The Los Angeles Dodgers have gained publicity this winter for their strategic use of deferred payments in player contracts. This method has drawn criticism from executives across the league, despite being available to all teams. ESPN’s Buster Olney emphasized that the strategy is essential for business success, noting that it assists the Dodgers in signing high-profile free agents. Deals for top players like Freddie Freeman and Shohei Ohtani showcased how deferred money can make significant contracts more manageable and appealing, ultimately reflecting a well-planned financial strategy on the Dodgers' part.
ESPN insider Buster Olney remarked on the Dodgers' deferred salary strategy, stating, 'Every other team has the opportunity to do that, they should do it.'
Over the past five years, the Dodgers struck nine significant deals involving deferred money, enhancing their ability to attract top tier free agents.
Deferred money played a crucial role in recent player signings such as Blake Snell and Freddie Freeman, allowing deals to materialize that otherwise may not have.
The unique structure of Shohei Ohtani's $700 million contract, primarily deferred, highlights how attractive this strategy can be for both players and teams.
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