Northern Rivers Councils to collectively bargain with financial institutions

On 27 March 2019, Byron Shire Council, Ballina Shire Council, Clarence Valley Council, Kyogle Shire Council, Rous County Council and Tweed Shire Council (together, ‘the Councils’) lodged a collective bargaining notification seeking to jointly tender, negotiate and administer individual contracts with a financial institution for banking and bill payment services. All of the Councils’ previous transactional banking contracts expired on 31 December 2018 and Clarence Valley Council is coordinating a joint tender process.

The conduct notified constitutes collective bargaining under section 93AB of the Competition and Consumer Act 2010. The Councils do not propose to engage in collective boycotts. The expected outcome of the notified conduct is that the Councils will enter separate contracts with the financial institution that wins the tender. The contracts would operate for five years.

On 10 May 2019, the ACCC decided not to object to the notification, and to allow the immunity provided by the notification to remain in force until 1 April 2025, unless it is withdrawn or revoked.

Copies of the notification and our Statement of Reasons are available on our public registers at: Byron Shire Council, Clarence Valley Council & Ors.

Published date: 
10 May 2019