# Government Mandates Subcontracting to EMEs and QSEs

Government procurement policies now require bidders on larger tenders to include mandatory subcontracting to Exempted Micro Enterprises (EMEs) and Qualifying Small Enterprises (QSEs). This mandate aims to promote participation of smaller businesses in government contracts, ensuring broader economic inclusion and compliance with procurement regulations.

- Bidders on large government tenders must incorporate subcontracting plans that allocate work to EMEs and QSEs to remain eligible.
- Procurement professionals should verify subcontracting compliance during bid evaluations to enforce these requirements.
- Contractors should assess their supply chains and partnerships to include qualifying small enterprises to meet mandatory subcontracting thresholds.
- This development signals increased opportunities for smaller enterprises to engage in government contracts as subcontractors, impacting market dynamics and competition.

**Jurisdictions:** sled
**Industries:** Professional Services
**Topics:** Regulatory Compliance
**Published:** September 27, 2026

### Sources
- [Mandatory Subcontracting to EMEs and QSEs: What Bidders on Larger Tenders Need to Know https://t.co/42X7HLOWh2](https://x.com/blueitserver/status/2104119808824369163) - twitter-fed-procurement