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Leagues and Governing Bodies

MLB Questions Continue With Big Contracts, Possible Labor Fight

Some players feel that only superstars like Trout get the money they actually deserve from teamsGETTY IMAGES

Mike Trout's 12-year, $426.5M extension with the Angels raises a question of how a sport that is "struggling to attract a new generation of fans, and that is facing a potentially bruising labor fight with its players in two years," can afford "yet another nine-figure contract," according to Kevin Draper of the N.Y. TIMES. The answer has "more to do with the mechanics" of the CBA than with "anything that might constitute a referendum on the game's popularity." There are "several dynamics at work in the sport, where huge wealth still flows to the best of the best." Owners have "figured out how to keep costs down by using younger players, who are cheaper than veterans, thus freeing up cash for the occasional megadeal." MLB revenue reached $10.3B in '18, with teams "earning evermore money from guaranteed sources." Meanwhile, player salaries have gone up on average 5.3% each year since '12. However, words like "'collusion' and 'strike'" now are "regularly uttered by players and agents." The problem now, at least as articulated by players, is that while teams "reward superstars, they no longer feel compelled to spend to win if they do not believe they already have the pieces in place to compete for a championship" (N.Y. TIMES, 3/21). The WALL STREET JOURNAL's Jason Gay wrote under the header, "Is $430 Million All It's Cracked Up To Be?" (WSJ.com, 3/20).

CULTURE OF APATHY: MLBPA Exec Dir Tony Clark said that while he "understands teams such as the Orioles might have to 'recycle or rebuild,' he remains concerned that the decision to delay fan gratification could threaten the viability of some of those franchises." The Orioles won only 47 games last year, and Clark said, "Having multiple teams determine that they're three, four, five years from competing in a climate when the spending of those entertainment dollars is being challenged because of other options that are there." Clark said he also worries fans will take the attitude that, "Well, if we're going to be competitive in three or four years, I'll come back in three or four years" (BALTIMORE SUN, 3/21).

UNION MATTERS: THE ATHLETIC's Rob Biertempfel noted there has been "no kiss-and-make up" between the MLBPA and the Pirates after the union filed a grievance against the team "claiming they misused revenue-sharing money" during the '17 season. There has not been "any overt activity about the case over the past 13 months." On Tuesday, Clark said the grievance is "ongoing," but did not disclose any details (THEATHLETIC.com, 3/19).

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