The role of Procured Services Arrangements (PSAs)
We integrate Fair Work First principles within our procurement collaborative frameworks, specifically through our PSAs.
By incorporating these criteria into public sector delivery, we ensure that third-party educational and employability providers commit to high employment standards while collaborating directly with local public bodies.
We use multi-lot, multi-provider PSAs to establish compliant, rolling frameworks with external suppliers. This system balances public procurement rules with local collaboration.
Educational Services (Phase 12) - this PSA framework enables South Lanarkshire Council Education Resources and individual local schools to contract compliantly with external suppliers. It covers programmes funded by Pupil Equity Funding (PEF) and specialised initiatives such as mental health counselling access.
Employability Services - these arrangements cross into specific service delivery segments categorised into "Lots" to promote local wealth building:
- Lot 1: Work-Based Learning
- Lot 2: Targeted Support Services
- Lot 3: Health, Wellbeing & Financial Support
- Lot 4: Other Innovative Employability Services
Integration with Fair Work First guidelines
When providers apply to join a PSA framework, they must show a commitment to the Scottish Government’s Fair Work First Guidance. We evaluate and monitor suppliers on:
- payment of at least the real living wage
- providing appropriate channels for effective workers’ voice, such as trade union recognition
- investment in workforce development
- no inappropriate use of zero hours contracts
- oppose the use of fire and rehire practices
Collaborative mechanisms
The PSA frameworks change how we purchase services, moving away from rigid, long-term single-supplier contracts towards an open ecosystem. Under the PSA format, there is no cap on the number of accepted providers, and applications are reviewed on a rolling basis. This allows local social enterprises, charities, and businesses to join the framework at any time and bid via direct awards or mini-competitions.
Prompt payment
We work to the Scottish Government Prompt Payment Guidance and aim to pay supplier invoices within 30 days. We currently achieve an average of 96% in meeting this target and monitor our position monthly. We include a prompt payment clause in our standard terms and conditions to ensure prompt payment to all sub-contractors involved in delivery of council contracts. Sub-contractors can report any concerns with late payment to the Council’s procurement team.