Wednesday, October 25, 2006

New Labor Deal Details

Relatively good news from

• As far as the June First-Year Draft is concerned, teams will now get same-slot compensation if they don't sign their draft picks, meaning if a team fails to sign it’s No. 3 pick in one draft, it will get the 3(a) pick in the next year's draft. More important, teams will no longer have until the next draft to sign their picks, but must do so by the following Aug. 15 or the player goes back into the pool. Minor League players that fall under the Rule 5 Draft can now be protected from an extra year. Currently players with four to five years of experience can be selected. It will increase to five to six years.

• Type C Major League free agents will no longer carry draft pick compensation for the club that loses the player, beginning this year, while Type A and Type B free agents will continue to carry compensation. Next year the Type A and Type B pools shrink. Right now, Pool A is the top 30 percent at their position, but in succeeding with decrease to 20 percent. Pool B is the top 50 percent, but it will decrease from 21 percent to 40 percent.

• The MLB minimum salary increases from $327,000, plus cost of living this year, to $380,000 next year. After that it goes to $390,000 for 2008, $400,000 for 2009 and 2010, and $400,000 plus cost of living adjustments for 2011.

The rules really have not changed as far as draft pick compensation goes for losing free agents – Type C free agents were pretty much irrelevant anyway from a compensation standpoint and the important compensation that most fans are familiar with will still exist for Type A and Type B free agents. The changes in the June First-Year Draft are welcomed, but still underwhelming – I suppose my hopes were a bit too high after I read that salary slotting was talked about. Major League Baseball had a chance to make some positive changes to the game, but failed to do so; I won’t complain so much because it’s always a good thing when the threat of a work stoppage is eliminated.

One thing that came out of the new agreement that really surprised me was the raise in minimum salary. The hike to $380,000 from $327,000 is totally unexpected and will force me to recalculate my ’07 payroll figures.


Blogger GM-Carson said...

I am thankful this agreement was reached swiftly. Baseball needs all the good pub it can get, it this helps. Continuing with the MLB drug issue is a must too, gotta try to clean up the game.

Go Phils!

7:09 AM  
Anonymous Anonymous said...

Not really related to this post but an interesting note about the Yankees planning to pick up Gary Sheffield's option for next year in order to trade him. Do you think the Phillies would still have interest in him if they had to trade for him and pay him the 13 million that he would be owed? If not wouldn't you think they would then have no other choice but to keep Pat Burrell. If their big free agent aquisistion is not Shef then who would they turn their focus towards, I know Gillick mention Soriano along with Shef but I can't imagine the Phillies putting up the money to get him. Just wanted to get your opinion on this. thanks

12:19 AM  
Blogger XXX said...

Agreed wholeheartedly about the beauty of labor peace being reached - it's a very, very good thing to not have to worry about a work stoppage for at least another five years.

The recent news about Sheffield really complicates his situation. I see it as nothing but bad news for the Phils as it effectively kills any real shot they had at bringing him aboard. They could still come up with a trade proposal to try and land him, but they'd have to be creative to get it done. Soriano's name did come up a while back, but I agree with you that he'll wind up getting way more cash than the Phils are likely to pony up.

One free agent name to consider that could interest the Phils this offseason: Moises Alou. He is almost like a poor man's Sheffield: they are both older guys, both have some injury concerns, both can still play at a high level, and while Shef is the better ballplayer, Alou will cost a few million less. He'd be one of offseason targets for sure.

Thanks for the comments/questions, they are always appreciated...especially when they are as good as those.

1:33 AM  

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