What is a CBA?
CBA stands for Collective Bargaining Agreement. In professional sports, it’s the agreement between the league and the players’ union that establishes the rules for how the league operates from a labor and business standpoint.
In MLB, the CBA is negotiated between Major League Baseball (MLB) and the MLB Players Association (MLBPA).
What Does the MLB CBA Cover?
The CBA covers nearly every major issue involving players and teams, including:
- Player salaries: Minimum salaries, raises and other compensation rules
- Free agency: When players become eligible to sign with any team
- Arbitration: How certain players negotiate salaries before reaching free agency
- Service time: How a player's time on an MLB roster affects their eligibility for arbitration and free agency
- Trades and roster rules: Restrictions and procedures surrounding player movement
- The MLB Draft: Rules governing the selection and signing of amateur players
- Competitive Balance Tax: MLB's system for taxing teams that exceed certain payroll thresholds
- Benefits: Player pensions, health care and other benefits
- League operations: Certain rules governing the structure and operation of MLB
Why Does the CBA Matter?
The CBA essentially sets the ground rules for the relationship between MLB's owners and its players.
When the agreement expires, MLB and the MLBPA have to negotiate a new deal. If they can't reach an agreement, the sport can face a lockout or strike, potentially delaying or canceling games.
The most recent MLB lockout began in December 2021 after the previous CBA expired. The sides eventually reached a new agreement in March 2022, allowing the 2022 season to begin.
When Does the MLB CBA Expire?
The current MLB CBA runs through the 2026 season. That means MLB and the MLBPA must reach a new agreement before the current deal expires if they want to avoid another labor dispute.
In short: The CBA is baseball's labor rulebook. It determines how players are paid, when they can move between teams, how teams can spend money and many of the other rules governing the relationship between players and owners.