Agenda

TURKISH COMPETITION AUTHORITY FOUND THE AGREEMENT ON WAGES AS VIOLATION OF ANTITRUST RULES

22/05/2020

 

Turkish Competition Authority (TCA) found the agreement on wages, between the undertakings carrying out container transportation, as an antitrust violation.

In the decision, it was not deemed necessary to define the relevant product and geographic market, and it was stated that the relevant geographic market could be determined as “main road routes from and to Izmir ports”. In the light of the documents obtained, TCA has determined that the said undertakings aimed to fix employees’ salaries and prevent the transition of the employees between the undertakings. The Authority also stated that the aforementioned behaviors between the parties were intending to restrict competition.

TCA evaluated that the daily wages were at different levels and no major overlap was detected and price alignment was in line with the minimum wage levels determined on a yearly basis. Therefore the agreement was fount to have a no noticeable effect on the market.

Consequently, TCA concluded that there is no need to start an investigation at this stage within the framework of the principle of procedural efficiency considering that the undertakings do not have a large purchasing power, the minimum wage-focused approach to determining salaries reduces possible effects, alleged violations are clarified in the pre-investigation phase and geographical dimension of the relevant market is limited. (TCA Decision - 02.01.2020, 20-01/3-2)

 

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