Supermarkets to be fined if they mistreat suppliers, government confirms

The government has confirmed it will impose a mandatory behaviour code on supermarkets, focusing on how they treat their suppliers.

This was the main recommendation of a review conducted by former Labor minister Craig Emerson and finalised this week. The government will adopt all of Dr Emerson's recommendations.Former Labor minister Craig Emerson has told the government it should not force large supermarkets to sell off stores, but should fine them if they mistreat suppliers.The code will apply to supermarkets with annual revenue of $5 billion.

Alternatively, the fine could be up to $10 million, or 10 per cent of the supermarket's annual turnover if the benefit can't be determined. Under the current voluntary code, suppliers must have their case heard by 'arbitrators' appointed by the supermarkets themselves. That system has led to very few successful complaints.

"The review found that the current voluntary code is failing to address the imbalance of bargaining power between supermarkets and their suppliers, including farmers. Separately, the government has asked the ACCC to study supermarket pricing as it effects both customers and suppliers. An interim report is due by the end of August, but ACCC Chair Gina Cass-Gottlieb said that would not include recommendations.

Federal Government

Australia Latest News, Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Popular salami stripped from shelves at major supermarketsA popular brand of salami is being stripped from shelves at major supermarkets in various states over packaging issues.
Source: SkyNewsAust - 🏆 7. / 78 Read more »

Coles supermarkets introduce temporary purchase limit on eggsShortages have also been reported at other supermarkets as shortages linked to bird flu disrupt supply.
Source: 9NewsAUS - 🏆 10. / 72 Read more »

Three men with knives hold up two supermarkets in Melbourne's south-eastThree men with knives have assaulted workers, and stolen cash and cigarettes during two armed robberies at supermarkets in Melbourne's south-east on Saturday afternoon.
Source: abcnews - 🏆 5. / 83 Read more »

Crime-spree reported across Melbourne supermarketsA group of men are on a wild crime spree, terrifying supermarket staff at stores across Melbourne's south-east.
Source: 9NewsAUS - 🏆 10. / 72 Read more »

Police say arrests imminent in wake of armed robberies on four Melbourne supermarketsPolice believe a group of teenagers with kitchen knives are behind armed robberies on four supermarkets in Melbourne's south-east on Saturday afternoon.
Source: abcnews - 🏆 5. / 83 Read more »

Melbourne supermarkets targeted by men armed with knives7NEWS brings you the latest local news from Australia and around the world. Stay up to date with all of the breaking sport, politics, entertainment, finance, weather and business headlines. Today's news, live updates & all the latest breaking stories from 7NEWS.
Source: 7NewsSydney - 🏆 16. / 63 Read more »