NEW YORK — The MLB Players Association made its initial collective bargaining proposal to Major League Baseball management on Wednesday, May 27, 2026. The proposal includes sweeping changes to player compensation, free agency rules, revenue sharing, and the luxury tax structure.

The union proposed raising the minimum player salary from $780,000 in 2026 to $1.5 million in 2027, with further increases to $2.2 million by 2031. It also called for raising the luxury tax threshold from $244 million in 2026 to $300 million in 2027, with $15 million annual increases thereafter, while reducing surcharge levels and eliminating non-monetary penalties like draft pick forfeiture.

Free agency eligibility would expand under the MLBPA plan, allowing players who are at least 30 years old with five or more years of service time to reach the open market. The union also proposed eliminating the qualifying offer system for six-year veterans and removing compensation penalties for clubs that sign them.

Revenue sharing would be restructured by reducing gate revenue sharing and increasing the pooling of local television revenue. The MLBPA contends this would guarantee every small-market club at least $240 million in annual revenue. Recipient clubs would face enhanced payroll spending requirements, and those reaching the playoffs could earn monetary bonuses.

To discourage tanking, the draft lottery would expand from six to eight teams. The proposal also includes stronger measures against service time manipulation, including guaranteeing a full year of service to prospects finishing in the top five of MVP voting.

Arbitration eligibility would broaden, with the “super two” class expanding from 22% to 44% of players with two to three years of service. Teams would be required to offer at least $3 million to arbitration-eligible players, and salaries awarded by panels would be guaranteed. The pre-arbitration bonus pool would rise from $50 million to $180 million in 2027.

“Today, the MLBPA presented a comprehensive set of economic proposals designed to advance the rights and benefits of players at all levels,” said Bruce Meyer, MLBPA interim executive director. “Our goal is to preserve and improve baseball’s market system, rewarding competition on and off the field.”

“We all see the momentum in our game,” said Orioles pitcher and MLBPA executive subcommittee member Chris Bassitt. “Amazing players and incredible fans. Attendance, viewership, interest—by any measure you want to use, our game is moving in a positive direction. We’ve put forward proposals designed to continue that trend.”

“We understand their proposals are designed to benefit players. Unfortunately, they do not address, and in fact exacerbate, the competitive balance problem our fans are telling us we must address,” said MLB spokesman Glen Caplin. “The MLBPA’s proposal would reduce the amount transferred to lower-revenue clubs, weaken the competitive balance tax, and lead to even more payroll disparity than exists today.”

MLB management is expected to present its initial counterproposal on Thursday, May 28, 2026. The current collective bargaining agreement expires December 1, 2026.