ESPN did a nice article about salary arbitration, the 1990 labor agreement, the Super 2’s and Cub’s infielder Mike Fontenot getting the last spot of arbitration today.

Salary arbitration is a term you hear every year, but very few tend to understand what it is.  In a broad sense, it’s a player’s right to be compensated more accordingly based on his ability, leadership and performance. In the event that the player and the club do not see eye-to-eye, the case goes in front of a three person arbitration panel where  they will review the dispute and settle the salary based on statistics of the player. According to MLB.com, since 1974, and including 2006, arbitrators have ruled on behalf of the players 199 times and clubs 269 times so it’s in the player’s best interest to negotiate a deal before going to arbitration

All players with at least 3 years of Major League service time but less than 6 years are eligible for arbitration.  Some teams understand the worth and sign these players to a long-term deal such as the Cleveland Indians phenom C.C. Sabathia’s deal in 2002 (4 year, $9.5 million).  This deal will provide the security for the player early in their career, but also give the club a great value compared to getting a similarly productive player but with more service time.  Unfortunately some players either are not given that luxury of a long-term deal, or they want to go year-to-year and hope for a big money contract after their sixth year of service such as San Francisco’s Tim Lincecum.  Other Super 2’s this year include Pittsburgh’s Jeff Karstens, Houston’s Hunter Pence, Texas pitcher Dustin Nippert, Cub’s pitcher Tom Gorzelanny and Orioles pitcher Matt Albers.  Those that are eligible will file in mid-January, and those that do not settle will go in front of the arbitration panel.  The panel will look over each side and make a choice of the salary expected by the player or the salary submitted by the club.

In the case of Mike Fontenot, he was part of a group called the Super 2’s where the top 17% of players (in ML service) with at least 2 years of service, but less than 3 can be eligible for salary arbitration.  Fontenot had 2 years and 139 days of service.  The unfortunate victim includes Mark Reynolds of the Arizona Diamondbacks who had 2 years and 138 days of service so he missed the Super 2 cutoff.  He hit 44 home runs and drove in 102 RBI’s and will probably be offered a contract above the MLB minimum salary of $400,000 but nowhere in the millions had he been eligible for arbitration or free agency.  A consistent performance of 40+ home runs a year can yield a $15+ million contract per year.