Home BoB Documents Glossary Of Terms Maximum Salary Reduction

Like Shoot to Thrill - An AC/DC Tribute on Facebook!

An authentic tribute of AC/DC that covers the best of the Bon Scott era and the best of Brian Johnson's material

Who's Online?

We have 1232 guests online

Atom RSS

Maximum Salary Reduction PDF Print E-mail
User Rating: / 1
PoorBest 
Business of Baseball Glossary
Written by Jeff Euston   
Tuesday, 30 January 2007 15:41
In tendering a contract to a player (or renewing the contract of a player not yet arbitration-eligible), a club’s salary offer may not be less than 80% of the player’s salary and performance bonuses the previous year or less than 70% of his salary and performance bonuses from two years earlier.

The 80% requirement does not apply if a player won an arbitration award the previous year increasing his salary 50% or more.

For split contracts (paying a player one rate when he is in the Major Leagues and a lesser rate when he is in the minors), the maximum cut rule is 60% of the player’s salary from the previous season.
 
 
Banner

Poll

Should MLB Force Jeffery Loria to Sell the Marlins?