MLB introduced as part of its reserve-clause proposal Thursday a “cornerstone player” mechanism where teams would be able to offer an extra year and a greater percentage of the salary cap to retain their max contract free agents.
Starting in 2027, teams signing a free agent could offer a max of five years and a max first-year salary of 15% of the salary cap ($202M total). Teams re-signing their own player could offer a max of six years and a max first-year salary of 16% of the salary cap ($265M).
Players under the reserve clause (younger players that are not yet eligible for free agency) could sign longer-team deals based on service time, with maxes ranging from 12 years, $500M (no service) to seven years, $304M (five years of service).
Other proposals include 30-year-old players going to free agency after five years as opposed to six; an increase in the minimum salary from $780,000 to $1M for players with at least two years of service; a pre-arbitration bonus pool increase from $50M to $65M; the elimination of qualifying offer and deferred contracts; and arbitration remaining in place.
The league said in a statement:
“The biggest issue baseball fans want solved to strengthen the game is fixing the payroll disparity that leaves too many fans without hope of their team competing for a World Series title. Every other major U.S. sport has tackled this problem, and every year more small market teams in those leagues have a chance to win. The salary cap and floor proposal levels the playing field, allowing us greater flexibility to address longstanding player priorities while sharing baseball revenue with the players 50/50. Today, in addition to proposing the largest ever increase in the minimum salary, earned by over half of MLB players, we accepted two landmark changes to free agency that have been in place for 50 years. We agreed to both the MLBPA’s proposal to provide earlier access to free agency, and their proposal to eliminate the qualifying offer system, a provision players view as a drag on free agency. We also proposed to eliminate deferred compensation and to create a new ‘Cornerstone Player’ provision similar to the NBA’s ‘Bird Rights’ to give every team a fair shot at retaining their fans’ favorite star players. We will continue working with the MLBPA during the bargaining process to improve the game for teams, players and fans.”
Shortly after the league posted a thread covering its proposal, which includes a hard salary cap and floor system, overhaul of the amateur system, and reserve-clause changes, to its 13.2M followers on X, MLBPA Interim Exec Dir Bruce Meyer said he still expects a lockout after the expiration of the CBA on Dec. 1, with the sides “very far apart.”
Meyer also anticipates the league and the union will meet again prior to the All-Star Game on July 14 in Philadelphia.
“I will tell you with all honesty, I have never seen this degree of unity at this point among agents and players. I think, honestly, the league has done us a favor,” Meyer said. “Because their proposals are, in fact, so obviously and extremely bad for players at all levels that it’s actually been a benefit for our unity.
“Anybody who is banking on Major League Baseball players cracking, it’s never happened. It’s not going to happen. That’s why we’re the only ones who don’t have a salary cap.”
