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Marketisation of the public sector leads to socially and environmentally irresponsible contracting: the case of Denmark

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  • Ole Busck

    (Aalborg University, Dept. of Development and Planning)

Abstract

Since the EU Directive on public procurement of services entered into force in 1993 the main public service to be outsourced in Denmark has been refuse collection. The Directive has spurred a process of marketisation, but it does not prevent the contracting process from requiring private service providers to abide by social and environmental obligations. A recent study of the Danish experiences, however, tells a grim tale of subordination of social and environmental considerations to the pursuit of cost savings and destructive market mechanisms. Health and safety conditions, competence building and job security have deteriorated concurrently with the increase in outsourcing and contracting. This article explores the flaws of the institutional context when it comes to protecting workers' interests and discusses possible means to strengthen it.

Suggested Citation

  • Ole Busck, 2007. "Marketisation of the public sector leads to socially and environmentally irresponsible contracting: the case of Denmark," Transfer: European Review of Labour and Research, , vol. 13(4), pages 611-630, November.
    • Handle: RePEc:sae:treure:v:13:y:2007:i:4:p:611-630
    DOI: 10.1177/102425890701300407
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    References listed on IDEAS

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    1. Henry Ohlsson, 2003. "Ownership and Production Costs: Choosing between Public Production and Contracting-Out in the Case of Swedish Refuse Collection," Fiscal Studies, Institute for Fiscal Studies, vol. 24(4), pages 451-476, December.
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