The Phenom, The Agent And The Cubbies: 2015’s First Baseball Ethics Controversy

No, I don’t count Pete Rose.

Kris Bryant, whose day will come.

Kris Bryant, whose day will come.

The lesson of the Kris Bryant dispute is that sometimes the result that seems the least fair is also the right one. Bryant, in case you don’t follow baseball or do not live in Chicago, is the hot Chicago Cubs minor leaguer—what used to be called a “phenom” in the old days—who will not be playing third base for the Cubs when the season opens despite everyone’s agreement that he is not just ready for National League, but ready to star in it. Last week, the young man was assigned  to  the Cubs’ Triple-A Iowa farm team.  Cubs fans are upset. Sports pundits are outraged. Bryant’s agent is furious.

What’s going on here?

A lot.

The MLB  collective bargaining agreement, negotiated and signed by both baseball management and the players union, gives teams control over players for six years before a player can enter free agency and sell his talents to the highest bidder. Thus most young players earn a small percentage of their true market value initially, and, if they are good, hit the jackpot after that. (The average salary in Major League Baseball is $4 million a year). There is a catch, however—and an unavoidable loophole. A full season is defined as 172 days, though the season is 180 days. If a young player is left off the roster until there are fewer than 172 days remaining in the regular season, that season doesn’t count as one of the six years; a player can’t become a free agent mid-season six years later. Before the demise of the reserve system that bound a player to one team until the team released or traded him, there was no reason not to promote a promising minor league star to the big team the second it looked like he was ready. Now, there is a big reason: delaying those few games will give the team an extra year of control, since under the rule, 6 years and 171 games is still just six years. That means an extra year of the player at bargain compensation, and possibly an extra year of the player, since he can fly the coop once the clock has run.

This is not a new issue: players and agents have been complaining about teams doing this for years, but the rules allow it. Since the rules allow it, and since the monetary and competitive benefits of waiting those extra nine days can be huge, there is nothing unfair or unethical about a team taking advantage of the provision. Indeed, it would be irresponsible and a breach of management’s fiduciary duties not to save millions and ensure the extra year of a star’s services. What, then, has made Bryant’s case so contentious?

It’s the Cubs, that’s what. Continue reading