Common use of Minimum Salary Clause in Contracts

Minimum Salary. (1) The minimum rate of payment to a Player for each day of service on a Major League Club shall be as follows: 2017—at the rate per season of $535,000; 2018—at the rate per season of $545,000; 2019—at the rate per season of $555,000; 2020—at the 2019 rate per season plus a cost of living adjust- ment, rounded to the nearest $500, provided that the cost of liv- ing adjustment shall not reduce the minimum salary below $555,000; 2021—at the 2020 rate per season plus a cost of living adjust- ment, rounded to the nearest $500, provided that the cost of liv- ing adjustment shall not reduce the minimum salary below the 2020 rate per season. (2) For all Players (a) signing a second Major League contract (not covering the same season as any such Player’s initial Major League contract) or a subsequent Major League contract, or (b) who have at least one day of Major League service, the minimum salary shall be as follows: (i) for Major League service—at a rate not less than the Major League minimum salary; (ii) for Minor League service—at a rate not less than the fol- lowing: 2017—at the rate per season of $87,200; 2018—at the rate per season of $88,900; 2019—at the rate per season of $90,400; 2020—at the 2019 rate per season plus a cost of living adjustment, rounded to the nearest $100, provided that the cost of living adjustment shall not reduce the minimum salary below $90,400; 2021—at the 2020 rate per season plus a cost of living adjustment, rounded to the nearest $100, provided that the cost of living adjustment shall not reduce the minimum salary below the 2020 rate per season. (3) For all Players signing a first Major League contract, the minimum salary for Minor League service shall be as follows: 2017—at the rate per season of $43,600; 2018—at the rate per season of $44,500; 2019—at the rate per season of $45,300; 2020—at the 2019 rate per season plus a cost of living adjust- ment, rounded to the nearest $100, provided that the cost of liv- ing adjustment shall not reduce the minimum salary below $45,300; 2021—at the 2020 rate per season plus a cost of living adjust- ment, rounded to the nearest $100, provided that the cost of liv- ing adjustment shall not reduce the minimum salary below the 2020 rate per season. (a) Cost of living adjustments for the minimum salaries described in paragraphs (1), (2) and (3) above shall be computed as follows to determine the applicable 2020 salary rate: the applicable minimum salary rate for the 2019 season shall be multiplied by a fraction, the numerator of which is the Consumer Price Index for Urban Wage Earners and Clerical Workers published by the Bureau of Labor Statistics (CPIW) for October 2019 and the denominator of which is the CPIW for October 2018. (b) Cost of living adjustments for the minimum salaries described in paragraphs (1), (2) and (3) above shall be computed as follows to determine the applicable 2021 salary rate: the appli- cable minimum salary rate for the 2020 season shall be multi- plied by a fraction, the numerator of which is the Consumer Price Index for Urban Wage Earners and Clerical Workers published by the Bureau of Labor Statistics (CPIW) for October 2020 and the denominator of which is the CPIW for October 2019. See Attachment 31.

Minimum Salary. (1) The minimum rate of payment to a Player for each day of service on a Major League Club shall be as follows: 20172012—at the rate per season of $535,000480,000; 20182013—at the rate per season of $545,000490,000; 20192014—at the rate per season of $555,000500,000; 20202015—at the 2019 2014 rate per season plus a cost of living adjust- ment, rounded to the nearest $500, provided that the cost of liv- ing adjustment shall not reduce the minimum salary below $555,000500,000; 20212016—at the 2020 2015 rate per season plus a cost of living adjust- ment, rounded to the nearest $500, provided that the cost of liv- ing adjustment shall not reduce the minimum salary below the 2020 2015 rate per season. (2) For all Players (a) signing a second Major League contract (not covering the same season as any such Player’s initial Major League contract) or a subsequent Major League contract, or (b) who have hav- ing at least one day of Major League service, the minimum salary shall be as follows: (i) for Major League service—at a rate not less than the Major League minimum salary; (ii) for Minor League service—at a rate not less than the fol- lowing: 20172012—at the rate per season of $87,20078,250; 20182013—at the rate per season of $88,90079,900; 20192014—at the rate per season of $90,40081,500; 20202015—at the 2019 2014 rate per season plus a cost of living adjustment, rounded to the nearest $100, provided that the cost of living adjustment shall not reduce the minimum salary below $90,40081,500; 20212016—at the 2020 2015 rate per season plus a cost of living adjustment, rounded to the nearest $100, provided that the cost of living adjustment shall not reduce the minimum salary below the 2020 2015 rate per season. (3) For all Players signing a first Major League contractcontract who are not covered by paragraph (2) above, the minimum salary for Minor League service shall be as follows: 20172012—at the rate per season of $43,60039,125; 20182013—at the rate per season of $44,50039,900; 20192014—at the rate per season of $45,30040,750; 20202015—at the 2019 2014 rate per season plus a cost of living adjust- ment, rounded to the nearest $100, provided that the cost of liv- ing adjustment shall not reduce the minimum salary below $45,30040,750; 20212016—at the 2020 2015 rate per season plus a cost of living adjust- ment, rounded to the nearest $100, provided that the cost of liv- ing adjustment shall not reduce the minimum salary below the 2020 2015 rate per season. (a) Cost of living adjustments for the minimum salaries described in paragraphs (1), (2) and (3) above shall be computed as follows to determine the applicable 2020 2015 salary rate: the applicable minimum salary rate for the 2019 2014 season shall be multiplied by a fraction, the numerator of which is the Consumer Price Index for Urban Wage Earners and Clerical Workers published by the Bureau of Labor Statistics (CPIW) for October 2019 2014 and the denominator of which is the CPIW for October 20182013. (b) Cost of living adjustments for the minimum salaries described in paragraphs (1), (2) and (3) above shall be computed as follows to determine the applicable 2021 2016 salary rate: the appli- cable minimum salary rate for the 2020 2015 season shall be multi- plied by a fraction, the numerator of which is the Consumer Price Index for Urban Wage Earners and Clerical Workers published by the Bureau of Labor Statistics (CPIW) for October 2020 2015 and the denominator of which is the CPIW for October 20192014. (See Attachment 31.)