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Major League Baseball has proposed delaying the implementation of a salary cap and floor system until 2028 to allow for a smoother transition as negotiations over a new collective bargaining agreement continue. The league and the Major League Baseball Players Association remain divided on major economic issues ahead of the current agreement’s expiration on Dec. 1, 2026.
Salary Cap Proposals and Phase-In Discussions
In a proposal presented on Nov. 3, 2026, the league suggested postponing the start of a salary cap and floor structure until 2028, keeping the existing competitive balance tax and revenue-sharing systems active for 2027. “We recognize that clubs will need a full offseason to prepare to operate within the cap and floor system. Therefore, with this offseason already underway, we proposed today to begin the cap and floor system in 2028,” MLB spokesman Glen Caplin said in a statement.
The league also raised its proposed cap ceiling to $258.3 million and the payroll floor to $180.2 million, up from the $245.3 million cap and $171.2 million floor proposed in May 2026. However, the union continues to oppose any hard payroll cap framework. MLBPA interim executive director Bruce Meyer called a salary cap “a form of institutionalized collusion,” estimating that players would have lost over $500 million in 2026 under the league’s initial economic terms.
Former U.S. President Donald Trump publicly backed the league’s push for a payroll limit on June 5, stating that sports require a salary cap to remain viable. Meanwhile, MLB Commissioner Rob Manfred stated on June 3 that luxury tax penalties had failed to resolve fan concerns regarding competitive balance. An ESPN player poll conducted in September 2026 demonstrated widespread player opposition to a cap, though a small minority indicated a willingness to discuss the concept under specific conditions.
Proposed Schedule Alterations and Roster Rules
Beyond payroll structures, MLB has put forward significant changes to the regular season and postseason. On Oct. 8, 2026, the league proposed shortening the regular season from 162 to 154 games, introducing a standard weekly off day, and expanding the Division Series to a best-of-seven format. Under that offer, top-seeded teams would also be allowed to select their opponents in the Wild Card and Division Series rounds. All schedule and playoff modifications remain contingent on the union accepting a salary cap.
On Aug. 27, 2026, MLB proposed operational roster modifications, including weekly roster locks on Mondays, expanding active pitcher limits from 13 to 14, and revising injured list lengths. The proposal also introduced two offseason “Quiet Periods” restricting free agent signings between the start of the Winter Meetings and Dec. 21. Meyer criticized the measure, stating that an “artificial free agency window … would reduce player leverage and create a game of musical chairs pitting player vs. player.”
Earlier, on June 25, 2026, the league offered free agency changes, including a five-year contract limit for players joining new teams and a six-year limit for players re-signing under a new “Cornerstone Player” provision. In return, MLB offered to raise minimum salaries to $1 million for players with at least two years of service, eliminate deferred contracts, remove qualifying offers, and grant free agency after five years for players aged 30 and older. The union rejected the package due to its mandatory link to a salary cap.
Disagreements Over the Amateur Draft
Amateur player acquisition has become another major point of contention during bargaining sessions. On June 18, 2026, MLB proposed shortening the domestic draft from 20 rounds to 12, establishing a hard $200 million bonus cap, barring high school and junior college players from entry, and creating an international draft with a matching $200 million cap. The MLBPA strongly rejected the terms, stating the proposal would eliminate significant player compensation and disrupt amateur pathways.
The union submitted a counter-proposal on July 21, 2026, advocating to retain the 20-round draft format, expand eligibility to college sophomores while preserving high school eligibility, increase draft signing bonus pools, permit draft pick trading under specified restrictions, and move the draft back to June.
Broadcast Rights and Imminent Deadlines
The 2022-2026 Basic Agreement expires at 11:59 p.m. ET on Dec. 1, 2026, at which point team owners are expected to institute a lockout if a new deal is not reached. As reported by The Athletic in September 2026, if labor disputes cause the cancellation of 60 or more games in 2027, major national broadcast and streaming contracts would automatically extend through 2029.
Such an extension would delay Manfred’s plan to centralize local team streaming rights alongside renegotiated national media deals. Both sides hope to reach a new agreement before mid-March 2027 to avoid delays or interruptions to the 2027 regular season.
