ISO 10845-8:2011

INTERNATIONAL ISO
STANDARD 10845-8
First edition
2011-01-15
Construction procurement —
Part 8:
Participation of targeted labour in
contracts
Marchés de construction —
Partie 8: Participation de la main d'œuvre cible dans les contrats

Reference number
©
ISO 2011
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ii © ISO 2011 – All rights reserved

Contents Page
Foreword .iv
Introduction.v
1 Scope.1
2 Terms and definitions .1
3 Requirements.3
3.1 Contract participation goal (CPG) .3
3.2 Achieving the contract participation goal (CPG) .4
3.3 Contract participation goal credits.4
3.4 Denial of credits.4
4 Compliance with requirements .4
5 Records .4
5.1 Submission of documentation.4
5.2 Monthly submission of supporting documentation .4
5.3 Certification of credits .4
5.4 Actions required upon termination of services of targeted labour.5
6 Sanctions .5
Annex A (informative) Commentary.6
Annex B (informative) Preparation of targeting data associated with this part of ISO 10845
for inclusion in the scope of work.11
Annex C (normative) Contract participation goal implementation plan (targeting strategy A).14
Annex D (informative) Tendered contract participation goal (targeting strategy A).16
Annex E (informative) Examples of how contractors can fulfil their contract participation
goal/obligations.17
Annex F (informative) Contract schedule for targeted labour.18
Annex G (informative) Implementing employment-intensive works which seek to maximize the
employment generated per unit of expenditure.20
Annex H (informative) Sample tender evaluation schedule where use is made of this part of
ISO 10845 .25
Bibliography.27

Foreword
ISO (the International Organization for Standardization) is a worldwide federation of national standards bodies
(ISO member bodies). The work of preparing International Standards is normally carried out through ISO
technical committees. Each member body interested in a subject for which a technical committee has been
established has the right to be represented on that committee. International organizations, governmental and
non-governmental, in liaison with ISO, also take part in the work. ISO collaborates closely with the
International Electrotechnical Commission (IEC) on all matters of electrotechnical standardization.
International Standards are drafted in accordance with the rules given in the ISO/IEC Directives, Part 2.
The main task of technical committees is to prepare International Standards. Draft International Standards
adopted by the technical committees are circulated to the member bodies for voting. Publication as an
International Standard requires approval by at least 75 % of the member bodies casting a vote.
Attention is drawn to the possibility that some of the elements of this document may be the subject of patent
rights. ISO shall not be held responsible for identifying any or all such patent rights.
ISO 10845-8 was prepared by Technical Committee ISO/TC 59, Buildings and civil engineering works.
ISO 10845 consists of the following parts, under the general title Construction procurement:
⎯ Part 1: Processes, methods and procedures
⎯ Part 2: Formatting and compilation of procurement documentation
⎯ Part 3: Standard conditions of tender
⎯ Part 4: Standard conditions for the calling for expressions of interest
⎯ Part 5: Participation of targeted enterprises in contracts
⎯ Part 6: Participation of targeted partners in joint ventures in contracts
⎯ Part 7: Participation of local enterprises and labour in contracts
⎯ Part 8: Participation of targeted labour in contracts

iv © ISO 2011 – All rights reserved

Introduction
Procurement is the process which creates, manages and fulfils contracts. Procurement can, as such, be
described as a succession of logically related actions occurring or performed in a definite manner and which
culminate in the completion of a major deliverable or the attainment of a milestone. Processes, in turn, are
underpinned by methods (i.e. a documented, systematically ordered collection of rules or approaches) and
procedures (i.e. the formal steps to be taken in the performance of a specific task), which are informed and
shaped by the policy of an organization. Methods and procedures can likewise be documented and linked to
processes.
It is becoming increasingly important to consider procurement-related deliverables other than those relating to
the primary purpose of the procurement itself, particularly those relating to poverty reduction, job creation,
local economic development and local industry development. Key performance indicators relating to the
engagement of enterprises, joint venture partners, local resources and local labour in contracts are needed to
set targets in contracts or to measure procurement outcomes. Processes, procedures and methods are
required to quantify, measure and verify a contractor's performance in relation to such indicators in an
auditable manner.
INTERNATIONAL STANDARD ISO 10845-8:2011(E)

Construction procurement —
Part 8:
Participation of targeted labour in contracts
1 Scope
This part of ISO 10845 establishes a key performance indicator, in the form of a contract participation goal
(CPG), relating to the engagement of targeted labour on a contract for the provision of services or engineering
and construction works. A CPG may be used to measure the outcomes of a contract in relation to the
engagement of targeted labour or to establish a target level of performance for the contractor to achieve or
exceed in the performance of a contract.
This part of ISO 10845 sets out the methods by which the key performance indicator is measured, quantified
and verified in the performance of the contract in respect of two different targeting strategies: targeting
strategy A and targeting strategy B.
NOTE Annex A contains commentary on the clauses in this part of ISO 10845. Annex B provides guidance on how to
develop the targeting data for a procurement document using this part of ISO 10845.
2 Terms and definitions
For the purposes of this document, the following terms and definitions apply.
2.1
allowance
amount provided for in the contract by the employer relating to one or more of the following:
a) the performance by the contractor of work or services that are foreseen but cannot be accurately
specified at the time that the contract was entered into;
b) work or services to be performed, or goods provided, by a subcontractor who is either nominated by the
employer or is selected by the employer in consultation with the contractor after the award of the contract;
c) provision for price adjustment for inflation; or
d) other budgetary provisions intended to cover employer risks
[ISO 10845-5:2011, definition 2.1]
2.2
contract amount
financial value of the contract
a) at the time of the award of the contract, exclusive of all allowances and any value added tax or sales tax
which the law requires the employer to pay to the contractor (targeting strategy A); or
b) upon completion of all contractual obligations, exclusive of any value added tax or sales tax which the law
requires the employer to pay to the contractor (targeting strategy B)
[ISO 10845-5:2011, definition 2.3]
2.3
contract participation goal
CPG
sum of the wages and allowances, for which the contractor contracts targeted labour in the performance of the
contract, expressed as a percentage of the contract amount associated with the targeting strategy that is
identified in the targeting data
NOTE Adapted from ISO 10845-5:2011, definition 2.4.
2.4
contractor
person or organization that contracts to provide the goods, services or engineering and construction works
covered by the contract
[ISO 10845-1:2010, definition 3.12]
2.5
employer
person or organization intending to or entering into the contract with the contractor for the provision of goods,
services, or engineering and construction works
[ISO 10845-1:2010, definition 3.17]
2.6
employer's representative
person authorized to represent the employer and named as such in the contract data or targeting data
[ISO 10845-5:2011, definition 2.8]
2.7
targeting data
data, provisions and variations applicable to a particular contract
NOTE 1 Adapted from ISO 10845-5:2011, definition 2.18.
NOTE 2 See A.2.2 and Annex B.
2.8
targeted labour
individuals, employed by the contractor in the performance of the contract, who are defined as the target
group in the targeting data
NOTE Adapted from ISO 10845-7:2011, definition 2.11.
2.9
target area
geographic area defined in the targeting data
[ISO 10845-7:2011, definition 2.9]
2.10
targeting strategy
an approach which is pursued to make a contract participation goal an obligation of contract
[ISO 10845-5:2011, definition 2.19]
2 © ISO 2011 – All rights reserved

2.10.1
targeting strategy A
targeting strategy which
a) involves the granting of tender evaluation points by the employer in the evaluation of tender offers in
return for the tendering of a contract participation goal or an undertaking to attain a specified contract
participation goal at the time that tenders are evaluated, or
b) requires a contractor to achieve a minimum specified goal in the performance of a contract, or
c) involves both (a) and (b)
[ISO 10845-5:2011, definition 2.19.1]
2.10.2
targeting strategy B
targeting strategy which
a) involves the payment of a financial incentive to a contractor for the attainment of a specified contract
participation goal, or
b) requires the contractor to record and report on the quantum of work generated for targeted labour
NOTE Targeting strategy A bases the contract participation goal on the tendered amount minus allowances, i.e. on
the expenditure which the contractor can commit to at tender stage. This strategy allows the employer to adjust the
contract participation goal to take account of any failure to achieve such goal in the performance of the contract due to
factors which are beyond the contractor's control or are unforeseen at tender stage. Targeting strategy B measures the
contract participation goal based on the final contract value. Targeting strategy A accordingly measures the performance
of contractors in the engagement of targeted labour in relation to that which can be committed to at tender stage, whereas
targeting strategy B does so in relation to that which is finally achieved.
[ISO 10845-5:2011, definition 2.19.2]
2.11
weighting
number which, depending on its value, is used to introduce a bias in favour of or against a specific target
group in the calculation of contract participation goal credits
[ISO 10845-7:2011, definition 2.16]
3 Requirements
3.1 Contract participation goal (CPG)
The contractor shall engage targeted labour directly in the performance of the contract to the extent that the
total monetary value of such engagements, exclusive of any value added tax or sales tax required by law,
expressed as a percentage of the contract amount for the targeting strategy specified in the targeting data, is
not less than the contract participation goal (CPG) for the targeting strategy specified in the targeting data.
The contractor shall, in the case of targeting strategy A, submit to the employer's representative details of a
plan to achieve the contract participation goal, on the contract participation goal implementation plan form
contained in Annex C, within five working days of being instructed to do so. If no such instructions are given,
these plans shall be submitted before the submission of the first claim for payment.
NOTE The information contained in the contract participation goal implementation plan facilitates, in the first instance,
the monitoring of the performance of the contractor in terms of the contract participation goal obligations and, in the
second instance, the making of any adjustments to compensate for quantitative underruns, the elimination of items, etc.
(see Clause 6).
3.2 Achieving the contract participation goal (CPG)
A contractor shall achieve the specified contract participation goal (CPG) by engaging targeted labour in the
performance of the contract.
NOTE Annex D sets out the manner in which the contract participation goal can be estimated by tenderers and
evaluated by employers at tender stage where targeting strategy A is adopted.
3.3 Contract participation goal credits
Credits towards the contract participation goal shall be granted by converting the total monetary value of
wages and allowances paid to targeted labour, exclusive of any value added tax or sales tax required by law,
to a percentage of the applicable contract amount and multiplying such values by the appropriate weightings
for the different target groups, if any, specified in the targeting data.
3.4 Denial of credits
No credits shall be granted when the contractor fails to enter into written contracts with targeted labour.
Cognizance shall be taken of any conditions of such contracts. Credits claimed towards the contract
participation goal shall not be allowed if such contracts contain clauses which are not in accordance with
requirements established in the targeting data.
NOTE 1 The weightings referred to should typically be between 0,5 and 1,5. Where no weighting is indicated in the
procurement documents, the weighting is assumed to be unity.
NOTE 2 Annex E provides illustrative examples as to how a contractor can fulfil contract participation goal obligations.
4 Compliance with requirements
The contractor who makes use of targeted labour during the performance of the contract for the purpose of
securing credits shall enter into contracts with all the individuals classified as targeted labour and furnish the
employer's representative with copies or pro formas of all contracts entered into.
5 Records
5.1 Submission of documentation
The contractor shall submit to the employer's representative all the documentation required in terms of 3.1, 4
and 5.2 in a timely manner.
5.2 Monthly submission of supporting documentation
The contractor shall prepare and submit monthly to the employer's representative, on or before the date
specified in the targeting data, and in a form approved by the employer's representative, a schedule which
lists the names, identity numbers, nationality, gender, trade or occupation, period of employment, employment
number and the like, of the individuals classified as targeted labour, together with the respective wage rates
and allowances payable in respect of targeted labour, including the monetary value of wages and allowances
paid, both on a cumulative basis and during the month for which credits are sought.
NOTE Annex F provides an example of a schedule which can be used to track payments made to targeted labour.
5.3 Certification of credits
The employer's representative shall certify the value of the credits counted towards the contract participation
goal whenever a claim for payment is issued to the employer, and shall notify the contractor of this amount.
4 © ISO 2011 – All rights reserved

5.4 Actions required upon termination of services of targeted labour
The contractor shall, upon termination of the services of the individuals classed as targeted labour engaged in
activities relating to the performance of the contract, certify the amount paid to such individuals and submit the
certificate, counter-certified by the relevant individuals, to the employer's representative for record-keeping
purposes.
6 Sanctions
In the event that, and where targeting strategy A applies, the contractor fails to substantiate that any failure to
achieve the contract participation goal was due to
a) quantitative underruns,
b) the elimination by the employer of items to be performed by targeted labour, or
c) any other reason beyond the contractor's control which may be acceptable to the employer,
the sanctions provided for in the contract shall apply.
NOTE 1 The contract establishes the sanctions that apply. These are set out in a tender evaluation schedule, the
scope of work or contract data (see ISO 10845-2). Sanctions where tender evaluation points are granted in respect of a
tendered CPG or where a minimum CPG is specified (i.e. targeting strategy A) are usually applied in the form of
a) financial penalties, typically formulated on the difference between the contracted contract participation goal and the
contract participation goal achieved in the performance of the contract,
b) the rejection of claims for payments as being incomplete, should the appropriate supporting documentation not be
provided, and
c) the issuing of completion certificates only after the certificates described in 5.4 are received.
NOTE 2 No sanctions in the form of financial penalties are applied where the CPGs are used only to measure and
report on the quantum of employment generated by a contract (i.e. targeting strategy B). The sanction where financial
incentives are applied is simply that the incentive is not paid if the target is not attained.

Annex A
(informative)
Commentary
NOTE 1 This annex includes background information on this part of ISO 10845, guidance on its use and suggestions
on good practice. The clauses in the commentary refer directly to the respective clauses in this part of ISO 10845, e.g. A.1
refers to Clause 1.
NOTE 2 This part of ISO 10845 should be incorporated into procurement documents by reference, usually in the scope
of work or a tender evaluation schedule (see ISO 10845-2).
A.1 Commentary on scope
The purpose of this part of ISO 10845 is to standardize the manner in which targets [contract participation
goals (CPG)] are set and measured in relation to the participation of targeted labour in service or engineering
and construction works contracts. These targets (CPGs) in addition to measuring and reporting on a key
performance indicator which reflects the quantum of employment generated in respect of targeted labour
through the performance of the contract, can, depending upon prevailing legislation, be used to
a) reserve a portion of the contract work for specified target groups through the setting of minimum contract
participation goals,
b) establish the basis for the awarding of tender evaluation points in proportion to the quantum of the CPG
that is tendered, or
c) establish performance targets for the payment of financial incentives relating to the attainment of key
performance indicators.
It should be noted that (a) and (b) above can be used in combination with each other should tender evaluation
points be granted for tendering a contract participation goal which exceeds a minimum value.
Public sector procurement is frequently governed by local and international laws. Employers need to be aware
that they are responsible for the correct application of this part of ISO 10845 and ensuring that such
application is consistent with prevailing legislation. Compliance with this part of ISO 10845 cannot confer
immunity from legal obligations. If doubt exists, legal advice should be sought.
NOTE Annex G provides information on implementing employment-intensive infrastructure projects which target the
increase of employment opportunities generated per unit of expenditure. Annex H provides an example of a tender
evaluation schedule which enables this part of ISO 10845 to be used for tender evaluation purposes.
A.2 Commentary on terms and definitions
A.2.1 Targeted labour
Labour can be targeted on the basis of parameters such as
a) citizenship, gender, race and ethnicity,
b) residency (geographical areas),
c) age,
6 © ISO 2011 – All rights reserved

d) disability,
e) period of unemployment, and
f) level of skill (wage levels).
Targeting can either be on a generic or area-bound (localized) basis; for example, women can be targeted in
the generic sense or because they are residents of a specific geographical region.
Procuring entities are often confronted with the problem that two or more communities fall within the
geographical location of a contract. The targeting of specific communities to the exclusion of all other
communities is often not desirable as exclusivity can set precedents. Similar approaches by neighbouring
communities can be demanded. This might result in embargoes on employment creation for communities who
might have benefited from a previous contract. The defining of targeted labour on the basis of their
geographical locality demands consultation with communities and their representatives. Relative weighting of
areas in and around the contract area can help to overcome the pitfalls associated with area-based targeting.
A.2.2 Targeting data
This part of ISO 10845 should be referenced in the scope of work or the tender evaluation schedule along with
associated targeting data in accordance with the guidance provided in Annex B (see also ISO 10845-2).
A.3 Commentary on requirements
A.3.1 Contract participation goal (CPG)
The participation of target groups should, as far as possible, be measured in monetary terms, as monetary
transactions can normally be verified and audited. The participation of targeted labour can be readily
measured in terms of the amounts spent on wages and allowances paid to such labour.
Contract participation goals can be used to measure the participation of targeted labour, i.e. the flow of money
from the contract to the target group. Procedures as to how such goals can be quantified and verified in the
performance of the contract should be included in the contract. This can be done in specifications or other
contract information which applies to the contract.
Figure A.1 illustrates a generic four-level performance based resource specification which specifies and
describes contract participation goals. The objective (Level 1) of this part of ISO 10845 focuses on the
provision of employment opportunities to targeted groups. Subclause 3.1 establishes qualitative (Level 2) and
quantitative (Level 3) requirements in relation to the objective (Level 1).
The objective (Level 1) and the performance description (Level 2) as set out in Figure A.1 can alternatively be
viewed as key performance indicators, in which case the contract participation goal enables targets to be set,
and the performance parameters (Level 3) and the evaluation (Level 4) establish the measurement
arrangements.
When using targeting strategy A, the contractor should complete the contract participation goal
implementation plan (see Annex C) at the commencement of the contract, particularly where a contractor has
tendered a contract participation goal, as this document can be used to determine whether or not the
sanctions provided for in the contract (see Clause 6) should be applied.
NOTE 1 Annex E sets out the manner in which the contract participation goal can be estimated by tenderers and
evaluated by employers at tender stage where targeting strategy A is adopted.
NOTE 2 The information contained in the contract participation goal implementation plan facilitates, in the first instance,
the monitoring of the performance of the contractor in terms of contract participation goal obligations and, in the second
instance, the making of any adjustments to compensate for quantitative underruns, the elimination of items, etc.
(see Clause 6). This reduces a contractor's risk exposure.
Provide business and employment opportunities
OBJECTIVE
Level 1
to specified target groups (local enterprises or
local labour or both).
Engage the target groups indirectly or directly in
PERFORMANCE
Level 2
the performance of the contract. Performance
DESCRIPTIONS
requirements
Engage target groups to the extent that a
PERFORMANCE
contract participation goal (a percentage of the
PARAMETERS
value of the contract which represents the inputs
Level 3
of local enterprises or labour or both in the
performance of the contract) established for the
contract is satisfied.
EVALUATION
Level 4
(Means of satisfying contract participation goals)

Figure A.1 — Structure of a performance-based resource specification
A.3.2 Achieving the contract participation goal (CPG)
This part of ISO 10845 only permits the contract participation goal to be achieved by engaging targeted labour
in the performance of the contract.
A.3.3 Contract participation goal (CPG) credits
The contract participation goal is based on the contract amount determined in accordance with the targeting
strategy selected for the contract.
Labour should be engaged in terms of fair labour practices. This is particularly important on employment-
intensive projects where labour might be engaged on a project-specific basis and, in some instances, where
small businesses are targeted and labour might be vulnerable to exploitation.
Credits towards the contract participation goal are conditional upon targeted labour being employed in terms
of written contracts and, where specified, in accordance with specific conditions prescribed by the employer.
This requirement not only ensures that amounts paid to these targeted groups can be verified and audited, but
also allows the employer to ensure that labour is not exploited and to establish the conditions of employment
for temporary labour should they be different to those for permanent employees.
Participation of targeted labour can be weighted in instances where several groups are targeted. This can
provide a bias to favour the selection of particular subcategories of targeted labour on a contract (see
Annex D).
A.4 Commentary on compliance with requirements
Compliance with the requirements for the granting of credits relating to contract participation goals is linked to
the entering into of contracts with targeted labour and the furnishing of pro formas of such contracts to the
employer's representative.
8 © ISO 2011 – All rights reserved

A.5 Commentary on records
A.5.1 Submission of documentation
All documents relating to compliance with the requirements of this part of ISO 10845 should be submitted to
the employer's representative, who is responsible for certifying the credits granted in respect of the contract
participation goal.
A.5.2 Monthly submission of supporting documentation
The certification of credits relating to participation goals is based on information provided by the contractor on
a monthly basis. It should be noted that the contractor needs, in any event, to compile this information to pay
the targeted labour at regular intervals.
A.5.3 Certification of credits
The employer's representative is responsible for certifying the credits granted in respect of the contract
participation goal. Any dispute relating to the passing of credits should be resolved in terms of the dispute
resolution mechanisms provided for in the contract.
A.5.4 Actions required upon termination of services of targeted labour
The contractor is required to certify the amount paid to targeted labour when they come to the end of their
term of employment. The targeted labour is also required to countersign this certificate. This minimizes the
opportunities for fraudulent claiming of credits.
Annex F provides an example of a schedule that can be used to certify and counter-certify payments.
A.6 Commentary on sanctions
Sanctions should be provided for in the contract if targeting strategy A is pursued and the contractor fails to
substantiate that any failure to achieve the contract participation goal was due to quantitative underruns, the
elimination of items, or any other reason beyond the contractor's control which can be acceptable to the
employer. Clause 6 is designed to limit a contractor's risk exposure in failing to achieve contractual obligations
beyond the contractor's control.
NOTE In targeting strategy B, the provisions of Clause 6 are not applicable as there is no need to minimize a
contractor's risk exposure.
Appropriate action should be taken by procuring entities against tenderers who are awarded contracts on a
fraudulent basis or against contractors who fail to achieve their contractual obligations relating to the
engagement of targeted labour. Procuring entities should have a number of penalties and contractual
remedies available to address such situations, including
a) recovering all costs, losses or damages incurred or suffered,
b) cancelling the contract/tender and claiming any damages suffered as a result of having to make less
favourable arrangements for the award of the contract,
c) the rejection of payment certificates as being incomplete should the appropriate supporting
documentation not be provided,
d) the withholding of the issuing of completion certificates until such time that the contractor has
satisfactorily demonstrated that targeted labour has been engaged in accordance with the contract
participation goal implementation plan,
e) imposing a financial penalty more severe than the financial advantage calculated at the time when
tenders were evaluated or more severe than the cost of complying with contractual obligations, or
f) restricting the contractor and its shareholders and directors from being awarded further contracts by the
procuring entity for a specified period of time.
Sanctions should be sufficiently punitive to encourage compliance. Care should be taken when offering tender
evaluation points that the sanction is not more attractive than compliance, e.g. the quantum of the penalty for
non-compliance is less than the competitive advantage gained from the tender evaluation points.
NOTE It is offen not in the employer's interest to cancel a contract. The imposition of financial penalties is often the
most practical sanction where legislation permits the employer to deduct liquidated damages from amounts owed to the
contractor.
10 © ISO 2011 – All rights reserved

Annex B
(informative)
Preparation of targeting data associated with this part of
ISO 10845 for inclusion in the scope of work
Targeting data form an essential part of this part of ISO 10845; without such data, requirements are
incomplete.
The format for the targeting data has been developed to be compatible with the guidance provided in Annex C
of ISO 10845-2:2011. The targeting data should be incorporated in the scope of work or a tender evaluation
schedule as shown in Table B.1.
Table B.1 — Incorporating this part of ISO 10845 in the scope of work
Topic Aspect Commentary
Procurement Participation of The following parts of ISO 10845 and associated targeting data are
procedures target groups applicable:
1) ISO 10845-…
2) ISO 10845-…
The associated targeting data are as follows:
Targeting data Essential data:
pertaining to
The requirements for . are .
ISO 10845-…
The requirements for . are .
Variations:
1) .
2) .
Additional clauses:
1) .

Develop the targeting data based on the contents of Table B.2.
Table B.2 — Targeting data associated with this part of ISO 10845
Guidance notes
Targeting data associated with this
Clause
part of ISO 18045
Consideration
number
Essential data
The employer's representative is . 2.6 Insert the name or designation of the employer's
representative (usually the name of the person
responsible for administering the contract, e.g.
engineer, project manager or principal agent).
Target area 2.9 Define target area if referred to in the definition for
targeted labour.
Target area 1 is the geographic area which falls
under the jurisdiction of …… .
Target area 2 is the geographic area, excluding target
area 1, which falls under the jurisdiction of .
council. Target area 3 is the geographic area which
falls within the . province.
Targeted labour 2.8 Define targeted labour (see A.2.1), e.g.
………. citizens who permanently reside within the
target area and earn wages and allowances amounting
to less than . per hour. It is incumbent on
individuals to demonstrate their claims to such
residency on the basis of identification and association
with, and recognition by members of, the community
residing within the target area.
Persons who
a) have not been employed for more than 100 days
during the year preceding their engagement on
the contract; and
b) reside within the boundaries of . and .
are recognized as such by the project steering
committee.
The targeting strategy is . 2.10 State the applicable targeting strategy A or B,
depending upon the usage of CPGs in the contract.
The contract participation goal is . %.
3.1 Specify the CPG, if any, that applies to the contract or
identify the document in which the applicable CPG is
or
located.
The contract participation goal is as stated in the
Select the appropriate statement depending on what is
tender evaluation schedule.
to be achieved and which targeting strategy is used.
or
Ensure that the tendered contract participation goals
form part of the offer, if they are not captured in a
The contract participation goal is as stated in the
returnable schedule which is included in the scope of
scope of work or partnering schedule.
work in the contract.
or
There is no specific contract participation goal set for
this contract.
The following weightings apply: 3.3 Where none are provided, a default value of 1 is
assumed.
1 Target labour other than youth or women .
2 Target labour (youth) .
3 Target labour (women) .

12 © ISO 2011 – All rights reserved

Table B.2 (continued)
Guidance notes
Targeting data associated with this
Clause
part of ISO 18045
Consideration
number
Contracts with targeted labour include the following 3.4 State requirements for contracts, if any (see A.3.3).
clauses/comply with the following:
..................................................................
Supporting documentation shall be delivered to the
5.2 State day of the month if contractor is not responsible
employer's representative on or before the …. day of for assessing amounts due, or insert alternative
the month. statement if contractor is responsible for preparing
claims for payment.
or
Supporting documentation shall be delivered to the
employer's representative on the date that claims for
payments are to be submitted by the contractor in
terms of the contract.
Variations
Further to the requirements of 3.4, credit may be
3.4 State variations, if any.
denied should the contractors not employ targeted
labour in accordance with acceptable basic minimum
conditions of employment. Acceptable basic minimum
conditions of employment in respect of permanent
employees shall be those set out in existing
legislation; and those in respect of temporary or
project-specific employees shall be the following:
..................................................................
Additional clauses
.................................................................. State additional clauses, if any.

Annex C
(normative)
Contract participation goal implementation plan (targeting strategy A)
C.1 General information
Employer: .
Contract description: .
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Contract number: .
Project reference number: .
C.2 Contract parameters
Contract participation goal applicable to the contract .%
Financial value of the contract at the time of the award of the contract
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(exclusive of any value added tax or sales tax required by law)
Less all allowances .
Contract amount . 1
C.3 Achieving the contract participation goal
I/We intend to achieve the contract participation goal (CPG) as follows:
Estimated expenditure on
Target area Weighting Total
wages and allowances
(1) (2)
(1) × (2)
Subcategory 1
Subcategory 2
Subcategory 3
Total towards CPG  2
14 © ISO 2011 – All rights reserved

Targeted labour shall be engaged on the following aspects of the contract:
Activity Target area Expenditure
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