Major League Baseball owners have put forth a proposal to delay the implementation of a salary cap and floor until the 2028 season as part of the ongoing collective bargaining agreement (CBA) negotiations. The current CBA is set to expire on December 1.
MLB stated that delaying the salary cap and floor would allow for a smoother transition into such a system without impacting immediate player benefits. The proposed cap is set at $258.2 million, a figure no team would be allowed to exceed. Under this proposal, eight teams, including the New York Mets and Yankees, would need to reduce their payrolls significantly to meet this threshold, based on 2026 figures. Last season, the Mets had the highest payroll at $346.7 million, followed by the Yankees at $308.3 million, according to Spotrac.
The proposal also includes a salary floor of $180.2 million, which all clubs would be required to meet. Currently, 12 teams fall below this figure, with the Cleveland Guardians having the lowest payroll at $74.5 million last season. MLB estimates that the 12 teams below the proposed floor would need to increase their combined payroll by $636 million, while the eight teams above the proposed cap would need to shed $528 million.
According to MLB, the 2028 salary cap and floor are projected to increase overall player compensation while aiming to level the competitive balance and enable more teams to engage in the free agent market and retain homegrown talent. "The projected salary cap and floor for 2028 continues to provide more money for major league players while leveling the playing field and giving more teams the ability 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," MLB said in a statement.
The players' association has historically opposed the implementation of a salary cap, and these ongoing negotiations could lead to a work stoppage, such as a lockout, in December. MLB has also indicated a willingness to accept the players' proposal regarding free agency eligibility for players aged 30 and older, allowing them to become free agents after five years of service instead of six. Additionally, MLB is reportedly open to eliminating the qualifying offer system, a long-standing demand from the players' association, which argues that the system depresses player values in free agency. Under the current system, teams signing players who have received a qualifying offer must forfeit a draft pick.
In other aspects of the proposal, MLB has suggested increasing the league minimum salary from $780,000 to $1.5 million. The pre-arbitration bonus pool, currently at $50 million, would also see a substantial increase to $180 million.