News

UNI Europa welcomes the recent decision by the Committee of Permanent Representatives (COREPER) to approve the public procurement legislative package, also linked to the proposal on the overhaul of concessions and public contracts awards. The revision of public procurement rules was identified as a priority in the Single Market Act exercise.



In view of the tri-logue negotiations, UNI Europa together with European trade union federations strongly argued in favour of the inclusion of a mandatory social clause to guarantee the respect of national labour laws and collective agreements in the place of work, when awarding public contracts in services. The revised rules regulating public procurement remain to be formally approved by the European Parliament from September 2013 onwards.



In line with trade union demands, the revision of public procurement rules introduces a mandatory social clause guaranteeing the respect of national labour law and collective agreements at the place of work. The quality of the ensuing service provision was raised in the hierarchy of award criteria and the lowest price is no longer the sole criterion under consideration when awarding public contracts.



Regrettably, COREPER did not approve the inclusion of a mandatory joint and several liability clause in the package, which would ensure compliance with national labour legislation throughout the supply chain, covering subcontractors in particular. The public procurement revised rules do not cover subcontractors’ obligations and responsibilities but improve transparency in the application of public procurement rules. Subcontractor’s liability is addressed in the revised concessions text but does not apply to all services.



Additionally, UNI Europa expresses its concerns as the public procurement package did not clarify the legal uncertainty around social, health, and cultural services which are categorised as ‘reserved contracts’. It remains unclear at this stage whether the enhanced public procurement rules would also cover these ‘reserved contracts’. UNI Europa reiterates its strong opposition to opening competitive market forces on these sectors which carry public interest functions.



UNI Europa will be monitoring closely the adoption of the revised public procurement package by the European Parliament and if need arises, will pursue its advocacy activities favouring fairer and more social public procurement rules with a special focus on the implementation of this legislative package.



Oliver Roethig, UNI Europa Regional Secretary, said: “Even if imperfect, the reached compromise, when correctly implemented, will drive the responsible award of public contracts and guarantee the respect of collective agreements and labour rights in the place where the work will be performed. By bringing in other considerations than just the lowest cost, the new package has the potential to considerably improve the lives and working conditions of workers carrying out public works in key services sectors such as private security, cleaning, and healthcare. Up to now, public procurement was subject to aggressive cost curbing, poor quality and declining working conditions. It is high time for Europe to ensure that public authorities spend public money in a responsible and fair way.”