The new regulations include measures aimed at ensuring compliance by suppliers with obligations under environmental, social and labour law. This includes obligations under European and international law and those in collective agreements.
The regulations enable these matters to be addressed at numerous points in a procurement procedure and for this reason this is sometimes referred to as a ‘cross-cutting social clause'.
What is new?
The cross-cutting social clause is reflected in -
- Discretionary exclusion grounds including exclusion of sub-contractors (see selection)
- Specifications (procurement documents) which can now address the production process and the opportunity to require social and environmental labels.
- Special contract performance conditions (procurement documents)
- Contract award criteria (which include social and environmental criteria) and mandatory rejection of abnormally low tenders where there is evidence of ‘social dumping'.