Major Collective Bargaining Agreement for Minor Leaguers

A little more than a year ago, I wrote an article for this blog detailing a gloomy time for Major League Baseball (“MLB”).¹[1]Spencer Markbreiter, Labor Laws Looming over the MLB Lockout, BROOKLYN SPORTS & ENTERTAINMENT LAW BLOG (Feb. 9, 2022), https://sports-entertainment.brooklaw.edu/sports/labor-laws-looming-over-the-mlb-lockout/. Shortly after the article’s publication, the collective bargaining agreement (“CBA”) between the Major League Baseball Players Association (“MLBPA”) and MLB had expired, leaving the possibility of a 2022 MLB season up in the air. As baseball fans know well, an agreement was eventually made, a full season was played, and big, bad Aaron Judge hit sixty-two home runs (a single season record, depending on who you ask).²[2]Mark Feinsand, MLB, MLPBA agree to new CBA; season to start April 7, Mar. 10, 2022) https://www.mlb.com/news/mlb-mlbpa-agree-to-cba.

Fast-forward a year, and the 2023 season has just begun, with fresh hopes and seemingly repeated dreams of a coveted World Series title for most fans. With all the excitement that is surrounding the major leagues right now, fans may not have heard about the exciting news for minor league clubs and players.

On March 29, ESPN’s Jeff Passan delivered a “Passan bomb” with one simple tweet: “BREAKING: A deal is in place between the minor league players in the MLBPA and Major League Baseball on the historic first collective-bargaining agreement for minor leaguers, union officials tell ESPN. Deal is five years and includes at least 2x pay at all levels of the minors.” ³[3]@JeffPssan, TWITTER (Mar. 29, 2013, 9:57 AM), https://twitter.com/JeffPassan/status/1641258387538059265?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1641258387538059265%7Ctwgr%5E0069bfcea1ba9fea2d91eee6e49c251cf1cc194d%7Ctwcon%5Es1_&ref_url=https%3A%2F%2Fwww.batterypower.com%2F2023%2F3%2F29%2F23662632%2Fmlbpa-mlb-reach-terms-on-minor-league-collective-bargaining-agreement-per-report-labor-milb.

The minor leagues have an unfortunate reputation for providing its players and clubs poor playing conditions and pay, substandard housing, and below-average medical treatment.⁴[4]Lindsey Adler, MLB, Minor Leaguers Reach Tentative Deal on First-Ever Collective Bargaining Agreement, THE WALL STREET JOURNAL (Mar. 31, 2023, 12:32 PM), https://www.wsj.com/articles/mlb-minor-leaguers-collective-bargaining-agreement-aff37cc4. Minor-leaguer players unionized last year, just months after “MLB agreed to pay $185 million to settle a federal class-action suit brought by minor leaguers who were seeking compensation for minimum-wage and overtime violations.”⁵[5]Id. With this new agreement in place, minor-leaguers have their sights set to the future, hoping to leave pay and workplace issues in the past.

The most notable revamp in the agreement is the salary increase given to minor leaguers.⁶[6]Id. According to Passan, “[s]alary increases were the clear priority for minor league players.”⁷[7]Jeff Passan, MLB owners unanimously ratify CBA with minor league players, ESPN.com (Apr. 3, 2023), https://www.espn.com/mlb/story/_/id/36056830/mlb-owners-unanimously-ratify-cba-minor-league-players. Now, players will be paid “almost year-round,”⁸[8]Lindsey Adler, MLB, Minor Leaguers Reach Tentative Deal on First-Ever Collective Bargaining Agreement, THE WALL STREET JOURNAL (Mar. 31, 2023, 12:32 PM), https://www.wsj.com/articles/mlb-minor-leaguers-collective-bargaining-agreement-aff37cc4. as opposed to not being paid during the offseason or spring training, which was the previous reality.⁹[9]R.J. Anderson, Minor League Baseball players ratify historic first CBA; deal includes salary increases, more, cbssports.com (Mar. 31, 2023, 12:15 PM), https://www.cbssports.com/mlb/news/minor-league-baseball-cba-mlb-mlbpa-agree-on-deal-with-salary-increases-more-for-milb-players-per-report/. Additionally, players at all levels will see their minimum salaries at least double.¹⁰[10]@JeffPssan, TWITTER (Mar. 29, 2013, 9:57 AM), https://twitter.com/JeffPassan/status/1641258387538059265?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1641258387538059265%7Ctwgr%5E0069bfcea1ba9fea2d91eee6e49c251cf1cc194d%7Ctwcon%5Es1_&ref_url=https%3A%2F%2Fwww.batterypower.com%2F2023%2F3%2F29%2F23662632%2Fmlbpa-mlb-reach-terms-on-minor-league-collective-bargaining-agreement-per-report-labor-milb. AAA players, those closest to the major league level, will see their minimum salaries double from $17,500 to $35,800.¹¹[11]Id. AA players will see a greater jump – from $13,800 to $30,250.¹²[12]Id. High-A, Low-A, and Complex league players also will experience at least a doubling of their minimum pay under the new CBA.¹³[13]Id.

Aside from the pay increases, minor league players will now gain numerous benefits not previously available to them. “Minor-leaguers will have name, image, and likeness rights, and the MLBPA will undertake licensing agreements on their behalf.”¹⁴[14]R.J. Anderson, Minor League Baseball players ratify historic first CBA; deal includes salary increases, more, cbssports.com (Mar. 31, 2023, 12:15 PM), https://www.cbssports.com/mlb/news/minor-league-baseball-cba-mlb-mlbpa-agree-on-deal-with-salary-increases-more-for-milb-players-per-report/. Additionally, AA and AAA players will now get their own bedrooms, and Low-A and High-A players can receive a bedroom as well or choose instead to receive a housing stipend.¹⁵[15]Id. Players’ spouses and children have also gained access to paid housing by the club.¹⁶[15]Id. Furthermore, transportation to and from the game venue is guaranteed for Low-A and High-A players.¹⁷[17]Id.

Players across the minor leagues will now get “improved medical and retirement benefits.”¹⁸[18]Lindsey Adler, MLB, Minor Leaguers Reach Tentative Deal on First-Ever Collective Bargaining Agreement, THE WALL STREET JOURNAL (Mar. 31, 2023, 12:32 PM), https://www.wsj.com/articles/mlb-minor-leaguers-collective-bargaining-agreement-aff37cc4. Minor league teams will offer a $50,000 benefit for life insurance, dental and core vision insurance at no cost, and contribute a total of $2,500,000 to a 401K plan, which will “be distribute to players’ accounts based on the number of months a player spends on a roster during the season.”¹⁹[19]Evan Drellich, Guide to minor league baseball’s first CBA: Everything you need to know, THE ATHLETIC (Apr. 3, 2023), https://theathletic.com/4377736/2023/04/03/minor-league-baseball-cba-union/?redirected=1.

The CBA contains a new “formal grievance process with a neutral arbitrator for various disciplinary events.”²⁰[20]Lindsey Adler, MLB, Minor Leaguers Reach Tentative Deal on First-Ever Collective Bargaining Agreement, THE WALL STREET JOURNAL (Mar. 31, 2023, 12:32 PM), https://www.wsj.com/articles/mlb-minor-leaguers-collective-bargaining-agreement-aff37cc4. The agreement specifies that players punished for certain on-field conduct may appeal to a league officer,²¹[21]Id. and for off-field conduct and/or contract disputes, players have the liberty to appeal to an impartial arbitrator that the league and the union hire.²²[22]Id.

Another new development involves biodata , which is collected from the players “through the use of wearable technology.”²³[23]Id. Wearable technology permits teams and players to “track … performance … [and] provide real-time data about a player’s physical condition and performance.”²⁴[24]Examining the Role of Technology in Modern Baseball, phlsportsnation.com (Feb. 28, 2023), https://phlsportsnation.com/2023/02/28/examining-the-role-of-technology-in-modern-baseball/. Before the agreement, teams could require players to utilize the technology while playing.²⁵[25]Lindsey Adler, MLB, Minor Leaguers Reach Tentative Deal on First-Ever Collective Bargaining Agreement, THE WALL STREET JOURNAL (Mar. 31, 2023, 12:32 PM), https://www.wsj.com/articles/mlb-minor-leaguers-collective-bargaining-agreement-aff37cc4. Under the new CBA, players will have greater dominion over team access to their biodata.²⁶[26]Id. Players can voluntary wear the biodata technology, and teams must stipulate how the technology works, how it will be used, and which team officials will be able to access the data it collects.²⁷[27]Id.

Advocacy for a renovation of the minor league system began with players posting on social media, and the pressure eventually found its way to Capitol Hill.²⁸[28]Jeff Passan, Minor leaguers, MLB reach tentative deal on 1st CBA, sources say, ESPN.com (Mar. 29, 2023), https://www.espn.com/mlb/story/_/id/35998626/minor-leaguers-mlb-reach-tentative-deal-historic-1st-cba. “Advocates for Minor Leaguers, a group started by former minor league pitcher Harry Marino,” pressed Congress to compel MLB to afford the same security for minor league players as major leaguers.²⁹[29]Id.

Undoubtedly, the advocacy has paid immense dividends. Through unionization, activism, bargaining, and hard work, minor league players have achieved a momentous victory for themselves and for the sport.

Written by: Spencer Markbreiter
Spencer is a 2024 J.D. Candidate at Brooklyn Law School