Major League Soccer (MLS) is facing strong opposition from its Players Association (MLSPA) over a newly proposed prize money payout structure for the upcoming FIFA Club World Cup. The MLSPA has condemned the proposal, deeming it a "retaliatory" measure that falls short of international standards and attempts to strong-arm players into waiving their rights under the collective bargaining agreement (CBA).
The heart of the dispute lies in the significant financial windfall MLS is set to receive from the expanded Club World Cup, which begins on June 14, 2025, and will be hosted across 11 U.S. cities. Each participating MLS club, including Seattle Sounders, Inter Miami, and LAFC, is guaranteed $9.5 million. Additional prize money is available for match wins and tournament progression. A win in the group stage earns $2 million, while reaching the Round of 16 yields a further $7.5 million.
Under the current CBA, MLS players are entitled to 50% of any prize or participation money awarded to their team in an outside tournament, but with a cap of $1 million. Given the $9.5 million participation prize, players would effectively max out their payout before even stepping onto the field, receiving no additional compensation for wins or further advancement in the tournament.
MLS's new proposal seeks to change this structure, offering players 20% of performance-based prize money at each stage of the tournament, without an agreed-upon cap. This would translate to $200,000 for a group stage win (from a total prize of $1 million), $400,000 for a knockout stage win (from a total prize of $2 million), and $1.5 million for making the Round of 16 (from a total prize of $7.5 million). In the unlikely event that an MLS team wins the Club World Cup, the players would be entitled to split a substantial prize pool potentially totaling up to $23.9 million. However, if a team loses all its matches, the players would still be limited to the $1 million collective bonus.
The MLSPA argues that the proposed 20% payout is inadequate compared to international standards. They also express concern that the league is attempting to pressure players into CBA waivers specifically related to the Club World Cup, which they view as a violation of their agreed-upon rights. The players emphasize that FIFA's expanded tournament places additional demands on their physical well-being, necessitating fair compensation for their increased workload and contribution to the league's financial gains.
The Seattle Sounders players recently staged a protest, wearing T-shirts with slogans like "Club World Ca$h Grab" and "Fair Share Now" during their pre-match warm-up. This action reflects the players' frustration with the league's stance and their determination to secure a more equitable share of the Club World Cup revenue. The MLSPA has voiced its full support for the Sounders' protest, asserting that all MLS players stand united in demanding a fair distribution of the prize money.
As negotiations between MLS and the MLSPA continue, the outcome will have significant implications for player compensation and the overall relationship between the league and its players. The players contend that they are the driving force behind the sport's growth and success in MLS and deserve to be fairly compensated for their efforts, particularly in high-profile international tournaments like the Club World Cup.
