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Luyolo Mkentane | 30 July 2025 The proposed changes call for township-based retail malls and supermarkets to partner with township-based enterprises in sourcing products. Gauteng finance and economic development MEC Lebogang Maile is calling for written submissions on proposed changes to a law giving preference to locals for control of the R400bn township economy. The legislation effectively designates township areas as places “reserved for the exclusive and sole [benefit] of citizens and people who have permanent residency status in the republic”. Proposed changes in the Gauteng Township Economic Development Amendment Bill call for township-based retail malls and supermarkets to partner with township-based enterprises in sourcing products and services. Enterprises that obtain government contracts are “compelled” to spend a “certain percentage of their procurement spend on township enterprises and co-operatives”. SA’s township economy is valued at R400bn, equivalent to almost 8% of GDP annually, and employs about 2.6-million people. The sector includes 30,000 spazas (local supermarkets), which are valued at R200bn a year and are dominated by Somalis, Ethiopians, Pakistanis and Bangladeshis. The amendment bill states a provincial organ of state must, “on such terms and conditions as may be agreed, assist sector township-based enterprises with the provision of buildings, land or premises on which township enterprises may undertake designated business activities”. Enterprises would be exempt from paying any rentals, except for operational costs, for the first three years of operations if they were situated in an urban or periurban area, or the first five years for enterprises operating in a rural area. Maile said the Gauteng Township Economic Development Act was published in the provincial Government Gazette on May 26, 2022. “However, a number of errors and shortcomings in the act that did not fully align with the underlying policy were subsequently identified, delaying the promulgation of the commencement of the act,” he said. The bill seeks to “comprehensively address the said errors and shortcoming and stimulate economic growth in the townships of Gauteng”, he said. “Additionally, it seeks to establish a coherent and comprehensive legislative framework that fosters growth and opportunities in township areas, by refining and strengthening the act. “It includes clearer definitions, new terms and a broader scope to support the growth of township-based enterprises and uplift deprived areas in the province,” he said. “Specific issues related to economic transformation, the facilitation of township-based enterprises and the designation of township enterprise zones are also addressed to promote inclusive economic growth and empower township-based entrepreneurs,” he said. Among other things, the amendment bill was aimed at enabling conditions for the creation and expansion of township businesses, which would “create more job opportunities, attract new investments and promote market access opportunities for township goods and services”. Maile’s economic development department has a budget of R1.6bn for 2025/26 and R4.9bn in the medium-term expenditure framework. ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://www.businesslive.co.za/bd/national/2025-07-30-locals-to-benefit-from-proposed-changes-to-gauteng-township-economy-law/

Dr Chris Blair | 30 July 2025 On 15 April 2025, South Africa’s Department of Employment and Labour introduced a transformative shift in workplace equity with the publication of the final Employment Equity Targets, Regulations, and Administrative Requirements, as detailed in Government Gazette No. 52514. These regulations mandate designated employers to achieve equitable representation of designated groups – Black people, women and people with disabilities – across all occupational levels by 2030. This development presents both a challenge and an opportunity for businesses navigating South Africa’s complex socio-economic landscape. This article explores the changes, their significance, practical steps for compliance, risks of inaction, benefits for companies and South Africa, and key marketplace insights, incorporating recent clarifications and guidelines issued since the initial publication in April 2025.   What Has Changed? The cornerstone of the new regulations is the introduction of mandatory numerical targets under Section 15A(2) of the Employment Equity Act, 1998 (as amended). For the first time, designated employers – those with 50 or more employees or meeting sector-specific turnover thresholds—must meet specific representation goals for designated groups across 18 economic sectors. These sectors, identified under Section 15A(1), include Agriculture, Forestry & Fishing; Construction; Education; Financial and Insurance Activities; Manufacturing; Mining and Quarrying; Public Administration; and Wholesale and Retail Trade, among others. Unlike previous advisory guidelines, these targets are legally binding, requiring employers to align their workforce by 2030 through five-year Employment Equity (EE) plans. The salient characteristics of these targets are their focus on designated groups, excluding white males without disabilities and foreign nationals, and their differentiation by gender rather than specific racial groups. They are not intended to sum to 100%, providing flexibility, and are set as milestones rather than rigid quotas. Recent updates in the Employment Equity Regulations, 2025, which repealed the 2014 Regulations, introduce new templates for EE plans and reporting forms, emphasising a standardised approach to compliance. Compliance is enforced with significant penalties: fines of up to R1,5-million or 2% of annual turnover, whichever is greater. The Department’s proactive enforcement is evident, with over 200 employers already referred to the Labour Court for prior EE violations. This shift from voluntary to mandatory compliance, effective immediately upon publication, demands strategic workforce planning and accountability, with the first assessment scheduled for the 2026 reporting period. Further, the EE Amendment Act No. 4 of 2022, effective from 1 January 2025, empowered the Minister to set these sectoral targets, and subsequent guidelines have clarified that EE plans must span five years from 1 September 2025 to 31 August 2030, with provisions for shorter plans if an employer becomes designated after 1 April 2025.   Why Is It Important? The regulations are a pivotal step in South Africa’s transformation agenda, addressing historical workplace inequalities rooted in apartheid. They aim to ensure equitable access to opportunities for Black people, women, and people with disabilities, fostering a more inclusive economy. For businesses, the stakes are high for the following reasons. Legal Imperative: Compliance is non-negotiable, with severe financial and legal consequences for non-compliance. The Department’s enforcement underscores the urgency of aligning with these requirements. Business Advantage: Research, such as McKinsey’s studies, suggests that diverse teams enhance innovation, decision-making, and financial performance, potentially giving compliant companies a competitive edge. Social Responsibility: By promoting equitable representation, businesses contribute to social justice, reducing inequality and fostering cohesion in a diverse society. Stakeholder Expectations: Customers, investors, and partners increasingly prioritise corporate social responsibility, particularly in the context of Environmental, Social, and Governance (ESG) criteria. Compliance strengthens trust and reputation. However, the regulations have sparked debate. As noted in recent industry analyses, stakeholders argue that the targets are ambitious given South Africa’s low-growth economy, global volatility, and existing regulatory burdens. Some have threatened constitutional litigation, claiming the targets are unachievable, while others believe transformation has been too slow. This tension highlights the complexity of balancing economic realities with social imperatives, with ongoing discussions in June 2025 emphasising the need for practical implementation.   How Should Companies Respond? To navigate these regulations effectively, companies must adopt a proactive and strategic approach. The following steps are essential: Access Sector-Specific Targets: Identify your company’s sector among the 18 listed in the regulations. The specific numerical targets, which vary by sector, occupational level, and gender, are detailed in Government Gazette No. 52514, accessible at GPW Online. These targets provide a clear roadmap for compliance. Conduct a Workforce Audit: Assess your current workforce composition against the sector-specific targets. Identify gaps in representation, particularly at senior management and professional levels, where transformation is often most challenging. Develop a Five-Year EE Plan: Create a comprehensive plan outlining how you will achieve the targets by 2030. Include annual goals and strategies for recruitment, training, promotion, and retention of designated groups, ensuring alignment with the Economically Active Population (EAP) demographics. Updated guidelines confirm that plans must commence on 1 September 2025. Implement Affirmative Action Measures: Align hiring and promotion policies with the regulations, ensuring no absolute barriers to employment. The Act’s General Administrative EE Regulations and Codes of Good Practice provide guidance on compliant practices, with new 2025 forms for reporting. Monitor and Report Progress: Establish robust systems to track progress toward the targets. Prepare for annual EE reporting, with the first assessment in 2026. Document efforts to demonstrate compliance, even if targets are not fully met, as reasonable grounds for non-compliance (e.g., skills shortages) can mitigate penalties. Engage Stakeholders: Communicate transparently with employees, unions, and other stakeholders about your EE strategy. Their buy-in is crucial for successful implementation and can prevent resistance or misunderstandings. Seek Expert Guidance: Leverage resources such as HR and legal experts or attend webinars. These sessions provide insights into sector targets, regulatory impacts, and compliance strategies. The regulations offer flexibility: employers can avoid penalties by demonstrating reasonable grounds for non-compliance, such as economic constraints or insufficient recruitment opportunities. However, these justifications must be well-documented and supported by evidence of genuine efforts.   Dangers of Ignoring the Changes Ignoring the new regulations is a high-risk strategy with severe consequences: Financial Penalties: Fines of up to R1.5 million or 2% of annual turnover can be crippling, particularly for smaller enterprises. The Department’s enforcement, with over 200 Labour Court referrals, underscores the seriousness of non-compliance. Legal Repercussions: Non-compliance may lead to costly and time-consuming legal battles, diverting resources from core business activities. Reputational Damage: Failure to comply can erode trust among customers, investors, and employees, damaging your brand in a market that values social responsibility. Missed Opportunities: By not embracing diversity, companies may forgo the benefits of a varied workforce, including enhanced creativity and access to a broader talent pool. Loss of State Contracts: Compliance is a prerequisite for securing government contracts, a critical revenue stream for many businesses. With the first reporting cycle approaching in 2026, and new EE plans required by 1 September 2025, procrastination is not an option.   Benefits for Your Company and Wider South Africa Benefits for you company include: Innovation and Performance: Diverse teams bring varied perspectives, fostering creativity and better problem-solving. Studies indicate that companies with diverse leadership are up to 25% more likely to achieve above-average profitability. Talent Attraction: By prioritising inclusivity, you can access a wider talent pool, attracting skilled professionals from underrepresented groups in a competitive labour market. Employee Engagement: Inclusive workplaces boost morale and retention, reducing turnover costs. Employees who feel valued are more productive and committed. Competitive Edge: Companies that lead in diversity may differentiate themselves, appealing to socially conscious consumers and investors, particularly in the context of ESG priorities. Benefits for the wider South Africa include: Reduced Inequality: Equitable representation in the workforce narrows economic disparities, empowering historically disadvantaged groups and fostering economic inclusion. Social Cohesion: Inclusive workplaces promote understanding and unity, contributing to a more stable and harmonious society. Economic Growth: By expanding access to opportunities, the regulations enable broader participation in the economy, driving growth and prosperity. These benefits align with South Africa’s vision of a transformed, inclusive society. However, achieving them requires overcoming economic challenges, such as low growth and skills shortages, which some stakeholders argue make the targets overly ambitious. The new regulations arrive at a time of economic uncertainty, with South Africa grappling with low growth and global volatility. This context fuels debate about the targets’ feasibility, in sectors like Mining and Manufacturing that face unique challenges due to male-dominated workforces or skills shortages, necessitating tailored strategies. For example, these sectors may need to invest heavily in training programmes to meet targets for women and people with disabilities. The flexibility in compliance – allowing reasonable justifications – offers a pragmatic approach, but companies must proactively document their efforts to avoid penalties. Engaging with employees and unions is critical, as resistance or misunderstanding could hinder implementation. Transparent communication, such as town hall meetings or regular updates, can foster a collaborative approach to transformation. Moreover, the regulations present a strategic opportunity. Companies that exceed targets may position themselves as industry leaders, gaining favour with stakeholders and accessing new markets. The emphasis on gender differentiation highlights the need to address women’s representation, particularly in leadership roles, aligning with global trends in gender equity. This focus could attract international investors who prioritise gender diversity. The marketplace is also increasingly focused on ESG criteria. Compliance with EE targets enhances a company’s ESG profile, potentially attracting investment and boosting brand loyalty. Conversely, non-compliance could deter ESG-focused investors, limiting access to capital in a competitive global market. Finally, the regulations underscore the importance of innovation in compliance strategies. Companies that adopt creative approaches – such as partnerships with training institutions or mentorship programmes – may not only meet targets but also gain a competitive advantage. This proactive mindset is essential in a market where transformation and economic pressures coexist. The Employment Equity Targets of 2025 are a defining moment for South African businesses. They demand immediate action but also offer a pathway to a more inclusive and prosperous future. By understanding the changes, prioritising compliance, and embracing diversity, companies can avoid penalties, unlock business benefits, and contribute to South Africa’s transformation. ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://it-online.co.za/2025/07/30/an-updated-guide-to-employment-equity/

Lisakanya Venna | 29 July 2025 UK investment and partnerships are turbocharging South African jobs, housing and digital markets — with real on-the-ground impact. On Monday, 28 July, the United Kingdom (UK) Minister for Employment Alison McGovern visited Cape Town ahead of the G20 Employment Ministerial in George this week, engaging with two flagship initiatives supported by the British High Commission that are driving job creation and economic opportunity in South Africa. According to the British High Commission in South Africa, UK firms now employ more than 100,000 South Africans, fuelling vital job creation and strengthening economic resilience in a country grappling with a 32.9% overall unemployment rate and a youth unemployment rate that reached 62.4% nationally for those aged 15 to 24 in the first quarter of this year alone. UK-backed initiatives are also seeking to address deep-rooted structural challenges—in particular, the legacy of spatial segregation that continues to shape South African cities. One such initiative, Divercity, was founded in 2018, with UK-backed British International Investment playing a key role since 2021 in funding urban renewal projects that deliver affordable housing and employment. At Divercity’s Salt River housing development, the Herringbone development, supported by British International Investment (BII), is powering an urban renewal engine aimed at breaking the cycle of spatial segregation that has long plagued South African cities. This project includes funding for more than 2,500 residential units, with more than 5,500 people benefiting from it. The initiative is also expected to create up to 4,000 construction and permanent jobs, offering both roofs and opportunities. “Almost all new affordable housing delivery since 1994 has taken place at the urban periphery, entrenching spatial segregation,” noted Carel Kleynhans, CEO of Divercity, highlighting how their partnership with BII enabled commercially viable affordable housing in prime locations. E-commerce empowerment In a separate initiative, Takealot, South Africa’s largest e-commerce platform, is unleashing the digital economy through its Township Digital Market Access Programme, supported by the UK-SA Tech Hub. The top 50 SMMEs in the programme have already generated about R5.7-million in sales and 39 jobs in one year. More broadly, Takealot has created 21,000 jobs and helped more than  7,500 township Small, Medium and Micro Enterprises (SMMEs) reach new markets, illustrating how public-private innovation can fuel growth. “We are opening up the e-commerce ecosystem, particularly to township-based entrepreneurs and small businesses…“We believe that this approach will meaningfully increase household incomes as we help create more opportunities for entrepreneurship, SMME growth and job creation,” said Fred Zietsman, CEO of Takealot. What this means for you Job seekers: UK investments mean more openings in construction, digital commerce and urban development — especially promising for youth and women. Entrepreneurs and SMMEs: More inclusion in e-commerce platforms can dramatically boost business opportunities. Urban dwellers: Projects like Divercity reduce commute costs and improve living conditions with safer, affordable housing in well-connected locations. Policy buffs: The UK-South Africa alliance models how international partnerships can go beyond aid, driving real economic transformation through sustainable jobs and innovation. ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://www.dailymaverick.co.za/article/2025-07-29-how-uk-investment-is-powering-south-africas-jobs-revolution/

Moneyweb | 30 July 2025 Lobby group Sakeliga has struck an arguably decisive blow in its legal challenge to moves by the Property Practitioners Regulatory Authority (PPRA) to no longer issue fidelity fund certificates to non-Black Economic Empowerment (BEE) compliant businesses. It announced on Tuesday that Minister of Trade, Industry and Competition Parks Tau “has withdrawn his opposition” to its case. This ministry is responsible for driving the government’s BEE agenda through legislation, codes, policies and sector charters. Sakeliga originally filed papers in the North Gauteng High Court against the PPRA and the ministers of human settlements, water and sanitation, and trade, industry and competition. It made these papers public in January. The Minister of Human Settlements, Water and Sanitation (Thembi Simelane, since December 2024) had already indicated that the department would abide by the decision of the court, effectively not opposing the matter. The PPRA falls under the ambit of this department. Sakeliga brought the papers following decisions by the PPRA last year to deny operating licences, in the form of fidelity fund certificates (FFCs), to property businesses that did not meet the regulator’s stipulated minimum BEE score. It argues that this was a “brazen effort to put people out of business unless they comply” and that the case is needed to “resist further overreach”. The first formal warning from the PPRA came in March 2024, when it warned practitioners in the property sector that failure to comply with BEE legislation “may result in the inability to obtain or renew” an FFC. Property practitioners, including estate agents, need these certificates to operate. This followed a webinar in March, during which the PPRA’s legal manager and acting transformation manager, Deli Nkambule, made it clear that the regulator “will not issue an FFC unless a compliant BEE certificate accompanies the application. The accepted level of compliance is 40 points or more (BEE level 8). You will not be issued a BEE certificate if you score below 40 (making your BEE certificate non-compliant).” After sustained pushback from the sector, the PPRA quietly made an about-turn in August, with its chair sending a letter to estate agent industry grouping Real Estate Business Owners of South Africa (Rebosa) stating that the PPRA had sought legal advice and would no longer be requiring level 8 broad-based black economic empowerment (B-BBEE) certificates with new FFC applications. Sakeliga described this at the time as a “tactical retreat”. It argues that the mandatory requirement for a “valid” B-BBEE certificate for the issuing of an FFC “serves no legitimate government purpose”. It says, “there is no relationship between fulfilling the requirements for a fidelity fund certificate and having a B-BBEE certificate.” Currently, there are around 40,000 FFCs issued, mostly to estate agents operating in the country. It highlights that the “certificate requirement extends even to those thousands of businesses that do not participate in BEE (due to falling below certain turnover thresholds), bizarrely requiring them to fork out in the region of R10 000 every year just to buy and submit a ‘valid’ yet ‘non-compliant’ B-BBEE certificate.” Through the case, it is also seeking to roll back the expanded definition of property practitioner, which it says was “unnecessarily expanded by the PPRA” to 12 new categories. Sakeliga says this includes developers, property administrators, landlords, homeowners’ associations, auctioneers, bond originators and even property marketing companies, which “improperly expands the reach of the PPRA over thousands of businesses and hundreds of billions of rand in turnover”. Achieving both outcomes would be seen as a success by the group. It is finalising its replying affidavit and, after filing it, will await a date for the matter to be heard. ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://www.algoafm.co.za/business/blow-for-state-over-bee-requirement-for-estate-agents

Virtual informal learning, otherwise referred to as distance training, has become the norm over the past few years.  Providing evidence of a training intervention according to the Skills Development requirements, includes an attendance register or certificate of attendance (not limited to). However, virtual learning or distance training sometimes poses a challenge in terms of producing an attendance register.   Some Members have arranged for an attendance register to be shared via email or on a document sharing platform at the end of the training initiative which records the attendees for each session allowing the learners to sign once for all sessions.   There is no official clarity on how an Entity should record attendance for a virtual learning or distance training intervention, but it would be important to provide evidence in some form that indicates that the training initiative has taken place.   Skills Development Services  are available to Members in assisting with collating evidence for virtual learning or distance training.

Sakhosethu Kunene | 28 July 2025 The Kopano Disabled Movement in Kwa-Thema turned Mandela Day into a celebration of giving, proving that community support is a two-way street. Kwa-Thema – The Kopano Disabled Movement (KDM) touched many hearts in the spirit of Mandela Day with their initiative of contributing to the community that supports them. Led by centre manager Kate Malope, the KDM donated to various organisations in the community on Mandela Day to show its gratitude for the support it had received from the community over the years. “Showing humility towards people was the Mandela way, so today we decided to give back to the community that supports us by spending 67 minutes at the Badger Holdings in Selcourt, packing rice hampers for organisations in our community to show our gratitude. “We believed it was a great initiative because we aim to receive and give back,” said Malope. Joining the KDM was the EMPD, which sponsored them with a soup kitchen to feed marginalised groups in the community, along with donations. The General Church of Christ also gave donations. The KDM offers a skills development programme for people living with disabilities to acquire skills, such as beadwork, crocheting, carpentry and agriculture. “Being a disabled woman myself, I want to inspire hope to every other disabled person out there and let them know that they are valued, recognised, have a place in our society and that their dreams too can come true.” For more information about the organisation, call Molape on 079 814 3715 or visit Kwa-Thema Ext 3, 26952 Madiba Street. ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://www.citizen.co.za/african-reporter/news-headlines/2025/07/28/29-af-gen-kopano-xk-2/

Samsung Newsroom | 29 July 2025 As part of Samsung’s R280-million worth Equity Equivalent Investment Programme (EEIP) launched in 2019, in collaboration with the Department of Trade, Industry and Competition (Dtic) – the partners recently opened the third call, inviting all suitable, black-owned ICT and Service Centre SMMEs to take part in this year’s Samsung EEIP Enterprise Development (ED) Programme.   This Samsung ED programme which aims to empower black-owned ICT and Service Centre enterprises to boost the economy and create jobs through entrepreneurship and business support – involves initiatives like grant funding, specialist business development support and access to supply chain opportunities for black-owned and women-owned small, medium and micro enterprises. This programme’s efforts are aligned with the country’s transformation goals and aim to foster a more inclusive economy.    In an effort to inspire potential future participants coupled by Samsung’s need to measure the impact and effectiveness of its CSR initiatives – the company took the time to speak to two of the beneficiaries from the ED programme in the last few years. When asked how Samsung EEIP provided the participating SMME owners with the confidence and support needed to mean business about their businesses , this is what they had to say:   One of the beneficiaries is Thoriso Rangata. He is a 32-year-old, businessman and the owner of KTO Digital, which focuses on Business Process Automation, Software Development Services and Background Screening Software as a Service (SaaS) solution provider. Thoriso says from being part of the programme, he gained the reassurance and confidence he needed.   Thoriso based in Johannesburg, originally from Limpopo, became part of the programme when he responded to a public call for applications in 2020. At the time, his business, KTO Digital, needed support in order to meet the company’s growth objectives. Thoriso is a true example of how the programme is able to empowerment ICT entrepreneurship as well as stimulate job creation and assist in contributing to economic growth.  Since being part of the EEIP programme, Thoriso’s company won the Nedbank Business of the Year Award in 2022. In the same year, his company launched their own product and received accreditation as a credit bureau business.   The support he received from the programme has allowed KTO Digital to create over 20 jobs between 2021 to date. This is in line with the programme’s objective of creating both direct and indirect jobs, with a particular emphasis on Black Economic Empowerment (BEE) and the development of township economy.   These achievements demonstrate how the EEIP programme has provided Thoriso and his team the opportunity to pursue their passions as well as bringing security and stability – not only to his employees but also to their families’ livelihoods. Thoriso explains, “the other direct benefits that KTO Digital received from being part of the programme included: Grant Funding, Asset Financing as well as Continuous Business Mentorship – and this, is exactly what our business needed in order to move forward.”   He added: “As a company, we strongly believe that the skills we acquired from this EEIP programme, which included Business regulatory governance structures and strategic business growth approaches/methods – have contributed to the success of our business to date. This programme has really helped us to achieve our goals, and it has taken our business to new heights.”   Based in Sinoville, Tshwane, the second EEIP beneficiary is Dumisani Mkhwebane – a 38-year-old businessman who co-owns and runs TIA-Solutions – an IT company with Boitumelo Mkhwebane – a 36-year-old, businesswoman. Their business focuses on Secure Scalable IT Solutions by building cloud infrastructure through collaborative team efforts. This provides their customers with resilience from cyber-attacks and contributes to productivity, efficiency as well as business continuity. Dumisani explained further: “As TIA-Solutions, we partner with multinational vendors such as Microsoft, Fortinet and Veritas which allow us to give our customers end-to-end, tailor-made IT solutions that cater to their business needs.”   He also elaborated on how the company entered into the programme, Dumisani said: “We saw an advert on LinkedIn in 2023 about the EEIP Enterprise ED and decided to enter. We then received Capital Investment to buy computer equipment for our internal operations as well as company vehicles. In addition, we received Business Training and Skills development for our employees as well as other vital skills that we needed which included: Business Management Skills, Marketing and how to better position our company.   “The programme has both Financial and Non-Financial benefits for Business Growth and Sustainability,” Dumisani added. “It is for these reasons that we would like to encourage other SMEs to apply to be part of the programme. We strongly believe that the ED programme will help grow other SMEs like it did ours and it will help a great deal in upskilling their workforce.”   Importantly, this Samsung ED programme seeks to inspire potential future participants by demonstrating how the EEIP can help them kick-start their businesses. The tangible results articulated by these beneficiaries are a confirmation of Samsung’s commitment to empowering entrepreneurs and providing a reliable support system to SMEs in the country.   Nicky Beukes, Samsung South Africa EEIP Project Manager concluded: “It is clear from these testimonials that through the reassurance and confidence offered by this Samsung EEIP ED programme – we are slowly, but surely achieving our intention of shifting the perception of potential candidates from “I’m working on something” to “I run a successful business”. As Samsung, we are happy to be delivering according to our programme’s overall and multi-faceted objectives which include the creation of a more inclusive and prosperous society through strategic investments, skills development and entrepreneurial support.”  ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://news.samsung.com/za/testimonials-samsung-eeip-driving-measurable-growth-in-black-owned-smmes

Intra-Group Procurement Spend is a normal part of spending, especially for groups of vertically connected companies, which in many cases is a sizeable amount. Internal procurement between holding companies and their subsidiaries must be included in an organisation’s Total Measured Procurement Spend as per Statement 400 of the Amended General B-BBEE Codes of Good Practice.   Paragraph 5.1.2 states: Intra-group procurement: all goods and services procured from subsidiaries or holding companies of a Measured Entity (BEE Credentials of the entity supplying goods and/or services must be confirmed in the way of a BEE Certificate).   Requirements for Consolidated B-BBEE Verifications amongst a group of Entities will have an impact on the above. Enterprise & Supplier Development Services  are available to Members to assist in understanding the Intra-Group Procurement spend.

The liquidity of an Enterprise Development Beneficiary matters. A long-term Enterprise & Supplier Development Strategy  more often than not incorporates future Bonus Points for elevating a Beneficiary from Enterprise Development status to that of Supplier Development.   However, core to successfully claiming these points is that the Enterprise or Supplier Development Beneficiary remains in business. In other words, claims only qualify if an Enterprise or Supplier Development Beneficiary’s business is liquid and actively trading.   Therefore, organisations must put measures in place to track the performance of their Beneficiaries.   Enterprise & Supplier Development Services   are available to Members to assist with crafting sustainable Enterprise & Supplier Development strategies.ns.

Jacques Maritz | 28 July 2025 South Africa’s labour market faces a difficult contradiction: unemployment is high, yet many businesses can’t find the skilled workers they need. This is especially true in sectors like logistics and construction, where foreign labour is often used to fill urgent gaps. While this approach helps keep operations running, it often raises concerns that jobs are being taken away from South Africans. But framing the issue as a choice between local and foreign labour doesn’t capture the complexity of the problem. What’s needed is a practical, balanced approach - one that meets immediate business needs while supporting long-term local skills development. Temporary Employment Services (TES) providers can help businesses strike this balance by handling legal compliance, ensuring fair hiring, and supporting programmes that transfer skills from foreign to local workers. Skills shortages vs. employment needs In many sectors, particularly construction, infrastructure, and logistics, demand for specialised, high-risk or niche skills far outpaces local availability. These shortages are often compounded by the need for flexibility in project-based or high-turnover roles - demands that foreign labour is sometimes better positioned to meet quickly.  Foreign workers can also bring specialist expertise not yet widely available in the local talent pool. In these cases, such professionals serve not just as short-term resources but also as potential mentors and catalysts for local upskilling. The issue, then, is not whether foreign labour has a place in the South African economy – it clearly does – but how this labour is recruited, managed, and integrated into the workforce in a way that aligns with national priorities.  Enabling compliance and ethical hiring TES providers offer a compliant, ethical, and efficient framework for meeting urgent workforce needs without undermining employment equity or legal standards. By handling vetting, documentation, and permit validation, TES partners ensure that foreign workers are lawfully employed and that all contracts meet the requirements of the Basic Conditions of Employment Act, Labour Relations Act, and other applicable regulations. Importantly, TES providers reduce legal and reputational risk for employers by acting as the legal employer of record, managing worker conditions, pay, and compliance on behalf of their clients. This arrangement offers much-needed operational flexibility while maintaining the integrity of South Africa’s labour laws. Building local talent for the long term One of the most strategic roles TES providers can play is facilitating skills transfer from foreign to local workers. Through structured mentorship, buddy systems, and training programmes, TES can help businesses develop a pipeline of South African talent for future roles. Foreign specialists become short-term enablers, not long-term replacements – helping to upskill locals and reduce future reliance on imported skills.  This approach supports inclusive growth by uplifting local communities and reinforcing long-term economic stability. It also helps businesses align their workforce strategy with transformation and employment equity goals, which are vital in today’s South African business environment. Strategic workforce planning is a shared responsibility Creating a resilient, future-ready workforce requires collaboration between industry, government, and TES providers. Joint sector forums can help identify critical skills gaps, while shared investment in accredited training and mentorship will build a stronger local talent pipeline.  Clear policy and streamlined immigration processes are also essential to support fair, lawful hiring. At the same time, businesses should be incentivised to invest in local skills development while managing foreign employment responsibly. By linking hiring strategies to SETA-accredited programmes and forecasting future needs, companies can meet immediate demands and contribute to sustainable growth, job creation, and national transformation goals. Finding the way forward South Africa doesn't need a binary answer to the foreign vs. local labour debate – it needs a smart, fair, and inclusive solution. TES providers are uniquely positioned to offer just that: a scalable, compliant, and opportunity-driven model that addresses short-term skill shortages while laying the foundation for long-term talent development. Foreign expertise should uplift, not displace local talent. With the right partnerships and policies in place, South Africa can close the skills gap, create jobs, and build an economy where both local and foreign expertise are part of the solution – not in competition, but in collaboration. ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://iol.co.za/business-report/2025-07-28-understanding-south-africas-reliance-on-foreign-labour-and-the-way-forward/

Charlene Louw | 27 July 2025 South Africa’s beer industry is more than just a source of refreshment - it’s an economic powerhouse woven into the cultural and economic fabric of our country. In 2023 alone, it contributed R96.4 billion to GDP, generated R56.5 billion in tax revenue, and supported over 210,000 jobs, according to Oxford Economics’ “Beer’s Global Economic Footprint” study. As the Beer Association of South Africa (BASA), our mandate is to protect and promote this industry and the livelihoods it sustains. But we cannot do so without fair and forward-looking regulation - particularly when it comes to excise tax policy, which has reached an unsustainable tipping point. Reflect: brewing under pressure Despite its contributions, the beer industry is under increasing strain. In the 2025/26 National Budget, excise tax on alcohol was raised by 6.75%, continuing a pattern of above-inflation hikes. While large players may be able to absorb some of the blow, many small and craft brewers cannot - resulting in closures, job losses, and declining sector diversity. Currently, excise and VAT together account for up to 40% of the price of a 340ml beer - exceeding the average brewer’s operating costs. For township taverns and community brewers - often micro-entrepreneurs - this is unsustainable. These are not just businesses, they are lifelines in economically marginalised communities. Adding fuel to the fire, several provinces have introduced steep increases in licensing fees across manufacturing and retail categories. For small players, these increases push them closer to non-compliance, or worse, illicit activity - not out of malice, but necessity. The illicit alcohol market is already a growing threat. According to Euromonitor, illicit alcohol consumption rose by 10% CAGR between 2017 and 2020, accounting for 22% of total consumption. The lack of enforcement, compounded by high taxation and regulatory burdens, is inadvertently driving consumers and producers underground - eroding both public safety and tax revenue. Recognise: building bridges, not barriers Over the past year, BASA has deepened its collaboration with government - from social development departments to provincial liquor authorities - to reshape understanding and policy around beer. These partnerships are starting to bear fruit, with greater openness to constructive engagement and joint problem-solving. We’ve also completed a national beer perception study, revealing key misconceptions. Most notably, beer is widely seen as a high-alcohol product, when in reality it has one of the lowest ABVs among alcohol categories. This insight will help us sharpen our public messaging and promote responsible consumption alternatives. On the ground, we’re investing in skills development for tavern owners, SMME brewers, and emerging entrepreneurs - many of whom entered the trade out of economic desperation, not choice. Too often, they lack formal business training and remain stagnant for decades due to lack of access to funding, compliance know-how, and basic marketing skills. Our support includes short courses in financial management, licensing, and social media marketing, and we’re partnering with universities to elevate brewing as a science and a career, particularly for young black South Africans and women, who remain underrepresented in the industry. Reignite: a new vision for Beer in SA As we look ahead, our focus is threefold: Reframe the conversation around beer - not just as a product, but as a driver of jobs, tourism, township economy development, and heritage. This is particularly crucial in the run-up to October’s Transport Month and the festive season, where we’ll be promoting low- and zero-alcohol options under the “Go Zero” campaign. Challenge the “one-size-fits-all” excise tax model. Blanket increases ignore the differences between multinational brewers and township-based micro-operators. A differentiated excise framework, or increased SMME support, is essential to level the playing field. Call on SMME support agencies to include alcohol-related businesses in their development mandates. These are legitimate businesses supporting households and communities - they deserve the same support as any other entrepreneur. Brewing a sustainable future If government is serious about inclusive economic growth, it must recognise the role of beer in South Africa’s socio-economic ecosystem. As we approach the Medium-Term Budget Policy Statement, BASA will continue to engage with National Treasury and request a review of the current excise policy development process - calling for a Structured Consultation Process that ensures extensive and inclusive stakeholder engagement. A more transparent and predictable process is essential to address policy uncertainty, which is currently undermining investor confidence and business sustainability - particularly for SMMEs. South Africa’s beer industry is ready to grow, innovate, and lead. But it can’t do that with a tax system that brews failure. The time to act is now. Charlene Louw, CEO of the Beer Association of South Africa (BASA). ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://businessreport.co.za/opinion/2025-07-27-reflect-recognise-reignite-the-case-for-a-smarter-beer-policy-in-sa/

Staff Writer | 27 July 2025 Employment and Labour Minister Nomakhosazana Meth has outlined the top critical skills needed in the country, which the Department of Higher Education and Training (DHET) is trying to funnel students toward. Meth has been advocating and pushing skills development as a key solution to South Africa’s persistently high unemployment rate. South Africa’s unemployment rate is currently 32.9%, meaning one in every three adults in the workforce is without a job. While some have argued that the rate is much lower in reality—as low as 10%, when factoring in untracked work in the informal sector—Stats SA has stood by its reported figure. On top of the high unemployment rate, South Africa also has problems with a skills mismatch, where school leavers aren’t getting training in skills the country actually needs, and low absorption rates. MK Party MP Lehlohonolo Selepe asked the department in a Parliamentary Q&A what critical skills South Africa needs, and whether or not those being trained by government learnership programmes were getting placed in jobs. Meth noted that it is not her department that determines the skills, as it is a competency within the DHET to assess, review, and develop The National List of Occupations in High Demand (OIHD). Similarly, the labour department also does not develop or provide training in these skills, as that remains the mandate of the BHET and various Sector Education and Training Authorities (SETAs). Nevertheless, Meth said her department does have systems that track these factors and is privy to the most-needed skills and occupations on the Employment Services South Africa (ESSA) database. The list of high-demand occupations in South Africa While not a comprehensive list, Meth outlined the highest-demand skills across six critical sectors on the database: Science & Health Medical specialists: Psychiatry, Neurology, Oncology, Paediatrics, Pathology (various branches) Dentistry: Prosthodontics, Oral medicine, Maxillofacial surgery Nursing: Perioperative, Emergency, Mental health, Nurse educators Veterinary roles: Veterinarians, Veterinary nurses Public health professionals ICT & Engineering Software developers & programmers ICT security specialists Network analysts & systems engineers Mechanical, Electrical, Civil, and Mining engineers Mechatronics & Electronics technicians Naval architects & Aeronautical engineers Business & Finance Actuaries Investment analysts & managers Corporate treasurers Internal & external auditors Market research analysts Supply chain & distribution managers Education & Research University lecturers Senior phase and FET schoolteachers (Grades 8–12) Research and development managers Environmental & Planning Urban and regional planners Environmental scientists & managers Climate change scientists Oceanographers & hydrologists Technical & Trade Millwrights Lift mechanics Metal machinists Instrumentation technicians Air-conditioning and refrigeration mechanics The minister said that the fill list of high-demand occupations could be accessed from the DHET. This document was last updated in 2024, and lists 350 occupations that carry a high demand score. The list was determined through an online survey distributed via e-mail and LinkedIn in which employers and recruiters were asked to list occupations they are likely to recruit for over the next three years. The number of times a respondent mentioned an occupation and the average level of certainty that respondents assigned to it were used to estimate survey data demand scores that informed the list. The full list can be found here . When it comes to the absorption of trained workers, Meth said that information on the ESSA system showed that over 26,600 people who received government training had been placed. This includes: Services sector =130 Public Sector = 194 Safety and Security = 5120 Agriculture = 6,733 Manufacturing = 142 Mining = 3 Media and Publishing =871 Local Government = 2,350 Insurance = 109 Information systems = 31 Forestry = 124 Education = 2,731 Construction = 7,982 Banking = 50 Financial = 66 “For those programmes carried out by the DEL Labour Activation Program, all training providers are required to provide employment after training,” she said. However, she could not confirm the different arrangements and conditions for employment after training for those participating in SETA programmes. ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://businesstech.co.za/news/government/832801/south-africa-desperately-needs-these-skills-2/