ILO core conventions and sustainable supply chains
Contracting authorities and entities are in certain cases mandated to stipulate labour law requirements if it is necessary. This means that there is a risk of unfair working conditions during the performance of the contract. If the work is performed in countries where Swedish law is not applicable, requirements according to the ILO core conventions must be included in the procurement document.
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| Requirements under the ILO core conventions | Core | Special contract terms | Requirements under the ILO core conventions | ||
Criterion information The contract terms on the basic level aim to ensure that the supplier has effective risk management regarding workers' rights under the ILO core conventions in its own operation as well as in the supply chain regarding subcontractors who are directly involved in the performance of the contract. Criterion text 1. The supplier's obligation Throughout the entire contract period, the supplier shall apply the contract terms under item 1-4. The contract shall be fulfilled in accordance with the following terms regarding workers’ rights:
The terms regarding workers’ rights are called “the Terms” hereafter. In the event of the core conventions of the ILO are in conflict with national law, the supplier shall take reasonable measures to ensure compliancy with the international regulations. The obligations concerns workers when they perform work within the frame of the contract. The supplier shall, according to item 2, ensure that the Terms are fulfilled by hired subcontractors that directly contribute to the performance of the contract, regardless of the number of intermediaries. In addition, the supplier shall ensure that these subcontractors participate in the follow-up, The obligations concerns work carried out under such conditions where Swedish labour law is not applicable. 2. Policies and routines To fulfil the obligations under item 1, the supplier shall take measures to prevent and manage any deviations from the Terms according to item 2.1-2.6 below. The measures shall be documented and applied throughout the entire contract period in their own operation and the operation of any subcontractors who directly contribute to the performance of the contract, regardless of the number of intermediaries. At the start of the contract the supplier shall have: 2.1 adopted a commonly accessible policy, adopted by the highest management including a commitment to respect the Terms, 2.2. adopted routines to convey their commitment to respect the Terms in their own operation and in the supply chain, 2.3 appointed a manager at the highest management level, responsible for compliance with the Terms, 2.4 adopted routines to regularly carry out risk analyses, i.e. to identify and prioritise current and potential risks of deviation from the Terms, as well as mapping the supply chain with special regard to high risk operations, 2.5 adopted routines for regular follow-up of the Terms compliance, and 2.6 adopted routines to immediate action to prevent and limit deviations from the Terms, and to make amendments to identified deviations. The measures shall be taken in accordance with the UN Guiding Principles on Business and Human Rights, or the equivalent. 3. Follow-up [The contracting authority] has the right to follow-up that the supplier fulfils its obligations. The follow-up may be carried out in different steps; self-assessment and audit. 3.1 Self-assessment 3.2 Audit 4. Management of deficiencies If the supplier does not participate in follow-up or if there are deficiencies in the documentation to be provided under item 3, a correction shall be made within the time determined by [the contracting authority]. In case of deficiencies in compliance to the Terms, the supplier shall amend this according to a schedule and action plan, developed by the supplier, and to be approved by [the contracting authority]. The schedule and action plan are to be developed within the time period decided by [the contracting authority] and must be proportionate to the nature of the deficiencies and clearly describe how these are to be remedied within the established schedule. [The contracting authority] has the right to terminate the contract with immediate effect if the supplier do not make amendments within the established period or do not remedy deficiencies within the established [The contracting authority] has the right to terminate the contract with immediate effect in the case of severe deviations from the Terms. | |||||
| Sustainable supply chains | Advanced | Special contract terms | Sustainable supply chains | ||
Criterion information The terms regarding sustainable supply chains aim to ensure that the supplier has efficient risk management in their own operation and in the supply chain, covering the areas human rights, labour rights, environmental protection and anti-corruption. Criterion text 1. The supplier’s obligation Throughout the entire contract period, the supplier shall apply the contract terms under item 1-4. The contract shall be fulfilled in accordance with the following terms regarding human rights, workers’ rights, environmental protection, and anti-corruption (sustainable supply chains):
The terms regarding sustainable supply chains are called “the Terms” hereafter. When international regulations prescribe a stronger protection for the individual than the national legislation, the supplier shall take reasonable measures to ensure compliancy with the international regulations. The obligations concerns all operations connected to the performance of the contract. The supplier shall, according to item 2, ensure that the Terms are fulfilled by hired subcontractors in all parts of the supply chain. In addition, the supplier shall ensure that these subcontractors participate in the follow-up, according to item 3. 2. Policies and routines To fulfil the obligations under item 1, the supplier shall take measures to prevent and manage any deviations from the Terms according to item 2.1-2.6 below. The measures shall be documented and applied concurrently throughout the entire contract period in their own operation as well as in the operation of any subcontractors in all parts of the supply chain. At the start of the contract the supplier shall have: 2.1 adopted a commonly accessible policy, adopted by the highest management including a commitment to respect the Terms, 2.2. adopted routines to convey their commitment to respect the Terms in their own operation and in the supply chain, 2.3 appointed a manager at the highest management level, responsible for compliance with the Terms, 2.4 adopted routines to regularly carry out risk analyses, i.e. to identify and prioritise current and potential risks of deviation from the Terms, as well as mapping the supply chain with special regard to high risk operations, 2.5 adopted routines for regular follow-up of the Terms compliance, and 2.6 adopted routines to immediate action to prevent and limit deviations from the Terms, and to make amendments to identified deviations. The measures shall be taken in accordance with the UN Guiding Principles on Business and Human Rights, or the equivalent. 3. Follow-up [The contracting authority] has the right to follow-up that the supplier fulfils its obligations. The follow-up may be carried out in different steps; self-assessment and audit. 3.1 Self-assessment 3.2 Audit 4. Management of deficiencies If the supplier does not participate in follow-up or if there are deficiencies in the documentation to be provided under item 3, a correction shall be made within the time determined by [the contracting authority]. In case of deficiencies in compliance to the Terms, the supplier shall amend this according to a schedule and action plan, developed by the supplier, and to be approved by [the contracting authority]. The schedule and action plan are to be developed within the time period decided by [the contracting authority] and must be proportionate to the nature of the deficiencies and clearly describe how these are to be remedied within the established schedule. [The contracting authority] has the right to terminate the contract with immediate effect if the supplier do not make amendments within the established period or do not remedy deficiencies within the established [The contracting authority] has the right to terminate the contract with immediate effect in the case of severe deviations from the Terms. | |||||
Contracting authorities and entities are in certain cases mandated to stipulate labour law requirements if it is necessary. This means that there is a risk of unfair working conditions during the performance of the contract. If the work is performed in countries where Swedish law is not applicable, requirements according to the ILO core conventions must be included in the procurement document.
The Swedish regulations on labour law requirements can be found in the Public Procurement Act (LOU) Chapter 17 Sections 2-5, the Act on Public Procurement in the Utilities Sectors (LUF) Chapter 16 Sections 2-5 and in the Act on Public Procurement of Concessions (LUK) Chapter 14 Sections 2-5.
Contracting authorities can, in addition to the mandatory requirement concerning the ILO core conventions, stipulate environmental, social and other requirements, according to the terms for fulfilment of agreements (Chapter 17 Section 1 LOU, Chapter 16 Section 1 LUF and Chapter 14 Section 1 LUK).
The conditions regarding sustainable supply chains are therefore more far-reaching and include the areas of human rights, labour rights, environment and anti-corruption.