Turkish Competition Authority investigates 37 automotive suppliers

The Turkish Competition Authority has launched a formal investigation into 37 companies and two associations within the automotive supply industry regarding potential anti-competitive practices in the labor market.

The investigation follows a preliminary inquiry into the TOSB Automotive Supply Industry Specialized Organized Industrial Zone and its members. Authorities suspect that companies may have entered into “gentlemen’s agreements” to refrain from hiring each other’s employees. Additionally, the probe will examine whether firms shared sensitive information regarding employee wages and working conditions through meetings held within TOSB and the Automotive Suppliers Association (TAYSAD), as well as other communication channels.

The Competition Board determined that there is “serious and sufficient” suspicion that these practices may have restricted market competition. The investigation will focus on whether these actions violate Article 4 of the Law on the Protection of Competition.