Come February, the ACT Government will introduce a new procurement process that it says will ensure government contracts go to the most ethical suppliers, raising the bar on workers’ rights and safety.
The new Ethical Treatment of Workers assessment will be used for procurements that require a Secure Local Jobs Code Certificate, have a total estimated value of $200,000 or more, and are conducted by open tender.
Under this new process, the ACT Government will assess suppliers against criteria which consider their compliance with the Secure Local Jobs Code and alignment with the government’s Fair and Safe Conditions for Workers procurement value.
This assessment will determine whether a supplier is eligible to proceed for assessment against other procurement criteria like capability and price. It is designed to ensure that government agencies consider employment and safety outcomes for workers as a key factor in procurements.
“We want Canberra to be a place where good jobs are available for everyone,” said Chris Steel, ACT Special Minister of State. “Strengthening our procurement framework is an important way to ensure the ACT Government is only doing business with companies that do the right thing by their workers.
As the ACT Government embarks on what it says is the ACT’s biggest-ever investment in infrastructure, Mr Steel said the procurement framework was important to ensure that local construction workers and companies benefited.
Mr Steel said the new assessment would also ensure a level playing field for businesses, so that ethical companies were not undercut by firms that did not take workers’ rights or safety seriously.
This framework would make the Secure Local Jobs Code established in 2019 more effective, said Mick Gentleman, ACT Minister for Industrial Relations.
The 2020 review of the operation of the Secure Local Jobs Code recommended implementing a two-stage process to assess suppliers for their compliance with employment and safety standards, Mr Gentleman noted.
“We are acting on that recommendation to raise the bar for workers through the government’s own significant purchasing.
“This will support local businesses that do the right thing, while giving other companies a strong incentive to improve their practices to deliver fairer and safer workplaces across the Territory.”
The Ethical Treatment of Workers Evaluation and associated guidance materials were developed by Secure Local Jobs Code Branch and Procurement ACT, in consultation with the Secure Local Jobs Branch Advisory Council, comprised of business and union representatives.
Policy and guidance material on the Ethical Treatment of Workers evaluation will be available on the Procurement ACT website in early 2022.