Gerald Nash (Louth, Labour)
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32. To ask the Minister for Public Expenditure and Reform if the payment of a living wage and recognition of the industrial relations infrastructure of the State will be included as part of social policy objectives pertaining to public procurement; and if he will make a statement on the matter. [16822/20]

Michael McGrath (Cork South Central, Fianna Fail)
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Public Procurement is governed by EU and National rules. The aim of these rules is to promote an open, competitive and non-discriminatory public procurement regime which delivers best value for money. Discrimination against particular candidates on grounds such as nationality, organisational size or remuneration where such remuneration has not be provided for in national legislation could be considered in breach of the EU Procurement Regulations. There are legal remedies which may be used against any public body infringing the procurement rules.

Specifically, EU Regulations require tenderers to be compliant with relevant employment law in order to participate in a public procurement process. The Directives make it clear that non-compliance with the relevant obligations may lead to exclusion of a tenderer from the procedure for the awarding of a public contract. The obligations on suppliers in relation to compliance with employment law are reflected in the suite of tender documentation for goods and services developed by the Office of Government Procurement in conjunction with the Office of the Chief State Solicitor.

In relation to the inclusion of the living wage in public contracts, there is no legal basis in Irish law or national agreements to make this a requirement on suppliers who wish to engage in public tendering. In addition, at EU level, any attempt to set wage rates through public procurement is also likely be viewed as discriminatory and in breach of the EU Treaty principles and the EU Procurement Directives. Wage rates which have a legal underpinning, of course, apply to all contracts, public and private.