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Archive for November 14th, 2011

In a year that has seen the NFL and NBA deal with acrimonious labor negotiations, MLB is on the verge of ratifying a new collective bargaining agreement without the slightest bit of rancor. However, there has been one point of contention: the escalating bonuses being paid to those selected in the Rule IV amateur draft.

Thanks to unprecedented labor peace, baseball fans are unlikely to face a work stoppage next season.

Back in March, I identified mandatory slotting as one of the main topics to be addressed by the new CBA, so it’s not much of a surprise that the issue has momentarily held up the deal. According to Buster Olney, although some points still need to be ironed out, progress is being made on a compromise. In Olney’s report, he identifies the following elements:

  • Slots will be recommended, not mandatory. However, if teams go over their cumulative slot recommendation for signings made during the first 10 rounds, a tax will be applied.
  • If teams exceed their slot recommendation for a second time, they will also lose a high draft pick.
  • In exchange for this concession, draft compensation will no longer be tied to free agent classifications.

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