U.S. Senate member Dick Durbin has joined in on one of the legislative branch’s favorite pastimes; threatening MLB’s antitrust exemption. Yesterday Senator Durbin tweeted:
This seems to be some sort of semi-annual time honored tradition surrounding any baseball related news that has broader social or economic implications.
Last summer Senator’s Ted Cruz of Texas, Mike Lee of Utah, and Josh Hawley of Missouri, drafted legislation to revoke MLB’s antitrust exemption. This was in response to MLB’s choice to relocate the All-Star game from Atlanta following the passage of voter rights’ laws in Georgia that would disproportionately impact communities of color.
MLB’s decision to take a side on a political issue did not sit well with the Republican senators, as the trio of senators felt that corporations should remain apolitical in social matters. Especially if those social causes do not align with their own interests.
Another less popular challenge to MLB’s antitrust exemption occurred over the winter, as a law group representing Minor League Baseball teams, sued MLB over its recent contraction of over 40 Minor League teams. The suit alleges that MLB has taken over all facets of professional baseball and its antitrust exemption allows them to control the entirety of professional baseball unilaterally. Thus strengthening MLB’s monopolistic stranglehold on professional baseball as we know it.
The antitrust exemption granted to MLB in 1922 stems from the passage of the Sherman Anti-Trust Act of 1890, which aimed to break up monopolies and encourage free market competition.
MLB has operated as a monopoly ever since. This antitrust exemption has also allowed MLB to get around other labor laws, like fair payment of Minor League players, which has become one of the larger issues around the game today. However, MLB insists that the contraction of Minor League teams will benefit the remaining Minor League teams and their players, which is true in a sense.
The contraction of Minor League affiliates reduces the Major League team’s financial obligation to a larger population of players and staff. The reduction is said to help alleviate the pay issues surrounding Minor League players by adding more money to the pot that can be spent on food stipends, accommodations, and wages. This isn’t a terrible point.
On the other hand, there are broader financial implications for recently unaffiliated Minor League franchises who are left to fend for themselves without the underwriting of a Major League organization. The financial impact this decision will have on former Minor League towns in immeasurable.
For many of these towns, Minor League baseball is a main attraction. Minor League baseball activity stimulates local economies for part of the year. Removing professional affiliation removes the level of talent that will be coming through town that can help attract crowds to games.
One of the main draws is the potential of seeing the next Bryce Harper or Fernando Tatis Jr. in the intimate confines of a Minor League stadium. If these recently unaffiliated franchises either become independent teams or even worse, fold altogether, towns could also face a grim economic future. There will be one less thing to do for the locals and one less reason to visit for any potential tourists.
Not to beat a dead horse, but the reason Rob Manfred seems out of touch with baseball traditionalists at times is because he is a business man first and foremost. With efficiency, cost, and growth in mind, the reasoning behind contracting teams makes sense from a profit maximizing standpoint. There is not much point in paying players in High A and Low A because consolidating them into one will be more cost effective in terms of personnel.
An old baseball adage that is becoming more widespread is that most Minor League baseball players are there to play catch with the real prospects. While this sentiment may be cold and an oversimplification, during a time where MLB is facing more public pressure to fairly compensate its Minor League players and improve their working conditions, it makes more sense to have prospects playing catch with other prospects. There’s simply no need for this many players from their perspective.
Unfortunately for everyone, MLB’s antitrust exemption means that there is no and will be no upstart league to siphon dollars away from MLB. They face no competition. There are no external threats. It seems that people are simply choosing to not watch baseball at all, and that is a detriment to the game itself.
