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Photo credits @ Flickr/ Nelso Silva

Spanish competition authority investigates rail freight sector as logistics staff call strike in La Rioja

Spain's National Commission for Markets and Competition (CNMC) is currently investigating possible unfair practices in the rail and electricity sectors. At the same time, workers in the transport and logistics sector in La Rioja have decided to stop work and go on strike due to a “deadlock" in the collective bargaining process in the province.

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When it comes to the former story, the National Markets and Competition Commission (CNMC) in Spain is currently investigating potential anti-competitive practices in rail freight transport and rail traction services for transporting goods.

The authority says the investigation is focused on examining whether certain companies in the Spanish railway sector have engaged in actions that hinder fair competition and violate competition laws.

Between October 24 and October 27, 2023, the CNMC conducted surprise inspections, referred to as “dawn raids,” at several companies operating in the Spanish railway sector. These dawn raids are an initial step in the investigation process and serve as a means to gather evidence.

If anti-competitive practices are discovered, they could be in violation of Spanish competition laws (Articles 1 and 2 of the Spanish Competition Act) and European Union competition laws (Articles 101 and 102 of the Treaty on the Functioning of the European Union). Some of these practices may also breach the CNMC’s Decision of February 28, 2017, in case S/DC/0511/14.

It’s important to note that these inspections do not determine guilt or the outcome of the investigation; they are a preliminary step that could potentially lead to the initiation of formal infringement proceedings.

The CNMC emphasizes that agreements between competitors and abuses of dominant market positions are considered serious violations of competition law, and companies found guilty of such violations could face fines of up to 10% of their total turnover from the preceding financial year.

Meanwhile, at the same time, in response to what workers perceive as a deadlock in provincial collective agreement negotiations, logistics and transport sector workers in La Rioja have unanimously decided to go on strike.

The strike is scheduled to take place on specific days between November 5 and 10, and from November 12 to 17.

However, the workers’ representatives have expressed openness to negotiation before the strike.


Photo credits @ Flickr/ Nelso Silva

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