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Arbitration in Baseball This paper w

This paper will discuss the use of arbitration in major league baseball. The first part of the paper will briefly examine the history of salaries in major league baseball and the change to arbitration in 1974. The second part of the paper will focus on final offer arbitration concerning salaries. This part will describe final offer arbitration and will discuss the effects it has had upon salary negotiations and player salaries in general. The third part of the paper will look at arbitration in the context of termination issues. This part will include a discussion of examples involving injury grievances.

In 1974, the owners and players in major league baseball agreed to use salary arbitration as the means of setting players' pay. In the 20 years since this happened, attitudes towards arbitration in baseball have changed. During the first 10 years, both sides were satisfied enough with the process that most observers concluded that arbitration would continue in baseball with few changes. During the second 10 years, however, attitudes changed so much that both sides and many observers began criticizing arbitration. In the summer of 1994, the team owners entered into the negotiations with the players with the intention of revising the 1990 labor agreement. Their ultimate goal was the elimination of salary arbitration. The result of the negotiations was the player strike and the aborted 1994 season.

In the years before 1974, major league players were at the mercy of the owners when it came to salary negotiations. Once drafted by a team, a player could only negotiate with that team. The "reserve clause" prohibited the player from selling his services to any other team than the one that drafted him, if he did not sign the contract. Thus, the player could be permanently tied to one team unless the team traded him or sold his contract to another team. Salaries were thus set considerably lower than market value. In addi...

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Arbitration in Baseball This paper w. (1969, December 31). In LotsofEssays.com. Retrieved 07:15, March 29, 2024, from https://www.lotsofessays.com/viewpaper/1708671.html