The Toronto Blue Jays new management group has decided to go ahead and try something rarely done by the Blue Jays of old. Mark Shapiro and Ross Atkins recently signed Gavin Floyd to an incentive-laden deal. Incentives can be extremely complicated or very simple, depending on the contract. Teams commonly use them to help control risk.
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In the MLB, you can give out performance bonuses. The term “performance bonus” leads you to believe that they can be based on performance itself. While you can receive an incentive based on making the All-Star team or winning a Cy Young Award, it is important to note that you cannot receive an incentive for a statistical season milestones such as strikeouts or walks allowed.