Collective bargaining victory for Australian poultry farmers
Granted by the Australian Competition & Consumer Commission (ACCC), the South Australian Baiada Growers Group, members of which are all currently contracted to Baiada Poultry, are now eligible to collectively negotiate terms and conditions of contracts. The authorisation is valid for 10 years and participation in collective bargaining is voluntary for all 20 broiler chicken farmer members.
The ACCC is allowed to grant an authorisation when it is satisfied that the public benefit resulting from the conduct outweighs any public detriment. Authorisation is sought as the proposed conduct may contain a cartel provision or may have the purpose or effect of substantially lessening competition.
In November 2017, the ACCC had granted interim authorisation to allow the group to begin collective contract negotiations, but not enter into any contracts with Baiada.
ACCC commissioner Mick Keogh said: “Collective bargaining will likely reduce costs for both Baiada and farmers as they will be able to engage in a single collective negotiation process, rather than a series of separate individual negotiations.
“This arrangement may lead to more efficient contracts that better reflect the circumstances of the Growers Group and Baiada, which can ultimately benefit consumers through cheaper prices.”
The ACCC has previously authorised similar collective bargaining arrangements for chicken growers in Queensland, Victoria, Western Australia, Tasmania, and chicken growers in South Australia who provide growing services to Inghams Enterprises Pty Ltd.
