U.S. investors are commodifying Dominican ballplayers

32 Comments

In today’s New York Times Michael S. Schmidt  reports that U.S. investors, many of whom are unconnected to Major League Baseball, are setting up training academies in the Dominican Republic with the sole purpose of profiting on draftees’ signing bonuses:

Recognizing that major league teams are offering multimillion-dollar contracts to some teenage prospects, the investors are either financing upstart Dominican trainers, known as buscones, or building their own academies. In exchange, the investors are guaranteed significant returns — sometimes as much as 50 percent of their players’ bonuses — when they sign with major league teams. Agents in the United States typically receive 5 percent.

Some of the investors in this game have some tenuous connection to Major League Baseball, such as former Yankees’ crown prince Steve Swindal,  but Schmidt reports that most are just random profit-seekers, such as “a real estate lawyer from New Jersey, a dentist from California and a computer salesman from upstate New York.”  In essence they’re American buscones who, instead of finding a random kid to flip to a Major League team, are working on a bulk model.

I can put on my commie hat — yes, I own one — and declare, with at least some degree of honesty, that all development of young baseball talent involves exploitation. At least in the way that term is technically defined.  Even a prospect from an upscale Southern California suburb is “exploited” in that his talents are obtained and then used by Major League Baseball so that it might profit off his labors in an amount that exceeds what he is initially paid while he is simultaneously prohibited from taking his labor elsewhere.  On some cold level he is an investment vehicle for agents and teams, and we obviously have no problem with this.

But this is different. Different than Major League teams setting up their own academies. Different than baseball setting up an international draft. At least in those instances baseball is or would have a longer game in mind, in that they would seek to recoup their investments by having players develop into prospects and one day have productive careers. And, even if the vast majority of players don’t make it, there are public relations and regulatory means through which Major League Baseball could be compelled or persuaded to make sure that the circumstances under which they house and train these kids are adequate, safe and ultimately beneficial to even the non-prospects.  I mean, Felipe Alou or someone of his stature could shame baseball into doing the right thing by these kids if it was found that it wasn’t.

But who — besides Michael S. Schmidt — is watching some real estate lawyer from New Jersey, a dentist from California and a computer salesman from upstate New York, none of whom have a reason to care a lick about these kids after they’re signed or, in most cases, passed over?  What motivation do they have beyond maximizing signing bonuses and keeping costs low in the meantime?

None that I can see.  And even if the lawyer, the dentist and the computer salesman Schmidt mentions are running clean tight ships, the nature of investment for investment’s sake is such that, eventually, there will be a race to the bottom in an effort to maximize profits. I mean, the first guy who bundled mortgages was probably pretty prudent about it.  He probably kept good files and made sure that only  top quality paper got sold.  Things, however, eventually got out of hand. Because that’s what happens when the only goal is to turn a profit in the short term.

Blue Jays acquire Tom Koehler from Marlins

Getty Images
Leave a comment

The Blue Jays acquired right-hander Tom Koehler from the Marlins in exchange for minor league right-hander Osman Gutierrez and cash considerations, the clubs announced Saturday. Koehler is in his sixth year with the Marlins and stands to make $5.75 million in 2017. He’ll be arbitration eligible in 2018 and is set to enter free agency by 2019.

The 31-year-old right-hander struggled to a 7.92 ERA, 4.7 BB/9 and 7.1 SO/9 over 55 2/3 innings with Miami in 2017. He was optioned to Triple-A New Orleans in late July, where he rebounded with a 1-1 record in seven starts and whittled his ERA down to a 1.67 mark. The Blue Jays have yet to establish Koehler’s role within their organization, but are hoping to see a turnaround from the righty when he breaks back into the big leagues.

Gutierrez, 22, was assigned to Single-A Greensboro on Saturday. He has yet to find his footing in the minors, and exited a 78-inning stint with Single-A Lansing after racking up a career-worst 7.85 ERA and 8.2 SO/9. His lack of control is particularly alarming, with a 6.2 BB/9 that dwarfs the 2.0+ BB/9 of seasons past, but he still has plenty of time to figure out his mechanics before reaching the Show.

Dodgers place Yu Darvish on 10-day disabled list with back tightness

Getty Images
1 Comment

In a flurry of roster moves, the Dodgers placed Yu Darvish on the 10-day disabled list with back tightness, the team announced Saturday. Darvish was removed from his start on Wednesday after experiencing back pain and is expected to skip his scheduled start in Pittsburgh next Tuesday before returning to the roster. Left-hander Edward Paredes was recalled from Triple-A Oklahoma City in a corresponding move.

This is the first disabled list stint of the year for the 31-year-old right-hander, who exited Wednesday’s outing with a 3.83 ERA, 2.8 BB/9 and 9.9 SO/9 over 155 innings for the Dodgers and Rangers in 2017. Darvish told reporters that he felt comfortable continuing to pitch even after the diagnosis, but wanted to respect the team’s decision going forward.

The Dodgers have not officially announced Darvish’s replacement, but will likely turn to right-hander Brock Stewart for a spot start when they polish off their seven-game road trip next week. It’s been a rough weekend for the NL West leaders, who are still waiting on Clayton Kershaw‘s return and lost lefty reliever Grant Dayton to elbow discomfort on Friday.