October 29, 2020

THOSE DARN SOX

Reporters, insiders, pundits and fans are perplexed by the White Sox pivotal off-season move.

MLBTR reports on the announcement and immediate ash fall.

The White Sox announced today that Hall of Famer Tony La Russa is returning to the organization as their new manager for the 2021 season. La Russa has agreed to a multi-year deal according to Scott Merkin of MLB.com.

La Russa managed the White Sox from 1979 and ran through the 1986 season. It appears that La Russa was owner Jerry Reinsdorf’s pick from the beginning. Indeed, ESPN’s Jeff Passan stated that the move to hire La Russa was purely a “Reinsdorf decision” while noting that others in the organizations “have concerns” about La Russa’s ability (or lack thereof) to connect with the club’s young core.

It’s been nine full seasons since La Russa last managed at the MLB level, with the Cardinals, and the game has changed considerably since that time. Data from clubs’ analytics departments has increasingly made its way into in-game decision-making, often generating polarizing reaction from fans, and the sport as a whole has moved to embrace aggressive defensive shifts and pitching strategies that defy the conventional wisdom which permeated big league dugouts during La Russa’s last run.

Since that time, La Russa has remained involved in the game in a variety of roles, most notably serving as the Diamondbacks’ “chief baseball officer” from 2014-17 — a stint that is remembered more for his role in overseeing one of the more lopsided trades in recent memory than for the team’s performance in that time.

After moving on from skipper Rick Renteria, it was reported that the White Sox wanted an experienced manager with a winning pedigree, which prompted many onlookers to speculate about Hinch and former Red Sox manager Alex Cora. La Russa does fit the bill on a fundamental level, having spent 33 years a Major League manager during which time he’s posted a .536 winning percentage, taken home six pennants and won three World Series titles.

Still, to say this hiring bucks the industry trend at this point would be making a colossal understatement, and the decision to bring La Russa aboard has already generated a rather perplexed reaction from those within the game and pundits alike.

LaRussa can be considered an old school hard liner, but he was in the forefront of creating the modern bullpen assignments in managing a pitching staff (more credit could go to pitching coach Dave Duncan). There is a question whether LaRussa's presence will upend the current roster chemistry that exceeded expectations in 2021.

There is no doubt that Jose Abreu can keep the numerous young Latin players in line. It is the vocal, clubhouse guys like Tim Anderson and Dallas Kuechel who could be a concern. They know they are ready, willing and able to win. Will LaRussa be a help or a hinderance?

It was also puzzling that the White Sox did not interview any other candidate. League rules require at least a minority interview, and it is claimed that LaRussa qualifies because his mother was born in Spain. But it did not matter because who is going to ruffle the feathers of Reinsdorf, who is still considered a leader of the MLB owners.

The other key decision points to come will have LaRussa's input: coaching staff and free agent roster decisions. The White Sox need to shore up starting rotation depth and middle relief. Right field is still an open for someone to take it. Will the Sox retain second catcher James McCann or go with their two minor league catchers? Is Michael Kopech ready physically and mentally to assume the #3 starter role in 2021? Or do the White Sox spend money on a big free agent arm like Trevor Bauer (another off-the-cuff speaker who can rub some people the wrong way).

 For years, local media has reported that Reinsdorf desperately wanted to win another World Series. It probably stung when the Cubs won in 2016, putting the White Sox back into little brother position. But the building excitement is on the South Side as the Cubs have hit a hard financial wall and barren farm system.

October 8, 2020

THE BIG CHANGE IN THE LITTLE SHOW

 The current MLB and minor league cooperative contract has expired. MLB is making a dramatic move on how it treats the minor league system.

In the past, the minor leagues were independent ball clubs. Minor league teams created their own leagues. Those leagues then made agreements with MLB in regard to player contracts. MLB teams draft and sign players to contracts. Those contracts are "assigned" to a minor a league club that has a working developmental agreement. Major league teams helps pay certain costs and provides staff such as head coach and pitching staff to minor league teams. Minor league teams were responsible for scheduling games, paying players, and coaching them for promotion. But not all players on a minor league roster have a major league agreement. During a season, a minor league team can "sell" or assign their player contracts to their affiliate major league team. In the past, this is how many smaller minor league owners made a good deal of money for their teams.

In 2020, the minor league system, relying on attendance as a major revenue source, shut down. 

As a result, MLB teams decided to create 60 man squads (40 man roster plus another 20 players). The teams split them into an active roster (for most of the season) and a training squad at a separate location to fill in for injured players. It did provide top prospects the opportunity to reach the major leagues quicker than the normal path.

The MLB split squad concept worked well. We thought that MLB may decide to eliminate the minor league system in favor of a modified in-house training squad. But MLB had a bigger fish to catch.

MLB had been hinting that it wanted to eliminate at least 40 minor league teams from their affiliate status with major league clubs. Minor league baseball teams, especially the lower classes in small rural markets, were upset by that proposal. 

MLBTR reports that changes for MLB and MiLB’s working partnership have been moved forward.  The agreement between the two entities recently expired, and MLB now plans to bring the minor league system under their governance. MLB took a big step towards accomplishing their goals this week.

MLB released a statement announcing their plans to transplant the minor league offices to MLB’s headquarters in New York City, per Bill Shaikin of the Los Angeles Times. Shaikin also notes that MLB is now referring to minor league clubs as “licensed affiliates.”

By joining the offices to MLB headquarters, the minors are now a branch of MLB, notes Maury Brown of Forbes. Part of this process is the hiring of Peter Freund and Trinity Sports Consultants to help MLB and their new “licensed affiliates” transition. Freund owns minor league clubs at three levels, and he is a partner with the Yankees. His broader responsibilities will be in spearheading MLB’s efforts to build a cohesive minor league system and “implementing a modern approach to player development,” per MLB’s statement.

It would seem that the old independent clubs are now being turned into minor league "MLB franchises" like your local McDonald's or Burger King. If true, MLB (and/or MLB clubs) will get to set standards and practices that all minor league teams must follow.

MLB has taken a lot of heat for their movement in this direction, specifically for insufficient minor league players salaries and the cutting of some 40 teams from the minor league system. Minor league ballplayers recently won early round of class action litigation when the Supreme Court denied MLB’s appeal, thereby granting players to move forward on their labor payroll lawsuit against Major League Baseball. Basically any minor league player since 2009 can now join the suit in suing MLB for violation of minimum wage laws. This is one of the many issues that MLB hopes to address over the coming months.

But one thing is certain: the traditional minor league system is going to drastically changed by MLB.

October 5, 2020

THE ROAD AHEAD

 The Cubs dismal playoff run ended in another whimper.

Since the 2016 Championship, the Cubs have steadily gone down hill in October.

And it is surprising since they had home field advantage for this run.

The promise of a Cub dynasty was an illusion.

Theo Epstein has one season left on his contract. He will leave the Cubs because he is being handcuffed by the Cubs business side and the bitter taste of bad contracts which led to his down fall.

The Cubs only have 16 players under contract for 2021 (assuming the Cubs are not stupid to exercise $25 million option on Lester).

The projected payroll for those 16 is still $162 million.

Another $16 million is minimum to fill out 40 man roster. That is $178 million.
You have your starting OF and IF in tact, but no bench.
And you only have two starting pitchers (Darvish and Hendricks).
And you are stuck with Kimbrel as your closer (Jeffrees is a FA).

Consideringwe estimate  Ricketts lost at least $75 million on baseball and his failing real estate development (many tenants went bust during the pandemic), the Cubs will not spend any money (again) as the core 4 become free agents after 2021 (Rizzo, Bryant, Baez, Schwarber). There will be no "let's go for it" final charge by this team. It looks more likely it will fizzle before the end of next spring training.

The prospect of another LONG rebuild is here. The Cubs minor league system is barren. Epstein did not draft and develop one quality starting pitcher during his tenure. The post-2020 pandemic season may lead to a very tense stand-off with the players union in the last year of the CBA. Owners will demand lowering the luxury tax (as a means of repressing salaries). Owners will probably try to keep the 60 man bubble taxi squad program in lieu of spending millions on a minor league system that did not play in 2020. (It is important to note that minor league players won the first part of their class action lawsuit against minor league owners and MLB for being paid less than the minimum wage.)

Another fall out from 2020 is that the Cubs (and most clubs) terminated most of their scouting and training staffs in order to save money. The Cubs were an administrative top heavy organization so it is doubtful that Epstein in his final year will have the budget to spend to re-hire his former troops.

If the Cubs 2020 was a lost season, then 2021 could be a dead one.