Scottish Procurement has issued a policy note about the living wage following advice sought from the European Commission. The Commission clarified that public bodies may encourage but cannot require contractors to pay the living wage. Tendering exercises cannot require the payment of the living wage as a condition of participation nor can they include the living wage as part of a contract performance clause according to the note.
Questions about the living wage have been included in the Government’s current Procurement Reform Bill consultation, which closes on 2 November 2012. In addition, John Park, MSP, has separately published a consultation looking at ways the living wage could be included in procurement and proposals for a new duty on Scottish Ministers to promote the living wage.
CCPS is holding a session on the procurement reform bill, including a presentation from the Scottish Government bill team, at our next membership meeting on 13th September 2012 in Glasgow (details about the meeting are here), and we plan to submit a formal response to the consultation.