ACCC proposes to grant authorisation to the Rural Doctors Association of Australia
The Australian Competition and Consumer Commission has issued a draft determination proposing to authorise* a collective bargaining arrangement put forward by the Rural Doctors Association of Australia.
The RDAA proposes to collectively negotiate with state/territory health departments the terms of contracts for GP visiting medical officers in rural areas, particularly with respect to payments for services provided to public patients and for on-call services. The RDAA does not propose to negotiate on behalf of other medical specialists.
The ACCC considers that the proposed collective bargaining arrangement may result in some public benefits in the form of small transaction cost savings and enhanced representation of rural doctors in dealings with state and territory health departments.
The ACCC considers that the voluntary nature of the proposed arrangement will mitigate against the potential for anti-competitive impact. In particular, it is likely that the proposed collective bargaining arrangement will only lead to an agreement it if is mutually beneficial to both parties.
The proposed authorisation will remove the legal risk associated with the RDAA negotiating with state/territory health departments on behalf of its members. It does not compel the state/territory health departments to negotiate with the RDAA. The state/territory health departments remain free to continue with their existing arrangements for GP visiting medical officer contracts.
The ACCC's draft determination will be available from the ACCC website.
The ACCC is seeking submission from interested parties in relation to its draft determination. Submissions can be made to: The General Manager, Adjudication Branch, Australian Competition and Consumer Commission, GPO Box 3131, Canberra, ACT, 2601. Submissions can also be lodged by fax on (02) 6243 1121 or by email to: adjudication@accc.gov.au.
*Authorisation provides protection from court action for conduct or arrangements that might otherwise raise concerns under the competition provisions of the Trade Practices Act 1974. Authorisation is granted where the ACCC is satisfied that the benefit to the public from the conduct outweighs any public detriment. A party to whom authorisation had been granted may also apply to the ACCC for a minor variation of that authorisation.