3rd June, 2021 ยท Media Release

Automotive Dealers Welcome Collective
Bargaining Class Exemption

The peak body representing franchised new car Dealers has welcomed the collective bargaining class exemption which is now ready for use.

“This is a welcome and important development for franchised new car Dealers as it provides a much simpler process for them and their representative Dealer Councils to seek permission to collectively bargain with Manufacturers,” AADA CEO James Voortman said.

“We are going through a period of significant change in the automotive industry, and it is more important than ever that Dealers are able to come together and raise their shared concerns with the Manufacturers they are franchised to,” he said

“The collective bargaining exemption comes only two days after the Government released reforms to the Franchising Code of Conduct, including specific protections for automotive Dealers. Together these initiatives will deliver greater fairness for Dealers in their commercial agreements with car Manufacturers,” he said.

“We are delighted that our members can now utilise this exemption through a simplified process giving them the comfort that they are not potentially breaching competition law,” Mr Voortman said.

“This is a welcome initiative from the ACCC which will foster better relations between franchisees and franchisors,” he said.

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