TheAthletic: The big question looming over MLB: Will owners take up the fight for a salary cap?

When discussing the Skubal extension and it’s timing one important thing to remember is the CBA expiring after the 2026 season. Many are predicting a lockout by the owners. Remember who Skubal’s agent is, Hello Mr Boras.

The current CBA ends Dec. 1 at 11:59 p.m., 2026. Two more seasons will be played under the agreed-upon terms.

# The big question looming over MLB: Will owners take up the fight for a salary cap?

Also this one, which talks about deferred money, Dodgers currently have a 1billion in deferred dollars.

Full articles at links.

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MLB is in a unique spot. The league is more economically healthy than ever before, yet under the surface, an economic bubble is waiting to burst.


player agent Scott Boras was asked if he expected calls for a cap to arrive again.

“There is every five years,” he said, a reference to the length of each collective bargaining agreement. “What’s new?”

Owners are indeed considering a cap proposal, according to people briefed on their conversations who were not authorized to speak publicly. But it would also be surprising if they weren’t. More notable is that, for a few reasons, owners could be energized to pursue a cap in a way they have not for a generation.

The future of local television rights is a key motivation.

It’s evergreen to say baseball owners want a cap for its potential cost savings, and to make baseball operate as other major U.S. sports leagues do. The NBA, NFL and NHL all have caps and floors.

Smaller-market teams and their fans have also always complained about the exploits of bigger-market teams, and they’re not lacking fodder this offseason. Soto’s most serious suitors were limited to the sport’s biggest markets.

The World Series champion Los Angeles Dodgers, meanwhile, are carrying a projected $335 million payroll per Cot’s Contracts, the highest in the sport, and have deferred more than $1 billion in salary to later seasons.

But well before this winter, it seemed MLB could newly push for a cap. Shortly after the last CBA negotiations, Manfred created an “economic reform committee,” a group of six owners dedicated to reviewing two issues: the future of local television, and club revenue disparities.

By the end of 2025, likely about two-thirds of the league will have taken a pay cut in rights fees at some point in the last three seasons. In response, Manfred wants to radically change how teams share their revenues, pooling all the local TV money together while reducing or eliminating what teams share from other streams.


The worst-case scenario for the MLB and Commissioner Rob Manfred is missing games. Owners would lose revenue, players would not get paid, and fans would be robbed of watching players represent the best baseball league in the world on a nightly basis.

MLB has found a winning formula in recent years. The introduction of a pitch clock in 2022 has increased attendance and interest in the game by speeding up pace of play. Adding a universal designated hitter in 2023 boosted offensive output. In 2023, MLB revenue was approximately $11.6 billion, and that number was higher in 2024, according to Manfred.

“I do think that there are a lot of positives going on in the game right now,” Manfred said during his interview with Questions for Cancer Research. “I think our attendance is very strong, and that’s always a great thing for us. It shows that the game is popular. And I think that the positive things that are going on always motivates the parties to find a solution to the economic issues that face the game.”

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A lockout would suck, but, taking a page out of the NFL’s playbook would make things a lot better in the long run.

Baseball needs a true, hard salary cap.

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Exactly, if they implemented an nba system salary cap they may as well not have one. With all the exemptions the cap is irrelevant. Bench players are still making insane money.

I admit though I wouldn’t mind a quarterback exemption for the nfl salary cap.

I think it’s coming for sure… Unfortunately.

The Dodgers having over a billion in deferred money is outrageous.

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I think most MLB fans and teams have understood the disparity in team revenues have allowed some teams to afford higher payrolls over other teams for a long time and have just accepted this as the way it is. How long have the Yankees been known as this evil team that could afford to stock their team with stars and some of the best players. Through all this time I never felt like it was harming baseball all that much.

But what that Dodgers have done with the salary deferrals has just taken things over the top and stretched the gap between the haves and the have nots to galactic levels.

This is where the league needs to step in and get things under control.

Maybe that means instituting some type of salary cap. If so, that’s fine by me but there’s still going to be a gap between what a team like Detroit can afford to pay a roster and a team like the Dodgers or Yankees.

I suppose a re-look at revenue sharing can help close the gap between the higher earning teams and the lower earning teams.

But to me there needs to be a 3 pronged approach to this

  1. Salary cap
  2. Revenue Sharing
  3. Restrict salary deferrals and length of contracts

Good luck getting the MLBPA to agree to any of this.

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Good post.

I do think the loss revenue from regional networks is the final straw for many of the small market teams.

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Where it gets tricky is the Dodgers are a cash cow for MLB. The Billion in deferrals is ridiculous. But MLB wants to milk the Dodgers star power as much as they can for ratings and profits. I was watching a Jays game last season…and they had a countdown for Ohtani’s next at bat. 4 batters away, 3 batters away, 2 batters away, etc. Keep in mind the Dodgers were not playing in the game I was watching.

There are also 120 million people in Japan… All hardcore Dodgers fans. MLB doesn’t want to mess with that.

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Well, what is done is done, Ohtani is signed for a long time so the cash cow in LA is in place for the team and the league.

And Yoshinobu Yamamoto, and Roki Sasaki

But if you implement some kind of salary cap what happens to all the deferred money. Dodgers would have to clean house to get under the cap. Highly doubt MLB wants that.

has to be some kind of grandfather clause for existing signatures, iow, a win/win for the league and the Dodgers

If they truly can get to revenue streaming on the broadcasts then the entire league benefits from the eyes on Ohtani and others.

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Which is crazy… Cause the grandfather clause would need to cover up to 20 years later.

■■■■ it. Void his contract and make him re-do it under fair rules.

If he doesn’t like it he can go back to Japan.

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So kick the biggest star in the league out of the league. Lol

John Candy Reaction GIF

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Nowhere did I say “kick him out of the league”

He would have a choice to make. The game is bigger than one player.

This is a the monster that MLB created and now can’t control. It’s cool as long as the coastal elites like the Yankees, Mets and Dodgers are spending money like drunken sailors as long those big market teams are winning and driving ratings. Their luxury tax level of $241M is so high that only 5 teams exceed that. The Tigers are $100M under that level. They need to drop that $241M by at least $40-50M. Really punish those teams like the Dodgers, Mets and Yankees.

They already covered up his massive gambling scandal for him :wink:

Ohtani knew nothing about his missing millions I swear. I give all my banking passwords to my interpreter. Haha

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They need a salary floor!

I used to be a huge MLB fan but I started losing interest during the 1995 strike and now I’m more of a casual fan.

I’ve always felt that a salary cap would be good for the game. Fans need to feel that the league is on a level playing field. Sure the little club can win it all but the deck is stacked heavily for some clubs. This causes fans to lose interest.

Look at the Lions for example. 4-5 years ago I tried giving away in game tickets to anyone who wanted to go with me. I went to half the games in Dan and Brads first season with two of my season tickets sitting empty. No one wanted to join me.

Now you can’t hardly get tickets and people are asking a $500-$1000 a game for nose bleed seats.

Winning and being competitive helps the fan base.

My only comment on a salary cap is that it needs to be a real salary cap that works.

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Idk if they need a hard cap like NFL or NHL.

But NBA has a better tax system.

Its a percentage based system.
5-10m over is a 175% tax 275% for multi year
10-15m over is 250% and 350%
15-20m is 325% and 425%
20+ is 375% and 475% (with an additional 50% every 5m after)

MLB has something similar but the increasing rate is punitive enough.

Make a system like the NBA. Increasing rates and higher percentage.

The apron system the NBA is currently under is almost a hard cap.

The days of being able to pay your 4th best player big money for more than a year or two are over

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