MLB owners have proposed a salary cap and floor, alongside changes that could benefit players, as the current labor agreement nears expiration. The proposal would delay the cap until 2028, but players have shown little interest in accepting one—raising the risk of a prolonged lockout.

By the Numbers
  • Proposed salary cap: $258.2 million, up from $245.3 million.
  • Proposed payroll floor: $180.2 million, up from $171.2 million.
  • Free agency eligibility would move from 6 years of service to 5; the league minimum would rise from $780,000 to $1 million.
  • The current collective bargaining agreement expires Dec. 1.
Yes, But

The offer includes potential gains for players, including earlier free agency, higher minimum pay and increased compensation for pre-arbitration players. But those changes may not overcome the players’ opposition to a salary cap, which remains the proposal’s central sticking point.

State of Play
  • Owners’ proposal would postpone the cap’s start until 2028, allowing teams to continue signing players this offseason.
  • Other changes include eliminating the qualifying offer and limiting minor-league options to 4 per season, down from 5.
  • Negotiations are at an early stage, with no indication that players will accept a cap-and-floor system.
What's Next

With the agreement’s expiration approaching, the sides must bridge major differences before a lockout begins. If owners continue to insist on a cap that players reject, the labor dispute could stretch through the winter and into spring.

Bottom Line

Changes that offer players some real benefits may not matter if the proposal’s defining feature—a salary cap—remains unacceptable to them. The gap between the sides, not the revised dollar figures, is the clearest warning sign for the season ahead.