Major League Soccer minimum salary rises to $40,000 in 5-year labor deal

By Ronald Blum, AP
Tuesday, March 23, 2010

MLS minimum salary rises to $40,000 in labor deal

NEW YORK — Major League Soccer’s minimum salary for senior players will rise to $40,000 this season, and the developmental minimum will go up to $31,250 under the five-year labor contract agreed to last weekend.

Last year, 40 players among 323 listed by the MLS Players Union at the start of the season made the $34,000 minimum and 12 more made the developmental minimum of $20,100. The senior salary will increase 5 percent annually.

As part of the deal, each team’s salary budget will rise from $2.3 million last year to $2.55 million this season, the league announced Tuesday. It will then increase 5 percent a year.

Players who are at least 24 and have three or more years of MLS service will have guaranteed contracts — giving the league a majority of players with guaranteed deals for the first time.

Players had been threatening to strike ahead of Thursday’s league opener. Although they fell short of gaining free agency, the league is establishing a re-entry draft.

Players 23 and over with three years of service whose options are not exercised will be available at the declined option price. Players 22 and over with one year of service whose deals are terminated and asked to take pay cuts will be available at their last salary.

Players 30 and over with eight years of service whose contracts have expired will go into the draft unless offered a 5 percent raise. If a player in that category winds up in the draft, he will be available at 105 percent of his previous salary.

Those 25 and over with four years of service and expired contracts will go into the draft unless offered at least the same salary from the previous season. If in the draft, players can be selected at the same salary as in the previous year.

The league will be limited to two options for players at least 25 with four years of service and to three options for others.

Players making less than $125,000 annually must receive 10 percent increases in base salary if appearing in two-thirds of a team’s games and 12 percent raises if playing in three-quarters of matches.

Players also will get bonuses for wins and appearances fees for exhibitions against international teams.

The league and union will have a joint committee to study restarting the reserve division, eliminated after the 2008 season.

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