Labour Clauses (Public Contracts) Convention, 1949 (No. 94) - Italy (Ratification: 1952)

Direct Request (CEACR) - adopted 2024, published 113rd ILC session (2025)

Articles 2 to 5 of the Convention. Labour clauses in public contracts. The Committee notes with interest that a new Code of Public Contracts was adopted by Legislative Decree No. 36/2023 (“the 2023 Code”), effective 1 July 2023. The Committee notes in the report that Article 2 of the Convention is implemented by section 11(1) of the new Code, which reproduces the content of section 30(4) of the 2016 Code, by stating that “personnel providing labour, services, and supplies under public contracts and concessions benefit from the provisions of the national and regional collective contract for the sector and the location where the work is provided”. In addition, section 11(2) of the new Code introduces the obligation of contracting authorities to state which collective contract shall apply in advertising calls or invitations to tender. In case a collective contract stated in the offer differs from the one initially indicated by a contracting authority, but guarantees the same protections to employees, before awarding the contract, the contracting authority must obtain a declaration from the operator that the indicated collective contract will be applied or equivalent protection provided. In response to the Committee’s request concerning the implementation of section 50 of the 2016 Code, the Government indicates that this section was renewed and transposed in section 57(1) of the new Code. It indicates that while section 50, providing for the inclusion of “social clauses” in calls, notifications, and invitations to tender, was mandatory only for contracts related to “labour-intensive” works and services, section 57(1) explicitly establishes an overall obligation for contracting authorities to include, in calls, notifications, and invitations to tender, specific social clauses requesting, as an integral part of the offer, the application of national and regional collective contracts for the sector, which are “those stipulated by employers’ and workers' organizations that are comparatively the most representative at the national level” and selected from “those with scope closely linked to the main activity of the company for the contract or concession”. The Government indicates that, in this way, the new Code seeks to compel all economic operators delivering public contracts to provide wages and conditions set by the best collective contracts. It also states that the new Code clearly implements the provisions of section 36 of Law No. 300/1970, known as the Workers' Statute, under which an explicit clause, requiring the beneficiary or contractor to provide workers with conditions that are not inferior to those deriving from collective labour contracts for the category and location, must be inserted in the terms of contracts for the execution of public works. The Government further indicates that section 108 of the new Code specifies that the criteria for adjudicating the offer, in particular, environmental and social criteria related to the purpose of the contract, must be detailed in the tender documents. The Government also points out that section 108 expressly states that the operator must indicate in the offer, under penalty of exclusion, the labour and company costs of meeting occupational health and safety requirements. Lastly, regarding the Committee’s request to provide copies of tender documents, the Government provides Standard Tender No. 1 - 2023, approved by the National Anti-Corruption Authority (ANAC), concerning an open procedure for awarding public contracts for services and supplies in ordinary sectors for amounts above European thresholds. The Committee requests the Government to continue to provide information on the application of the Convention, including detailed information on the practical application of the new 2023 Code of Public Contracts, in particular its sections 50(1) and 108.

Article 4(a)(iii). Requirement to inform workers of their conditions of work. The Committee notes that the 2023 Code of Public Contracts did not introduce a requirement which would ensure the posting of notices at the workplace with a view to informing workers of their conditions of work. In this context, the Government refers to Legislative Decree No. 152/1997, amended in 2022, which provides for employer's obligation to inform workers of the conditions applicable to the contract or employment relationship, at the time of hiring and before the employment relationship begins, by providing either the individual employment contract in writing or a copy of the document communicating the establishment of the employment relationship. The Government also indicates that legal and national collective contract provisions relating to information that must be communicated by employers are available on the Ministry of Labour and Social Policy website, while national collective labour contracts can be consulted through the National Archive of Collective Labour Contracts. The Committee recalls, however, that in order for workers to know the content of labour clauses, Article 4(a)(iii) of the Convention requires that the laws, regulations or other instruments giving effect to the Convention must provide for the posting of notices in the workplace to inform the workers of their conditions of work in the context of a public contract. The Committee therefore once again requests the Government to take the necessary measures to give full effect to Article 4(a)(iii) of the Convention.

Part V of the report form. Application in practice. The Government indicates that in 2022, the total value of contracts above €40,000 stood at approximately €289.8 billion. It indicates that this is the highest increase since 2018, and that it is mainly due to the 139.7 per cent increase in the value of contracts in the works sector. The Government also submits the statistics based on National Anti-Corruption Authority (ANAC) annual report, submitted to Parliament in 2022. Regarding the request for the approximate number of workers employed in executing public contracts, the Government indicates that this information is not available as the National Labour Inspectorate only compiles an annual statistical information concerning irregular workers in outsourced production. The Committee requests the Government to continue providing information, including statistics on the average number of public contracts concluded annually and, if possible, the approximate number of workers engaged in their execution; sample copies of the documents for calls for tenders, labour clauses and the general conditions of public contracts; extracts from the reports of the labour inspection services containing information on cases in which payments have been withheld, public contracts cancelled or bidders excluded from all subsequent calls for tender due to breaches of labour clauses; and any other information which would enable to the Committee to assess more clearly the manner in which the Convention is applied in practice.

Direct Request (CEACR) - adopted 2017, published 107th ILC session (2018)

Articles 2 to 5 of the Convention. Labour clauses in public contracts. The Committee notes with interest the adoption of the new Code of Public Contracts issued on 19 April 2016 by Legislative Decree No. 50/2016, transposing European Directives 2014/23/EU, 2014/24/EU and 2014/25/EU. With regard to the adoption of measures to give effect to Articles 2(4) and 4(a)(iii) of the Convention, the Government refers to sections 50 and 95 of the new Code of Public Contracts. Section 50 provides that the public authorities may include “social clauses” in calls for tender, particularly in “labour-intensive” contracts, that is contracts in which the cost of labour is at least 50 per cent of the total value of the contract. Section 50 provides that, under the terms of these clauses, which are intended to promote the employment stability of the workers under contract, the entrepreneur should apply national sectoral collective contracts and comply with social protection and labour conditions in relation to workers. Section 95 establishes adjudication criteria to be applied for the evaluation of tenders, which the public authorities may include in the call for tenders, including criteria based on a system of bonuses, as well as criteria to ensure the lowest possible impact on the safety and health of workers and the environment. In its General Survey of 2008 concerning the Labour Clauses (Public Contracts) Convention, 1949 (No. 94), and Recommendation (No. 84) (paragraph 125), the Committee indicated that the purpose of Article 2(4) of the Convention is to ensure that the requirements of the labour clauses in public contracts are respected and that the resulting costs are properly factored into the bid. The Committee also recalls that the measures referred to above are not optional, but are compulsory. The Committee also notes that, with regard to the enforcement of public contracts, Legislative Decree No. 90/2014 entrusts the National Anti-Corruption Authority (ANAC) with the duties, functions and power to impose penalties. This Authority is responsible for preventing corruption in the public administration in the country. The Committee requests the Government to provide detailed information on the effect given in practice to sections 50 and 95 of the Code of Public Contracts and to provide the Office with copies of calls for tender.

Article 4(a)(iii). Requirement to inform workers of their conditions of work. With reference to its previous comments, the Committee notes that the Government has not introduced new requirements intended to ensure the posting of notices at the workplace with a view to informing workers of their conditions of work. In this respect, the Government indicates that Legislative Decree No. 151/1997 requires employers to inform workers of their conditions of work within 30 days. The Committee recalls, however, that the Convention provides that the laws, regulations or other instruments giving effect to this Article of the Convention shall require the posting of notices at the workplace indicating the conditions of work applicable to persons employed under a public contract with a view to ensuring full compliance with labour clauses and protection of the rights of the workers concerned. The Committee hopes that the Government will take the necessary measures to give full effect to Article 4(a)(iii). It also requests the Government to keep the Office informed of any developments at the legislative level.

Part V of the report form. Application in practice. The Committee notes the statistical data and information provided by the Government on the number of public contracts of a value exceeding €40,000 concluded during the period between January 2015 and December 2015. It also notes the copies of model labour clauses and the extracts of reports of the labour inspection services provided by the Government. The Committee invites the Government to continue providing information, including statistics on the average number of public contracts concluded annually and the approximate number of workers engaged in their execution; sample copies of the documents for calls for tenders, labour clauses and the general conditions of public contracts; extracts from the reports of the labour inspection services containing information on cases in which payments have been withheld, public contracts cancelled or bidders excluded from all subsequent calls for tender due to breaches of labour clauses; and any other information which would enable to the Committee to assess more clearly the manner in which the Convention is applied in practice.

Direct Request (CEACR) - adopted 2011, published 101st ILC session (2012)

Articles 2 to 5 of the Convention. Labour clauses in public contracts. Further to its previous comment, the Committee notes the Government’s indications that the legal provisions which used to give effect to the terms of the Convention, such as sections 7 and 13 of Ministerial Decree No. 145/2000 of 19 April 2000, have been incorporated into Presidential Decree No. 207 of 5 October 2010 issuing regulations for the Code on Public Contracts (Legislative Decree No. 163 of 12 April 2006). However, it notes that the Code on Public Contracts does not make any provision to inform bidders in advance of the terms of labour clauses. The Committee recalls that, under Article 2(4) of the Convention, appropriate measures shall be taken, by advertising specifications or otherwise, to ensure that persons tendering for contracts are aware of the terms of the labour clauses. It requests the Government to refer to the Practical Guide on the Labour Clauses (Public Contracts) Convention, 1949 (No. 94), and the Labour Clauses (Public Contracts) Recommendation, 1949 (No. 84), published by the ILO in September 2008 (p. 15), which emphasizes that the Convention “requires bidders to be informed in advance, by means of standard labour clauses included in tender documents, that, if selected, they would have to observe in the performance of the contract wages and other labour conditions not less favourable than the highest minimum standards established locally by law, arbitration or collective bargaining”. The Committee further notes the Government’s indications to the effect that employees are informed of their entitlement to the conditions of work established by the collective agreement applicable to the sector or area through a written indication in their employment contract. It recalls that, so that workers can know the content of labour clauses, Article 4(a)(iii) of the Convention states that the laws, regulations or other instruments giving effect to the provisions of the Convention must provide for the posting of notices in the workplace to inform the workers of their conditions of work in the context of a public contract. The Committee therefore requests the Government to indicate the measures taken to give effect to Articles 2(4) and 4(a)(iii) of the Convention.

Part V of the report form. Application in practice. The Committee notes the statistics provided in the Government’s report concerning the number of public contracts for a value above €150,000 concluded between January 2008 and December 2010 and also the number of exclusion orders issued during this period. It requests the Government to continue to send up-to-date information on the average number of public contracts concluded annually and the approximate number of workers engaged in the execution thereof, extracts from inspection reports showing cases where payments have been withheld, contracts have been cancelled or bidders have been excluded from subsequent tendering for breach of the labour clauses, and also any other particulars which would enable the Committee to undertake a clearer evaluation of the application of the Convention in practice.

Direct Request (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee takes due note of the detailed information provided by the Government in its report, in particular the adoption of Legislative Decree No. 163 of 12 April 2006 concerning the Code on Public Contracts for Works, Services and Supplies. The new text consolidates all provisions on public contracts in a single body of law adapting it to the requirements of the latest European Union directives 2004/17/EC and 2004/18/EC on the coordination of procurement procedures.

While noting the Government’s reference to section 118(6) of the Code which provides that contractors must fully comply with the financial and regulatory treatment established in national and local collective agreements applicable to the sector and the area in which the services are performed and also that contractors are jointly responsible for compliance with the aforesaid legislation by subcontractors in relation to their employees for services performed in connection with the subcontract, the Committee observes that the Code does not reproduce or otherwise refer to the specific legal provisions implementing the requirements of the Convention, for instance section 36 of the Workers’ Charter, or sections 7 and 13 of the Ministerial Decree No. 145 of 2000. Bearing in mind that according to the Government’s report, the aim of the Code is to incorporate all the relevant legislation currently in force and also to coordinate an area of law that until now had been highly fragmented, the Committee requests the Government to clarify how it is ensured under the terms of the new Code on public contracts that the persons tendering for contracts and the workers concerned are informed of their respective rights and obligations set out in Articles 2 to 5 of the Convention.

Part V of the report form. The Committee notes that the Government has not supplied in recent years any information of a practical nature concerning the application of the Convention. It would therefore be grateful if the Government would collect and transmit together with its next report up to date information on the average number of public contracts granted annually and the approximate number of workers engaged in their execution; extracts from inspection reports showing cases where payments have been retained, contracts have been cancelled or contractors have been excluded from public tendering for breach of the so-called “social clause”; sample copies of the social clause, general conditions and the certificate on social security compliance (DURC) currently in use; copies of official publications or studies of public institutions, such as the supervisory authority for contracts for works, services and supplies or the Public Contracts Observatory, addressing the social aspects of public procurement, as well as any other particulars which would enable the Committee to have a clear understanding of the manner in which the Convention is applied in practice.

Finally, the Committee seizes this opportunity to refer to this year’s General Survey which contains an overview of public procurement practices and procedures in so far as labour conditions are concerned and makes a global assessment of the impact and present-day relevance of Convention No. 94.