Updated November 3, 2026, 4:46 p.m. ET
Major League Baseball proposed Tuesday (Nov. 3) that a salary cap be delayed a year and implemented in 2028, allowing teams to operate knowing what rules would be proposed in the next collective bargaining agreement, which was immediately scorned by the players’ union.
MLB proposed a salary cap of $258.2 million and a floor of $180.2 million, with MLB projecting that 12 teams would need to increase payroll by $636 million to reach the floor, and eight clubs would need to reduce their payroll by $528 million to meet the cap. MLB says this would result in an additional $108 million in payroll increases league-wide.
MLB also proposed raising the minimum salary to $1 million for players with at least two years of major league service and $900,000 for those with less service; a $30 million increase in their pre-arbitration bonus, while agreeing to the union’s proposal to reduce free agency from six to five years for players 30 and older, while eliminating the qualifying offer system for free agents.
“We recognize that clubs will need a full offseason to prepare to operate under the cap and floor system,” MLB said in a statement. “Therefore, with this offseason already underway, we proposed today to begin the cap and floor system in 2028. This proposal would allow for a smoother transition to the cap and floor system without delaying benefits to key players…and transactional reform that would reduce roster churn.
“The projected salary cap and floor for 2028 continues to provide more money to major league players while leveling the playing field and giving more teams the opportunity to participate in the free agent market and retain their homegrown stars so that every fan believes their team has a fair chance to win it all.
The MLBPA fired back later Tuesday afternoon.
“After another incredible season of baseball, MLB owners continue to propose blowing up the current system and replacing it with one designed to line their pockets and increase the value of their franchises,” the union said in a prepared statement. “Despite MLB’s proposal to delay implementation to 2028, the negative impacts of the owners’ salary cap remain the same.”
“Even with a so-called ‘transition year’ in 2027, the owners’ latest offer would result in: immediate restrictions on players’ contractual rights; stagnant luxury tax thresholds; a $400 million reduction in amateur signing bonuses; the elimination of current competitive advantages for small-market teams; the rejection of dozens of player proposals on issues ranging from minimum salary to revenue sharing to rosters and transactions, and much more. still others,” the union said.
“The players are ready to negotiate in good faith towards a new collective agreement that will capitalize on the unprecedented momentum of our sport and benefit players, clubs and fans alike.”
If the salary cap and floor are implemented, the 12 teams expected to raise payroll would be: Miami Marlins, Cleveland Guardians, St. Louis Cardinals, Tampa Bay Rays, Washington Nationals, Chicago White Sox, Minnesota Twins, Colorado Rockies, Pittsburgh Pirates, Athletics, Cincinnati Reds and Milwaukee Brewers.
Clubs expected to lower payroll: Los Angeles Dodgers, New York Mets, New York Yankees, Philadelphia Phillies, Toronto Blue Jays, San Diego Padres, Boston Red Sox and Chicago Cubs.
MLB also said it would agree to award the players’ share of 2026 CBT revenues to players in the form of a bonus based on accumulated service in 2026 ($285,000 for each player with a full year of service, $213,400 for any player with three-quarters of a year of service, $142,300 for any player with half a year of service and 71 $100 for any player with a quarter year of service.
MLB agreed to the union’s proposal to reduce the number of times a player can be optioned to the minors in a season from five to four; excluding foreign professionals when determining whether an eligible prospect will receive a full year of service for finishing first or second in Rookie of the Year voting, and prohibiting clubs from picking or outright excluding a player during game week by implementing weekly rosters.
The current collective agreement expires at 11:59 p.m. ET on December 1. If no agreement is reached, MLB would have to implement a lockout, which happened during its last negotiations in 2021, lasting 99 days.
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