COMPAGNIA PORTUALE BRINDISI (Conclusion of the investigation)
PRESS RELEASE
The Italian Competition Authority has concluded its proceeding initiated last January and has found that Compagnia dei Lavoratori Portuali «N&S Briamo»' s conduct constituted an abuse of dominant position in the market of harbour activities in Brindisi, and, as such, violated Section 3 of the Competition Act.
The proceeding originated from a complaint filed by the National Committee of Harbour Users and Operators, which reunites the main associations of harbour companies, on behalf of the harbour company Brindisi - Imbarchi - Sbarchi (B.I.S.). According to the complainant, Compagnia Portuale di Brindisi - after B.I.S. won a public tender arranged by Enel for the handling of the coal and the cleaning of the coal-ships in the Brindisi harbour - refused, on occasion, to supply the labour which B.I.S. requested and at other times supplied unskilled labour or imposed on B.I.S. the overstaffing.
In fact, in compliance with law no. 84/94, which has reformed the national harbour legislation and has liberalised harbour activities, it is provided the presence of a residual and transitory monopoly in favour of the harbour companies, with regards to the supply to the authorized harbour operators, of labour to be hired or to be employed either in a temporary employment regime, or transfer regime. Indeed, given this provision, the harbour operators have to hire the labour supplied by the other harbour companies which, as such, hold a dominant position in the market of labour supply.
In this case, Compagnia Portuale di Brindisi, which also participated to the above mentioned tender and offered a price higher than the one offered by B.I.S., not only refused to supply B.I.S. with the labour necessary to carry out the harbour operations, but also hampered the company from performing its activities. In particular, Compagnia Portuale di Brindisi, declined to supply the names of its own workers which B.I.S., in compliance with law no. 84/94, requested in order to hire them. Compagnia Portuale di Brindisi justified its denial by asserting the impossibility to make a list of the overstaff, failing the enforcing ministerial decree. Compagnia Portuale said openly that they intended to reduce competition and, as such, wanted to damage B.I.S., which won the Enel tender. In fact, they did not make the list of the overstaff so as to delay the liberalisation of the harbour operations. Considering the seriousness of the infringements, even if mitigated by the short duration in some cases, the Authority has imposed on Compagnia Portuale di Brindisi an administrative fine equal to 1% of the company's total sales, for an amount of 37 million lire.
The Authority's decision confirms the advisory opinion submitted to the Government and the Parliament on June 13th, 1996. On this occasion, the Authority highlighted that the presence of a residual and transitory exclusive regime in favour of the harbour companies with regards to the supply of labour, in compliance with Section 21 of Law no. 84/94, and whose deadline has been always postponed by reiterated law decrees, could reduce competition in the market of harbour operations.