Dodgers Score Again in Signing Kyle Tucker; Baseball World Cries Foul
Introduction to the Deal
The Dodgers waited until the market for slugging outfielder Kyle Tucker dwindled before making him an offer short on duration but generous in dollars. The result is the defending two-time World Series champion plugged the only hole in its lineup with another superstar — one regarded by many analysts as the prize of this free agency class. The contract Tucker agreed to Thursday night is for $240 million over four years, with a $64-million signing bonus and $30 million deferred. He also will be able to opt out of the deal after the 2027 and 2028 seasons.
Reaction from the Baseball World
It’s a major development that caused immediate consternation throughout baseball. The Dodgers are in a league of their own when it comes to spending on payroll. Or as ESPN analyst Jeff Passan put it: “Fans feel like this game is unfair.” To which Times columnist Bill Plaschke wrote, “So what? Who cares? If three consecutive titles blows up the game, so be it. The Dodgers’ only responsibility is to their fans, and they have more than fulfilled their civic duty, and that’s all that matters.”
Kyle Tucker’s Past Performance
Kyle Tucker rounds the bases after homering for the Cubs during Game 4 of National League Division Series against the Milwaukee Brewers. (Nam Y. Huh / Associated Press)
The Strategy Behind the Deal
Projections early in the offseason put offers for Tucker at around $400 million over 10 years, but the only team that reportedly entertained a deal that long was the Toronto Blue Jays. The New York Mets made an offer close to that of the Dodgers, but Tucker opted for L.A. The Dodgers employed similar strategy in snaring first baseman Freddie Freeman and starting pitcher Blake Snell in recent years and closer Edwin Díaz last month, patiently allowing media hype to dissipate and waiting out the market before pouncing with short-term offers at astronomical yearly salaries.
Financial Implications
The average annual value (AAV) of Tucker’s contract as calculated by Major League Baseball will be a record $57.1 million, blowing past the previous highs set by the Mets’ Juan Soto ($51 million) and the Dodgers’ Shohei Ohtani ($46.06 million) the last two offseasons. Ohtani is now Tucker’s teammate, as are amply paid stars Mookie Betts, Yoshinobu Yamamoto, Will Smith, Tyler Glasnow, Roki Sasaki, Freeman, and Snell. And on and on. The Dodgers’ estimated competitive tax payroll of $402.5 million is more than the combined spending of the A’s, Tampa Bay Rays, Cleveland Guardians, and Miami Marlins.
The Dodgers’ Revenue Model
Who do the Dodgers have to thank for such largess? Start with Ohtani. When the two-way star signed a record 10-year, $700-million deal two years ago, he agreed to take home a paltry $2 million a year and defer the remaining $68 million. That covers Tucker’s salary and then some. Don’t forget the $8.35-billion, 25-year TV deal with Time Warner Cable (now Spectrum) in 2013 that created the Dodgers’ SportsNet LA channel. A bankruptcy settlement a year earlier allowed the Dodgers to cap TV revenue shared with MLB at about $84 million annually, even though experts projected the actual value at more than $200 million. Meanwhile, many teams have seen their TV revenue drastically reduced.
The Impact on Baseball
The settlement also approved the sale of the Dodgers from Frank McCourt to Guggenheim Baseball Management, the group fronted by Magic Johnson and run by Mark Walters that has greenlighted the lavish payroll spending. The Dodgers celebrate after winning Game 7 of the World Series over the Blue Jays in Toronto last fall. (Robert Gauthier / Los Angeles Times)
Fan Support
And be sure to thank the fans who pack Dodger Stadium at each of the 81 home games, spending on parking, concessions, and merchandise in addition to increasingly expensive tickets. Attendance last year was 4,012,470, a Dodgers record, the highest in MLB, and nearly 600,000 more than the next-highest attendance, that of the San Diego Padres. The Dodgers averaged 49,537 fans per home game.
Calls for Change
The response around baseball to Tucker’s contract was as shrill as it was predictable. Cries for a salary cap when negotiations begin for a new collective bargaining agreement at season’s end peppered social media. Some even advocated owners locking out the players if they don’t agree to level the hot-stove playing field. Anything to stem the spending of a franchise enjoying a revenue model that enables it to spend on salaries unchecked while breaking no rules.
The Rules and Their Impact
“The Dodgers theoretically aren’t doing anything wrong,” ESPN analyst Chris “Mad Dog” Russo said Friday on “The Dan Patrick Show”. “But the rules have to change. This is getting to be a joke.” Russo then proceeded to list the reasons players gravitate to Chavez Ravine: “Play in L.A. Winning team. Great organization. Good weather. Have a chance to be in the World Series every year.” Under baseball’s rules, the Dodgers are punished financially for their gleeful spending. Competitive balance taxes — also known as luxury taxes — are imposed when payrolls reach certain thresholds.
Conclusion
The Dodgers have blown past the highest level and must pay 110% of every dollar they spend above $304 million, meaning their commitment to Tucker will cost them $500 million — $240 million to the player and roughly $264 million to MLB in taxes. By any measure, that is a lot to pay a player who batted a ho-hum.266 with 22 home runs, 73 runs batted in, and 25 stolen bases in an injury-marred 2025, his lone season with the Chicago Cubs. Tucker was a three-time All-Star during seven seasons with the Houston Astros.
FAQs
- Q: How much is Kyle Tucker’s contract worth?
- A: $240 million over four years, with a $64-million signing bonus and $30 million deferred.
- Q: Why are people upset about the contract?
- A: The contract’s value and the Dodgers’ ability to spend so much on payroll while other teams cannot has led to cries of unfairness and calls for a salary cap.
- Q: What is the average annual value (AAV) of Tucker’s contract?
- A: A record $57.1 million.
- Q: How does the Dodgers’ revenue model enable such spending?
- A: Through a combination of a lucrative TV deal, high attendance, and smart financial planning, including deferred payments from players like Shohei Ohtani.
- Q: What happens to the luxury tax revenue collected from teams like the Dodgers?
- A: Half is distributed to small-market teams to help increase their spending on salaries.
