South and East Belfast Sinn Féin -- Building an Ireland of Equals

'New rules will guarantee fair pay for contractors' - Parker

Published: 30 March, 2010

Balmoral Sinn Féin representative Vincent Parker has welcomed confirmation that all public spending contracts must now include fair terms and conditions for sub-contractors at every level of the project.

Vincent was speaking after Party colleague Martina Anderson MLA, last week, raised the matter with Finance Minister Sammy Wilson following concerns by building contractors.

Mr Parker said,

"A number of contractors had contacted Sinn Féin. These contractors were angry that the kind of terms and conditions agreed by the main contractor were not being passed on to sub-contractors at every level of the job. In many cases, it was simply impossible for them to make ends meet.

"Sinn Féin has worked hard to ensure that proper terms and conditions as well as opportunities for local and smaller contractors are enshrined within all public procurement projects.

"Public procurement is a £20 billion market over the next ten years so it offers massive opportunities to local industry but in order for that to be maximised, the benefits must be felt at every level of the chain.

"It is unfair and unacceptable that a main contractor is agreeing one price with a government department then expecting subcontractors to do the work for a fraction of that price.

"Mt Party colleague Martina Anderson raised this matter directly with the Minister and I am pleased to confirm that from this month, all construction contracts will include a 'Fair Payment' Charter to ensure that proper terms and conditions are passed on to all subcontractors. This process will be routinely monitored by a Project Manager to ensure that the charter is implemented. Similarly, supplies and services contracts will also require main contractors to enter into subcontracts on the same terms and conditions as the main agreement.

"That is a welcome step forward and - in terms of public projects - will help ensure that smaller contractors now have an enforceable entitlement to a fair wage for their labour."

CRÍOCH

NOTES TO THE EDITOR:

The new regulations, which were developed in response to the Construction Industry Forum Procurement Task group Report, mean that6 in new construction works contracts tendered after 1 march 2010:

  • The main contractor will be required to comply with a revised 'code of Practice for Government Construction Clients and their supply chains' which includes a 'Fair Payment' Charter;
  • Payment to subcontractors will be a standing item on the agenda at project meetings;
  • The main contractor will provide a report to the project manager on payments made to subcontractors at each project meeting; and
  • The project manager will carry out periodic checks with subcontractors on the payment performance on the main contractor.
  • Supplies and services contracts also require main contractors to enter into subcontracts on the same terms and conditions as the main contract.