By Ben Nicholson
October 1 – The MLS Players Union has released its annual review of salaries for each of the league’s players. The list reveals a league record in the form of Kaka’s impending $7.17 million to play for the new MLS team Orlando City SC, usurping David Beckham’s previous high salary mark by a rough half million.
The MLS differs from most of the rest of the world’s league models in that they have a salary cap. The league allots $3.1 million for each club to disperse amongst players occupying roster spots 1-20.
Those players occupying roster spots 21-30, referred to as Off-Budget Players, do not count against the club’s salary budget, but are yet eligible for team selection. Those players occupying roster spots 1-24 must earn at least $48,500, whilst those in positions 25-30 must earn at least $36,500.
The upper limit on what any one player can earn is $387,500 (an eighth of the entire salary cap), not permitting the formerly dubbed ‘Beckham Rule’. The Designated Player Rule (DPR), as it is properly called, allows each MLS franchise to sign two players that exceed the individual player salary cap, under the agreement that the team owner pays the excess. (Teams may pay a luxury tax – a fee to the league – to earn a third spot, but that comes at the pricey tag of $250,000).
The DPR has allowed the MLS to coax foreign stars into their territory, which, in turn, has increased national and international interest and investment into the league.
It is under this exception that Kaka will be earning the league record $7.17 million per annum, and similarly how players like Jermain Defoe, Landon Donovan, Thierry Henry and Tim Cahill secure higher wages.
Though the rule facilitates, and is generally perceived as geared toward, the import of expensive foreign product, it still provides for five US players. Below is the list of those earning over the million mark:
1. Kaka, Orlando City: $7.17 million
2. Clint Dempsey, Seattle Sounders: $6.7 million
3. Michael Bradley, Toronto FC: $6.5 million
4. Jermain Defoe, Toronto FC: $6.18 million
5. Landon Donovan, Los Angeles Galaxy: $4.58 million
6. Thierry Henry, New York Red Bulls: $4.35 million
7. Robbie Keane, Los Angeles Galaxy: $4.5 million
8. Tim Cahill, New York Red Bulls: $3.63 million
9. Jermaine Jones, New England Revolution: $3.25 million
10. Marco Di Vaio, Montreal Impact: $2.6 million
11. Obafemi Martins, Seattle Sounders: $1.75 million
12. Pedro Morales, Vancouver Whitecaps: $1.41 million
13. Omar Gonzalez, Los Angeles Galaxy: $1.25 million
14. Gilberto, Toronto FC: $1.21 million
15. Liam Ridgewell, Portland Timbers: $1.2 million
These figures are only somewhat distorted by the absence of players on loan. Notably, David Villa is listed as earning a modest $60,000. However, this is due to players on loan collecting additional salary from the club that owns the contract. Next year’s list will likely reflect the addition of Villa’s name, most likely along with fellow NYC FC player Frank Lampard.
Another anomaly in the listing is the comparably low salary of Sporting Kansas, and English, striker Dom Dwyer who this season broke the club’s single-season goal-scoring record. He earns $92,500 per annum, though this seems a likely figure to increase.
But what may cause greater worry for the US regulators is the significantly low amounts being paid to homegrown players who receive on an average of $45,930 per annum is paid to homegrown players. Considering that universities in the US are capable of offering this amount, and more, in the form of soccer scholarships, it means that the league is in danger of missing out on prospective talent. This is not even to mention the added competition of interested foreign clubs with golden checkbooks.
Cumulatively, Toronto FC is forking out the most on salaries, with LA Galaxy and Seattle Sanders following in second and third place respectively.
Paying the least is the yet to be formed NYC FC, who only have five players listed.
Chivas USA, who are widely believed to soon be taking a year or two long hiatus from the league, are spending the least on player salaries of those clubs currently playing, and sit just as low on the league table. Colorado Rapids sit one above them in terms of salary, and two above them in the Western Conference, whilst Columbus Crew are fairing better with their minimal expenditure in occupying third lowest spenders but fourth highest in the Eastern Conference.
Though, in general, there is reasonable correlation between the moneys spent and league table position, there is a fault in that description for those clubs on the East Coast spending vast sums on a minority of players.
Toronto FC are paying Michael Bradley and Jermain Defoe above and beyond, but sit sixth of ten in the Eastern Conference. The same goes for New York Red Bulls who provide handsomely for Henry and Cahill, but sit half way down the Eastern Conference. (Perhaps these figures could serve as a warning sign to incoming clubs like Orlando City, who has invested much in few. So great is Kaka’s salary, Orlando City already has the fifth-highest payroll of all clubs, despite having just five players on their books).
However, on the West Coast the story is a little different. Seattle Sounders have a lot invested in Dempsey and Martins, but sit at the top of their conference. Similarly, LA Galaxy split over 50% of their total salary expenditure between Donovan, Keane and Gonzalez, and rest in second place.
The effect of having a few highly paid players entails the dissolution of a middle class. Clubs have to offset the few high earners with lots of low earners to remain under the salary cap. These under-mentioned, and less-paid, voices will perhaps be heard during the upcoming CBA (Collective Bargaining Agreement) meeting between the MLS Players Union and the MLS.
MLS Commissioner Don Garber certainly has an ear to lend for schemes that will prosper the league, as is proven by his admittance that the league happily changes rules when appropriate (and that some of these rules are not even published). Raising the salary cap, for whichever of the many players the league desires to do so, looks likely to appear on the CBA meeting agenda.
Contact the writer of this story at moc.l1734796488labto1734796488ofdlr1734796488owedi1734796488sni@n1734796488osloh1734796488cin.n1734796488eb1734796488