Govt moves to boost employment through public procurement

A new programme for boosting employment through procurement launched at the beginning of August aims to increase support for employment through public procurement, said a press release issued by the Ministry of Economic Affairs and Employment.

The programme can help support access to employment for people with partial work capacity, for example.

The total annual value of public procurements is approximately EUR 35 billion. The majority of this sum is made up by services, in the procurement of which a requirement to provide employment could partially be utilised.

“As municipalities open up services to competitive tendering, adding a requirement to provide employment in the invitation to tender would help employ people with partial work capacity, for example. This would facilitate access to employment for those who are in a vulnerable position in the labour market,” said Minister of Employment Tuula Haatainen.

“Interest towards the operating model of improving employment through procurement has increased. However, this model does not suit all situations equally well. Therefore, we are carefully listening to any critical feedback,” said Haatainen.

The Ministry of Economic Affairs and Employment is responsible for the overall implementation of the programme and participates in financing its national coordination. The project launched on 1 August 2020 will be implemented by the Association of Finnish Local and Regional Authorities.

“The Association of Finnish Local and Regional Authorities has excellent prerequisites for organising national coordination since the model to be disseminated is closely linked to developing municipalities at strategic level, the tasks of the Public Procurement Advisory Unit, and promoting employment,” said Timo Reina, Deputy Managing Director of the Association of Finnish Local and Regional Authorities.

The Association of Finnish Local and Regional Authorities will introduce the operating model to municipalities. Actors concerned include contracting entities, TE Offices, municipal employment units, municipalities taking part in the local government trials on boosting employment and a wide range of businesses. In addition to municipalities, other public contracting entities can also implement the model.