06/03/26 05:04:00
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06/03 17:02 CDT MLB Commissioner Rob Manfred worries cap proposal could lead to
repeat of 1994-95 strike
MLB Commissioner Rob Manfred worries cap proposal could lead to repeat of
1994-95 strike
By RONALD BLUM
AP Baseball Writer
NEW YORK (AP) --- Baseball Commissioner Rob Manfred worries the owners' salary
cap proposal could lead to a work stoppage like the one that caused the
cancellation of the 1994 World Series and says the plan is needed because
management concluded that the luxury tax system in place since 2003 no longer
is working.
Owners last week made their first cap proposal since 1994, when a 7 1/2-month
strike caused the cancellation of the World Series for the first time in 90
years. Manfred was a junior lawyer on the owners' bargaining team in those
negotiations.
Players have vowed to fight a cap as long as it takes. Asked whether he is
concerned the events of 1994-95 will be repeated, Manfred responded: "Of course
I do."
"We're open to whatever ideas people have, but we need a realistic framework
that addresses the fans' concerns about competitive balance and you just can't
ignore that financial penalties have not gotten it done for us," he said
Wednesday at a news conference during an owners' meeting.
Baseball owners and players started the current luxury tax system for the 2003
season and in subsequent agreements have increased tax rates while adding
surcharges.
"We have tried mightily over several rounds of bargaining to use a competitive
balance tax to address competitive concerns and sometimes you got to admit you
failed," Manfred said.
More teams have been willing to exceed tax thresholds in recent years, with a
record nine teams paying the penalty in both 2024 and 2025, when the Dodgers
were hit with a $169.4 million bill. Total tax rose from $78.5 million in 2022
to $222.8 million the following year, $311.3 million in 2024 and $402.6 million
last year.
"We never thought about the CBT as a revenue-generating device," Manfred said.
"And when you see more and more tax getting paid, you realize that it is not
the kind of speed bump that would help on the issue of competitive balance."
Baseball's five-year collective bargaining agreement, agreed to in March 2022
after a 99-day lockout, expires on Dec. 1. Management is expected to impose a
lockout, which would bring free-agent signings and trades to a halt.
Manfred wouldn't publicly say whether management thought a stoppage would be
worth the cost to obtain a cap.
"I'm not going to speculate about work stoppages," he said. "I think that the
proposal we've made is grounds for constructive dialogue and back and forth
with the MLBPA about how we can address the number one concern of our fans and
that is a lack of competitive balance in the game."
MLB would limit spending in 2027 to $245.3 million, using figures for luxury
tax payrolls that include $20.1 million for benefits and the pre-arbitration
bonus pool. It also would establish a payroll floor of $171.2 million, forcing
some teams to spend more. The Dodgers had a $415.2 million payroll on opening
day this year.
Players asked for expanded free agency and salary arbitration rights along with
almost doubling the major league minimum and increasing revenue sharing.
Baseball has had nine work stoppages since 1972, the last the 99-day lockout
that slightly delayed the 2022 season.
The NFL has had a cap since 1994, the NBA since 1984-85 and the NHL since
2005-06.
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AP MLB: https://apnews.com/MLB
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