Written answers

Tuesday, 18 October 2005

Department of Enterprise, Trade and Employment

Competition Legislation

9:00 pm

Photo of Pat RabbittePat Rabbitte (Dublin South West, Labour)
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Question 502: To ask the Minister for Enterprise, Trade and Employment if his attention has been drawn to the serious difficulties created for actors, musicians and freelance journalists by the manner in which the Competition Authority is interpreting competition law, treating such workers as if they were commercial companies and as such not entitled to band together to seek improved fees, terms or conditions; if he will amend the law in order to remove any ambiguity and to ensure that such workers are entitled to be members of a trade union and collectively represented; and if he will make a statement on the matter. [29030/05]

Photo of Micheál MartinMicheál Martin (Cork South Central, Fianna Fail)
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The aim of the Competition Act is to prohibit anti-competitive practices by undertakings such as price fixing and-or the abuse of a dominant position. The Act applies to all sectors of the economy. An "undertaking" is defined as "a person being an individual, a body corporate or an unincorporated body of persons engaged for gain in the production, supply, or distribution of goods or the provision of a service". This definition has been in use in Irish competition law for some time and is supported by EU case law. The view expressed by the Competition Authority in its investigation into price fixing involving the Equity trade union and the Institute of Advertising Practitioners in Ireland was in respect of that particular case only. The parties to the investigation do not appear to have taken issue with the authority's view as they entered into undertakings with the authority in settlement of the case, thereby avoiding the necessity of going to court. Only the courts who can interpret the law. The authority's decision, which describes how it came to its view in the matter, is published on its website, www.tca.ie. The authority, in its decision, states that while it is perfectly legal for a trade union to represent employees in collective bargaining with their employers, its trade union mantle cannot exempt its conduct when it acts as a trade association for self-employed contractors.

In considering the question of whether an exemption from competition law should be provided for actors, musicians and freelance journalists, therefore, we need to bear in mind that a similar argument could be made for almost any group of self-employed contractors, such as barristers, farmers, publicans, doctors, pharmacists etc, who, by coming together, adding union to their name and getting a negotiating licence, could circumvent the protections afforded to consumers by the Oireachtas under the Competition Act.

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