C2E: Unawareness of Suppliers' Policies
 

25th June 2006 :  Download the full report in .pdf format

88% of Local Authorities unaware that they are funding discrimination

Startling information, obtained under the Freedom of Information Act by Committed2Equality (c2e), reveals that 88% of all Local Authorities are unaware that most of their suppliers currently fail to have equality practices in place.

Of the 300,000 organisations who supply local authorities, 92% have no equality practices in place. Local Authorities spend £40 billion with these organisations each year. “Local Authority practices are supporting inequality” claims CEO of Committed2Equality (c2e) Janet Lakhani.

c2e is a think tank which lobbies for change, supporting improvement and fairness. Its equality and business advisors work with organisations to adopt and implement good practices - in all strands of equality. Assisting, assessing, accrediting and acknowledging commitment to equality.

Phil Woolas, newly appointed Minister at the Department for Communities and Local Government, washed his hands of the issue and stated “This department does not monitor local authorities’ awareness of whether their suppliers have equality and diversity policies – that is a matter to them. In the same way it is up to the authorities to decide what measures to take to encourage suppliers and to adopt equality and diversity policies”.

Acts of Parliament require that “Every public authority shall, in carrying out its functions have due regard, to the need to eliminate discrimination that is unlawful, and to promote equality”.

Janet Lakhani indicated that she would soon be writing, under the Freedom of Information Act, to find out how many central government departments are aware of their suppliers equality and diversity practices.

The new c2e survey on Local Authorities highlights the enormous variation and inconsistency across the country. As you would expect, London has the best record, but even here less than 30% of councils ask their suppliers to demonstrate their current equality practices. 6 out of the 8 other English regions scored below 10%, the worst were in the West Midlands and Yorkshire, where none of those who responded, ask their suppliers to demonstrate their current equality practices.

Despite failing to collect the evidence, 70% of councils however claim they would remove a supplier who fails to meet their equality and diversity requirements.

“Before the reshuffle, I asked Margaret Hodge to confirm that “Public Bodies should expect organisations that they buy from or fund to meet their legal obligations and have equality practices in place” said Janet Lakhani.

Government stress that equality is integral to achieving 'value for money' and 'Best Value'. To date however there is still little evidence that public bodies are using their purchasing power to promote equality despite the fact that it is their statutory duty.

Currently employment levels are at 75%, but for ethnic minorities it is 59%, 55% for lone parents and 49% for the disabled. These groups are amongst the most disadvantaged and are most discriminated against by employers. There is clear evidence that organisations that have equality and diversity practices in place employ more individuals from a disadvantaged background.

There is no need for more regulations, the law is quite clear just now, employers are expected to employ fairly. The CBI and FSB both support the equality agenda; but are concerned about overburdening their members with "further regulation and red tape". Very real business benefits accrue from recruiting diversely, - including a better pool of talent, less staff turnover, improved productivity, lower costs, more customers, and increased reputation within the community. These give a genuine equality “payback”.

“We will make the report available to all Local Authorities and Public Bodies, they should act on the findings and use it to address inequalities” said Lakhani.

The c2e Local Authority survey is published today.

Allan Bouglas, Head of Development is available to answer questions on:

07770-573041 :  allanbouglas@c2e.co.uk

Janet Lakhani, CEO is  available to answer questions on:

01629-706582 : 07759-150-395 :  janet@c2e.co.uk :  www.c2e.co.uk

Notes for the Editor
c2e lobbies for change, improvement and fairness. c2e equality and business advisors support organisations to adopt and implement good practices - in all strands of equality. Assisting, assessing, accrediting and acknowledging commitment to equality.