SLIGHT CHANGE OF PLAN
Owners pitch revised pay system, which could cost top stars big-time
PHOENIX — The Major League Baseball Players Association called MLB’s economic proposal to play this season “extremely disappointing,” echoing earlier feedback Tuesday from the powerful players in their union.
“I saw the proposal,” union representative Andrew Miller of the Cardinals told USA Today. “We want to play. It’s what we love to do. We also have principles and a responsibility to protect the rights of players. If this was truly about getting the game to the fans in 2020, we would have no issues finding that common ground.
“We will continue to work towards that, but I’m disappointed where they have started the discussion.”
The proposal — which three people with knowledge of the details discussed with USA Today on condition of anonymity Tuesday afternoon — would pay a percentage of players’ prorated salaries. Veterans earning the highest salaries would be taking the biggest cuts — as much as 50% from their prorated salaries — while younger players earning the least amount of money would receive most of their guaranteed prorated salaries. The proposal also includes a scale that would pay players a percentage of their salaries at different intervals of the season, through the postseason. It also includes a larger share of postseason money for the players.
The players already agreed to be paid on a prorated basis in their March 26 agreement, but on the condition there would be fans in attendance and no travel restrictions, the owners say. Players now are being asked to accept pay cuts by as much as 75% from their original guarantees.
One official with direct knowledge of the negotiations said the proposal laid out the financial details of the pay cuts that players would take based off their prorated salaries, confirming an ESPN report. For example:
♦ A player scheduled to earn $285,000 on his prorated salary would now earn $262,000.
♦ A player scheduled to earn $1.01 million would earn $736,000.
♦ A player scheduled to earn $2.53 million would earn $1.64 million.
♦ A player scheduled to earn $5.06 million would earn $2.95 million.
♦ A player scheduled to earn $10.1 million would earn $5.1 million.
♦ A player scheduled to earn $15.2 million would earn $6.95 million.
♦ A player scheduled to earn $17.7 million would earn $7.84 million.
So a player such as ace Gerrit Cole of the Yankees, who originally was scheduled to earn $36 million this season, would now earn about $8 million in the half-season.
While the union bristled, saying the pay cuts were “massive,” MLB did adhere to the union’s request to drop a proposed 50-50 revenue-sharing plan. The union was concerned that revenue sharing would lead to the introduction of a salary cap in future negotiations. It also was wary of further pay reductions, including the possibility of a percentage of players’ salaries being placed in escrow.
There is worry among several agents that the new proposal could create a division among the rank-and-file, but certainly there will be modifications and plenty of discussion with all players during these negotiations.
“Interesting strategy of making the best, most marketable players potentially look like the bad guys,” Brewers starting pitcher Brett Anderson tweeted.
The owners insist it’s necessary for the players to take the additional salary reductions because MLB will lose money during the regular season without fans in attendance. Yet, the owners also would be guaranteed $777 million in postseason TV revenue, which would be inflated to about $1 billion with the postseason format expanded to 14 teams instead of 10.
“We made a proposal to the union that is completely consistent with the economic realities facing our sport,” MLB said in a statement. “We look forward to a responsive proposal from the MLBPA.”
NOTE: The White Sox said they will continue paying minor-league players through the end of June, including 26 players released last week. On March 31, MLB extended minorleague players’ $400-per-week stipends and medical benefits through the end of May.