ACCC allows ClubsNSW to collectively bargain with Tabcorp and Sky Channel
The Australian Competition and Consumer Commission has not objected to the collective bargaining notifications* lodged by ClubsNSW for collective negotiations with Tabcorp and Sky Channel.
ClubsNSW proposes to collectively bargain, on behalf of its 332 members, with Tabcorp and Sky Channel to determine the terms and conditions, including fees, for the supply of wagering and racing broadcast services.
"The ACCC considers that the collective bargaining arrangement will provide NSW clubs with greater opportunity for input into their contract terms and conditions with Tabcorp and Sky Channel," ACCC Chairman, Mr Graeme Samuel, said.
"The ACCC considers that the possible anti-competitive effect of the collective bargaining arrangement is limited given the arrangement is voluntary and does not involve potential boycotts."
The notifications were lodged under the collective bargaining process. This process offers a more affordable and streamlined approach for small business to gain approval to get together to collectively bargain with a larger supplier or acquirer of goods and services.
Mr Samuel said under the process the ACCC was able to issue its decision on the ClubsNSW arrangements in under four weeks.
The ACCC will only object to and remove the immunity provided by a collective bargaining notification when it is satisfied that any public benefits from the proposed collective bargaining arrangement would not outweigh the public detriments.
Protection afforded by the notifications will commence on 9 December 2008 and will last for three years.
As with any notification, the ACCC may review the notification at a later stage should concerns arise.
For media inquiries to the ACCC Chairman, Mr Graeme Samuel, please call Ms Lin Enright, ACCC Media, on (02) 6243 1108 or 0414 613 520.
For general inquiries, please call the Infocentre: 1300 302 502.
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*Collective bargaining refers to two or more competitors collectively negotiating terms and conditions with a supplier or customer. Without protection, it can raise concerns under the competition provisions of the Trade Practices Act 1974.
Small businesses can obtain protection from legal action under the Act for collective bargaining arrangements by lodging a notification with the ACCC. Provided the ACCC does not object to the notified arrangement, protection commences 28 days after lodgement.
The ACCC may object to a collective bargaining notification if it is satisfied that any public benefits from the proposed collective bargaining arrangement would not outweigh the public detriments (and substantially lessen competition for notifications that do not concern price fixing or exclusionary conduct).
