MLB argues its CBA proposal can help ‘address local blackout’ issues

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Major League Baseball is arguing that its proposed changes to the league’s economic system could help eliminate local television blackouts while addressing payroll disparities among its 30 teams.

MLB Executive Vice President of Baseball Operations Morgan Sword outlined the league’s position amid ongoing collective bargaining negotiations, identifying television access and competitive balance as two major concerns among baseball fans.

“So, what are fans’ biggest issues with baseball today? Two things: one, blackouts. Fans can’t watch the games they want to watch. And second, the game needs to be more fair,” Sword said in a video posted on X, formerly Twitter, by the league.
The league’s proposal includes three major changes: splitting baseball-related revenue equally between players and teams, implementing a salary cap and floor, and distributing media revenue equally among clubs.

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Sword argued that sharing media revenue would reduce financial disparities while giving MLB greater flexibility to address longstanding restrictions on local broadcasts.

“First, it will reduce the revenue disparity in baseball and give each team a more equal set of resources to compete with. And secondly, it will finally allow us to address local blackouts, which is something fans have been very frustrated about for a long time,” Sword said.

Under the proposed salary cap and floor, Sword said 12 teams would increase their spending while eight would reduce theirs.

He also pointed to the $446 million difference between MLB’s highest- and lowest-spending clubs as evidence of the financial imbalance.

According to Sword, the five highest-payroll teams have averaged 89 wins annually since 1998, compared with 74 for the five lowest-payroll teams.

The proposal comes as MLB and the players’ union remain divided over the structure of their next collective bargaining agreement.

MLB recently proposed delaying implementation of its salary cap until 2028, with a $258.2 million ceiling and $180.2 million floor.

The MLB Players Association has continued opposing a hard salary cap, despite the league’s proposed adjustments.

The current collective bargaining agreement expires Dec. 1, raising concerns about a potential work stoppage affecting the 2027 season.

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