Opt-out clauses aren’t ‘problematic’

Are you really going to let Jim Bowden tell you how things should work?

This article is free for anyone to read, but please consider becoming a Patreon subscriber to allow me to keep writing posts like this one. Sign up to receive articles like this one in your inbox here.

Former MLB general manager and professional interference runner for the league’s owners Jim Bowden had an article published at The Athletic on Thursday, decrying the rise of player opt-outs in extensions and free agent contracts. It’s a lengthy one, and while it does take opposing viewpoints into account to a degree — for example, there’s an executive in there saying if an opt-out is what it takes to sign a player, then the player will get an opt-out as the cost of doing business — it can essentially be boiled down to “players having options is bad.”

From Bowden:

Continue reading “Opt-out clauses aren’t ‘problematic’”

Notes: Minor League CBA, ratification, the future of MLB labor

Notes on the MiLB CBA ratification, as well as some work from me from around the internet.

This article is free for anyone to read, but please consider becoming a Patreon subscriber to allow me to keep writing posts like this one. Sign up to receive articles like this one in your inbox here.

Last Wednesday evening, it was reported that Major League Baseball and the MLB Players Association — the representatives of the unionized minor-league baseball players — had come to a preliminary agreement for the first-ever collective bargaining agreement for MiLB. All that was needed was for the rest of the players and for MLB’s owners to vote on the agreed-upon deal in order to ratify it. We’re still waiting as of Monday morning for the owners to share their voted-upon feelings on the matter, but the players came through with 99 percent in favor, per a report from The Athletic’s Evan Drellich.

Continue reading “Notes: Minor League CBA, ratification, the future of MLB labor”

The annual Forbes’ MLB valuations are out; don’t forget about context

Forbes’ annual report is a tool, not the finished product you’d build with them.

This article is free for anyone to read, but please consider becoming a Patreon subscriber to allow me to keep writing posts like this one. Sign up to receive articles like this one in your inbox here.

Forbes’ annual look at the most valuable teams in MLB posted on Thursday, and it’s, as always, worth opening up and perusing. Seeing that there are increases in team valuations and the like is always fascinating — even if they’re just estimates — especially when they’re balanced against this idea that teams just aren’t making all that much money: an idea perpetuated by Forbes’ own report, even.

Continue reading “The annual Forbes’ MLB valuations are out; don’t forget about context”

Round-up: Diamond bankruptcy, WBC pitchers, cheap owners

Diamond finally declares bankruptcy, Team USA is struggling with pitching restrictions, and Bomani Jones has something to say to MLB’s cheap owners.

This article is free for anyone to read, but please consider becoming a Patreon subscriber to allow me to keep writing posts like this one. Sign up to receive articles like this one in your inbox here.

We’ve got a few things to catch up on, so let’s hit the ground running.

Diamond declares bankruptcy

We knew it was going to happen eventually, but Diamond, the owners of Bally Broadcasting, which serves as the regional broadcasting network for a not insignificant number of MLB’s teams, declared bankruptcy. That sounds scary on the surface, but as I wrote about a few weeks back, it’s more of a sign of things to come than it is a notice of an interruption of how you consume baseball in 2023. Here’s Sportico’s Brendan Coffey with an explanation and quotes:

Continue reading “Round-up: Diamond bankruptcy, WBC pitchers, cheap owners”

Diamond is probably going away, but broadcasting should remain

This article is free for anyone to read, but please consider becoming a Patreon subscriber to allow me to keep writing posts like this one. Sign up to receive articles like this one in your inbox here.

There sure seems to be trouble in regional sports network land, and the question of the day is how it will end up impacting Major League Baseball and the payments owed to them by various RSNs. There’s the well-publicized issue of what’s going on with Diamond Sports Group, which runs Bally Sports, as they announced they’re skipping a $140 million interest payment, which now gives them a 30-day grace period to figure out if they’re going to make said payment or file for bankruptcy instead. Alongside that, though, is AT&T Sports, which is run by Warner Media, and has possibly already missed out on its first slate of payments for broadcasting games. Possibly, because there have already been denials from AT&T Sports, on the matter, but we can at least treat that as a potential where there’s smoke there’s fire situation until things are known for sure one way or the other. [2/20/2023 note: This article originally linked to a Pittsburgh Post-Gazette story here, but the Post-Gazette staff is on strike. Apologies for the oversight; the link has been removed.]

Continue reading “Diamond is probably going away, but broadcasting should remain”

Hey, I was nominated for a SABR Research award (and you can vote for me! If you want to.)

This article is free for anyone to read, but please consider becoming a Patreon subscriber to allow me to keep writing posts like this one. Sign up to receive articles like this one in your inbox here.

There’s a large part of me that is very much, “well, we’ll see what happens” when it comes to awards voting — no inherent desire to make a lot of noise about voting for me when there is a time to do so, for instance. I’m going to make an exception on this occasion, though, at least as far as sending a single newsletter notification on the subject goes, as I was nominated for a SABR Analytics Conference Research Award, in the category of Historical Baseball Analysis/Commentary.

The reason for the exception is that there is no nomination for an award, nor is there even the article that was nominated for one, without this labor newsletter. Sure, it’s now entering its fourth year of existence and I haven’t bothered to name it yet — and I promise you I never will — but it’s vital to the work that I do. The way I write and research and react here allows me to form my thoughts, gain some coherence, connect dots, and then end up writing pieces that are longer than what I send out here a couple times per week, for outlets like Baseball Prospectus, Defector, Fair, and more. Blogging isn’t dead, even if it feels like it, and the way I operate here is very much in the blogging style, which keeps myself and the audience (hey, that’s you) up to speed on what’s happening and what it means, and lets me build towards putting all of the what’s happening and what it means together for a larger audience later down the road.

The nominated article, titled “1994 Explains What ‘Labor Peace’ Never Could,” ran at Baseball Prospectus at the end of February of last year, amid the unnecessary lockout. I knew quite a bit about how 1994 went down and what it meant then and its repercussions for the future, but the level of detail I was able to put into this piece existed because of work I had done in this space in the three years prior. I’ve joked that this newsletter and the site it’s hosted on are like a little baseball labor wiki, given how much linking to previous work and sourcing there is contained within, but the process of putting all of said sourcing and such together is what gets me to the place where I can write, ahem, an award-nominated feature (on Rob Manfred’s bullshit).

So! Thank you for reading; having an audience makes sure this is more than just a preparatory journal for the freelance work that also helps pay the bills. If you want to vote for the piece I wrote, you can do so here, at Baseball Prospectus, which is hosting the voting mechanism along with a few other SABR-approved locations.

There’s some truly excellent work that’s been nominated, and I’m not just being polite when I say it’s an honor to be in the company that I’m in this year. Thanks for reading, for sharing my work, for the mailbag questions, for your fellow distrust in what MLB’s lords are saying and doing. It helps keep all of this and the labor-related bees in my head going.

Visit my Patreon to become a supporter and help me continue to write articles like this one.

MLB spending is up, and yet

This article is free for anyone to read, but please consider becoming a Patreon subscriber to allow me to keep writing posts like this one. Sign up to receive articles like this one in your inbox here.

We’re one season into MLB’s most recent collective bargaining agreement, and spending seems to be up. That’s good! It’s up in a couple of ways, too: as Maury Brown pointed out (by way of the Associated Press) at Forbes, the collected spending of the luxury tax clubs exceeded $5 billion for the first time, and that’s over $600 million more than they spent in 2021. A whole lot of cash goes into those figures, though, beyond just player salaries:

Continue reading “MLB spending is up, and yet”

No one is ‘circumventing’ the luxury tax threshold

This article is free for anyone to read, but please consider becoming a Patreon subscriber to allow me to keep writing posts like this one. Sign up to receive articles like this one in your inbox here.

Thanks to a rumor about the Padres considering a 14-year, $400 million contract to then-free agent Aaron Judge, there have been some rumblings about how Major League Baseball would have reacted to such a deal. Jon Heyman reported at the New York Post that, “sources say they would not have been allowed, as MLB would have seen the additional years as only an attempt to lower their official payroll to lessen the tax.” That’s just one side of any conversation on this, though: MLB might have tried to get rid of it, and are within their rights to given that circumventing the threshold goes against the collective bargaining agreement, but what are the chances that the Players Association would have allowed them to do so, and what are the chances MLB would have successfully erased the deal when challenged on it?

My guess is “not good,” and Ken Rosenthal’s own reporting echoes that:

Continue reading “No one is ‘circumventing’ the luxury tax threshold”

Super long free agent contracts are fine, actually

This article is free for anyone to read, but please consider becoming a Patreon subscriber to allow me to keep writing posts like this one. Sign up to receive articles like this one in your inbox here.

It’s pretty difficult to envision where Major League Baseball is going to be 11 or 13 years from now, and yet, there’s been quite a bit of gnashing of teeth over contracts handed out to shortstops Trea Turner, Xander Bogaerts, and Carlos Correa this offseason. Turner’s 11-year, $300 million deal will end after the 2034 season, when he’s 41 years old. Bogaerts’ 11-year pact, which will pay him $280 million, wraps the same year, also when he’s 41. Correa’s is longer and for more total money, at 13 years and $350 million, but he’s also younger than the other two, meaning he’ll “just” be 41 when the contract ends in 2036.

We’re used to saying something like “it’s just money” when it comes to signing stars to long-term deals. They cost money, even when MLB’s owners are doing their damndest to make sure pay as a whole stays down: the stars and best players at the premium positions still get paid, even when the middle class is slowly crushed under a free agency system that has toppled over them. The thing we need to get used to saying is “it’s just years.” Turner, Bogaerts, and Correa are all signed into the middle of next decade, and their contracts will end when they’re 41, if they even last that long. Because of the length of the deals, the average annual value of the contracts — i.e. how much they count against the soft cap of the luxury tax threshold and what they are costing these teams in present-day dollars each year — is lower. Turner’s deal comes in at an AAV of just over $27 million. Bogaerts’ contract, about $25.5 million per, and Correa’s, just under $27 million.

Continue reading “Super long free agent contracts are fine, actually”

Dusty Baker, James Click, and Jim Crane’s cruel efficiency

This article is free for anyone to read, but please consider becoming a Patreon subscriber to allow me to keep writing posts like this one. Sign up to receive articles like this one in your inbox here.

Jeff Luhnow might not be with the Astros any longer, and hasn’t been for a few years, but the culture he fostered certainly still exists in some form. No, no, I’m not talking about the cheating scandal — you can put down those pitchforks and alt accounts, Astros fans — but instead the central conceit of the Luhnow-era team: everyone and everything is a tool to be used until it can be thrown away. The fast-acting poison that is McKinsey’s obsession with efficiency and dehumanization has not vanished from Houston, just because the man who introduced it has.

Continue reading “Dusty Baker, James Click, and Jim Crane’s cruel efficiency”