Major League Baseball is set to pay $185MM to settle the class action lawsuit brought by minor league players nearly a decade ago, as Jeff Passan of ESPN was first to report. Evan Drellich of the Athletic adds (Twitter link) that the league will lift any “contractual prohibitions against (teams) paying minor league players wages” for work outside of regular season play. The agreement is pending final approval from the court.
It’s the culmination of a suit first filed in 2014. Among other aspects of minor league pay, the litigation was concerned with the process of unpaid spring training. MLB came under public fire for arguing for players to remind unpaid for Spring Training as recently as February. That proved unsuccessful, however. The following month, the trial court rejected the league’s argument that minor leaguers were seasonal employees exempted from minimum wage laws.
The case was set for trial on June 1, but the parties came to a settlement agreement in mid-May. Terms were unreported at the time, but the league has apparently agreed to dole out $185MM in backpay. Passan notes that more than $120MM of that figure will be distributed among the class of players involved (with the rest presumably going to court costs and attorneys fees). One of the plaintiffs’ attorneys, former minor leaguer Garrett Broshuis, tells Drellich more than 20,000 players are expected to share those funds.
“This settlement is a monumental step for minor league players toward a fair and just compensation system,” Broshuis said (via Passan). “As a former minor league baseball player, I’ve seen first-hand the financial struggle players face while earning poverty-level wages — or no wages at all — in pursuit of their major league dream. For the better part of a decade, it has been my honor to help lead this fight and to shine a light on the unfair labor practices that have long plagued America’s pastime.”
MLB released a statement of its own. “We are only in the second year of a major overhaul of the 100-year-old player development system and have made great strides to improve the quality of life for minor league players,” a league spokesperson told Passan, referencing a 2021 uptick in minor league salaries and this season’s requirement for teams to provide housing to players. “We are proud that minor league players already receive significant benefits, including free housing, quality health care, multiple meals per day, college tuition assistance for those who wish to continue their education and over $450 million in annual signing bonuses for first-year players. We are pleased we were able to come to a mutually agreeable resolution but are unable to comment on the details until the agreement is formally approved by the Court.”
The proposed lifting of the ban on payment outside of regular season play, meanwhile, has the potential to impact countless of players moving forward. Whether and how many teams will begin to pay minor leaguers for things like Spring Training and instructional league is unclear. Nevertheless, the removal of the ban has to be viewed as a win for groups fighting for better pay for minor leaguers, most of whom are not part of the Major League Baseball Players Association and do not have a union of their own.
DarkSide830
Now do the same for the food service industry!
nottinghamforest13
Apples and oranges. The margins are much thinner in that industry.
Codeeg
Not sure about that though with MLB restaurants charging 1000% over cost.
RoastGobot
Dude don’t mess w my $40 lobster roll and $38 two tall boys
nottinghamforest13
That’s also a separate issue altogether.
kingbum
Not really with margins like that they can do better for their employees. As employers are finding out people aren’t listening to their bs anymore hence a labor shortage. Why is it the first cost cut is labor?
nottinghamforest13
Define “better”. The stadium employees are not working at the same wage level as a server at a local cafe.
prov356
kingbum – That’s not why there is a labor shortage. It’s because emloyers have been competing with a government that pays workers more to stay home.
66TheNumberOfTheBest
$1400. Makes sense.
What a lemming wind up toy…
kingbum
@Prov356 Covid pay ended long ago….over a year ago at least….The minimum wage workers have figured out they can’t afford to work and pay for child care it is really sad. Yes, many of those single moms are staying home and the government is helping with their kids. Child care is so damn expensive that they actually live better lives on welfare than struggling through that. That’s one example I could go on with many other reasons but this is a baseball page. People need to be able to pay their bills on a full-time salary I don’t care where the job is. That job should be paying a sustainable livable wage. Ya shouldn’t have to supplement your work pay by doing things like investing in option contracts trying to make ends meet.
kingbum
@Prov356 Covid pay ended long ago….over a year ago at least….The minimum wage workers have figured out they can’t afford to work and pay for child care it is really sad. Yes, many of those single moms are staying home and the government is helping with their kids. Child care is so damn expensive that they actually live better lives on welfare than struggling through that. That’s one example I could go on with many other reasons but this is a baseball page. People need to be able to pay their bills on a full-time salary I don’t care where the job is. That job should be paying a sustainable livable wage. Ya shouldn’t have to supplement your work pay by doing things like investing in option contracts trying to make ends meet.
Shawnpe
@Prov356…. Your statement is False!
Shawnpe
@nottinghamforest13,
I see whatcha did there
ftasports
Manfraud sucks balls
Holy Cow!
That comes out to $6000 per player. Better than nothing, I guess.
aragon
Minus lawyer fees.
YankeesBleacherCreature
Fees already considered. Typically it’s one-third of total settlement amount.
Pete'sView
And it’s about time!
RonDarlingShouldntBeInTheHallOfFame
From what I hear, there were closer to 30,000 plaintiffs in the suit, and the payout is expected to be in the $3-4K range apiece..
sufferforsnakes
It should have been one billion dollars.
YankeesBleacherCreature
$120M ÷ 20,000 class members = $6000 per player. And there are more 20,000 players. That’s a pittance after taxes. Lawyers should’ve aimed for more.
kingbum
They netted 60 million for themselves while screwing their clients. To have even been close to fair the settlement should of been 10 times as much. That would be 60k to each player, they can actually do something with that money.
YankeesBleacherCreature
I wouldn’t look it that way. The attorneys are working on contigency which means that they don’t get paid until MLB cuts a check. A one-third cut for lawyers is a very common arrangement. You don’t ask for fairness, you ask for what MLB is willing to pay. If MLB says no, this case can go on for many more years before moving on to a jury trial where they can rule and award the players (and lawyers) way less than $185M.
Shawnpe
@YankeesBleacherCreature,
Agreed, and you can’t overlook the advantages and precedents that are on the court record for the future, in any sport, or seasonal employee in any industry. Its a win for far more than just those directly benefiting from the agreement.
My Strawman > Your Strawman
It’s the thought that counts, I suppose.
Pedro 4 Delino
How many lawyers get to split that $65 million?
YankeesBleacherCreature
Associates (doing most of the grunt work) get a bonus. Partners receive the bulk of it.
clrrogers
A lot fewer than the 20,000 players that are splitting their $120M.
Old York
Work smart and develop your skill to the highest level and you’ll get paid. Far too many teams and low quality players in the league right now. Cut the teams in half and bring better quality to the league.
AndyWarpath
Awful take
TheMichigan
Bad take. Please, they’re humans. You sound out of touch.
Skeptical
Right, in 1920 there were only sixteen teams in the league, the US had a population of about 106 million and there wasn’t much, if any, foreign talent in the league. It is entirely unreasonable to expect the league to field thirty teams today, almost twice as many as in 1920, when the US population (331 million plus) is more than three times the size it was in 1920 and when the league employs a large number of foreign born athletes. Totally unreasonable.
User 2079935927
Millions of people im the world and only 600 are MLB players. I don’t see your point.
Crab L. Winston
Old York played baseball.
kingbum
Maybe quality of play is down because in the off season Johnny (while he was in the minors), is a used car salesman providing for his family and doesn’t have the time dedicated to working out and playing baseball like he wants to. MLB can at least make sure the players are not getting impoverished wages. I blame current MLB players as much as the owners, the MLBPA could of made this a bigger collective bargaining piece. It is about time though housing is paid for and health insurance so maybe players will begin to work less hours doing something else now.
astros_fan_84
The MLBPA doesn’t care and it’s a shame. Those boys deserve a living wage. A $100,000 signing bonus might sound great, but if it takes 5 years to reach the Show, that’s like 35-40k a year. Pathetic.
LordD99
Nice victory, but keep in mind that one reason for the recent contraction of MLB-affiliated minor leagues franchises is MLB knows the cost of operation and paying talent is increasing. Expect a further reduction in official affiliates. Who wins? MiLB players. Ones that survive. I know fans lose. Not passing judgement at all. Just recognizing the reality of the situation.
YankeesBleacherCreature
Sounds like we need expansion teams for more MiLB affiliates.
ohyeadam
Agreed Lord. So many minor league teams seems a bit silly. The contraction and shortening of the draft was a good start imo, quality > quantity. Let the extreme chances find their own way resources are limited.
Col_chestbridge
I wouldn’t classify it as a good thing. A lot of towns lost baseball. A lot of players lost jobs. Further, it’s now much harder for players from lower income places to “ladder” their way up – Keith Law explains this better than I can. But basically the system before was you could send teenagers to the complex league, the high rookie leagues (Appy/Pioneer), or Short Season league (NYPL/NWL). Or start them right at low A if they were advanced enough (rare).
Now there are two choices. Complex league (ACL/GCL), or straight into low A. So players are thrown all into the same level and the ones that succeed are more likely to get promoted. Which obviously hurts players who come from places that weren’t as high level of competition.
Casey Higgins
The best talent at the complex level will be found regardless of economic class.
Drew Waters Bat
Drop in the bucket.
Pete'sView
While ever more grueling for MiLB and MLB players, there’s no question that the quality of Major League play and players is drastically worse than even ten years ago. I welcome some consolidation if it means improving the quality of the game.
YankeesBleacherCreature
Style of play is evolving for better or worst. Take one look at the NBA: Almost every player can and does shoot three-pointers.
2012orioles
NBA is butt cheeks now
Skeptical
@Pete’sView, I think the quality relates more to how the game is played today. Today’s game is obsessed with power, both in pitching and in hitting, strikeouts and home runs. I don’t think the quality of play would improve if you shrank the league, even if you cut it in half. It would be the same boring obsession with power. Folks on here argued that the universal DH would lead to more offense and make the game less boring. Didn’t happen. In my opinion, the only way to improve the quality of play would be to change the philosophy behind how teams play ball. I doubt it will happen and the game will slowly die.
Crab L. Winston
Please provide address, will send tiny violin.
kingbum
You haven’t paid attention to Boston this year have ya? This year since they aren’t hitting as many homers they have begun hitting for contact more and they are even stealing bases again. The philosophy change has been clear with Bogaerts, Devers, and Martinez all hitting around .300 with Verdugo and Vazquez hitting .280 roughly….
66TheNumberOfTheBest
TTO is boring AF.
When shifts in the game happen to make it boring a real sports league fixes it.
Imagine the NBA not having the rule about bringing the ball back across the line once you cross half court or the shot clock and people complained about new rules to fix it the way they do in baseball…
“You are STIFLING innovation. Teams that just dribble the ball aimlessly on their own side of the court most of the game have a competitive advantage!!!!”
astros_fan_84
MLB can ban the shift and enlarge the bases. A simple adjustment that will lead to more hits and steals, which most fans want.
dadofdonnydownvote
The last thing MLB needs is expansion.
astros_fan_84
32 teams with four divisions actually makes a lot of sense.
ChiSoxCity
About time.
nottinghamforest13
It’s a very corrupt system and one that doesn’t make a ton of sense either in the long haul. If you take better care of your academy products they will in theory produce better results. In the high level of soccer academies everything is provided for the candidates in the system with the theory that using proper education, physical therapy, nutrition, shelter, etc. will lead to more productive players. In baseball, the concept seems to be provide them with the minimum amount of assistance to remain alive and see who comes out on the other side.
Lets Go DBacks
Hear hear. I’ve been wondering the same thing for a while: why not take care of your employees instead of squeezing them out. But then I try to think of how these owners got rich and it all makes sense again.
Oldman58
MLB “We are proud the minor-league players receive significant benefits such as free housing”
Right, so proud that they fought against it as long as they could
nottinghamforest13
Typical corporate rhetoric. You can see the fake look of sincerity on the person’s face as they say it with the head nodding that goes along with it.
HalosHeavenJJ
Always glad to see the minor league guys get something.
Just over $6 million per team. I guess $6,000 per player. Not enough to be really meaningful for either.
someoldguy
The MLB Monopoly has collapsed the number of minor league players and teams… so their expense will be lower.. and many future stars will never see an MLB field.. just think your children would never see Mike Piazza, Ryne Sandberg or John Smoltz,
User 2079935927
The cream rises to the top. Players like you mention will always make it because they have far superior talent.
someoldguy
Baseball history says otherwise.. Kirby Puckett was discovered by happenstance… he wasn’t a big name.. he wasn’t on the draft list he was playing basically town ball with a Kid who happened to be the son of the twins scout… Piazza was drafted purely as a favor to an old friend.. The cream doesn’t rise to the top if it isn’t in the system… Slow developing kids. may never get to play highschool ball.. they tend to give it up.. not because they lack talent… but because they are denied opportunities… No the MLB will be worse.. and it already doesn’t develop people fully… picking stars by draft money… while more talented players toil working at the local Convenience store..
astros_fan_84
The science of drafting has radically improved in the last 20 years. I don’t think that many guys slip through. With college and Indy ball as options, there are ways to show off talent.
someoldguy
science: hahahahaha. their science has a remarkable FAIL rate in top 100 prospects. 70% of the Top 100 Prospects are considered failures… according to their studies… Science doesn’t tell you who the good players are… because they are more than just numbers…
Brandon1194
ya I’m not so sure that’s true. if so it’s largely due to the volatility of pitchers because I do know for a fact that 2/3 hitters that make a top 100 list will make at least 2 all star teams
someoldguy
where is your data to back up that false claim? the fact is 70% of ALL top 100 prospects fail… that it is even higher for pitchers.. twinkietown.com/2021/3/10/22314722/mlb-minnesota-t… and the answer is.. Unranked prospects… account for 40% of all league production… yep the MLB teams are so good at star making .. that 40% of the production comes from players who were never expected to be anything but filler..
CujoMarlin
I think you are inadvertently making the case for the owners with this point. You are basically saying there is really low ROI when it comes to the draft, so doesn’t that suggest they should prioritze investment in their system and not the individual? It seems that is what is occurring, at least the good teams.
That being said, would the minor leaguers prefer what they have today or something like the other sports – shorter draft and basically no development leagues? I don’t think minor leaguers appreciate what they have – at least an opportunity, albeit with limited financial opportunity – no other league has this in any level close baseball. There are 20x more players drafted in baseball than the NBA even though the roster is only 2x larger.
someoldguy
sorry but that is just false… they used to scour the sand lots and back lots and draft players… and pick up people Like Kirby Puckett who know body heard of… Imagine the game of Baseball without Puckett, or Piazza, etc… its worse for the game and the fans and the players… and the potential player now who will never get a shot .. NEVER..
Kershaw's Lesser Known Right Arm
$65 million for the lawyers?! I chose the wrong career, my friends hahahaha
nottinghamforest13
How much should they receive for the work they accomplished and were contracted to complete?
619bird
So basically they gave them Spring Training.
This is nothing to MLB.
the lurking ecologist
Just a note regarding the lawyers fees. It would be interesting to know if they have been paid anything since 2014 when the case was filed. Often their payout is only at settlement. So assuming they started on this in 2013 (likely before) they are now in year 10 on this lawsuit. So that’s $6M/year divided by partners, associates, staff, overhead, investigatory expenses, etc. I mean, $6M is more than I’ll ever see, but it’s worth considering the breakdown rather than the accrued amount.
LetGoOfMyLeg
I see the settlement amount as nice but superfluous in the big picture. Moving forward MLB will be forced to pay present and future minor leaguers a more livable wage. That is really the big win for these guys.
66TheNumberOfTheBest
“It’s OK for the owners to exploit the labor and make ten thousands time more than their workers. They work ten thousand times harder!!!!”
– Mind warped boot licking wind up toys
nottinghamforest13
So the owners should make the same amount as the employees? It’s unclear what you’re suggesting.
GarryHarris
How much will MLB attorneys be paid?
baseballguru
TRADE EVERY PLAYER NOT Named Devers, Whitlock or Houch. All of them…everybody…time to tear it down! Fire Cora too!
KCJ
Rob Manfred is a clueless dirtbag piece of crap. He alone makes more money that probably ALL minor league players combined. Arrogant out of touch douchebag. I have zero respect for that man and never will.