59 Procurement for re-industrialisation

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Congress notes that the Labour Party’s 2024 manifesto included bold plans for procurement.

GMB believes that the Labour government must use public procurement to drive re-industrialisation, as part of an industrial strategy that rebuilds our country, strengthens supply chains and creates good jobs.

De-industrialisation has cut the heart from communities that were once proud homes to businesses built on cutting-edge technology and manufacturing, delivered by skilled, unionised workforces.

Vital industries, such as shipbuilding, fabrication, and steel, lack necessary investment and support, leaving them at huge disadvantage when trying to win tenders for critical defence and energy security infrastructure projects. We are missing tens of thousands of promised unionised jobs in renewables as a result.

Congress also notes that it is a false economy to award valuable public contracts to seemingly cheaper manufacturers on the other side of the world. Such arrangements can also be associated with poor labour standards, human rights abuses and carbon-intensive production methods. Offshoring emissions and exploitation do not leave the planet, workers or the UK economy in a better position. Apparent headline savings from overseas suppliers are often undermined by sizeable transportation costs and do not factor in the significant loss of opportunities for UK supply chains.

Congress calls on the TUC to:

i. put pressure on the government to keep to their stated ambitions for procurement and back British manufacturing

ii. work with GMB to promote investment for re-industrialisation, including vocational education

iii. campaign for procurement rules that give greater weight to social value.

GMB


AMENDMENT
Add new paragraph 6:
‘As the government makes significant investments across key sectors such as energy, defence, and technology, it must apply clear and consistent conditions, ensuring that private companies that benefit from these investments provide good quality, unionised jobs. Any outdated legislation that hinders this must be removed as soon as possible.’
In bullet point ii., replace ‘GMB’ with ‘affiliates.’
Prospect

AMENDMENT
In bullet ii., insert after GMB: “and other affiliates”
In bullet iii., delete “give greater weight to social value.” and replace with “require:
– recognised collective bargaining arrangements
– workforce development plans
– UK training opportunities
– measurable social value commitments throughout supply chains benefiting from public funds.”
Nautilus International