Jose Canseco, last year's American League Most Valuable Player, avoided arbitration and nearly quintupled his salary by agreeing to a one-year contract with the Oakland Athletics Friday.

Canseco will earn $1.6 million in 1989 compared with the $335,000 he earned last year, his third full season in the major leagues.Canseco had sought $1.64 million in arbitration. The A's were offering $1.3 million.

Last season, Canseco became the first man in baseball history to hit 40 home runs and steal 40 bases in one season. He also is the first player to hit at least 30 home runs and drive in 100 runs in his first three full seasons.

He led the major leagues in 1988 with 42 home runs, 124 RBI and a slugging percentage of .569 while gathering the most votes of any member of the 1988 American League All-star team.