6.1 At the earliest stage, employees and trades unions should be consulted about options for providing services through procurement where this is being considered by a PSO. Full, effective and continuous communication is key to managing a PPP process well. PSO's should consult their employees and trades unions throughout the process, with full disclosure of information on all matters affecting the workforce.
6.2 Employees who are directly affected by a PPP scheme have an interest in potential bidders, as they may become their future employees. PSOs should be pro-active in keeping employees and trades unions informed, and respect the workforce's position - for example by ensuring that they hear of developments before these are reported in the media.
6.3 Public services should ensure they follow the Treasury Taskforce Policy Statement No 4 - Disclosure of Information and Consultation with Staff and other Interested parties. The Treasury guidance makes clear those legal requirements and value for money criteria which all public sector procuring bodies should observe and take into account when awarding a PPP contract.
6.4 Openness should be the default approach, with restrictions confined only to details which are agreed with contractors as genuinely related to their commercial interests or otherwise necessary to ensure a successful procurement. The term "Commercial Confidentiality" must not be used as an excuse to withhold legitimate information from employees and trades unions. It is part of the process of managing a competitive procurement that the Project Team must remain in control of the nature and timing of how specification and bid information is made available, internally and externally.
6.5 Employee and trades union involvement and consultation should be handled by PSO's with care and be conducted in good faith. The role of trades unions is important in informing the decision-making of PSO's. The PSO should ensure that a strategy is agreed with employees and trades unions from the outset on exactly what information will be made available to them, and when, and how the discussions and reporting requirements will be handled. This strategy should form the most important part of the internal communications strategy which the PSO will adopt for a PPP scheme.
6.6 Contractors selected to provide services to PSO's and to take on public service employees should also have policies that ensure good communication and consultation with the workforce and their trades unions on key issues following a transfer.
6.7 The process of involvement and consultation must be transparent and fair. Any representations which employees and trades unions wish to make about particular bidders during the process must be formally communicated in writing or at a minuted meeting. There should be someone present from the PSO to make an official record of any such meeting. One of the objectives of this exercise is improving the quality of contractors working in the public sector. Therefore, for the market to respond to trades unions' concerns, these must be communicated back to individual bidders by the PSO.
6.8 Trades union input into the appointment of a preferred bidder by the PSO should comply with the relevant procurement regulations. If not managed properly, this process may lay the organisation open to legal challenge. Inappropriate use of information by the organisation (including information which is not relevant to the criteria adopted by the organisation for selection or appointment), or use of information at the incorrect stage in the procurement process, could be challenged under the procurement regulations. The use of information supplied by the trades unions that is not capable of being substantiated could also expose the PSO.
6.9 Each PPP scheme is required by the guidance to set up a project board as the decision making group. Membership will include advisors and other interested parties, subject to its size being manageable. Trades union representation should be included on PPP project boards unless there is conflict of interest which breaches procurement regulations.