Major League Baseball spring training camps are on hold as labor negotiations continue. FOX Business’ Connell McShane with more.
The start of Major League Baseball’s spring training has been delayed as the league and players union have yet to reach a deal on a new collective bargaining agreement.
Negotiations aimed at ending the lockout resumed Thursday at the office of the players association when a three-man MLB delegation led by Deputy Commissioner Dan Halem arrived shortly before 1 p.m. for just the sixth negotiating session on core economics since baseball’s ninth work stoppage began Dec. 2.
Pitchers and catchers were scheduled to report for workouts Wednesday, but facilities remained closed due to the stalled negotiations.
MLB COMES TO WORK STOPPAGE AS OWNERS LOCK OUT PLAYERS
Spring training exhibition games are scheduled to start Feb. 26, and opening day is set for March 31. The start of the regular season could be delayed if an agreement is not reached by early March.
So, what is being negotiated?
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A competitive balance tax
The CBT, otherwise known as a “luxury tax,” was implemented in 1997, and the threshold for the most recent MLB season stood at $210 million. Teams with a payroll greater than the threshold are taxed on each dollar above the limit.
MLB wants to raise taxes on the teams that spend too much. The players say this is essentially a salary cap.
The Los Angeles Angels spring training facility is quiet Wednesday, Feb. 16, 2022, in Tempe, Ariz., due to the MLB lockout. | AP Newsroom
A source close to the union said “that would hurt so much it would outweigh everything else they’re getting in other areas,” FOX Business’ Connell McShane said.
Bonus money for young stars
The union increased its proposed bonus pool of money for players who are too young to be free agents from $100 million to $115 million.
Owners want this pool to remain around only $15 million.
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Minimum salaries
The other major issue of disagreement is minimum salary for players. The players want a minimum salary of at least $775,000, while the owners are offering about $630,000.
The owners gave the players a 130-page document detailing their proposals and are still awaiting a response from the players.
According to McShane, the owners have voiced that they feel the players already have the best labor agreement in all of sports, which will remain true once the lockout is over.
However, the players union is still focused on the CBT, which it thinks will ultimately keep salaries down, McShane explained.
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The union thinks a counteroffer is likely, but a lot of players don’t necessarily think it’s worth countering, according to McShane.
This work stoppage is the first for MLB since 1995 and entered its 78th day Thursday.
The Associated Press contributed to this report.
