AdvertiseDonate
TampaSt. PetersburgPhiladelphiaSan AntonioSan DiegoColumbusWashingtonEl Paso
Wire Coverage · 625 East Twiggs Street, Suite 1000, Tampa, FL 33602
Sports · National

MLB owners propose $258 million cap for 2028 as players face Dec. 1 deadline

With the current labor agreement expiring soon, the league seeks to delay its biggest financial changes by one year while free agents scramble to sign deals.

By Ayanda Boateng ·

Illustration for: MLB owners propose $258 million cap for 2028 as players face Dec. 1 deadline
Illustration generated for this article, not a news photograph.

The Milwaukee Brewers recently celebrated their first World Series championship, but the sport now faces a potential shutdown. The current collective bargaining agreement between Major League Baseball and the players association expires at 11:59 p.m. ET on Dec. 1. If the two sides do not reach a new deal by then, owners can lock out the players immediately. This would halt all league business, prevent players from contacting coaches, and bar them from using team facilities until a new agreement is signed.

On Tuesday, MLB submitted a new proposal that shifts the implementation of a salary cap to the 2028 season. The league cited the difficulty of managing free agency amid current uncertainty as the reason for the delay. Under the new offer, the 2028 salary cap would be set at $258.2 million, while the floor would be $180.2 million. These figures represent an increase from the league's previous proposal, which suggested a $245.3 million ceiling and a $171.2 million floor.

Free agents are expected to act quickly in the coming weeks. The general consensus is that signings will accelerate before the Dec. 1 deadline, similar to the 2021 offseason when Corey Seager, Marcus Semien, and Javier Baez secured nine-figure contracts just before the previous agreement expired. While some teams may hesitate due to an uncertain economic model, others will likely move faster once top talent begins to sign. High-profile trades remain difficult to execute in such a short window, but free agency should stay active.

Rob Manfred, the commissioner, will serve as the public face for the owners during these talks. Dan Halem, the deputy commissioner, will act as the chief negotiator for the league. Halem has held this role for more than a decade and has negotiated several previous labor agreements. Morgan Sword, an executive vice president for baseball economics and operations, will also attend negotiations. He was a driving force behind recent rule changes, including the automated ball-strike system implemented this season.

On the players' side, Bruce Meyer serves as the interim executive director and lead negotiator. His legal team includes Matt Nussbaum, the former general counsel who is now deputy executive director, and Jeff Perconte, who currently serves as general counsel. Ian Penny, a former general counsel for the league, remains in the inner circle as the interim head of human resources. Kevin Slowey and Andrew Miller, both former pitchers, act as trusted voices for Meyer within the union. Slowey updates players on negotiation progress, while Miller handles strategic initiatives.

The MLBPA's executive subcommittee consists of eight players voted into leadership roles by their peers. These members include Chris Bassitt, Jake Cronenworth, Pete Fairbanks, Cedric Mullins, Marcus Semien, Paul Skenes, Tarik Skubal, and Brent Suter. Although the full board includes 38 players, the subcommittee members typically spend more time in the negotiating room and carry more weight with owners. A key question for these talks is whether the rank-and-file players will remain in lockstep with union leadership, as they did during the 1994 strike.

Revenue disparity drives the owners' argument for a salary cap. Small and middle-market clubs claim they cannot compete with big-market teams, particularly the Los Angeles Dodgers. The Dodgers hold a lucrative local television contract and generate significant revenue from Asia and sellouts. Their ability to spend more than $500 million on payroll and taxes is viewed by other teams as an unfair advantage. Kyle Tucker, for example, will cost the Dodgers about $120 million annually when factoring in luxury tax penalties. That single figure exceeds the entire payrolls of nine teams this season.

The union argues that a cap is a nonstarter because it limits player earnings and removes guaranteed money. The NBA and NHL use escrow systems that can claw back salaries, a mechanism the players association opposes. MLB believes a cap is necessary to give small and mid-market teams a fighting chance as the gap in revenue widens. This widening is largely attributed to the crumbling regional sports network model, which has given a select few teams a larger advantage than ever before.

More Sports · Report a business · Got a Story?

Get Wire Coverage in your inboxThe latest from the cities that shape the country. Free, a few times a week, unsubscribe any time.

Related stories

Get Wire Coverage in your inboxThe latest from the cities that shape the country. Free, a few times a week, unsubscribe any time.