NEW YORK – Major League Baseball has agreed to pay minor leaguers $185 million to settle a federal lawsuit alleging violations of minimum wage laws, a case that progressed through the courts for eight years without reaching a trial.
An early estimate is that perhaps 23,000 players could share the money with an average payment of $5,000 to $5,500, according to a filing by Brian Kriegler, the players’ damages expert. More precise totals will not be calculated until notice is given to eligible players.
The deal, announced May 10, was filed Friday with the U.S. District Court in San Francisco. Chief Magistrate Judge Joseph C. Spero must approve the settlement, a step that usually is routine in this type of case.
“This settlement is a monumental step for minor league players toward a fair and just compensation system,” Garrett Broshuis, the players’ lead lawyer and a former minor league pitcher, said in a statement released Friday. “I’ve seen first-hand the financial struggle players face while earning poverty-level wages – or no wages at all – in pursuit of their major league dream.”
If approved, $120,197,300 will be split among the players, $55.5 million will go the the players’ lawyers and up to $5.5 million will cover reimbursement costs of the suit.