Oireachtas Joint and Select Committees

Wednesday, 16 February 2022

Select Committee on Social Protection

Estimates for Public Services 2022
Vote 37 - Social Protection (Revised)

Photo of Heather HumphreysHeather Humphreys (Cavan-Monaghan, Fine Gael) | Oireachtas source

The committee is aware that there is a live procurement process for the new local area employment service. I am, therefore, unable to answer specific questions about any matters pertaining to the procurement process. The deadline for tenders is 21 March. My Department has amended phase 2 to take into account many of the issues raised following phase 1. Changes have been made to the evaluation criteria with more marks awarded to social value. Other changes include increased minimum referrals, up-front payments and a reduction in reference contracts and turnover requirements. As we all know, the legal advice is clear. I have advised the committee and the Dáil. I have no choice but to have an open and competitive procurement process for employment services and my Department must comply with its legal obligations. We are procuring a new local area employment service in two distinct phases. Phase 1 is the process for procuring new employment services and involves seven counties in the midlands and the north west without a local employment service. Contracts were signed last December and services are in the process of being mobilised. Phase 2 has commenced. We published the request for tender in December. It involves 17 lots covering 19 counties. The closing date for tenders is 21 March.

That provides additional time for organisations to work collaboratively together. Services for this phase are due to begin in July 2022. The evaluation of bids for both phases is based on the quality of service offered and an organisation's ability to work with a range of local partners and stakeholder networks in the best interest of their clients.

I am aware of media reports referring to the potential involvement of certain multinational companies. Obviously, I cannot comment on potential bids in what is a live procurement process. However, I would like to take this opportunity to reiterate that 80% of the award criteria marks in the local employment service requests for tender are dependent on the quality of the service, community linkages, and impact on social value. I am confident community-based providers who work collaboratively and submit high-quality competitive bids will be in a strong competitive position to secure a contract under phase 2. This "quality first" approach will ensure that, as we expand employment services throughout the State, we retain a focus on providing the best possible service to the long-term unemployed. Our priority is to provide the service to the customer.

I know some people are concerned that there will be a loss of community focus. That is not my intention nor my Department's intention. I instructed my officials that these employment services must have a strong local focus, and this will be evaluated as part of the tender evaluation process. I am pleased the RFT reflected these instructions. I wanted to make sure that community focus was there. I have responsibility for all communities across the State. Currently, there are no local employment services in 14 counties and only partial coverage in some of the other counties, such as Galway and Wicklow. By summertime, I expect all 26 counties to have an appropriate service for the long-term unemployed. I thank the Deputy for raising this issue. I hope I answered all the Deputy's questions.

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