proposals are designed to benefit players. Unfortunately, they do not address and in fact exacerbate the competitive balance problem our fans are telling us we must address. The MLBPA’s proposal would reduce the amount transferred to lower-revenue Clubs, weaken the Competitive Balance Tax, and lead to even more payroll disparity than exists today. For example, under the Union’s proposal, the Dodgers would pay less in luxury tax payments, giving them an additional $70 million to spend on payroll.”

Therefore, for now it looks like the two sides are not in agreement just yet. Not in harmony on several issues and fronts. However, as time goes it will be interesting to see how things get ironed out and resolved.

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