Frameworks and social value

The great majority of review participants support the delivery of social value as a significant output from public sector construction and see frameworks as an important medium through which to achieve this.

81% of review participants say frameworks should drive improved social value.

The Construction Playbook states that 'Social value is a way of maximising the benefits of public procurement by encouraging employment opportunities, developing skills and improving environmental sustainability' (p.23). Review participants confirm that social value is an evaluation criterion and performance measure in many current public sector construction frameworks. However, they also report a lack of clarity as to the strategic collaborative commitments and supply chain relationships through which improved social value can be delivered.

Many of the frameworks reviewed include expectations and measures for each supplier to deliver demonstrable social value, including for example various categories of targeted recruitment, training and community initiatives. Early strategic engagement with tier 2 and 3 SME supply chain members enables frameworks to help establish more effective approaches to social value, for example in relation to:

  Employment and skills, given that the majority of the construction workforce is employed by tier 2 and 3 SMEs for whom a long-term framework appointment provides important new opportunities to offer apprenticeships and jobs

  Community benefits, given that local and regional tier 2 and 3 SME supply chain members are likely to know more about the communities they work in and to design more meaningful contributions to those communities.

 

The South West Wales Regional Contractors Framework reports that 'For all projects over £1m community benefit targets are included in line with the Welsh Government community benefit policy which include specific targets for targeted recruitment and training of new entrants to include long term unemployed, economically in active and those at risk of NEETs (not in education or employment), apprenticeship opportunities and training. The targets typically set at 52 weeks per £ million and can be made up of a range of different new entrant opportunities that are flexible enough to fit the specific project. Across the region Local Authorities community benefit officers work to ensure the targets are achieved and recorded and these officers meet with the framework team on a regular basis to discuss initiatives and progress against targets, and any new developments.'

 

 

The Department of Work and Pensions reports that their fit-out framework has shown how 'wider engagement with the market can support social value initiatives for increased employment opportunities such as high-risk groups (i.e. prison leavers), carbon reduction by more efficient heating systems and improve sustainability. The recent Rapid Estates Expansion Programme (REEP) procurement has outlined a number of such initiatives that DWP may be able to take up within these contracts. These have ranged from supporting military veterans into jobs, apprenticeships, increased support for their SME supply chain members, seeking local supply chain members and encouraging them be involved in workshops. Also, wider examples for working with local communities and paying the living wage via its contracts and supply chain'.

 

 

The SCMG Trial Project housing framework alliance reports 'additional employment and skills opportunities for individuals, for example 46 new apprenticeships over the first 18 months of the Hackney programme, plus establishment of the Building Lives Training Academy where apprentices who have got NVQ Level 1 are engaged by constructors/specialists according to demand of ongoing work so as to achieve NVQ Level 2 after 15/18 months'.