Tuesday, March 26, 2019

Salary Stagnation

The average MLB salary will drop slightly on opening day for the second year in a row:


The 872 players on rosters and injured lists on Monday evening averaged $4.36 million, down from $4.41 million at the start of last season and $4.45 million on Opening Day in 2017, according to AP studies.


Back-to-back drops follow consecutive slow free-agent markets that saw salaries slashed for many veterans — and top pitchers Dallas Keuchel and Craig Kimbrel remain unsigned as season openers approach.


This year’s exact figure could rise or fall when teams set Opening Day rosters on Thursday. The number will be impacted by how many players go on the injured list and how many lower-priced replacements are put on active rosters. In 2018, the average dropped slightly when late-signing free agents Jake Arrieta of the Philadelphia Phillies and Alex Cobb of the Baltimore Orioles started the season in the minor leagues.

ESPN.com

I don’t know how Mike Trout‘s contract is counted here. Trout will earn $16 million this year, but be paid a $20 million signing bonus at the end of May. Nolan Arenado‘s contract is pays less this season than in future ones. Often times, extensions are back loaded, with salaries early about equal to what the player would have earned in arbitration for that season. So I suspect that as time moves forward, these big contracts will push salaries higher.

Of course, another way of looking at the health of baseball is that teams are using their money more efficiently. The CBAs made young talent more cost effective, so it’s time for the MLBPA to raise the price of young talent.



from baseballmusings.com https://ift.tt/2CBUv4M

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