WBC Paying For Teixeira While On The DL

This is a rule I had no idea about. According to Buster Olney, the WBC is paying the money that Mark Teixeira is owed while he’s on the disabled list. I assume that since the injury took place while he was  a part of the WBC, whatever body will cover the Yankees’ cost while out with his wrist injury. This equates to about $7-$8 million, depending on how long he’s out. This could explain the team’s sudden ability to spend, since they’ll be adding $13 million to the payroll over the next two years by acquiring Vernon Wells from the Angels. I have no idea how this affects the Yankees’ luxury tax, because few people even knew this existed up until tonight.

Ken Rosenthal adds, the WBC insurance covers players who are on the DL for over 30 days. It also covers players who return from the DL, and thereafter reinjure themselves.

Mike is the co-Editor-in-Chief of It's About The Money. Outside of blogging baseball, Mike is also a musician, a runner, and a beer lover.

6 thoughts on “WBC Paying For Teixeira While On The DL

  1. jerkblog

    The luxury tax hit depends. If WBC is considering the DL time as time assigned to the WBC and not to the major league club (which would be weird but possible) then the Yankees actual club payroll at the end of the year will have Teixeira's salary pro-rated.

    If its simply insurance and they are forking over money to the Yankees to cover it then the luxury tax hit stays the same, the Yankees just get money (like A-rod's contract insurance).

  2. jerkblog

    Ken_Rosenthal 1m

    WBC insurance covers salaries of injured players, source says. In general, player must miss at least 30 days for coverage to kick in.

    @Ken_Rosenthal 1m

    Once player misses 30 days, salary for missed time covered in full. Also, he can be covered if injured during WBC, then suffers re-injury.

    Seems like it has no luxury tax impact, just physical payroll impact.

  3. Andrew

    Also: just about anything else would have been a better use of that $7-8 million.

  4. jay_robertson

    shoot – too bad they couldn't have at least gotten Alex on the field for somebody's WBC team.

    • jay_robertson

      or even Pavano, back in the day.

  5. jay_robertson

    miss 30 days? Pavano? he could do that standing on his head.

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