Fabulous scandal on the Romanian car market: the Competition Council targeted everyone

Most Romanians reduce the Romanian car industry to Dacia and Ford, but there are a lot of companies operating in this field in Mioritic lands and it seems that they all had an illegal deal. For this reason, the Competition Council has launched an investigation.

Renault Technologie Roumanie SRL, Alten Si-Techno Romania SRL, Akka Romserv SRL, Bertrandt Engineering Technologies Romania SRL, Expleo Romania SRL, Fev Ece Automotive SRL and Segula Technologies Romania SRL are the subject of an investigation initiated by the Romanian Competition Council. This is a first for our country, and the subject is a possible anti-competitive behavior on the specialized labor market in the field of car production and / or other related activities, such as components and systems for vehicles, testing or design.

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The car giants from Romania, under the spotlight

The competition authority has information on a possible coordination of the behavior of competing companies in order to share their skilled or specialized workforce in the automotive field. At the same time, there seems to be an agreement on the minimum level of wage rights. The practice is not new globally, but, if it proves to be true, it is a first for Romania.

As a reference, the subject of the investigation initiated by the Competition Council is the “no-poach” practice. This refers to an agreement by which companies decide by mutual agreement not to contact, recruit and / or hire people who work and / or have worked for any of the companies involved. This eliminates real competition between companies to attract employees, reflecting artificial barriers in the market, lowering labor mobility and keeping it captive. Basically, these agreements have the consequence of maintaining the level of salaries for those specializations at an artificial level, lower than the real one.

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Although the practice detailed above has a long global history, in Europe it has only been the subject of extensive investigations for a few years, with cases identified and sanctioned in Lithuania, Hungary, Poland and Portugal. In Romania, in the event that, during the investigation, the Competition Council finds a violation of the competition rules, the companies involved risk fines of up to 10% of turnover.

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