Public procurement - Social clause - Minimum wage
Change in EU law: a State can enforce its minimum wage in public contracts.
An important milestone has been reached in the fight against wage discrimination among various countries and federated entities. States may now adopt laws to:
- require tenderers and their subcontractors to undertake, by means of a written declaration to be enclosed with their tender, to pay staff who are called upon to perform the services covered by the public contract in question a minimum wage laid down in its national or federal legislation, and
- exclude from participation in the procedure for the award of a public contract tenderers and their subcontractors who refuse to make such an undertaking.
This is the ruling that was handed down by the Court of Justice of the European Union in a judgment dated 17 November 2015 (C-115/14).
Associated areas of specialisation: Public procurement and PPP