ESPN Insider Defends Dodgers Use of Deferrals: Every Team Has The Opportunity to Do It
The big topic of discussion this winter has been the Los Angeles Dodgers’ ability to use deferrals when it comes to signing players to big contracts.
The front office has mastered the skill, if that’s even what to call it.
For some reason, executives across the league have called the Dodgers out for their usage of deferrals rather than using the same strategy themselves.
ESPN insider Buster Olney told Doug McKain of Dodgers Nation that the strategy is “almost a no brainer in business.”
“Every other team has the opportunity to do that, they should do it,” Olney said on Dodgers Dougout Live.
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The longtime baseball insider also said “other owners can do more” as opposed to everyone being mad about the Dodgers.
Over the past five years, the Dodgers have struck nine deals involving substantial deferred money — meaning a significant portion of salaries will be paid out long after the contracts are completed.
Deferred money was a key factor in the recent signings of top free agents, including Blake Snell (six-year, $182 million deal with $60 million deferred), Tanner Scott (four-year, $72 million contract with $21 million deferred), Freddie Freeman (six-year, $162 million contract with $57 million deferred), and Teoscar Hernández (who has $31.5 million deferred from his $89.5 million guaranteed in two contracts with the Dodgers).
It also played a role in extensions for Mookie Betts (12-year, $365 million deal with $115 million deferred), Will Smith (eight-year, $140 million contract with $50 million deferred), and Tommy Edman (six-year, $74 million contract with $25 million deferred).
The deferred money was a major factor in making Shohei Ohtani’s $700 million contract ($680 million deferred) so attractive to the Dodgers. This unique structure, which Ohtani personally developed and offered to teams during his free agency last year, played a key role in the deal.
As a result, the Dodgers have accumulated $1.039 billion in deferred salary over the past five years. In comparison, only the New York Mets and Boston Red Sox have current deferrals exceeding $50 million, according to Spotrac.
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Photo Credit: Kirby Lee-USA TODAY Sports
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