MLB economic plan proposes highest-paid players take substantial pay cut
The MLB presented an economic proposal to the MLBPA Tuesday that would pay players a percentage of their prorated pay.
According to ESPN sources, the highest-paid players could make less than 40% of their full-season salaries. Meanwhile, less expensive players would earn a higher percentage of their prorated salary.
USA Today reported that the proposal includes a sliding scale that determines how much of a pay cut players will take depending on their salary.
For example, players making $35 million would end up making $7.84 million in the proposed deal. At the lower end, players who make around $563K would earn around $262K for the season.
Players could end up making more depending on if their team makes the postseason.
The players agreed to a deal in March that they would be paid on a prorated basis after coronavirus halted the start of the season.
MLBPA sources told The Athletic’s Ken Rosenthal and Evan Drellich that they were disappointed with the league’s proposal.
The MLBPA is very disappointed with MLB’s economic proposal today, source tells me and @Ken_Rosenthal, calling additional cuts proposed “massive." League offered to share more playoff revenue, but on balance, those dollars are small compared to what players give up, PA believes.
— Evan Drellich (@EvanDrellich) May 26, 2020
MLB is hoping to begin a modified spring training by June 10 and start a shortened season by the July 4th weekend.
MLB owners approved a deal earlier this month that called for 50-50 revenue sharing between teams and players. Backlash from the players association eventually led to MLB not including an economic proposal when it presented to the players union on resuming the coronavirus-delayed season.
Baseball Commissioner Rob Manfred has said about 40% of MLB revenue is tied to gate, including concessions, parking, ballpark advertising, luxury suites and programs.
Union officials and players have cited the March agreement as setting economic terms and say they have no inclination for additional cuts.
The Associated Press contributed to this report.