The Australian Competition and Consumer Commission today issued a final objection notice in relation to the collective bargaining notification* lodged by AMA Victoria on behalf of 39 Visiting Medical Officers at Latrobe Regional Hospital.
AMA Victoria proposed to collectively negotiate, on behalf of the doctors, contract terms and conditions, including fees, with Latrobe Regional Hospital, a base hospital in the Gippsland region of Victoria.
ACCC Chairman, Mr Graeme Samuel, said collective bargaining notifications are assessed on a case-by-case basis.
"In the Latrobe case, having considered the information before it, the ACCC considers that the public benefit to result from the arrangement would be limited.
"Hospitals are faced with workforce shortages and the need to engage specialists. There does not appear to be strong evidence of a disparity in bargaining positions between the group of doctors and the hospital."
Mr Samuel said the presence of different specialties in the group also reduces the public interest justification for collective bargaining.
"The ACCC is concerned that the coverage and composition of the group would lead to potentially anti-competitive outcomes.
"In particular, the ACCC considers that a potential price rise as a result of the proposed arrangements may force the hospital to operate with fewer medical practitioners, or rationalise services.
"Despite differences of opinion, the ACCC notes the open and constructive approach adopted by the AMA in relation to this matter and their efforts in addressing matters of interest to the ACCC," Mr Samuel said.
The final objection notice will be available from the ACCC's website.