Major League Soccer players have secured a significant payout increase tied to their participation in the 2025 FIFA Club World Cup, following a tense negotiation with MLS and the players’ union.
What Changed
- Under the old Collective Bargaining Agreement (CBA), players would receive up to 50% of external tournament revenue, but with a hard cap of $1 million per team.
- With FIFA’s expanded tournament offering a $1 billion prize pool, including $9.55 million guaranteed to each CONCACAF team (Seattle Sounders, LAFC, Inter Miami), that cap became grossly out of step.
- The revised deal removes the $1 million cap, granting teams a 40% increase above the prior cap, plus 30% uncapped performance-based payouts—worth $2 million per win and $1 million per draw—earning MLS players more for advancing in the tournament.
Players’ Reaction
- Despite the breakthrough, the MLS Players Association (MLSPA) voiced disappointment in MLS’s approach, alleging “stonewalling, threats and retaliation” during negotiations.
- Conflict brewed early: Seattle Sounders wore “Club World Cash Grab” shirts during warm-ups to protest the unfair distribution.
- Negotiations were heated and dragged into the tournament period, reflecting growing tensions as players pressed for a fair share.
Why It Matters
With the new agreement:
- Players previously capped at $1 million now stand to earn a meaningful share of performance bonuses, aligning more with international standards.
- Even if an MLS team wins the competition, players can collectively receive well over $24 million in bonuses
- This victory sets a precedent for future negotiations, especially regarding the expanding Club World Cup and similar tournaments.
Broader Context
- The dispute highlighted the CBA’s limitations and MLS’s historically conservative pay structure.
- Players felt marginalized, noting that MLS’s proposal included unrelentingly tough negotiation tactics and unrelated CBA demands .
- Removal of the cap underscores the players’ growing influence and ability to reshape financial structures as MLS gains global traction .
In Summary
Feature | Old CBA | New Agreement |
---|---|---|
Cap on Player Share | $1 million | No cap |
Performance Bonus Share | N/A | 30% uncapped |
Guaranteed Increase | N/A | 40% above old cap |
This resolution represents a pivotal moment for MLS’s evolving role in global soccer and emphasizes the league’s need to balance commercial gains with equitable compensation structures. While not a flawless outcome, players have taken a strong stand—and won.
Major League Soccer players will receive a significantly enhanced payout from the 2025 FIFA Club World Cup prize money after a hard-fought renegotiation with the league and the players’ union.
Pay Boost Won Despite Disappointing Negotiations
- Under the previous Collective Bargaining Agreement (CBA), MLS players were entitled to 50% of external tournament revenue, but with a strict cap of $1 million per team.
- With FIFA’s Club World Cup distributing a $1 billion total prize pool and $9.55 million per CONCACAF team (Seattle Sounders, LAFC, Inter Miami) just for participating, the original cap became grossly inadequate.
- The updated agreement removes the $1 million cap. Instead, teams now receive a 40% increase over the old cap, plus 30% uncapped performance-based payouts — awarding $2 million for each win and $1 million for each draw.
- LAFC also earned an extra $250,000 for winning a play-in match
Player Discontent Remains High
- The MLS Players Association (MLSPA) publicly denounced the league’s approach, accusing it of “stonewalling, threats and retaliation”.
- Leading up to the tournament, Seattle Sounders players wore “Club World Ca$h Grab” warm-up shirts as a protest at the disparity.
Why This Matters
- Players who once faced a modest payout are now in line for significant performance-based bonuses, better aligning with global football standards.
- A winning MLS club could see players take home well over $24 million collectively.
- The deal sets a precedent for how future prize money — especially from expanded global competitions — could be shared.
Broader Implications
- The dispute highlighted a deep rift between players and league management over revenue distribution .
- The MLSPA emphasized the importance of earning a fair share given the demanding schedule and escalating commercial stakes of MLS .
- While negotiations may have concluded this round, tensions over fair pay remain as MLS evolves and players assert greater influence .
Summary Snapshot
Aspect | Old CBA | New Agreement |
---|---|---|
Cap on player payout | $1 million max | Removed |
Guaranteed share | 50%, capped | 40% above old cap |
Performance bonus share | None specified | 30%, uncapped ($2M per win, $1M per draw) |
Ultimately, while the pay structure still isn’t perfect in the players’ eyes, this settlement marks a crucial step toward more equitable compensation. It also underscores shifting power dynamics in MLS as the league and its talent adapt to the rising demands — and revenues — of global competition.