The document discusses competition in sports labor markets. It notes that these markets are not perfectly competitive due to high entry barriers and special limitations of athletes. Restrictions imposed by sports associations can limit competition for players. While some cooperation is needed for the market to function, competition authorities analyze issues like wage-fixing agreements and no-poach agreements between employers which are considered anti-competitive. The document also describes a case in Colombia where soccer clubs were alleged to have engaged in a no-poach agreement regarding players.

1. Competition in the Sports Labour
Market
Maria Claudia Martínez Beltrán

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• Special market
• Not perfectly competitive.
• High entry barriers.
• Workforce with special limitations
• Sports fans are special market agents
• Market agents do not always act
logically
2
Sports Labour Market

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Why competition law is important in
Sports Labour Markets
• Special market characteristics which restrict the market.
• Restrictions imposed by sports associations or agreed
among clubs, can restrain competition for players.
• Some restrictions are needed for the market to best
perform.
• Some cooperation between competitors is needed.

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Key issues analysed by Competition
authorities
• Employers agree on salaries
and wages or on any other
aspect of the compensation
policy to employees
Wage-fixing agreements
• Employers renounce to
compete for the employees’
labour
• Agreements considered “per se” infringements.
No-poach agreements

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Key issues analysed by Competition
authorities
Such as:
• Formalities
• Transfer windows
• Limit on the number of
players that can be employed
• Restriction on nationality
• Financial conditions
Transfer rules
• Assessed under the rule of
reason, as there are potential
positive effects.
• Contractual stability
• Competitive balance
• Team loyalty

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Case in Colombia: Soccer league
Involved parties
División Mayor
del Fútbol
Colombiano
(DIMAYOR)
In charge of
Colombian
Professional
Tournaments
16 professional
soccer clubs &
12 individuals
Superintendencia
de Industria y
Comercio
Colombia’s
competition
authority

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• List of players with whom clubs
could not negotiate
• Pressure players to negotiate
through their former employer
Alleged
violation:
No-poach
agreement

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• FCF (Federación Colombiana de Fútbol) &
the remaining 20 clubs joined the
remedies agreement.
8
Current state of affairs
In 2022, it ended via remedies
• SIC: current execution of remedy is not
enough and it is revoked.
• Initial Clubs must prove they do not veto
their players
In 2023, it was reopened