Code of Conduct for Procurement

The Code of Conduct for Procurement is the Government of Canada's statement of expectations and obligations for vendors and their subcontractors. It applies to every business that responds to a bid solicitation or provides goods and services to Canada. The full text is published by Public Services and Procurement Canada on its Code of Conduct for Procurement page.

Public Services and Procurement Canada (PSPC) administers the Code. The PSPC Supply Manual describes it as a statement of values and expectations for vendors, and states that it is incorporated into all Government of Canada procurements. It is also described as a statement of principles concerning the practices and behaviours expected of suppliers.

Topics the Code addresses

The Code sets out expectations on integrity, ethics and responsible business conduct. Its subjects include:

• ethics and professionalism;
• conflicts of interest;
• environmental protection;
• abuse and harassment;
• human rights and labour standards;
• Indigenous rights; and
• human trafficking, forced labour and child labour.

These expectations reach beyond the supplier itself. They extend to subcontractors and to the supply chains behind the goods and services Canada buys. PSPC explains the supply chain dimension on its page on protecting human rights in supply chains.

Where the Code applies and how it is incorporated

The Code is included in procurement documents by reference. It does not have to be reproduced in full in every solicitation or contract, but it remains part of the applicable terms and conditions. PSPC explains how this works on its page on how the Code applies. It covers:

• competitive bid solicitations;
• requests for standing offers and requests for supply arrangements;
• standing offers and supply arrangements; and
• contracts resulting from standing offers or supply arrangements.

PSPC's human rights in procurement material states that the Code became mandatory for all Government of Canada procurements on April 1, 2023.

Who requires it

The PSPC policy makes the Code mandatory for all federal procurements and requires contracting authorities to incorporate it into procurement documents. The Treasury Board Directive on the Management of Procurement requires suppliers and subcontracted suppliers to apply ethical and sustainability standards across their supply chains and to adhere to the Code.

Individual departments apply it in their own contracts. National Defence states that the Code is embedded in the terms and conditions of all its contracts, as set out in its procurement disclosure. The Canada Revenue Agency applies a supplier version, the Supplier Code of Conduct for Procurement, where the CRA is the procurement authority.

What suppliers must do under the Code

A supplier must:

• respond to solicitations honestly, fairly and comprehensively;
• represent accurately its capacity to meet the solicitation and contract requirements;
• submit a bid, offer or arrangement, and enter into a contract, only if it can fulfil all stipulated obligations;
• comply with applicable laws and regulations while performing the contract;
• warrant that no real, apparent or perceived conflict of interest exists or is likely to arise;
• disclose any conflict-of-interest matter to the contracting authority in writing if one arises or may arise; and
• certify compliance when the solicitation requires it.

Failure to comply can make a bid non-responsive. Canada may also investigate, and may terminate a contract where a supplier is unable or unwilling to comply.

What it means for bidders on Canadian public contracts

Treat the Code as a condition of every federal bid, whether or not the solicitation reproduces its text. Read the current version before you bid, confirm that your subcontractors can meet the same expectations, and complete any compliance certification the solicitation requires. Check for conflicts of interest before submitting, and tell the contracting authority in writing if one arises later. Bid teams should also confirm that statements about capacity and capability are accurate, since the Code requires suppliers to bid only when they can deliver.