8 MLB Teams Would Have To Reduce Payroll Under Salary Cap Proposal
The Major League Baseball Players Association and MLB owners have a lot of issues to sort out if they want to avoid a lockout in 2027.
As of this moment, the MLB's current collective bargaining agreement is set to expire on December 1. There were rumblings that a "hard cap-and-floor system" would be offered by the owners this week. Well, those rumors were confirmed on Thursday.
The owners proposed a $245.3 million salary cap for the 2027 season this Thursday. The salary floor, meanwhile, would be set at $171.2 million.
"Our salary cap and floor proposal levels the playing field while sharing baseball revenue with the players 50/50 as we grow the game together," MLB spokesman Glen Caplin said, via The Associated Press. "Further, by sharing media revenue equally as part of our proposal, we can address another top fan concern of local TV blackouts."
If this proposed salary cap went into effect, the following teams would need to reduce their payroll for the 2027 season:
- New York Mets
- Los Angeles Dodgers
- New York Yankees
- Toronto Blue Jays
- Philadelphia Phillies
- Atlanta Braves
- Houston Astros
- Boston Red Sox
MLBPA made a different offer for the new CBA.
The players' union is pushing for a "competitive-integrity tax" for teams that don't spend $150 million.
Additionally, the MLPA wants the minimum salary increased from $780,000 to $1.5 million.
"Today, the MLBPA presented a comprehensive set of economic proposals designed to advance the rights and benefits of players at all levels," interim executive director Bruce Meyer said in a statement, via ESPN. "Our goal is to preserve and improve baseball's market system, rewarding competition on and off the field. Additionally, the players' proposals provide increased revenue sharing initially guaranteeing every small market Club a minimum of $240m in revenue every season. This enhanced revenue sharing includes added protections to ensure Clubs prioritize winning over profiteering. Ultimately, our proposals are designed to build upon the incredible momentum and popularity of our sport world-wide."
Who do you think will blink first: the owners or the players?
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This story was originally published May 28, 2026 at 12:26 PM.