1. The trade unions perspective Legal Affairs Committee Hearing on Public Procurement 30th May 2012 By Kathleen Walker Shaw GMB Trade union and EESC Member

2. The context of the Procurement Directives Freedom of public contracting authorities to choose how they organise and provide services – supported in EU Treaties wide discretion to provide through own resources – in-house and public-public co- operation outside of the scope of EU Directives Directives apply when a contracting authority decides to go out to market

3. Fundamental principles Is the aim of the Single Market: To promote unscrupulous employers over responsible employers? To fuel social dumping of workers across the EU and globally? To undermine the value of and respect for quality? If the answer to these questions is no then we need strong provisions in the Public Procurement Directives to counter this.

4. Continued.. Public Contracting involves the use of public money, taxpayers money – our money Use of public money comes with responsibilities Public money should not fund practices which undercut wages, working conditions and social and employment rights

5. Key priorities for trade unions Include ILO Convention C94 Labour Clauses in public contracts Ensuring adherence to employment rights and conditions including collective agreements– consistent wording: taxation and social security obligations, employment laws, protections and working conditions which apply where the work, service or supply is to be performed as set out by national legislation and/or collective agreements and with obligations established by international labour law provisions listed in Annex XI.

6. Priorities continued.. Removal of lowest price award criterion Strengthen exclusions and abnormally low tenders to stop social dumping Prevent abuse in subcontracting – joint and several liability and limiting chain Life-cycle characteristics implicitly include socially sustainable production processes. More emphasis on sustainable procurement needed

7. Thank You for the invitation to join you at this Hearing