The Australian Competition and Consumer Commission has issued a draft determination proposing to allow Office Choice Limited, Office Brands Limited, Office Products Depot and their current and future Australian members and franchisees to continue to collectively bargain with office products suppliers.
The collective bargaining arrangement has been operating since it was first authorised by the ACCC in 2007.
“The ACCC considers that allowing these businesses to collectively bargain with suppliers, will assist them in competing with larger retailers and provide consumers with more competitive prices and greater choice,” ACCC Deputy Chair Dr Michael Schaper said.
The ACCC proposes to grant authorisation for a further six years.
The ACCC will seek submissions in relation to this draft determination before making its final decision.
The arrangements granted by the ACCC in 2007 expired on 22 October 2013. On 17 October 2013 the ACCC granted interim authorisation.
Interim authorisation allows the collective bargaining arrangement to continue until the ACCC makes a final decision about whether to re-authorise the arrangement.
Authorisation provides statutory protection from court action for conduct that might otherwise raise concerns under the competition provisions of the Competition and Consumer Act 2010. Broadly, the ACCC may grant an authorisation when it is satisfied that the public benefit from the conduct outweighs any public detriment.