COVID 19 Roundup: Team Employees’ Contracts Suspended
This is the latest installment of a series in which the FanGraphs staff rounds up the latest developments regarding the COVID-19 virus’ effect on baseball.
Baseball Invokes UEC Contract Provisions
Per a report by Ken Rosenthal, Major League Baseball will invoke a force majeure provision in the Uniform Employee Contract signed by all non-player personnel on May 1. The provision allows for the suspension of contracts in extraordinary circumstances. The provision has been available to teams since the declaration of a national state of emergency on March 13, but until now hadn’t been used.
The consequences of this decision aren’t yet known. Teams could do anything from leaving everything exactly as-is to furloughing all of their non-player workers, though healthcare benefits will remain the same. Still, even if teams don’t immediately act, it’s a tough situation for workers, including front office personnel, coaches, and scouts, who must now face the prospect of reduced salary or even unemployment while planning for an uncertain season. (Non-player personnel are not unionized.)
The Braves, Giants, and Phillies have already committed to paying their employees until May 31. Other teams will surely follow suit. But it’s hard to read this move as anything other than a bargaining chip for teams. With the specter of unemployment looming over them, employees might be more amenable to changing the terms of their contracts. The Players’ Association has already reached an agreement with MLB on salary changes in the event of a shortened season, and it appears that non-player employees may soon need to do the same. Read the rest of this entry »