The extracts in the tables below are relevant to a variety of different procurements. They are not definitive and are intended as a guide only. A public body should tailor Fair Work First to the individual requirement.
Payment of at least the real Living Wage |
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Definition |
Intended benefit/outcomes |
Examples of what good looks like/bidder response |
Example sectors |
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The Scottish Government promotes payment of the real Living Wage as the minimum rate for everyone in paid work; this is not the same as the statutory National Minimum Wage and National Living Wage that are set by the UK Government. The real Living Wage is a voluntary hourly pay rate based on what families need for an acceptable living standard in the UK. The rate is calculated by the Resolution Foundation and overseen by the independent Living Wage Commission; it is reviewed annually to reflect the cost of living, and the rate is announced each November. Building on the strength of the real Living Wage movement, the Scottish Living Hours Accreditation Scheme recognises that in addition to payment of the real Living Wage, the number and frequency work hours are critical to tackling in-work poverty. Businesses looking for certification must meet three criteria for accreditation; payment of the real Living Wage, providing a contract reflecting accurate hours worked and a guaranteed minimum of 16 hours a week (unless the worker requests otherwise) and ensure at least 4 weeks’ notice of shifts and guaranteed payment if shifts are cancelled within this period. Real Living Wage rates, up-to-date information and guidance can be found at: Living Wage Foundation website. |
Enabling people to earn a decent income will help them to have a decent standard of living and is the best way of tackling poverty. Low wages are a prime cause of in-work poverty, along with the increased use of zero-hours contracts and other precarious practices. Paying workers the real Living Wage is good for businesses and for society, as employers who pay the real Living Wage may see an improvement in their reputation as well as increased motivation and retention rates for their employees. Research from the Living Wage Foundation shows over 90% of Living Wage Businesses have benefited since accrediting. Over 80% of their respondents said it has improved the reputation of their organisation and over 75% said it has increased motivation and retention rates of employees. Payment of at least the real Living Wage can make a material difference to workers and their families, particularly during the cost-of-living crisis by enabling them to access greater opportunities, with less need for worry about affordability. This is especially so for women who make up the majority of workers earning below the real Living Wage. It can also contribute to narrowing the gender, disability and ethnicity pay gaps in the labour market. |
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Provide appropriate channels for effective workers’ voice such as trade union recognition (including health and safety considerations) |
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Definition |
Intended benefit/outcomes |
Examples of what good looks like/bidder response |
Example sectors |
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Effective voice is much more than having a communication channel available within an organisation. It requires a safe environment where dialogue and challenge are central to the organisational culture and are dealt with constructively; and where worker views are sought out, listened to and acted upon, and can make a difference. Effective voice requires workers, their representatives and employers to work in partnership to make sure the right decisions are made to ensure workers are treated fairly and equitably. The co-determination of working practices is key to delivering all of the dimensions of Fair Work effectively. Health and safety conditions will be particularly relevant in contracts where there are workers delivering goods, works or services. For unionised workplaces, the relevant legislation is The Safety Representatives and Safety Committees Regulations 1977. For non-unionised workplaces, the same duties are laid down in the Health and Safety (Consultation with Employees) Regulations 1996. Section 4A of The Safety Representatives and Safety Committees Regulations 1977 outlines what employers must consult about with their employees/ representatives. Consulting employees on health and safety: A brief guide to the law (hse.gov.uk) Further information on Effective Voice is available in Fair Work First guidance. |
Effective voice channels potentially allow for individuals to raise and address concerns of the workplace which relate to their rights. A wide range of human rights are relevant in the workplace, including the right to just and favourable conditions of work, fair wages and a safe and healthy working environment. International human rights treaties and the International Labour Organisation also recognise the right of workers to join a trade union and the right to strike. The UK is obliged by international law to give proper effect to these rights. Supporting effective voice channels increasingly helps to ensure these rights are upheld by fostering environments in which concerns can be raised and disputes settled. Effective voice channels improve information sharing and problem solving, encourage innovation, support cross-learning and can resolve conflict. Individual voice channels can contribute to building a positive workplace culture, connecting people to the organisation, and generating powerful insight to improve performance. Effective voice through trade unions can lead to effective collectively bargained policy in relation to pay, working time, holiday arrangements, training, health and safety and flexible working that delivers positive outcomes for workers and for employers. While recognising that systems of collective bargaining differ widely internationally, there is evidence that countries with higher rates of trade union membership and collective bargaining coverage experience high employment rates, strong productivity growth and rate well on international indices of competitiveness and innovation.
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Collective voice channels:
Individual voice channels:
Collective and individual voice channels:
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Investment in workforce development |
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Definition |
Intended benefit/outcomes |
Examples of what good looks like/bidder response |
Example sectors |
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Effective workforce development involves employers providing opportunities for their workers at all levels and should be a shared commitment between the employer and the workers. Everyone should be able to engage in lifelong learning.
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Organisations that invest in the skills of their workforce can generally expect their workers to add more value, provide a better service, achieve higher levels of productivity and be more resilient and responsive to change. Talent management is crucial, even when labour markets are in flux. Talented job seekers are more likely to apply for roles in organisations that are committed to developing their people for current and future roles. Fair Work should therefore be built into an employer’s recruitment and retention processes. Investment in workforce development can also build a more engaged and fulfilled workers; and equal access to training is important in advancing equality at work and closing pay gaps. When people can continue to learn and develop, and use their skills and talents to add value, they gain a greater sense of control over their work and scope to make a difference. This helps build their confidence and self-belief, improving individual and organisational wellbeing.
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Service contracts including
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No inappropriate use of zero hours contracts |
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Definition |
Intended benefit/outcomes |
Examples of what good looks like/bidder response |
Example sectors |
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Although there is no legal definition of a zero-hours contract, in the context of Fair Work, such a contract is one which does not guarantee any work to the individual and does not set out a minimum number of hours (whether ongoing or for a set period). An employer is likely to be using a zero-hours contract inappropriately if: · a worker is offered a regular pattern of work or regular number of hours but is offered only a casual/zero-hours contract; · a worker has had no say in the zero-hours contract and actually wants a contract of employment guaranteeing a minimum number of hours; · it put pressure on a worker to accept the terms of a zero-hours contract (where challenged) in order to keep their job; · there is an expectation that workers will accept all hours offered but there is no reciprocal expectation that the employer will guarantee hours of work or honour time-off.
It is only right that workers are in jobs that can provide secure, consistent contracts and pay, at least, a real Living Wage. However, in addition to payment of the real Living Wage, the number and frequency work hours is important. That is why The Scottish Living Hours Accreditation Scheme has been launched, which recognises that in addition to payment of the real Living Wage, the number and frequency work hours are critical to tackling in-work poverty.
Those employers using zero-hours contracts should be able to credibly explain the exceptional circumstance which leads them to using such contracts and the steps they are taking to review their business model to eliminate these circumstances. |
All workers should be able to plan for their work and life, to know when and for how long they will be required to work, and how much they can expect to earn from week to week. This is key to reducing in-work poverty, which disproportionately affects women. It can also alleviate uncertainty, anxiety and stress, helping to support workers' positive mental health and wellbeing. As well as being the best option for individuals, the use of secure contracts can benefit the employer. For example, the employer is likely to be regarded as being fair and an employer of choice, which can help with recruitment and retention. Equally, a worker who has a secure contract is likely to be more committed to the organisation and its objectives, which can boost their motivation and productivity. |
· workers are employed on open-ended or fixed term contracts with confirmed hours and work pattern. · gained or working to gain Living Hours Accreditation. · workers have a contract which accurately reflects the hours worked, guarantees a fair minimum number of hours per week and does not involve compulsory overtime. · workers get reasonable notice of shifts – at least 4 weeks ahead of time, and are paid for cancelled shifts within this period. · core and flexible workers’ resources are reviewed at least annually to determine if any workers on a zero-hours or minimum-hours contract can be moved to a permanent or fixed-term contract with a fixed number of hours and/or a regular pattern. · zero-hours contracts are not used to fill longer-term vacancies. · there is a clear, published policy and process to enable someone to request a move from a zero-hour contract with guaranteed and set hours.
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Service contracts including:
· care support services · catering · construction/works · education services · facilities management services (maintenance, repair & cleaning) · health services
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Address workplace inequalities, including pay and employment gaps for disabled people, racialised minorities, women and workers aged over 50 |
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Definition |
Intended benefit/outcomes |
Examples of what good looks like/bidder response |
Example sectors |
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Addressing workplace inequalities means recognising that some groups of workers such as disabled people, racialised minorities, women and workers aged over 50 and others with protected characteristics such as young people and LGBTQI workers, face barriers to the workplace and in progressing in their career. Fair work employers proactively take steps that will advance equality for groups with protected characteristics which go beyond their legal obligations under the Equality Act 2010. While there are specific issues faced by each protected group, accessing and sustaining fair work can be even harder for people who have a combination of the following equality characteristics: disabled women, or racialised minorities over 50 years of age. Workers from lower socio- economic background can also face barriers. Employers should acknowledge in their policies and practice the intersecting barriers that some of their workers may experience and what can be done to help reduce the 'inequalities of outcome' caused by 'socio-economic disadvantage that some of their workers may face. Skills Development Scotland have produced Inclusive Recruitment Guides for Employers to support the creation of a diverse workforce. Disabled people Disabled people experience discrimination and significant and enduring inequalities that result in a lack of access to opportunity. As a result, the disability employment gap (DEG), the difference between the employment rate of disabled people and that of non-disabled people, remains the widest and most persistent “employment gap” in the labour market.[8] The disparity is caused by various systemic barriers such as inequitable recruitment practices, inaccessible workplaces, negative stereotypes and biases (both conscious and unconscious), a lack of access to occupational health, and a lack of knowledge amongst employers of support available (e.g. in making appropriate and timely reasonable adjustments). We need to ensure our workplaces are designed and operate in ways that break down the barriers that prevent disabled people from entering and progressing in work. The Equality Act 2010 places a legal duty on employers to put in place ‘reasonable adjustments’ to make jobs and workplaces accessible to disabled people. Reasonable adjustments in employment are changes an employer makes to remove or reduce a disadvantage related to someone’s disability. This can include, for example:
The UK Government delivers Access to Work, which provides support and practical advice to disabled employees who require support or adaptations beyond the reasonable adjustments employers are obliged to provide under the Equality Act. More information is available here: Access to Work guide for employers - GOV.UK (www.gov.uk) Advice and support for employers to further understand their legal obligations to disabled workers (including around reasonable adjustments) is available from multiple sources, including:
Working Health Services Scotland (WHSS - Working Health Services Scotland (WHSS) - Health and Well-being (nhsinform.scot)) is a Scottish Government funded NHS service that provides free and confidential advice and health support for people who are self-employed or working in companies with 250 or less employees and have a health condition or injury which they feel is impacting on their work. Racialised minorities Racialised minorities face numerous barriers in accessing, sustaining and progressing in employment and face discrimination in recruitment practices. Some evidence suggests that non-British names are consciously or unconsciously disqualified, and that those applicants need to send 60% more applications in order to receive as many callbacks as those with British names. Recent data also suggest that there is significant drop-off between racialised minorities being selected for interview and those being appointed. Racialised minorities, on the whole, tend to have better educational qualifications than their white counterparts, yet this is not reflected in employment outcomes. The gap in employment rate for the minority ethnic population in Scotland is persistently high, particularly so for groups such as racialised minority women. They are also more likely to be over-represented in low-paid or entry-level roles and under-represented at senior levels. Racialised minorities are more likely to experience bullying and harassment in the workplace, discrimination due to cultural or religious observance and be marked less favourably in performance reviews. Practices such as improved recruitment data collection, blind sifts, diverse panels and inclusive communication, including targeted promotion of opportunities to local communities or trusted organisations are known to be effective in the recruitment of racialised minorities. Employers can use the Minority Ethnic Recruitment Toolkit to improve the diversity of their workforce by recruiting more people from minority ethnic backgrounds. Annexes in the Anti-Racist Employment Strategy also provide a range of good practice examples to addressing racial inequality in the workplace. Women The gender pay gap exists because women earn on average less per hour than men, and significantly less than men over their careers. A main driver of the gender pay gap is stereotyping from an early age which drives occupational segregation. This means women tend to work in industrial sectors dominated by lower pay and jobs that are undervalued because they are regarded as 'women's work', that is,: catering, cleaning, retail, admin, and caring. As women are still regarded as the primary care giver, which constrains their work choices, they often work in part-time roles which are typically lower paid in order to balance work with childcare and other caring responsibilities. Supporting women to return to work after having children, such as providing safe spaces to breastfeed or express milk and offering quality flexible working arrangements, is key for women who have caring commitments or health issues, such as menopause, to progress. This is particularly the case for women in the 50-64 age group, where the gender pay gap is at its highest. Disabled women and racialised women can face compounded barriers. Inaccessible and irregular public transport systems, especially in rural areas, and public transport that does not feel safe, also act as barriers to fair work for women. Violence against women and girls (VAWG), such as domestic abuse, sexual harassment and commercial sexual exploitation is often not seen as a workplace issue. However, women’s experiences of violence and abuse can have a detrimental impact on their employment. It can limit women's opportunities to do their job to the best of their ability and progress in the same way as men can, which in turn dilutes diversity at senior management levels. The Close the Gap resource Think Business, Think Equality self-assessment tool is designed specifically for SME employers to enable them to act on the causes of the gender pay gap. For larger employers with over 250 staff, the Close Your Pay gap toolkit provides a range of guidance and advice to help employers calculate and report on their gender pay gap as required by the Equality Act 2010 (Gender Pay Gap Information) Regulations 2017 and identify actions to reduce it. It will also be helpful for public sector employers reporting their gender pay gap. Workers aged over 50 Though some over 50s workers are well represented in senior positions (white men in particular), they face barriers to entering and staying in work for as long as they wish. This is driven by several factors. They have an increased risk of developing a health condition or experiencing more severe symptoms of existing conditions. Older workers, especially older women, are also more likely to have caring responsibilities for grandchildren, partners or their own aging parents. This results in the need to work reduced hours or stop work entirely. Flexible working has therefore found to be of significant benefit to this age group. They can also experience discrimination in the workplace, such as ageist stereotypes, recruitment and promotion practices that imply a preference for younger candidates, e.g. job adverts that use terms such as “energetic”, “tech-savvy” or “junior role”. Over 50s workers may also experience digital exclusivity when looking for jobs or skills opportunities. Advertising exclusively online or through social media can miss or deter applications from this group. Over 50s workers have widely varying work and life experiences and skills so employers should recognise and embrace these benefits to their workforce. Resources that employers may find helpful, include the Good Recruitment for Older Workers: A guide for employers from The Centre for Ageing Better; the Understanding older workers in Scotland report from CIPD; and the guide to Support over 50 back to work.
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Measures to tackle the gender pay gap and create a more diverse and inclusive workplace help to ensure that economic, social and cultural rights are respected, protected and fulfilled. For example, this includes creation of employment opportunities and income, reducing impact or potential of poverty, tackling discrimination in the workplace, creating a safe working environment for all, and supporting workers with families. By taking action to reduce the inequalities driving age, gender, disabled and race pay and employment gaps and to widen and improve diversity and inclusion in their organisation, an employer can tap into a rich source of available talent and potential. This makes good business sense and enables people to build a career now and for the future. It can also highlight current practice and areas for change and intervention, helping to create a culture of equality and diversity in the workplace and benefiting workers and employers alike, such as:
For employers: Increasing diversity, including the gender balance, in leadership roles leads to better decision making, improved performance and higher profitability across the organisation. Positive relationships and diverse teams can generate creativity, innovation, motivation, and loyalty, helping to improve productivity, profits and business growth. This can help to make workers feel valued which improves the retention of skilled people and reduces recruitment costs. Workforce diversity helps organisations to better understand and meet the needs of a diverse customer base; this can give them a competitive advantage in attracting a wider pool of customers who see themselves reflected in the workforce composition.
For workers: Simple improvements to the workplace environment and practice convey positive messages about the organisational culture employers wish to create and help ensure workers feel supported and valued. Workers' mental health and wellbeing can improve if their employer introduces practices that support a good work-life balance and systems to tackle discrimination, bullying and harassment which can help reduce absenteeism and attrition. Fair working practices can also provide increased security in employment and financial wellbeing for workers. |
Although some of these examples are suggested best practice for groups of workers with specific protected characteristics the examples should be able to be applied to and benefit any group and especially those with intersecting barriers to fair work.
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Service contracts including
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Offers flexible and family friendly working practices for all workers from day one of employment |
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Definition |
Intended benefit/outcomes |
Examples of what good looks like/bidder response |
Example sectors |
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Flexible working and family friendly working practices take many forms including, but not limited to, part-time work and job share, flexitime, compressed hours, term-time, staggered hours, and working remotely and from home. Flexible working can also be a reasonable adjustment for disabled workers or those who have a long-term health condition. It is an important aspect of Fair Work and recognises that being able to balance work with other commitments enables workers to participate and contribute more fully and productively in the workplace whilst protecting their wellbeing and improving job satisfaction. Genuine flexibility helps to make work possible for people who might otherwise be unable to access, re-enter and sustain employment; creates more diverse and inclusive workplaces, and provides greater opportunity and security for workers. Flexible working will vary from employer to employer and not all jobs in all sectors or within an organisation will lend themselves to the same type or level of flexibility; equally, workers' needs will vary. There is no one-size-fits-all approach and flexible working practices need to work for the individual, the team and the employer. Flexible working should be adopted as a positive practice and never used to weaken contractual terms or impose new unwanted working practices. When considering introducing new ways of working employers should always consult with workers, and where present trade union or other worker representatives, to ensure both the worker's and employer's perspectives are properly considered, and any unintended consequences are avoided. The needs of employers and workers are likely to change over time and regular review of policy and practice will ensure appropriate provision is in place.
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For employers: Employers who offer flexible and family friendly working practices attract diverse talent, have happier, more engaged workers and increased productivity. It also helps minimise the loss of valued, skilled workers and the resulting recruitment and upskilling challenges. Offering flexibility allows employers to proactively support workplace equality and tap into an under-utilised talent pool which can help them be competitive, improve their reputation, and attract top new talent and customers. A range of resources to support employers to adopt flexible working is available, including through Flexibility Works, the Enterprise Agencies and CIPD. Timewise also have guidance for line managers and employees, as well as how to hire flexibly. For workers: People who can access flexible and family friendly working practices are better able to harmonise their work and life commitments. This can help them feel more enthusiastic and fulfilled and enable them to develop their skills; it is good for mental health and overall wellbeing.
Flexibility in hours and location can be invaluable for those with caring commitments or preparing for retirement; and people balancing multiple roles or interests. It is of particular benefit to disabled people and those with long term health conditions to who may need additional time or support to ready for or get to work, or who need additional breaks and/ or shorter working days at times.
It is also of particular benefit to women experiencing menstrual issues or menopause while at work. As women are often the primary carer in a household flexibility and enhancing parental leave and pay provision can help support women to fully participate in employment and aid their career progression; it can also increase opportunities for workers to share caring responsibilities more evenly by, for example, utilising shared parental leave. |
Supporting managers
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Service contracts including
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Oppose the use of fire and rehire practices |
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Definition |
Intended benefits/outcomes |
Examples of what good looks like/bidder response |
Example sectors |
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There is no legal definition of Fire and Rehire practices. 'Fire and rehire' is the terminology currently most used to describe the practice of 'dismissal and re-engagement'.
It is described by ACAS as one option that may be available to an employer seeking to effect changes to employees' contractual terms. It involves dismissing employees and immediately re-engaging them on a new contract with new terms with the new terms issued commence on the day following the termination date of the current contract, where the employees' agreement to the changes has not been obtained.
The term is also used to refer to employers holding out the prospect of dismissal and re-engagement to employees or their representatives during negotiations about changing terms and conditions. We recognise that the vast majority of employers consult and reach agreement when they have to consider making changes to contracts.
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Under Fair Work principles and the good practice adopted by organisations of all sizes across Scotland, an employer should - from the start of the process - ensure that workers' voice is fully considered through full and meaningful consultation, and including the relevant union/s if present, or other appropriate worker' representative. The employer should also fully consider all alternatives, drawing on support available from the Scottish Government and its agencies, ACAS, CIPD and other relevant parties. Where an employer engages constructively with staff to reach voluntary agreement on contractual changes, there are benefits to both employees and the employer, such as: For employers:
For workers:
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Service contracts including
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