France Deepens Probe of Staffing Firms

French Hiss: A French government agency is stepping up its investigation of three global staffing firms into allegations of price fixing and sharing commercially sensitive information, in violation of France’s antitrust laws. The probe centers on the French offices of Manpower Inc., Adecco Group and Vedior NV. The companies have issued separate statements that they are cooperating. The investigation stems from search warrants executed at the companies’ French offices in 2004.

Adecco said its French office has received a “statement of objections from the French Competition Council alleging exchanges of commercially sensitive information with competitors from 2003 to 2004 and a concerted practice in connection with one tender offer in France.” Adecco also said the French agency could impose a fine that “would not be material” to the Zurich, Switzerland-based firm.

Milwaukee-based Manpower has not commented publicly on the probe since a comment contained in a 2004 financial document. In the document, Manpower told shareholders that “the purpose of the investigation is to search for evidence of price fixing and allocation of market share within the French market.”

Vedior, based in the Netherlands, consistently has refused to comment on the matter other than a 2004 statement pledging cooperation with French officials. Ironically, Vedior last month received a waiver of the waiting period of the Hart-Scott-Rodino Antitrust Improvements Act of 1976 in connection with its recent acquisition of Alpharetta, Georgia-based consulting firm B2B Workforce Inc.