CCI disposes of case against cine employees federation, others

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New Delhi | Published: April 26, 2018 7:35:19 PM

The Competition Commission has disposed of a complaint alleging unfair business practices against Federation of Western India Cine Employees (FWICE) and its 20 affiliates with regard to certain directives including fixation of wages.

Competition Commission, FWICE, Indian Motion Picture Producers Association, Competition Act, fixation of wages of artistsThe directives pertained to observing mandatory holidays on second Sunday of every month in addition to a list of holidays for the year 2017 on religious occasions and wage hike of 22 per cent in the wage rate of craftsmen, among others.

The Competition Commission has disposed of a complaint alleging unfair business practices against Federation of Western India Cine Employees (FWICE) and its 20 affiliates with regard to certain directives including fixation of wages. The complaint was filed by Indian Motion Picture Producers’ Association. It was alleged that FWICE and its 20 affiliates issued directives to the complainant and its members in contravention of the provisions of Section 3 and 4 of the Competition Act. FWICE is a federation of different craft associations related with the film industry in Western India (Mumbai-based film and television industry). While Section 3 of the Competition Act deals with anti-competitive agreements, Section 4 pertains to abuse of dominant market position.

The directives pertained to observing mandatory holidays on second Sunday of every month in addition to a list of holidays for the year 2017 on religious occasions and wage hike of 22 per cent in the wage rate of craftsmen, among others. Noting that an earlier order of the regulator in a different matter has “already settled” its position on the issues raised in the present complaint, the Competition Commission of India (CCI) disposed of the complaint.

With regard to the circulars directing the producers to observe holidays including festivals and second Sundays of every month, CCI said it has already observed in the earlier case that matter of ‘fixing holidays’ is not within the domain of the Act.

“With respect to fixation of minimum wages, it was held that though prescribing wages has the effect of fixation of price of services, wages and increment being also a part of conditions of labour/ term of employment can fall within the realm of legitimate trade union activities when it is duly negotiated by a registered trade union.

Thus, the same is not anti-competitive,” CCI said. The fair trade regulator said since it has already dealt with the allegations in respect of the conduct of the opposite parties, it is not expected to do the same again and again and deal with successive informations filed for the same conduct against the same parties by separate orders. Thus, the commission is of the view that no further deliberation upon the allegations is required as they have been dealt with in the earlier decision, CCI said.

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