On July 31, 1981 a strike against Major League Baseball (MLB) ended after
the loss of 713 games—38% of the
regular season. Negotiations between the
owners and the Major League Baseball
Players Association (MLBA) were so bitter that MLB negotiator Ray Grebey and Players Association
representative Marvin Miller refused
to shake hands and pose with each other for a customary bury the hatchet
photograph. Each would have rather
buried a hatchet in the other’s skull.
The
relationship of Baseball to its employees had been bitter almost from the very
beginning of the National League. Owner regarded players as virtual chattel
bound indefinitely by iron-clad personal service contracts that forbad players
from seeking higher pay at other teams.
The result was an abnormally low pay scale which kept all but a handful
of stars in virtual poverty and gave the stars not much more. Bitter players sporadically struck individual
teams without success, usually finding the so called ringleaders were banned for life from the sport.
As a
result the Players' League was
formed in 1890 with most of the National League’s top stars. Although the league had a successful season,
it was under-funded and collapsed sending most of its players back to the NL
with their tails between their legs and worse off than ever. Would-be rivals of the NL like the American
Association, American League, and Federal League took advantage of
player discontent to lure stars to their start-up challengers. Only the AL survived and was eventually accepted as a
peer by the NL and absorbed into the entity that became Major League Baseball.
A fall
out of the Federal League collapse left the players in worse shape than
ever. The owners of the former Federal
League franchise in Baltimore
attempted to purchase an MLB franchise.
They were not only rebuffed, they were blackballed. They had the
same result when they tried to obtain a franchise in the International League, then the top level of the minor leagues which fed players into
the Bigs. The Baltimoreans sued in Federal Court charging that MLB
constituted an illegal Trust in
restraint of trade. They one a big
victory at the Circuit Court level
which was over turned on appeal.
Eventually the case found its way to the Supreme Court in 1922 where in what may have been the worst ruling
since Dred Scott the Court held that
that baseball “was not the kind of commerce” Federal law was intended to
regulate. Alone of all American
industries, Major League baseball was handed a golden exemption from the Sherman Anti-Trust Act.
While
the case was winding its way slowly through the courts, members of the stellar Chicago White Sox team chaffing under
the notoriously tightfisted rule of Charles
Comiskey demonstrated how damaging to baseball could be the players’
resentment. The team, or at least key
members of it, accepted a bribe from gambler Arnold Rothstein to throw the 1919 World Series against
the Cincinnati
Reds. The resulting Black Sox
Scandal nearly derailed the game as the National Pastime.
To resurrect the tattered reputation of the game,
the owners appointed Federal Judge Kennesaw Mountain Landis as the Tsar-like
Commissioner of Baseball. From the owners
point of view Landis was the perfect candidate.
He won national acclaim for heavily fining Standard Oil of Indiana
for attempting to fix freight rates, and as a rabid opponent of unionism,
Socialism and radicalism in many forms he had presided over World
War I and Red Scare era trials of dissidents handing out draconian
sentences and frequently stretching the law to do it. Most famously he presided over the trial of
101 members of the IWW leadership for sedition, sending all to prison for long
terms. He was also a devoted baseball fan
who had maneuvered to avoid an earlier attempt to challenge organized baseball
on anti-trust ground in a 1914 suit brought by the Federal League itself.
Although Landis theoretically represented the
interests of all baseball, including players and fans, in fact at least on
issues surrounding player salaries, working conditions, and ability offer their
services freely to any team, he was steadfastly the owners’ man. He ruled the game until his death in 1944
blocking all reform.'
It wasn’t until Landis was dead and Ford Frick was
Commissioners that players tried to form their first organization since Landis
crushed the National Baseball Players Association back in 1922. Thirty years later in 1952 the MLBPA was
formed with highly respected Cleveland Indian pitcher Bob Feller as
its first—and as it turned out—only President.
Under Feller the MLBPA attempted to function as a professional
association advocating for improved conditions attempting to set up
programs for retired and destitute members.
However the owners flatly refused to deal with them or modify any of the
terms of employment that bound players to the whim of the teams that literally
owned them.
In 1959 the organization decided it was time to get
more aggressive. I eliminated the
executive presidency and brought in a professional Executive Director to
lead it. They really took the plunge to becoming
a real labor union seven years later in 1966 when Marvin Miller, a
former United Steelworkers economist and lead negotiator and business
agent was brought on board.
Miller meant business and set about to make the
MPBLA one of the strongest unions in America.
Broadcaster Red Barber would later categorize him with Babe
Ruth and Jackie Robinson as one of the most important figures in
modern era baseball. Certainly he shook
things up.
In just two years Miller obtained the first collective
bargaining agreement with the owners which raised the minimum pay—usually for
rookies and journeymen utility players—for the first time in twenty years from
$6,000 per season to $10,000. That won
the players undying loyalty and built unshakeable solidarity.
Next, in 1970 Miller won arbitration. Previously when a player and his owner failed
to reach agreement on terms for a new contract, the dispute would be referred to
the Commissioner, the owner’s creature who naturally tended to always side with
them. Arbitration took it to an
independent arbiter who picked between the two sides final offers. Increasingly the arbitrators found for
underpaid veteran players. And the
owners seeing that they had a lot to lose in the winner-takes-all system became
more flexible in their negotiations. Salaries
for veteran players started to rise.
Arbitration paid off in a big way in 1974 when Oakland
A’s owner Charles Finley refused to honor a contractual agreement to
pay a $50,000 insurance premium for his star pitcher Catfish Hunter. The arbiter ruled that Finley had thus
voided the contract and allowed Hunter to become a free agent. The pitcher then was able to sign with the New
York Yankees for a then astonishing 5-year, $3.5 million contract. That whetted the appetite of plays for effective
free agency.
Curt
Flood had famously sued MLB with the support of the players union claiming
that the reserve clause which kept the “owning team” in control of a
player for a solid year after his contract was up, meaning that the player
could be kept from playing with any team without the original team’s consent,
was an anti-trust violation. The Supreme
Court ultimately upheld the admittedly shaky ground of the anti-trust
provision.
After the victory with Hunter, Miller encouraged two
other players, Andy Messersmith and Dave McNally to play out the
succeeding year without signing a contract. Then both players filed grievance
arbitration. The players won the arbitration with a ruling that both had played
out their obligations to their teams and were free agents. The notorious reserve clause was dead and the
era of free agency was ushered in.
With victory after victory under his belt, Miller
was cordially hated by the owners, but they seemed powerless against the
union. These years were punctuated with
short work stoppages—strikes in 1972 which lasted 13 days and in 1980 spring
training two lockouts, in 1973 and 1976 spring training.
So the table was set for an epic confrontation in
1981. The owners sought protections from
the effects of free agency. In
particular they sought compensation for losing a free agent player to another
team—a player selected from the signing team’s roster not including 12 protected
players. The union held that any form of compensation would undermine the
value of free agency.
With negotiations at an impasse the union Executive
Board set a May 31 strike deadline.
This was extended while a union complaint of unfair labor practices was
heart by the National Labor Relations Board (NLRB). Finally, on June 15 the players walked
out.
Owners were stunned when most of the sporting press
and fans seemed to take the side of the fans.
They could not believe that they were not viewed as beloved community
leaders instead of as flinty hearted capitalists. A Sport
Illustrated screamed “Strike! The Walkout the Owners Provoked.”
But as the strike wore on, fans became
restless. And cities took a big economic
hit. An estimated $146 million was lost
in player salaries, ticket sales, broadcast revenues, and concession revenues.
The players lost $4 million a week in salaries while the owners suffered a
total loss of $72 million.
Faced with the possible loss of the entire season a
compromise, which most considered favorable to the players, was finally
reached. Teams that lost a premium free
agent could be compensated by drawing from a pool of players left unprotected
from all of the clubs rather than just the signing club and players agree to
restricting free agency to players with six or more years of major league
service. Marvin had never really wanted
unlimited free agency anyway fearing that a glut of players on the market would
drive compensation down.
Play resumed with the delayed All Star Game in
Cleveland on August 8. Because the game
was moved from its traditional mid-week slot to a Sunday, a record attendance
of 72,086 led owners to hope that fans would return to the game. They were wrong. Bitter fans stayed away in droves through the
rest of the season and TV and radio audiences shrank. Newspaper letter columns were filled with
fans declaring that they were done with the game. It took some years for the game to recover
from fan disillusion.
Some of that disillusion was stoked by the slapped
together play-off system used to determine teams for the World Series. The leaders of the first half of the season
would face the leaders of the second half of the season in a playoff. In case the same team won both halves, it
would face the team with the second best record. But the system produced anomalies. The Cincinnati Reds of the National League
West and St. Louis Cardinals of the National League East each failed
to make the playoffs despite having the two best full-season records in the
National League that season. On the
other hand, the Kansas City Royals made the postseason despite owning the
fourth-best full-season record in their division and posting a losing record
overall.
Miller retired in 1982 but the union he built remained
strong.
The MLBPA continued to frustrate the owners,
particularly when they successfully proved in court that the owners and
Commissioner of collusion in attempting to circumvent the free movement
of players under free agency. The
collusion may also have affected the outcome of both the regular season series
and World Series of 1985, ’86, and ’87.
Owners were fined a staggering $64.5 million and had to compensate
player for losses related to multi-year contracts and lost bonuses which
eventually cost them another $280 million.
There was a one day strike in August of ’85 and owners
locked out player for early spring training in 1990.
In 1994 players struck on August 12 wiping out the
rest of the season and the World Series.
The strike only ended the next spring when a U.S. District judge issued
an injunction restoring terms and conditions of the expired agreement. That
traumatic event did even more damage to baseball.
Since then contracts have been renewed without
strikes or lockouts, despite some bluster.
The union remains strong.
Baseball remains the only sport without an effective salary cap. Player incomes and team profits are at an
all-time high. Meanwhile the other major
American sports—Football, Basketball, and Hockey have all
had substantial labor turmoil—largely due to week unions.
And what of Marvin Miller? Well baseball owners have successfully fought
back repeated efforts to have him elected to the Hall of Fame despite
his undisputed impact on the game. He died
on November 27, 2012 in New York City at the age of 95.