The federal class-action lawsuit was filed by minor league players who sought additional pay for minimum-wage violations by teams.
Also, under the settlement, MLB “will rescind any contractual prohibitions against the MLB clubs paying minor league players wages,” per the court filing. Clubs had previously been prohibited from paying minor league players during spring training and instructional leagues.
The lawsuit was initially filed by Aaron Senne, a 10th-round pick by the Miami Marlins in the 2010 MLB Draft, along with several other minor league players.
The lawsuit alleged violations of the Fair Labor Standards Act pertaining to pay.
In October 2020, the U.S. Supreme Court denied MLB’s request to dismiss the lawsuit, spurring the eventual resolution two years later.
While an MLB player’s minimum salary is $700,000 as of 2022, a Triple-A minor leaguer may only make around $14,000. According to The Athletic, roughly 20,000 minor league players are expected to split the financial sum of the settlement. ESPN reported that those players eligible date back to 2009, in some cases.
With the news about the settlement, the Advocates for Minor Leaguers released a statement saying the decision is an acknowledgment of giving players a more even playing field when it comes to fairer pay.
“Ultimately, we will not be satisfied until Minor Leaguers have a seat at the table to negotiate fair wages and working conditions, as is the norm across professional sports,” the statement said.