Scotland's First Minister Alex Salmond has issued a warning to firms that they face a ban from public contract bids if they have been involved in the practice of blacklisting.

Minister Salmond made the comments in support of the Scottish Government's commitment to tackle 'blacklisting'.

He also unveiled new guidelines for public bodies and involve companies wishing to seek public sector contracts to disclose whether they have been involved in the practice.

The policy guidance includes new standard Pre-Qualification Questionnaire questions, which ask suppliers to disclose if they have breached laws against blacklisting. If found to have used a blacklist, a bidder will have to show it has taken appropriate remedial action.

The Scottish Government has also included a new contract clause in its standard terms and conditions, allowing contracts to be terminated if a supplier is found to have breached the relevant legislation.

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The Procurement Reform Bill, which is currently before Parliament, will allow the Scottish Government to make regulations on how a company's suitability to bid for contracts is assessed – providing an opportunity to place the new policy guidelines on a statutory basis.

Minister Salmond explained: "The Scottish Government is opposed to blacklisting in any form, given the serious impact it can have on the career, livelihoods and lives of those affected. Companies awarded public contracts must maintain high standards of business and professional conduct.

"As part of our on-going engagement with the STUC and interested Trade Unions, we have been considering how we can enhance current procurement guidelines, building on the existing assessments for bidders' suitability for such work, to tackle blacklisting.

"Everyone has a right to work and to raise concerns, including through a union. They should not expect to be inhibited in any way by choosing to exercise these rights. And they can expect this Government to use the powers available to us to take action in future against firms that engage in blacklisting.

"We are making it absolutely clear to any company wishing to tender to supply, build or service parts of our national infrastructure, or to deliver our public goods and services, that blacklisting will not be tolerated and that they face being excluded from bidding for public contracts if found to be taking part in this unacceptable practice."

STUC General Secretary Grahame Smith welcomed the move and said it would continue to work with the Scottish Government "to monitor the use of this guidance and provide further evidence where we believe the practice of blacklisting continues."

(JP/IT)