Public consultation on JobsDB's proposed acquisition of JobStreet assets
- POSTED: 21 Aug 2014 21:21
As both JobsDB.com.sg and Jobstreet.com.sg offer recruitment-related services, the proposed acquisition would bring together the two main online platforms in Singapore with such services, and may spark competition concerns.
SINGAPORE: The Competition Committee of Singapore (CCS) is seeking views from market participants on plans by Seek Ltd and Seek Asia Investments to acquire certain assets of JobStreet Corporation, including JobStreet.com.
Seek Asia is the company behind online job portal, JobsDB.com.sg, which offers recruitment advertising services and recruitment solutions in Singapore. As Jobstreet's own platform, Jobstreet.com.sg, offers similar services in the same industry, the proposed acquisition would bring together the two main online recruitment advertising service providers in Singapore.
CCS is seeking feedback from market participants on competition concerns arising from the deal. Section 54 of the Competition Act prohibits mergers that have resulted, or may be expected to result, in a substantial lessening of competition within any market in Singapore.
CCS was first notified of the proposed acquisition in February 2014. It completed a review of the deal in April, but was unable to conclude that it would not raise competition concerns.
Subsquently, Seek Ltd and Seek Asia Investments have proposed making the following commitments to address potential competition concerns:
- They will undertake not to enter in exclusive agreements with employer and recruiter customers. This is to retain the current practice of utilising more than one online recruitment advertising service platform by employers and recruiters, as well as jobseekers.
- They will maintain current pricing of their services capped at present day rate cards or current day negotiated prices, subject to Consumer Price Index variations.
These commitments will be for a period of three years. CCS says it will make its decision on whether to accept or reject these commitments, following the market consultation exercise. More information can be accessed from the CCS website. The closing date for submissions is Sep 5.