Public Sector Procurement
                  Response from UNISON Scotland to the
                  Scottish Executive Consultation Paper:
                  New Public Sector Procurement Directive 2004/18/EC
                October 2004
                Introduction
                This paper constitutes UNISON Scotland's response 
                  to the Scottish Executive consultation document ‘The Approach 
                  to Implementation in Scotland of the New Public Sector Procurement 
                  Directive 2004/18/EC.
                
                UNISON is Scotland's largest trade union representing 
                  over 150,000 members working primarily in the public sector.
                
                UNISON Scotland welcomes the opportunity to 
                  put forward our views regarding the implementation of the procurement 
                  directive.
                
                Response
                UNISON welcomes the aim of the new European 
                  Public Procurement Directive to modernise, simplify and clarify 
                  the provisions of the pre-existing Public Procurement Directives 
                  covering works, supplies and services.
                
                Legal certainty on the use of social and 
                  environmental criteria
                
                UNISON welcomes the legal certainty derived 
                  from the text of the New Directive. This makes it clear that 
                  contracting authorities are legally allowed to include social 
                  and environmental criteria in the evaluation and award of criteria 
                  as long as the criteria are linked to the subject matter of 
                  the contract as stated in Recital 1 and Article 26 of the Directive. 
                  This will ensure that there is no doubt that public authorities 
                  are able to consider employment issues, including statutory 
                  guidance and legislation on fair employment and to tackle the 
                  two-tier workforce as set out in PPP Staffing Protocol, The 
                  Local Government in Scotland Act 2003 and related guidance. 
                
                
                Article 25 - Sub-contractors
                
                UNISON believes that Article 25 of the new 
                  Directive should be transposed as mandatory rather than optional. 
                  This means that a contracting authority must ask tenderers 
                  to indicate any share of the contract s/he may intend to sub-contract 
                  to third parties and any proposed measures contained in the 
                  Best Value Code of Practice on Workforce Matters in local authority 
                  service contracts. It is therefore important for the public 
                  authority to have knowledge of the primary provider's plans 
                  for sub-contracting in order to comply with the staffing protocol 
                  and other guidance.
                Article 27 - Obligations relating to taxes, 
                  environmental protection, employment protection provisions and 
                  working conditions
                
                UNISON is of the view that Article 27 of the 
                  new Directive should be transposed as mandatory rather than 
                  at contracting authorities' discretion. If contracting authorities 
                  were required to state in contract documents where tenders can 
                  get information on these obligations, they would have to ask 
                  tenderers to show that they have taken them into account during 
                  the contract award procedure. Such a requirement would strengthen 
                  existing and planned guidance including the PPP Protocol. It 
                  would also support any future policies or legislation designed 
                  to tackle the two-tier workforce and promote a fair wages/fair 
                  employment agenda.
                
                Framework agreements
                
                UNISON is concerned about the potential lack 
                  of transparency of framework agreements which allows call-off 
                  contracts, without the need to go out to tender for each contract 
                  and advertise in the Official Journal of the European Union. 
                  Currently, when such framework agreements are made, employees 
                  are left in an uncertain position, not knowing if or when their 
                  service will be contracted out and their employment transferred 
                  to a service provider. It also raises difficulties regarding 
                  compliance with TUPE legislation, the Best Value guidance and 
                  the PPP Protocol provisions.
                
                UNISON suggests that guidance accompanying 
                  the regulations implementing the new Directive should require 
                  contracting authorities to ensure that trade unions and staff 
                  are consulted and involved in good time before each contract 
                  (call-off contract) is entered into under framework agreements.
                
                 
                For Further Information Please Contact:
                
                Matt Smith, Scottish Secretary
                  UNISONScotland
                  UNISON House
                  14, West Campbell Street,
                  Glasgow G2 6RX
                  Tel 0845 355 0845	Fax 0141 342 2835
                e-mail matt.smith@unison.co.uk