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Salary Cap in Baseball

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Andy Ring

on 30 April 2010

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Transcript of Salary Cap in Baseball

Salary Cap in Major League Baseball A salary cap in sports is a limit on how high a teams payroll for its players can be.

MLB currently does not have a salary cap.

The NHL, NBA and MLS all have a salary cap.

Bud Selig- Commissioner of the MLB

Background Why is it an Issue? Teams like the New York Yankees, Boston Red Sox and Chicago Cubs can afford to offer a player more money than a smaller market team can offer.

This gives the larger market team an advantage over a smaller market team.

There is a high risk on players making a lot of money. They can get hurt or not produce on the field. Pros It would make the teams more even.
Players would have to be paid less so there would be less risk on signing a player.
Teams that are bad one year can be good the next year
Lower ticket prices because teams won't need to bring in as much money because of high salaries.

Cons With the large contracts that players have now, it would be hard to introduce a cap.
Players would have less motivation.
Players won't be rewarded proportional-ally if they are a league leader. Recent News A new article by Fox News says that a salary cap in the MLB would not work because the they would not be able to get the Players Union to agree to a cap.

Ryan Howard of the Phillies recently signed a 5 year 125 million dollar contract. (25 Million per season) The Pittsburgh Pirates total player payroll is around 35 million.

In March Joe Mauer signed a eight year, 184 million dollar contract. (23 million a year)
History of the Issue The MLB has never had a salary cap.

The cap was introduced in the NFL in 1994,NBA in 1984, and NHL around 2006.

This year there is no salary cap in the NFL.
The majority of the American people are in favor of a salary cap in the MLB.
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