Clicks staff set for R1.26-billion payout
TIMES LIVE / 16 FEBRUARY 2018 - 17.00 / STAFF REPORTER
Nearly 6,000 workers at Clicks Group will share a R1.26-billion windfall from a share ownership scheme launched seven years ago as part of the retailer's efforts to meet quotas on black ownership.
On Friday, employees from cashiers and pharmacists to managers at the drug store chain sold 7.6-million shares at 166 rand each - locking in a four-fold increase in the share price since 2011 when the scheme was launched.
A Clicks shop in Cape Town, South Africa. File Photo. Image: Gallo Images/Charles Gallo
Clicks launched the scheme in 2011 when it sold 10 percent of the group's shares to its staff through a trust. Some 5,882 employees are in the scheme, 88 percent of whom are black.
Under black economic empowerment rules, companies are required to meet quotas on black ownership, employment and procurement as part of a drive to reverse decades of exclusion under apartheid.
However, the government has been criticised by its supporters over inequality in a country where black people make up about 80 percent of the population of 54-million, but ownership of land and companies remains mostly in the hands of white people, who account for about 8 percent of the population.
Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER