Firms bidding for public sector contracts will be expected to pay employees the living wage and ban the exploitative use of zero hours contracts under new rules which come into force today.
The new statutory guidance for the public sector is part of the Scottish Government’s commitment to fair work procurement practices.
Companies will also be required to commit to giving workers an “active voice” in the workplace.
Infrastructure Secretary Keith Brown said the guidance sees the Government “nail its colours to the mast”.
He said: “Our model of procurement, putting the social, economic and environmental aspects of sustainability at the heart of all we do, remains the foundation of our approach.
“Employers must now recognise – as many already do – that if you want to do business with the public sector in Scotland, you have to be a responsible employer and value your workers. You have to do your bit to make Scotland a fairer and more equal society.
“We will continue to do everything in our power to promote that ethos.”
The Government pays its own workers the living wage of at least £7.85 an hour, and has a voluntary accreditation scheme for other employers.
The introduction of the new guidance on public sector procurement was welcomed by trade unions.
Grahame Smith, general secretary of the Scottish Trades Union Congress (STUC), said: “The STUC welcomes the Statutory Guidance on Fair Work Practices being introduced by the Scottish Government, a move that once again highlights the different approach taken by the Scottish Government in tackling poor employment practices and low pay in the Scottish economy.
“The Scottish Government has taken the lead in driving forward the real living wage, as have local authorities, and we believe it is right that companies wishing to receive public contracts should demonstrate that they treat staff fairly by paying a living wage, recognise the benefits of trade unions and collective bargaining and treat their workers with the dignity and respect they deserve.”