- A new Collective Bargaining Agreement (CBA) between Major League Baseball’s owners and players has been signed, allowing the 2022 season to have a full 162-game schedule.
- By a vote of 26-12, the players’ representatives defied their eight-man executive council, which had rejected the plan on an 8-0 vote, and accepted the revised deal.
- After the players agreed to withdraw their lawsuits against four clubs for not spending revenue sharing monies on team improvements and not scheduling as many games as feasible in 2020, MLB owners tossed in a couple more last-minute demands: We’ll have to wait and see how it all pans out.
- Spring exhibition games may begin as early as March 17 or 18, according to reports. Tonight, the transaction freeze will be removed.
Here are some of the details of the agreement:
Competitive Balance Tax
- There will be three levels of collective bargaining tax thresholds of $230 million, with a $20 million increase for each of the next three tiers. ($230M, $250M, $270M, and $290M in 2022) is the range
- Over the course of the five-year contract, the lowest barrier will be $230, $233, $237, $241, and $244 million dollars.
- According to recent sources, all tax rates except for the new top tier will remain the same as those under the previous CBA.
- There was no mention of any further punishments that had been discussed.
Minimum Salary- pre–Arbitration Bonus Pool
- Over the course of the five-year deal, the minimum compensation will rise from $570,500 to $700,000, with annual increases of $20,000 to $780,000.
- Young players who are not yet eligible for arbitration will receive a new pre-arbitration bonus pool of $50 million, derived from the central revenue fund. Amounts will not change for five years.
- For CBT payroll reasons, each team will get $1.66 million from the pool.
Expanded Playoffs, Universal DH
- Starting in 2022, the playoffs will include a total of 12 teams.
- There will be a first-round bye for the two division winners in each league with the best records. There will be a three-game series between the third-place club in the division and the highest-placed wild card team in the playoffs. ESPN and MLB’s share of ticket sales will bring in around $85 million from this deal.
- Starting in 2022, designated hitters will be employed in both leagues.
Options, Draft Lottery
- In one season, a player may be sent down to the minors a maximum of five times.
- All non-playoff clubs will participate in a lottery to choose the first six picks in the amateur draught.
- Teams from smaller markets that have won the lottery twice in a row are restricted to choose no higher than 10th the following year.
- In the second year of a lottery selection, a large market club could not choose higher than 10th.
Service Time
- Players who finish first and second in the Rookie of the Year vote will get an additional year of service time.
- It is possible for a club to get up to three more draught selections if a rookie ranks well in voting.
Free agent compensation
- If the parties agree on an international draught before July 25, 2022, teams will not pay compensation for signing free agency players formerly subject to a qualifying offer.
- In rare cases, the loss of a free agency player may result in the team receiving a draught selection. There aren’t a lot of facts to go on here.
International Draft
- If the parties can agree on terms by July 25, 2022, a 20-round international draught, as described at MLB.com, will be introduced. As a condition of removing free agent pay, MLB insisted on this, and it remained a difficult subject until the end. The contract was only able to be completed in its whole because of a separate discussion that was held for that specific issue.
Playing Rules
- Starting in 2023, the MLB may begin using a pitch clock.
- Defensive shifts will be restricted, and bases will be expanded, starting in 2023.
- Within 45 days after the completion of each season, MLB has the authority to enact rule changes that will take effect for the next playing season without obtaining the consent of the players.
- Advertising patches will be worn by players on their clothes and helmets, bringing in an estimated $6-8 million annually for each club.
Grievances
- It was required by MLB that the union abandon claims that four clubs had not used revenue sharing monies on improving their teams’ performance on the field, and a $500 million claim that MLB had not planned enough games in 2020.
