Six of the 12 playoff teams possess top-10 payrolls as Major League Baseball's postseason begins Tuesday, underscoring the financial disparity that threatens to spark another lockout when the collective bargaining agreement expires after next season. Only three bottom-third teams reached October, with the Milwaukee Brewers posting baseball's best record despite ranking 23rd in spending.
MLB Commissioner Rob Manfred identified revenue disparity as his top concern heading into the season. The current playoff field reflects that imbalance, with teams holding top-10 payrolls winning five of the past six World Series championships.
Owners have signaled intentions to pursue a salary cap system during upcoming CBA negotiations. Colorado Rockies owner Dick Monfort told the Denver Gazette in March that "the only way to fix baseball is to do a salary cap and a floor."
"This is not about competitive balance," MLBPA chief Tony Clark said at the All-Star Game. "This is institutionalized collusion."
Six of eight teams exceeding the $241 million luxury tax threshold reached the postseason. The Los Angeles Dodgers face an estimated $150.7 million tax bill, more than the entire payrolls of most Central division teams.
The Brewers ($117 million), Cincinnati Reds ($119 million) and Cleveland Guardians ($101 million) represent the only playoff teams from the bottom third in payroll. The Reds secured the final Wild Card spot over the New York Mets, who spent an estimated $336 million average over three seasons.
Nine teams declined to sign any multiyear free agent contracts this offseason, including the Brewers. Six of those nine clubs missed the playoffs entirely.
"You son-of-a-guns did the little things over and over, when no one — no one! — said that the Milwaukee Brewers would be in the running to win the division," Brewers manager Pat Murphy said after clinching.
Manfred has telegraphed the likelihood of owners voting to lock out players when the CBA expires. The previous lockout after 2021 lasted 99 days but preserved the regular season schedule.