In a new report Competition Authority
and other competition authorities in the Nordic countries discuss how
Competition-limiting cooperation among companies can have a detrimental effect on terms.
of both wage-earners and consumers. The report then discusses how consultation
between companies that affects its staff can go against
competition law. A special emphasis is placed on companies' consultation regarding wages.
of staff as well as an agreement between companies not to recruit each other's staff.
It should, however, be noted here that the Competition Act does not cover wages or other
the remuneration of employees under collective agreements. When such agreements lapse,
The Competition Act, by its very nature.
„In times of significant
With price rises, it is important that workers can be assured that companies have the means to pay.
not in unlawful collusion about its election with negative consequences to form
their wages or their ability to improve their terms by changing jobs.
Does consultation like this also have the effect that the workforce does not seek out where
The need for as much as possible can have a negative impact on markets and innovation.
on them.“
Implementation in Europe as well as in the United States
indicates an increased focus by competition authorities on rooting out corporate collusion
concerning the terms and conditions of staff, as well as consultation on not hiring staff
competitors. The purpose of such consultation is, among other things, to work against an increase in wages. Have
Competition law infringements such as these have been eradicated and the companies concerned fined. In
The report discusses the impact of this in a Nordic context, but the labour markets on
The Nordic countries are considerably different in an international comparison, but there has
High participation in trade unions and industry associations has an impact.
„The report sheds light on one
the reason why effective competition and competition rules are important for the interests
of workers and the public. It is well known that active competition contributes to lower prices.
and better service. In addition, competition rules are designed to work
so that the wages of working people and their opportunities in the labour market are not diminished.
It is also important to consider
because in each case whether mergers of companies are likely to cause harm
the interests of wage-earners in an improper manner. There is also active monitoring of price-fixing.
and other restraints of competition necessary to ensure that the agreed
Wage improvements in collective bargaining agreements will actually improve the situation for wage earners.“
According to paragraph 2 of Article 2.
competition law No. 44/2005 the law does not cover pay or other terms of employment
employees under collective agreements. The same applies to competition rules.
of the EEA Agreement which is in force in this country. Companies are only permitted to have
cooperate on matters falling under the main objectives of the collective agreement with regard to
the terms and conditions of employment of workers, see the judgment of the EFTA Court of 19 April 2016. In the absence of such public collective agreements
Competition law, by its very nature, applies to, for example, relationships and contracts between
enterprises which may affect working conditions. This includes, for example, contracts or
business dealings which are intended to undermine terms that have been agreed
in collective agreements, can constitute an infringement of competition law.
In practice here in the country, has
attempting to impose restrictions on competition that are directly related to the terms and conditions of employment. In
Decision of the Competition Authority No. 33/2023 , Samskip's violation of the ban
illegal collusion, describes unlawful collusion which consisted of communication
companies about whether to pay their employees higher wages than stipulated
about in collective agreements. In a case that ended with judgments of the Supreme Court in 2016
For example, the oil companies had illegally colluded on how large a sum to give.
as a Christmas gift for the company's employees.
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