New book on enforcement of labour standards through public procurement

By Dr Albert Sanchez-Graells, Reader in Economic Law (University of Bristol Law School).

Smart procurement aims to leverage public buying power in pursuit of social, environmental and innovation goals. Socially-orientated smart procurement has been a controversial issue under EU law. The extent to which the Court of Justice (ECJ) has supported or rather constrained its development has been intensely debated by academics and practitioners alike. After the slow development of a seemingly permissive approach, the ECJ case law reached an apparent turning point a decade ago in the often criticised judgments in Rüffert and Laval, which left a number of open questions.

More recently, Bundesdruckerei and RegioPost have furthered the ECJ case law on socially orientated smart procurement and aimed to clarify the limits within which Member States can use it to enforce labour standards. This case law opens up additional possibilities, but it also creates legal uncertainty concerning the interaction of the EU rules on the posting of workers, public procurement and fundamental internal market freedoms. These developments have been magnified by the reform of the EU public procurement rules in 2014.

This freshly-released book assesses the limits that the revised EU rules and the more recent ECJ case law impose on socially-orientated smart procurement and, more generally, critically reflects on potential future developments in this area of intersection of several strands of EU economic law. The book includes four contributions by Bristol scholars, including Prof Phil Syrpis‘ perspective from an EU constitutional law standpoint, Prof Tonia Novitz‘s reflections on collective bargaining and social dumping in posting and procurement, Ms Nina Boeger‘s thoughts on public procurement and business for value, and my own views on the competition and State aid implications of the use of procurement to enforce labour standards.

The collection of essays includes additional insights by colleagues at Oxford, Cambridge, Turin, Birmingham, Leicester, Warsaw, and the UNCITRAL, and is the result of a conference held at the University of Bristol Law School in May 2016. The papers have been constantly updated and include an assessment of the agreed revision of the Posted Workers Directive in the fall of 2017.

Full details of the book are as follows: A Sanchez-Graells (ed), Smart Public Procurement and Labour Standards–Pushing the Discussion after RegioPost (Hart, 2018).

Transparency in public procurement is necessary, but not for all to see

By Dr Vitali Gretschko, Head of the Market Design Research Group (ZEW Mannheim) and
Dr Albert Sanchez-Graells, Senior Lecturer in Law (University of Bristol Law School).*

The airport Berlin-Brandenburg, Stuttgart 21, and the Elbphilharmonie have one thing in common. Irregularities in the procurement process and delays in execution led to immense cost explosions to be covered by taxpayers. Thus, given the risks of corruption, favouritism and misuse of public funds, the award and management of public contracts requires a high level of scrutiny to avoid mismanagement and waste.

Moreover, even when things go well, improvements in public procurement law can have significant effects. Today, over 250 000 public authorities in the EU spend around 14 per cent of the GDP on the purchase of services, works, and supplies. Even small relative efficiency gains through carefully crafted rules can therefore result in savings in the billions. Therefore, the design of procurement rules need to reach a balance between safeguarding economic efficiency through competition and ensuring the proper level of transparency and accountability. (more…)

A law and political science analysis of the reform of EU public procurement rules

By Dr Albert Sanchez-Graells, Senior Lecturer in Law (University of Bristol Law School).

olykke-reformationMy most recent edited collection has now been published:
GS Ølykke & A Sanchez-Graells (eds), Reformation or Deformation of the EU Public Procurement Rules (Edward Elgar, 2016). It features contributions from a gender-balanced group of 16 young political science and EU economic law scholars based in 9 different EU/EEA Member States, including a number based at top UK universities. It is the result of a two year research project generously funded by the Copenhagen Business School and the Danish Gangstedfonden.

Using an innovative  interdisciplinary ‘law and political science’ methodology, the book carries out a critical assessment of the reform of the EU public procurement rules in the period 2011-2014. It does this by a detailed assessment of the initial Commission proposal for new rules, the travaux preparatoires behind it, as well as the several inter-institutional negotiation and compromise texts that resulted in the 5th generation of EU public procurement directives in 2014. (more…)

The EU public procurement remedies directive needs some revision, and the Commission should not shy away from it

By Dr Albert Sanchez-Graells, Senior Lecturer in Law (University of Bristol Law School).

my-performance-reviewEU public procurement law relies on the specific enforcement mechanisms of the Remedies Directive, which sets out EU requirements of administrative oversight and judicial protection for public contracts. Recent developments in the case law of the CJEU and the substantive reform resulting from the 2014 Public Procurement Package may have created gaps in the Remedies Directive, which led the European Commission to publicly consult on its revision in 2015. One year after, the outcome of the consultation has not been published, but such revision now seems to have been shelved. In a chapter* I am contributing to an edited collection, I take issue with the shelving of the revision process and critically assesses whether the Remedies Directive is still fit for purpose. (more…)