With the New York Yankees boasting a solid 35-17 start heading into Friday’s MLB games, one might expect a decrease in drama. However, that’s far from the case. Despite indicating earlier in the spring that the Yankees would initiate contract extension talks with Juan Soto, owner Hal Steinbrenner recently reiterated a common narrative: budget cuts could be on the horizon due to the current payroll’s perceived unsustainability.
“I’m going to be candid; payrolls at our current levels are simply not sustainable for us financially,’’ Steinbrenner stated this week. “It wouldn’t be feasible for the majority of ownership groups, given the luxury tax we have to pay.’’
This sentiment hasn’t been well-received among Yankees fans in New York City. Historically, payroll has rarely been a concern for the Yankees, given George Steinbrenner’s lavish spending and the team’s five World Series titles from 1996-2009. Since his son assumed control, it has become a significant talking point.
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Renowned MLB insider Ken Rosenthal has criticized New York Yankees owner over payroll remarks
New York Yankees owner Hal SteinbrennerCredit: Jessica Alcheh-USA TODAY Sports
Rosenthal recently appeared on Foul Territory and challenged Steinbrenner’s stance on the Yankees’ payroll. The Athletic and MLB on Fox insider didn’t hold back, insisting on seeing financial evidence.
“Show us your financial records, prove that you can’t sustain it, because I don’t buy it for a second,” Rosenthal asserted.
Let’s delve into the numbers for a moment.
According to Spotrac, the Yankees boast the second-highest payroll in baseball at $305.35 million, up from $278.65 million in 2023 and $252.96 million in 2022.
Forbes reports that the Yankees generated $679 million in revenue last season, including a remarkable $284 million in gate receipts. New York’s total revenue exceeded that of any other MLB franchise by $130 million. Additionally, the Yankees are valued at a staggering $7.55 billion.
While there are other factors to consider, these are the concrete figures Rosenthal referenced.
Admittedly, the Yankees must address re-signing Soto after the 2024 season and address concerns with their pitching staff.
However, asserting that the MLB payroll situation is “unsustainable” doesn’t align with the facts, hence Steinbrenner facing criticism.
