Two weeks removed from an opening meeting between MLB and the Players Association (MLBPA), the union submitted their first formal proposal to league in collective bargaining negotiations.
The current Collective Bargaining Agreement (CBA) is set to expire at 8:59 p.m. PT on Dec. 1, 2026. The widely held assumption is a lockout will go into effect once the clock strikes midnight Eastern.
Among the various details in the proposal by MLBPA, were increases to revenue sharing from local television contracts, raising the base of the Competitive Balance Tax threshold from $244 million to $300 million, and higher minimum salaries over the lifespan of a new CBA.
Dodgers’ spending mentioned in MLB’s response
With countless meetings sure to be had in ensuing months and in advance of presenting their own proposal, MLB already is leveraging the Dodgers in negotiations. The league specifically took aim at the player’s association pitch for a “competitive integrity tax” that would penalize teams that don’t spend at least $150 million on payroll.
“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,” MLB spokesman Glen Caplin said in a statement provided to members of the media.
“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 that exists today. For example, under the union’s proposal, the Dodgers would pay less in luxury tax penalties, giving them an additional $70 million to spend on payroll.”
Caplin’s mention of changing the strength of the CBT is due to the MLBPA proposing a raise in the threshold.
The Dodgers’ aggressive spending in free agency has drawn the ire of opposing fanbases and mixed comments from MLB commissioner Rob Manfred.
Manfred has both lauded the Dodgers for excelling under the current CBA guidelines but also continued to raise concern over what he’s described as a growing perception of a lack of competitive balance.
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