ACCC proposes to allow agents to collectively bargain with Tabcorp

The Australian Competition and Consumer Commission proposes to allow the TAB Agents' Association of New South Wales, on behalf of its members, to collectively negotiate agency terms and conditions, and resolve any disputes, with Tabcorp Holdings Limited.

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.

Authorisation provides immunity from court action for conduct that might otherwise raise concerns under the competition provisions of the Act.  Broadly, the ACCC may grant an authorisation when it is satisfied that the public benefit from the conduct outweighs any public detriment.

The association has been authorised to engage in similar conduct for the past five years.

"The proposed arrangements provide greater opportunity for TAB agents in NSW to have input into their contract terms and conditions, resulting in mutually beneficial commercial outcomes," ACCC Chairman, Mr Graeme Samuel, said today.

"The ACCC considers the proposed arrangements may also result in transactions cost savings and may lead to improved service quality for customers."

The ACCC notes that the proposed arrangements are voluntary and that Tabcorp does not object to the arrangements.

The ACCC's draft determination will be available from the ACCC website via the Public registers and Authorisations and notifications registers links.

The ACCC is seeking submissions from interested parties in relation to the draft determination before making its final decision. Parties wishing to make submissions should do so by 7 May 2009.  Please refer to the website for further information about making a submission to the ACCC.