Major League Baseball owners, despite boasting $8 billion in annual revenue and climbing, are moving toward eliminating the pension plans of all personnel not wearing big league uniforms, sources told ESPNNewYork.com.
The first attempt to do so, initiated last year by a small-market owner, never came to a vote after Chicago White Sox owner Jerry Reinsdorf chastised his brethren for being petty with the lives of ordinary people given the riches produced by the sport. A vote, which was intended to be kept secret, is now scheduled to take place at owners meetings May 8-9 in New York.
A vote, which had intended to be kept secret, is now scheduled to take place at owners meetings May 8-9 in New York. A majority of owners now favor the abolition of the pension plan, a source said.
A majority of owners now favor the abolition of the pension plan, a source said.
The impact would affect much of the Major League Baseball family: front-office executives, trainers, minor league staff and scouts. Some of those personnel, particularly on the minor league level and in amateur scouting, make less than $40,000 a year and rely on pensions in retirement. ...
MLB executive vice president Rob Manfred acknowledged that candid discussions on the topic have gone on for “several years,” but he disputed that pensions will go away entirely.
“No one is suggesting that pension plans are going to be eliminated,” he said. “What the conversation has been about is allowing individual clubs more flexibility as to what exactly their pension plan is going to look like. Nobody is suggesting there is going to be no plan ... for anybody. The issue is in the current arrangement we essentially mandate a particular type of defined benefit pension plan. The question is whether the individual team should have more flexibility to design a program that is effective to them.”