MLB’s proposal to ‘phase in’ salary cap and floor could have implications on Phillies
MLB is proposing a cap of $258.2 million with a $180.2 million floor, figures that were amended from its initial offers of $245.3 million and $171.2 million. The players’ union rejected the offer.
If a salary cap comes to Major League Baseball — still a massive “if,” subject to fierce negotiation — a proposal Tuesday would have implications on high-payroll teams, including the Phillies.
MLB offered to “phase in” the implementation of a cap (and the accompanying salary floor) until the 2028 season “to allow a smoother transition” to the system, the league announced on social media.
The players’ union rejected the offer, consistent with its staunch and historic objection to a salary cap.
“Coming off another incredible season of baseball,” the MLBPA posted to social media, “MLB owners continue to propose blowing up the current system and replacing it with one designed to line their pockets and increase their franchise values.”
» READ MORE: Will the Phillies spend to beef up the middle of the order? Here are some free-agent options.
The fight between the owners and players will come to a head at 11:59 p.m. on Dec. 1 with the expiration of the collective bargaining agreement. At that time, the owners are expected to authorize MLB to lock out the players, halting all offseason transactions and effectively plunging the sport into a deep freeze that could eat into the 2027 season.
But if the owners eventually get their salary cap, teams like the Phillies would have additional time to become compliant.
MLB is proposing a cap of $258.2 million with a $180.2 million floor, figures that were amended from its initial offers of $245.3 million and $171.2 million. This year, the Phillies had the fourth-highest payroll, projected to come in at $322.2 million. They have approximately $239 million in luxury tax commitments for 2027 before making a roster addition.
Tuesday’s proposal didn’t push the sides any closer to an agreement. Phillies player representative Garrett Stubbs said last week that the players won’t accept any proposal that includes a salary cap.
But with the free-agent marketing opening Monday night, delaying a possible salary cap could pave the way to a flurry of signings this month before the lockout.
To wit: The Phillies could sign a righty-hitting outfielder to bat in the middle of the order — Seiya Suzuki or Randy Arozarena, for instance — without worrying where it would leave them relative to a salary cap in 2027.
The Phillies have seven players under contract for 2028 (Kyle Schwarber, Trea Turner, Jesús Luzardo, Bryce Harper, Aaron Nola, Cristopher Sánchez, and J.T. Realmuto), but Zack Wheeler and Brad Keller are due to come off the books, freeing up $53 million.
Eight teams exceeded MLB’s proposed cap this year. Twelve teams had payrolls below the proposed floor.
Regardless, Stubbs made it clear that the players don’t have any intention of accepting a deal that includes a cap on salaries.
“Watching [MLB deputy commissioner] Dan Halem sit on the other side of the table and go over proposals that he goes over with the salary cap attached to every single proposal — and obviously they know our stance on the salary cap — it is the biggest waste of time,” Stubbs told The Inquirer’s Phillies Extra podcast. “It’s a charade. And it’s exhausting sitting there watching him give these proposal. I’m like, ‘Does he even believe some of the things that are coming out of his mouth?’”
As the Phillies’ representative in the players’ union, Garrett Stubbs is on the front lines of baseball’s upcoming labor dispute. The backup catcher, who was designated for assignment on Thursday, joined Phillies Extra to discuss why the players won’t go for a salary cap, sitting in on early negotiations, when baseball might be played in 2027, and (spoiler!) his plans to create content during the looming lockout. Watch here. Watch here.
You can also subscribe to the podcast version of Phillies Extra on Spotify or Apple Podcasts.
Previous episodes: Tim Mayza | Aidan Miller | Scott Franzke | Larry Andersen | Matt Klentak | Jeff Francoeur | Luke Murton | Mike Hazen | Tony Gwynn Jr. | Kevin Stocker
