The Basics
The Collective Bargaining Agreement (CBA) is the contract between Major League Baseball team owners and the MLB Players Association (MLBPA). It's the rulebook that governs nearly every aspect of the business relationship between players and teams.
Think of it as the constitution of professional baseball. Without an active CBA, there is no legal framework for players to work—which means no games.
What Does the CBA Cover?
The CBA is a massive document (the current one is 426 pages) that covers:
Salaries & Minimums
Minimum player salaries, luxury tax thresholds, and how revenue is shared between teams.
Free Agency
When players can become free agents (currently after 6 years of service time).
Arbitration
How players with 3-6 years of service negotiate salaries before free agency.
Draft Rules
How the amateur draft works, signing bonuses, and international player signing rules.
It also covers drug testing, playoff format, scheduling, and dozens of other rules that affect how baseball operates.
Why Does the CBA Expire?
Unlike a law, a CBA is a negotiated contract with a set term. The current agreement was signed in March 2022 after a 99-day lockout and runs through December 1, 2026.
When it expires, owners and players must negotiate a new deal. If they can't agree, one side can force a work stoppage—either a strike (players refuse to work) or a lockout (owners refuse to let players work).
Key difference: In a strike, players walk out. In a lockout, owners lock them out. The effect is the same—no baseball—but the legal dynamics differ. Owners typically prefer lockouts because it puts economic pressure on players who aren't being paid.
Why 2026-27 Is Different
The upcoming CBA negotiation has one issue that towers above all others: a salary cap.
MLB is the only major North American sports league without a hard salary cap. Owners want one. Players are vehemently opposed, calling it "institutionalized collusion" that would suppress their earnings.
This isn't just another negotiation. Multiple owners have privately said they believe the only way to get a salary cap is to be willing to miss an entire season. MLBPA Executive Director Tony Clark has said he expects a lockout.
The question isn't if there will be a work stoppage—it's how long it will last and whether it will cost games in 2027.