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Latest On Teams’ Plans For Minor League Pay

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3:14pm: The Astros will also pay their minor leaguers through August, Chandler Rome of the Houston Chronicle tweets. The Red Sox will do the same, Julian McWilliams and Alex Speier of the Boston Globe write. The Reds will pay theirs through Sept. 7, the end of the scheduled minor league season, per C. Trent Rosecrans of The Athletic.

2:16pm: As teams throughout the league make sweeping releases at the minor league level, neither the Twins nor the Royals plan on cutting any players, per ESPN’s Jeff Passan and MLB Network’s Jon Heyman (Twitter links). The Twins and Royals will also commit to paying all of their minor league player the current $400 weekly stipend through Aug. 31 — the would-be end of the minor league season — while providing full benefits. The Twins are also committing to front-office and baseball ops staff through at least the end of June, Do-Hyoung Park of MLB.com tweets.

To this point, no other clubs in the league have made such a commitment. The Marlins, Padres and Mariners all agreed to pay their minor leaguers through season’s end, although none of that bunch is known to be entirely avoiding minor league releases. Seattle, in fact, reportedly cut 50 minor league players this week already. The volume of players being released around the league is jarring — the D-backs cut a reported 64 players — although it should be noted that many of the releases would’ve come at the end of Spring Training under normal circumstances anyhow.

That doesn’t detract from the gesture made by the Twins or Royals, of course. It’s a stark contrast to an organization such as the Athletics, who informed minor league players earlier this week that they’ll no longer be paid after May 31. As MLB.com’s Jim Callis observes (on Twitter), the decision made by the Twins and Royals could quite likely prove beneficial in recruiting undrafted players who are selecting among teams while capped at a $20K signing bonus this summer.

Latest News, Notes On Minor League Pay

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The manner in which teams are — or, in some cases, aren’t — continuing to pay their minor league players has drawn increased attention as the end of the month draws near. Major League teams agreed back in March to pay minor league players $400 per week through the end of May, but most minor league players now face ongoing financial uncertainty. The Dodgers have already committed to continue that $400 weekly stipend through the end of June, but veteran left-hander David Price is stepping up to add a helping hand, pledging $1,000 to each non-40-man Dodgers minor leaguer, according to a report from Francys Romero (Twitter link). That includes more than 220 minor leaguers, per MassLive.com’s Chris Cotillo. It’s a similar gesture to the one Shin-Shoo Choo made with the Rangers back in April.

Of course, the very fact that veterans such as Choo and Price even feel it necessary to step up to help out minor leaguers speaks to the manner in which minor league players are under-compensated. While some clubs — the Marlins and Padres — are reportedly set to pay out that $400 weekly stipend through the end of the minor league season, the Athletics are cutting off the stipend at month’s end. Others have extended the stipend through June but have not committed further.

Here’s how a few other clubs are handling the matter…

  • The Mets, Rays, Brewers, Cardinals, Giants and Indians are all extending the $400 weekly stipend through the month of June, per reports from MLB Network’s Jon Heyman (tweet), the Tampa Bay Times’ Marc Topkin, the Milwaukee Journal-Sentinel’s Todd Rosiak (tweet), the St. Louis Post-Dispatch’s Derrick Goold, Alex Pavlovic of NBC Sports Bay Area (tweet) and Kyle Glaser of Baseball America (tweet). “This money right now, especially for guys who aren’t as well off, this is a huge deal,” Rays minor league catcher Chris Betts tells Topkin. “…I’m beyond excited about it, and I’m honestly just more stoked and proud that the organization I play for took this route more than anything.”
  • The Athletics have, unsurprisingly, drawn a wide array of harsh criticism for their wide-ranging furlough and the full cutoff of minor league payment, Susan Slusser of the San Francisco Chronicle writes. Slusser notes that owner John Fisher repeatedly used the word “family” in his letter to fans explaining the cutbacks, but many impacted by the cuts don’t feel the effects of that word. “It’s very hard to preach family and then not act like it when times are difficult,” Class-A pitcher Aiden McIntyre tells Slusser. Triple-A outfielder Jason Krizan added: “…[I]t hurts to see the Marlins continue to pay their players when they made the least in baseball last year,” though he noted he’d rather remain an Athletic and receive benefits than otherwise. Other players, past and present, voiced similar criticisms to Slusser, as did a big league agent and an executive with another club. Sports Illustrated’s Stephanie Apstein writes that termination of the stipend saves the Athletics an approximate $1.3MM.

Latest On Furloughs, Pay Cuts Among MLB Clubs

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6:09pm: The Rangers have committed to $400 a week for their minor leaguers through at least June, Levi Weaver of The Athletic was among those to report. The same goes for the Braves, per David O’Brien of The Athletic, as well as the Diamondbacks, Nick Piecoro of the Arizona Republic adds.

12:59pm: The Padres will also pay their minor leaguers the $400 weekly stipend through the end of August, Dennis Lin of The Athletic tweets.

12:34pm: Most of MLB’s 30 organizations agreed a ways back to pay their employees through the end of May. There were instances of lengthier commitments, but May 31 was broadly used as an initial endpoint, at which time fiscal matters would be reassessed. Minor league players have been receiving $400 weekly stipends during this time, but that arrangement is also only promised through the end of May. As you’d expect, clubs have begun to inform employees (both on the business and baseball operations side) and minor leaguers of their next steps. And, as you’d expect, in some instances it’s not pretty.

Yesterday was a particularly dark day in the Athletics organization, as ESPN’s Jeff Passan reports that the team informed minor league players they will no longer be paid their stipend as of June 1. Robert Murray of The Score shares the email that was sent to Oakland minor leaguers — one which was signed by GM David Forst rather than managing partner John J. Fisher. (Forst, of course, is being asked to play the messenger in this instance and is not the one making the decisions.)

Minor league players are generally undercompensated as a whole, and the $400 weekly stipend they’ve received over the past two months will now seemingly go down as the only baseball-related compensation they’ll receive in the calendar year. Their contracts, which are in a state of suspension but not terminated, bar them from “perform[ing] services for any other Club” and also render them ineligible for unemployment benefits, per The Athletic’s Emily Waldon (Twitter link).

As for the operations side of the equation, Athletics front office personnel will be either furloughed or see their pay reduced effective June 1 and running through the end of October, The Athletic’s Alex Coffey reports (Twitter thread). She adds that the maximum cut is 33 percent, and those determinations are based on seniority. Scouts aren’t considered front-office personnel, but they’ll be hit hard as well; USA Today’s Bob Nightengale tweets that A’s amateur and pro scouts alike will be furloughed from June 16 through Oct. 31. Fisher did write a letter to the club’s fanbase confirming the dramatic cuts (Twitter link via the San Francisco Chronicle’s Susan Slusser), emphasizing the pain that went into the decisions and his “deep commitment to the long-term future of the A’s.”

Those cutbacks are similar to the substantial cuts the Angels put in place earlier this month, but other L.A. club isn’t taking such rash measures. The Dodgers have informed all employees earning more than $75K that they’ll be subject to pay reductions beginning June 1, Ramona Shelburne of ESPN (Twitter thread). The extent of the reductions is dependent on overall salary — larger salaries get larger percentage cuts — and will be capped at 35 percent for the most part, although that they could be greater for the team’s very top executives. Those measures are being taken in an effort to avoid the type of large-scale furloughs being put in place in Oakland and Anaheim.

Across the country, the Nationals have implemented a series of partial furloughs both in baseball ops and business ops, Jesse Dougherty of the Washington Post reports (Twitter thread). The Nats are still covering full benefits and haven’t made any layoffs, but they’re implementing a sequence of 10 to 30 percent reductions in pay and total hours. The Brewers, meanwhile aren’t making any baseball ops furloughs but are furloughing some business operation employees, Todd Rosiak of the Milwaukee Journal-Sentinel tweets.

It’s not yet clear how every organization plans to handle the minor league pay dilemma, but Baseball America’s Kyle Glaser has heard from at least three clubs that plan to continue varying levels of compensation. The Phillies will keep paying their minor leaguers through at least June, but likely at less than the current $400 stipend. The White Sox are paying $400 per week through the end of June, and the Marlins have committed to paying their minor leaguers the full $400 per week through August — the would-be conclusion of the 2020 minor league season. The Marlins already informed players earlier this month that about 40 percent of the baseball ops department will be furloughed on June 1.

Rob Manfred On Minor-League Pay Negotiations

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Yesterday, MLB commissioner Rob Manfred discussed the long-simmering issue of pay to minor-league players, as Evan Drellich of The Athletic reports (subscription link). Manfred’s office recently launched negotiations with the minor-league governing body known as the National Association of Professional Baseball Leagues.

MLB has fought tooth and nail to secure legal advantages against minor-league ballplayers, who remain without a union. While it battles to preserve its freedom of action, the league is also not unaware of the many problems posed by the current system, in which most minor-league players are dimly compensated for their labor. There’s always a risk of a reversal of legislative or court victories. And a concerted PR strategy from the players’ side could yet turn the tide.

While the ongoing talks with the NAPBL are voluntary, Manfred recognizes the practical need to address the matter. “The game’s about young players right now,” says the commissioner. Proper development of key player-assets requires a “positive environment,” which in turn means “you’ve got to have good facilities” and “you’ve got to pay correctly, and make sure you got the right people teaching.”

The imperative to “pay correctly” — an exceedingly interesting turn of phrase for the commish to introduce — is of chief interest to minor-league players. But there’s quite a bit more going on here. As Drellich well puts it, “Lurking in the background, and as a point of leverage, is the possibility that MLB seeks to cull some teams or otherwise reshape some aspects of the minors.” Hence the engagement with the NAPBL, which does not represent players but does have power over all other pertinent business matters that its big brother does not govern directly.

Manfred left little doubt that MLB owners aren’t just planning to open their pocketbooks. He cited a need “to look at the efficiency of the system” — for its own sake, perhaps, but also to “create[] some economic flexibility” that can be put to use in addressing the ballplayer salary issue. Beyond that, it seems mostly a question of whose profit margin will take the hit. As Manfred says, “Whether we pay or they pay, that’s a negotiation, right?”

Having won the early lobbying battle, organized baseball has earned itself time and space to structure a solution — albeit one that can still be subject to challenge. It’s still not clear what the league thinks it means to “pay correctly,” but the present approach seems unlikely to define that in the first instance by reference to concepts of fairness. Rather, what we are seeing now is an ownership effort (at both the major and minor-league levels) to arrive at an economically efficient solution that maximizes organizations’ investments in young players, staves off labor disruption, and assures the paying and voting public that all is well. Of course, the players will still have opportunities to influence the outcome, whether or not through the MLBPA or formal bargaining. It seems promising that MLB recognizes the need for change, even if the process isn’t ideal for labor. Whether the resulting system will be a fair one for pre-MLB ballplayers remains to be seen.

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