Uncategorised

NSW Poultry farmers allowed to collectively bargain

The ACCC has granted authorisation for members of the NSW Farmers’ Association who grow chicken, turkey and duck meat, to collectively bargain with processors.

Under the collective bargaining arrangements, poultry growers will form common interest ‘grower groups’ to collectively bargain the terms and conditions of contracts with the relevant poultry processor.

Currently there are 5 chicken and turkey processors in New South Wales – Inghams Enterprises, Baiada Poultry, Red Lea Chickens, Cordina Chicken Farms, Summertime Chicken, and one duck processor – Pepe’s Ducks.

Authorisation will chicken and turkey growers them to continue to collectively bargain with processors arrangements if the NSW legislation is removed, and for duck growers to begin collectively bargaining.

“Collective bargaining allows poultry growers to share transaction costs, such as employing expert advisors, which can improve their input into contracts,” ACCC deputy chair Dr Michael Schaper said.

“The arrangement may lead to more efficient contracts, which better reflect the circumstances of the growers and processor.”

The ACCC has granted authorisation for ten years.

Authorisation provides immunity from court action for conduct that might otherwise raise concerns under the competition provisions of the Competition and Consumer Act 2010.

The ACCC may grant authorisation when it is satisfied that the public benefit from the conduct outweighs any public detriment.

 

Send this to a friend