NZGA seeks authorisation to engage in collective bargaining with Southern Cross
The Commerce Commission has received an application from New Zealand Gynaecology Association Inc (NZGA) on behalf of its members, seeking authorisation and interim authorisation to collectively negotiate with health insurance company Southern Cross and hospitals over the provision of gynaecology ser…
The NZGA seeks authorisation to collectively negotiate the terms on which its members will provide private gynaecological services to Southern Cross-insured patients.
Authorisation is sought for NZGA and its members to collectively negotiate and subsequently enter an agreement for a period of up to ten years, and to enter a standstill agreement for up to six months.
The application follows changes proposed by Southern Cross to the contractual framework between patients, hospitals, Southern Cross, and gynaecologists.
Authorisation would allow NZGA and its members to plan and prepare for collective negotiation with Southern Cross and/or hospitals, including by exchanging information to the extent necessary, commence negotiations, and to enter into and give effect to bilateral agreements based on a common set of reference terms as collectively negotiated.
It would also allow NZGA and its members enter into a standstill agreement to defer members from bilaterally contracting with Southern Cross while the collective negotiations are taking place.
The Commission invites parties who have an interest in the proposed arrangements to provide comments on the likely benefits and detriments of the proposed arrangements, including any likely competitive effects.
Public submissions on the application can be sent by email to registrar@comcom.govt.nz with the reference ‘NZGA Authorisation’ in the subject line. Any submissions should be received by close of business on Tuesday 9 June 2026.
The Commission has published a statement of preliminary issues relating to this application. The statement outlines the key issues that the Commission considers important in deciding whether or not to grant authorisation for NZGA’s proposed arrangements.
The statutory deadline for making a determination on this authorisation is 22 October 2026.
The Statement of Preliminary Issues and a public version of the application for authorisation is available on the Commission’s case register.
Background
The NZGA is an industry representative organisation that represents and advocates for the interests of gynaecologists. It represents the majority of private gynaecologists in New Zealand.
The NZGA’s members provide gynaecological surgical and associated services to women and their unborn or newborn children in public and private practice settings.
Southern Cross Medicare Care Society (trading as Southern Cross Health Insurance) is New Zealand’s largest health insurance provider. Its more than 945,000 members represent approximately 60% of the health insurance market (by customer numbers) and it pays 68% of the value of all health insurance claims paid in New Zealand.
It shares the Southern Cross brand with other businesses including Southern Cross Healthcare Limited, which operates a network of hospitals across New Zealand.
Authorisations
Competition law recognises some agreements that lessen competition or contain cartel provisions may have public benefits that outweigh the detriments arising from the agreement.
In such cases, firms can voluntarily apply to the Commission for authorisation.
The Commission may grant authorisation under section 58 of the Commerce Act 1986 (the Act) for agreements that may otherwise breach the Act if it is satisfied that the agreement will in all the circumstances result, or be likely to result, in such a benefit to the public that the conduct should be permitted.
The Commission’s Authorisation Guidelines explain when anti-competitive agreements that may lessen competition will be authorised under section 58 of the Act, and our process for determining such authorisation applications. A copy of the guidelines can be found on the Commission’s website.