Scottish Government Statement on Fair Work First – September 2024

As members know, we have been working with More Homes Division at Scottish Government to seek clarification on the Fair Work First Guidance that is currently under review. The review is being led by the Fair Work First Team at Scottish Government and is anticipated to be published ‘early autumn.’ In the meantime, we asked for a clarifying statement on the requirements for RSLs to ensure whether real living wage is paid to contractors throughout the supply chain, as we are aware there has been inconsistency in information from regional teams. Please find the More Homes statement below (September 2024):

“Where the grant recipient is a Registered Social Landlord and uses the grant funding to carry out a public procurement exercise for goods, works or services to deliver the grant funded activity then the real Living Wage and effective voice conditions do not apply to the supply chain. Public procurement rules apply. Guidance on Fair Work First in public procurement exercises is available from Procurement Reform (Scotland) Act 2014: statutory guidance and Best Practice Guidance.

Where the grant recipient is an RSL subsidiary, if the subsidiary is not considered a contracting authority for the purposes of public procurement, and if they use another private or third sector organisation to deliver the grant funded activity, then the real Living Wage condition applies down the supply chain for workers directly engaged in the delivery of the funded activity who are aged 16 and over, including apprentices and based anywhere in the UK. The effective voice condition does not apply down the supply chain.”

SFHA is advised that remaining individual member questions can be directed to the More Homes directorate. Please email sfitton@sfha.co.uk / apidgeon@sfha.co.uk with questions about the statement above. Thank you.