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  • FREEDOM DAY

    On Sunday, 27 April 2024, we commemorate Freedom Day.   Freedom Day is the commemoration of the first democratic elections held in South Africa on 27 April 1994.  These were the first post-apartheid national elections to be held in South Africa where anyone could vote regardless of race.   It symbolises our Country’s journey towards equality, justice, and freedom for all its citizens. Broad-Based Black Economic Empowerment (B-BBEE)  is intricately linked to this historic day, representing efforts to address the economic disparities inherited from apartheid. B-BBEE initiatives aim to empower Black People, by promoting their participation in the economy.   Together, Freedom Day and B-BBEE signify South Africa's ongoing commitment to creating a more inclusive and equitable society.

  • UNLOCKING SMB POTENTIAL WITH THE NEW ENTERPRISE ACT

    IT- Online | 22 April 2025 The news around President Cyril Ramaphosa signing the National Small Enterprise Amendment Bill into law has been widely welcomed, writes Viresh Harduth, vice-president: small segment at Sage Africa & Middle East. This development promises to streamline access to financial and non-financial assistance for small and medium businesses (SMBs) as well as offer smaller businesses better protection from unfair commercial practices. The newly signed Act aims to reduce red tape and bureaucratic challenges for SMBs, levelling the playing field with larger organisations, including big businesses and public sector entities. This comes at a crucial time, with a break from load-shedding and expected interest rate cuts boosting business confidence. The Act is poised to foster a more inclusive economy, creating more opportunities for SMMEs and cooperatives, which in turn should enhance job creation and economic diversity. Despite contributing 40% to South Africa’s GDP and providing 87% of employment opportunities, SMBs have historically been underrepresented in government policymaking. It’s encouraging to see a renewed focus on supporting and growing this sector through interventions such as the new Act.   Providing critical support for SMBs By providing a more supportive and predictable business environment, the Act aims to encourage innovation and growth within the SMB sector. This could lead to increased competitiveness, job creation, and overall economic development. However, the speed and quality of the implementation of the Act’s provisions will determine how effective it is in meeting its objectives. One of the key components of the Act is the merger of the Cooperative Banks Development Agency (CBDA), the Small Enterprise Development Agency (SEDA), and the Small Enterprise Finance Agency (SEFA) to create the Small Enterprise Development Finance Agency (SEDFA). This consolidation will provide SMBs with a single point of entry to seek financing and other assistance. Such a move is particularly important given that 42% of SMBs cite financial pressures and cash flow issues as significant challenges, according to Sage’s recent SBBO report. Combining these agencies will be a complex task that could take months or even years and is essential to ensure that the services the existing agencies provide are not disrupted during the transition. The report additionally states that 51% of SMBs globally stated rising operational costs, highlighting the importance of reducing red tape and improving access to affordable financing. In South Africa, where economic disparities are pronounced, the ability of SEDFA to deliver streamlined support will be vital to ensuring that SMBs can overcome these barriers and thrive.   Addressing unfair practices SMBs are likely to support the establishment of a Small Business Ombudsman under the Act, as it aims to ensure fair treatment by larger businesses and government entities. The Ombud would address common challenges such as late payments and unfair contract terms—issues that smaller businesses often lack the resources to contest in court. By providing a dedicated channel for dispute resolution, the Ombud could help level the playing field. The Act also empowers the Small Business Minister to declare certain practices as unfair, but careful implementation will be essential to protect SMBs without stifling healthy market competition.   Bridging the digital divide Digital transformation is no longer optional for SMBs. Globally, 70% of SMBs expect revenue growth, and 67% plan workforce expansions in the next six months, driven largely by investments in digital tools and AI. If South African SMBs are to follow this trajectory, they need both the resources and the skills to embrace digitalisation. As SMBs increasingly adopt digital tools to drive efficiency and growth, the Act must also address the skills gaps that prevent many businesses from fully leveraging technology. While 85% of SMBs globally view technology as central to achieving their business goals, South Africa lags behind, with only 78% of local SMBs recognising digital technology as important. This digital lag is compounded by a lack of skilled talent. Globally, 33% of SMBs call for enhanced training opportunities to address digital skills shortages. South African SMBs would benefit greatly from targeted skills development programmes to help them unlock the full potential of digital transformation. By investing in training initiatives, the government can ensure that SMBs are equipped to compete in an increasingly digital economy.   Levelling the playing field It is also essential for the government to accelerate the structural reforms of Operation Vulindlela in lockstep with the implementation of the Act to unlock the full potential of the SMB sector. As important as the new Act is, challenges such as logistics bottlenecks and poor local government performance continue to constrain the growth of SMBs. South African SMBs have shown remarkable resilience, with 78% expressing confidence in their future success despite the challenges they face. However, this optimism must be matched with tangible support to ensure their sustainability. Creating a more enabling environment for SMBs in South Africa will help ensure their sustainability, which in turn can contribute significantly to the country’s economic growth. By addressing financial constraints, bridging digital skills gaps, and ensuring fair treatment through the Ombud Service, the new Act has the potential to transform the SMB landscape in South Africa. The National Small Enterprise Amendment Bill represents a major step forward in empowering South African SMBs. With effective implementation, it could address many of the challenges facing this vital sector. By fostering a more inclusive and supportive business environment, the Act can help unlock the full potential of SMBs, driving economic growth, job creation, and innovation across the country. ‘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/2025/04/22/unlocking-smb-potential-with-the-new-enterprise-act/#:~:text=The%20newly%20signed%20Act%20aims,rate%20cuts%20boosting%20business%20confidence .

  • UNPACKING THE FINAL EMPLOYMENT EQUITY SECTOR TARGETS IN SOUTH AFRICA

    Melissa Cogger and Talita Laubscher | 23 April 2025 On 15 April 2025, the Minister of Employment and Labour published the ‘Determination of Sectoral Numerical Targets’ ( Final Sector Target Regulations ) and the  ‘ Employment Equity Regulations, 2025’ ( General Administrative EE Regulations ),   which repeal the Employment Equity Regulations, 2014 (collectively,  the 2025 EEA Regulations ). The 2025 EEA Regulations are published, following the Employment Equity Amendment Act, 2022 ( Amendment Act ) coming into effect on 1 January 2025, and the purported consultations that took place between the Department of Employment and Labour ( DoEL ) and representatives of various sectors. In the Final Sector Target Regulations, the Minister has identified 18 national economic sectors and set numerical targets for each sector. The ultimate purpose of these sector targets is to ensure the equitable representation of suitably qualified people from designated groups. In terms of section 20(2A) of the Employment Equity Act, 1998 ( EEA ) the numerical goals set by an employer must comply with any sector target that applies to that employer and is, in terms of section 42(1)(aA), one of the measures that is considered in the assessment of compliance. Further, the Minister may only issue a certificate of compliance in terms of section 53 of the EEA if the Minister is satisfied that, among other things, the employer has complied with a sector target that applies to that employer, and if it did not, there were justifiable reasons for non-compliance. The enforcement of these sector targets will have significant impact on designated employers and their ability to do business with the State. Further, fines and penalties may apply for non-compliance with sector targets unless a justifiable reason exists for such non-compliance. History behind the targets The timeline and process leading to the finalisation of the sectoral targets involved several stages, as set out below: 18 sectors were identified by the DoEL on 21 September 2018 through the publication of draft regulations ( Draft 2018 EEA Regulations ). These 18 sectors have remained unchanged, and are based on the broad categorisation in the Standard Industrial Classification Codes. Following the tabling of the Employment Equity Amendment Bill in Parliament, various meetings were held with stakeholders during the period from 2019 to 2022 regarding the proposed sector targets, which were initially based on the sector charters published under the Broad-Based Black Economic Empowerment Act, 2003 ( BBBEE Act ). The President only signed the Employment Equity Amendment Bill into law on 6 April 2023. The promulgation and coming into effect of the Amendment Act would be on a later date, which we now know to be 1 January 2025. Draft targets were published for public comment on 12 May 2023 ( 2023 Draft Sector Targets ) as well as on 1 February 2024 ( 2024 Draft Sector Targets ). Such publication took place even though the Amendment Act had not yet come into effect. The Amendment Act came into effect on 1 January 2025, and section 15A of the EEA empowers the Minister (following a multi-stage process of consultation) to set sector targets. During February 2025, the DoEL conducted virtual meetings with stakeholders in the 18 sectors and invited written representations within an expedited timeframe on new proposed draft targets ( 2025 Draft Targets ). These 2025 Draft Targets were not published for public comment. Following the virtual meetings, and during February and March 2025 various stakeholders requested and held bilateral engagements with the DoEL as a means to discuss the rationale underlying the 2025 Draft Targets, as well as the rationale pertaining to the identification of the sectors. The sectors had remained unchanged since the sectors were first identified in the Draft 2018 EEA regulations, despite representations by various organisations that these were over-broad and did not take into account the unique circumstances of sub-sectors. Finally, the sector targets were published in final form on 15 April 2025 ( Final Sector Targets ), with no further period for public comment provided, and without prior publication of these Final Sector Targets in draft form. As with the 2024 Draft Sector Targets, the Final Sector Targets are set for males and females from 'designated groups' generally and are not broken down further per population group. Further, and as previously recorded in the 2024 Draft Sector Targets, the five-year sector targets are not intended to add up to 100%; as the sector numerical target excludes white males with no disabilities and foreign nationals as part of the workforce profile. When determining annual employment equity targets towards achieving the five-year sector numerical targets, a designated employer must set numerical targets for all designated groups in each of the four upper occupational levels in relation to the applicable sector targets and Economically Active Population ( EAP ), and for persons with disabilities. The General Administrative EE Regulations state that the manner in which designated employers must take the sector targets into account and apply the affirmative action measures is set out in the EEA, the General Administrative EE Regulations and the codes of good practice issued under the EEA. Comparison of the 2024 Draft Sector Targets and the Final Sector Targets In comparing the 2024 Draft Sector Targets and the Final Sector Targets, the following is notable: Overall, the Final Sector Targets are significantly higher than the 2024 Draft Sector targets, with significant increases particularly for females in the designated groups. For instance, the target for females in senior management in the Finance and Insurance sector has increased by 21.3% when compared to the 2024 Draft Sector Targets. Targets set for females in senior management have similarly significantly increased in the Professional, Scientific and Technical Activities sector by 23.1%. Conversely, there have been some decreases in the targets for males in the designated groups. The target for people with disabilities has been increased from 2% to 3% across all sectors. Some of the principles agreed to between the South African Government and Solidarity trade union during 2023, which were previously included in the Draft 2024 Targets are absent in the 2025 EEA Regulations. For example, the 2025 EEA Regulations do not explicitly contain the principle " No employment termination of any kind may be effected as a consequence of affirmative action ." The principle that “ affirmative action shall be applied in a nuanced way ” is also missing from the 2025 EEA Regulations, however the regulations do outline guidelines for implementing affirmative action. Unlike the 2024 Draft Sector Targets, the DoEL has not explained in the Final Sector Targets what factors it took into account when setting the five-year sector targets. For example, it does not refer to the latest workforce profile statistics, the EAP, the various sector codes published under the BBBEE Act, or the unique sector dynamics. Similar to the 2025 Draft Sector Targets, guidance is provided on the over-representation of any particular group. The 2025 General Administrative EE Regulations discourage designated employers from perpetuating the over-representation of any group if their representation exceeds the applicable EAP in a particular occupational level. Further information is provided in circumstances where a designated employer exceeds the sector target. For example, if a designated employer has exceeded the numerical target set for a particular designated group at an occupational level, it should continue to set targets that maintain compliance with the EAP. There is no longer a prohibition on “regression” in a particular race/gender group, which was contained in the Draft 2024 Sector Targets. It is possible for designated employers that operate in more than one province to adopt multiple provincial EAPs, taking into account the nature of their operations and geographical area. This was not previously permitted in the Draft 2024 regulations.   Rationale for revised targets For various sectors, the Final Sector Targets are the same as those targets shared by the DoEL during the virtual meetings held in February 2025 and are unchanged despite representations and bilateral engagements. Importantly, those draft targets shared in February 2025 were not published in the  Government Gazette  for public comment. The DoEL explained in the meetings that the 2025 Draft Targets were based on the feedback received in the prior public participation process, the latest workforce profile statistics and sector dynamics. The DoEL indicated that the rationale for the change in draft targets was due to various sectors comparing well and exceeding the 2024 Draft Sector Targets in the last reporting period, which appears to explain the markedly increased and different Final Sector Targets. During engagements and in some of the bilateral engagements, the DoEL further explained its rationale and ‘formulae’. The DoEL considered the workforce profiles of the various sectors for 2023 and 2024. It then set the target for the top four occupational levels at 6%, 7%, 8% and 9% respectively. This appears to be based on the DoEL’s view that these are appropriate targets. The Final Sector Targets therefore do not appear to have been formulated on any scientific or empirical basis. The challenge arises when the workforce profiles of subsectors are considered. In some instances, the targets are then much higher than the 6%-9% principle applied by the DoEL, which makes compliance with the sector targets a challenge for these subsectors. Some comfort for designated employers Whilst section 20(2A) contemplates peremptory compliance with the Final Sector Targets when setting numerical goals, comfort should be taken in the well-established principles in employment equity law that have been interpreted and developed by our courts. In this regard, section 15(3) explicitly states that affirmative action measures include preferential treatment and numerical goals, but exclude quotas, and that there should not be absolute barriers to the appointment or promotion of over-represented groups. Regard should also be had to the justifiable reasons for non-compliance which are repeated in the General Administrative EE Regulations, which remain unchanged from the Draft 2024 Sector Targets. ‘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/2025-04-22-unpacking-the-final-employment-equity-sector-targets-in-south-africa/

  • PIET LE ROUX AND GERHARD PAPENFUS: NEW RACE QUOTAS — A FULL-SCALE ATTACK ON BUSINESS FREEDOM

    Piet Le Roux & Gerhard Papenfus | 21 April 2025 Companies face another attempt by the state to exert centralised control over economic activity in SA Last week the SA government published its new racial hiring quotas, which instruct businesses to reduce white males to as little as 4% of its workforce.  The regulations herald perhaps the most sweeping racialisation of the SA labour market, seeking to impose racial hiring quotas on local and international companies alike and threatening to destroy hundreds of billions of rand in economic value if diligently enforced.  According to the Employment Equity Act, the purpose is to “ensure equitable representation” of “designated groups” in employment across the country. But what this really means — according to the likes of the Employment Equity Commission, President Cyril Ramaphosa and the ANC — is the forced change of the workforce of every company of consequence to one that mirrors the racial composition of the country.  Such totalitarian intervention in company hiring decisions would be an absolute disaster for job numbers and employment by itself. But failing to comply with the mostly impossible regulations is similarly ruinous.  Missing the “numerical targets” comes with a debilitating 10% of turnover fine, among other penalties. There is the theoretical possibility that the department of labour may issue sanctioned companies a temporary pardon, on a case-by-case basis, but this only underscores the capricious nature of the regulations, making business and investment planning a nightmare.  The act craftily avoids calling these “racial quotas”, preferring the more euphemistic, and seemingly more flexible, “numerical targets”. The distinction between quotas and targets is only semantic. The fact is, missing them carries punitive sanction.    The labour department wants compliance to commence in September this year. As much as five years may be allowed for complete implementation, provided the regulator is satisfied with your “progress”.  The quotas currently apply to companies with 50 or more employees, but that threshold can be lowered at a legislative whim. The government’s track record of shifting the goalposts in racial economic policy makes this more a matter of when, not if.   The official regulations divvy the economy up into 18 ill-defined “sectors”, and then employment into four categories called “top management”, “senior management”, “professionally qualified and middle management” and “skilled technical”. Each category is then assigned three percentages — one for “designated groups” males (that is, males as long as they are not white), one for “designated groups” females (including white females) and one for “disability only”. Able-bodied white males do not appear in the regulations — they are the remainder after the designated groups are subtracted from 100.  So we have 18 sectors, four employment categories, various racial group quotas, gender quotas and disability quotas for a matrix of at least 576 variables to be optimised by labour department central planners.  In the case of “financial and insurance” businesses, “top management” is allowed to be 37% white males, which declines rapidly through other categories until it bottoms out in the “skilled technical” category allowing for white males to make up no more than 4%. In healthcare companies, white males should max out at respectively 29% and 4%; in administrative and support services (such as security companies), 30% and 4%; mining companies, 29% and 4%; education institutions 26% and 4%, and so on.  Agricultural operations get limited (for now) to between 66% and 6%, which is a not-very-subtle way of telling a white farmer that there’s no place for his sons on the team. The sector that really reveals the goalpost-shifting endgame for all sectors though, is “public administration and defence”. Here, white males must be reduced to a maximum of 8% of top management employees, and 4% of the rest.  Targeted domestic sanctions and expropriation   In short, the new employment equity regulations aim to push white people in general, and white males in particular, out of jobs. In practice, this is a targeted economic sanction against a section of the domestic population.  Moreover, in the language of another controversial statute in this country today, these forced hiring directives are a form of expropriation, in which the state attempts a race-based transfer of a company’s effective control without compensating the existing owners. Such targeted domestic economic sanctions are unacceptable and harmful enough, but where strict enforcement compels companies to hire people without the requisite skills or suitability, less value will be produced at more cost. Business efficiency will be greatly harmed. Declining productivity will ripple out with a colour-blind negative multiplier effect, affecting business viability, investment undertakings and hiring across the economy.  International repercussions   To the extent that international companies have participated in employment equity since the original act was passed in 1996, they may have developed some tolerance for the SA government’s unusual insistence on race. Many would have outsourced to human resources (HR) consultants the periodic “employment equity plans” they were required to submit, having been assured that the company may determine its own flexible targets and that missing the targets wasn’t a major problem.  However, it will soon become clear to these companies that the amended act and regulations now prescribe specific and onerous race, sex and disability quotas — to be met under penalty of fine, and eventually personal prosecution and prohibition of trading. Before long, the boards of international companies operating in SA will conclude that they are facing the most outrageous — and impossible — diversity, equity & inclusion programme in the world.   Some will guts it out because returns are that good, trusting that impossible programmes like these always have loopholes and eventually fail. They will keep their expansion plans limited though.  Others will leave, not having signed up for such absurd and fluid risk vectors, which also expose their owners and senior management to extensive ethical, moral and legal risk both inside and outside SA.  Either way,  many international companies will be getting in touch with their embassies. Every one of those conversations will be fuel on the fire of international controversy in which SA finds itself around racialised economic policies.  What happens next?    The new employment equity regulations seek to impose completely unreasonable operational obligations on thousands of businesses. Minimum possible compliance and maximum appropriate noncompliance will be widespread as businesses prioritise the reality of looking after their customers, employees, and owners over practically impossible bureaucratic fantasies. Countless businesses and their employees oppose this harmful and destabilising hyper-racialisation of their workplaces in principle and in practice. Meanwhile, opposition from foreign companies and their representative embassies can be expected to escalate, with the possibility of diplomatic consequences.  Moreover, groups like Sakeliga, the National Employers’ Association of SA (Neasa) and others are preparing comprehensive litigation strategies to oppose the employment equity regulations on constitutional and practical grounds.  Together, this forms a wave of strong and principled opposition that should act as an encouragement to companies as they confront another irresponsible attempt by the state to exert total centralised control over economic activity in SA.  • Le Roux is CEO of Sakeliga, and Papenfus CEO of Neasa.   ‘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/opinion/2025-04-21-piet-le-roux-and-gerhard-papenfus-new-race-quotas-a-full-scale-attack-on-business-freedom/

  • SA'S NEW EMPLOYMENT EQUITY REGULATIONS: A COMPLIANCE CHALLENGE FOR BUSINESSES BY 2030

    Philippa Larkin | 15 April 2025 South African businesses now face a crucial compliance challenge after the Department of Employment and Labour on Tuesday gazetted two sets of Employment Equity (EE) Regulations effective January 1, 2025. The Department of Employment and Labour said in a statement, "The publication of these EE Regulations represents a pivotal step toward advancing transformation and inclusivity in the South African labour market. Employers are encouraged to familiarise themselves with the new regulatory framework to ensure compliance and alignment with employment equity objectives." The regulations mandate designated employers to meet sector-specific equity targets by 2030, with hefty fines for non-compliance. Non-compliance carries penalties of up to R1.5 million or 2% of annual turnover. Over 200 employers have already faced Labour Court for prior violations.  The published regulations include: General Administrative Regulations: These regulations provide standardised reporting forms (EEA2 and EEA4 forms); templates for EE Analysis (EEA12) and EE Plans (EEA13); enforcement tools; and templates for the EE Certificate of Compliance, including the intention to withdraw the EE Certificate of Compliance.These regulations offer implementation guidelines to assist employers and employees in interpreting and applying the provisions of the EE Amendment Act, of 2022, including streamlining compliance processes for designated and non-designated employers. Regulations on Sector Numerical EE Targets: These Regulations establish the actual five-year sector numerical EE targets for designated groups across 18 economic sectors for the four upper occupational levels (such as top management,senior management, professionally qualified/middle management, and skilled technical/junior management), including for persons with disabilities. The regulations are expected to have a significant impact on South African businesses. However, many industry stakeholders have raised concerns that the targets are unattainable, citing the current economic climate and South Africa’s low-growth economy as barriers to their achievement. Jonathan Goldberg, the chairman of Global Business Solutions, said, “The new regulations create both significant challenges and opportunities for South African businesses. While many will find these targets difficult to achieve, those who strategically align their practices with these requirements can emerge as leaders in transformation.” The regulations, following the Employment Equity Amendment Act, No. 4 of 2022, include General Administrative Regulations, providing standardised reporting tools and compliance templates, and Regulations on Sector Numerical EE Targets, setting five-year goals for designated groups across 18 economic sectors at top occupational levels. Designated employers with 50 or more employees must align their EE plans with these targets to ensure equitable representation. “The regulations present a complex challenge for many sectors, especially those that are already facing economic headwinds,” said Thembi Chagonda, Joint-CEO of Global Business Solutions and an Employment Equity Commissioner. “However, those businesses that embrace these changes head-on and innovate their approach to compliance will find themselves better positioned for the future.” Small employers with fewer than 50 employees are exempt from preparing EE plans and annual reports but are encouraged to remain in the Department’s database for compliance certification. Labour union Cosatu has prevously said the reforms will help address South Africa’s persistent inequalities and improve compliance with labour laws. Meanwhile, the Department of Employment and Labour, the Commission for Employment Equity and the Commission for Conciliation Mediation and Arbitration (CCMA) - as part of advocacy initiatives, intend to conduct national workshops/roadshows to engage with various stakeholders in the labour market about the implication(s) of the new legislation. The 2025 EE workshops will be held under the theme:  “Bridging the Equity Gap Through Diversity & Inclusion”  . These will be held during May and June 2025 across all nine provinces. More information on the EE workshops, including updates on the venues to be used, will be available on department's and the CCMA's social media platform as well as the Department’s website:  www.labour.gov.za The workshops will focus on:  How to implement the EE Amendments contained in the EE Amendment Act, 2022 and its EE Regulations?  Five-year Sector EE targets for 18 economic sectors;  Practical demonstration of how to utilise the EE system online facilities to capture EE reports and request EE Certificate of Compliance; and  Presentation on discrimination disputes referred to the CCMA and the various Courts, in particular, harassment cases, including dispute resolution mechanisms in terms of the EEA.   ‘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.iol.co.za/business-report/companies/sas-new-employment-equity-regulations-a-compliance-challenge-for-businesses-by-2030-49b72884-a827-497e-a07d-56d2d348fcf0

  • WHY THE EMPHASIS ON INCLUSIVE DEVELOPMENT AND SHARED PROSPERITY?

    Prof. Arthur G.O. Mutambara | 11 April 2025 The AI-driven 4IR presents an unprecedented and unique opportunity for the Global South to exert its influence, assume agency, actively participate, and leverage technology to achieve inclusive development and shared prosperity. The Global South refers to a socio-economic and geopolitical concept rather than a precise geographical location. It describes emerging economies and countries that are least industrialised. Consequently, the Global South is also known as the developing world or as a grouping of developing economies. The Global South broadly comprises Africa, Latin America, the Caribbean, Asia (excluding Israel, Japan, and South Korea), and Oceania (excluding Australia and New Zealand). The Global North includes North America, Europe, Israel, Japan, South Korea, Australia, and New Zealand. The world’s highly industrialised countries constitute the Global North, whereas the Global South comprises emerging and least industrialised economies. Comparing the populations of the Global South and Global North, it is evident that there are more people in the former than the latter. Hence, the term Global Majority is sometimes used instead of Global South. The phrase Global Majority has the utility of emphasising the primacy, centrality, and importance of the demands, aspirations, and ambitions of the Global South ahead of those of the Global North – the Global Minority. Development is often associated with progress in areas such as income, education, health, human rights, and industrialisation. The objective is to improve a population’s standard of living through factors such as wealth creation and distribution, social differentiation, industrial transformation, and economic growth. AI can play a critical role in achieving such ambitions and aspirations. However, given its history of rabid colonisation and exploitation by the Global North, extreme inequalities, and abject poverty, the Global South requires a special type of development – inclusive development. This emphasis seeks to ensure that the benefits of development are shared broadly across all segments of society, particularly the marginalised and vulnerable. Economist Amartya Sen proposed this approach to human development within the broader thesis articulated in his seminal book, “Development as Freedom.”Economic and social inequality can hinder development and lead to social unrest. Corruption, incompetence, and poor governance undermine development by diverting resources away from public goods and services, underutilising capacity, and leading to a lack of accountability. While globalisation and technology can drive economic growth, they can also exacerbate inequalities, lead to cultural homogenisation, and create a digital divide. Political instability and conflict can disrupt development efforts, leading to setbacks in economic and social progress. Indeed, there are potential obstacles to the developmental ambition and trajectory of the Global South. Shared prosperity and development are linked. Prosperity encompasses various dimensions of well-being, including economic wealth, social stability, health, and overall quality of life. Indeed, prosperity is often associated with material abundance, but it also includes non-material aspects such as happiness, satisfaction, and the ability to lead a fulfilling life. In most Global North countries, economic performance is not shared among the general population.This is hugely problematic. Africa and the rest of the Global South require inclusive development, leading to shared prosperity. GDP per capita is more important than GDP. The Gini coefficient is more important than the GDP growth rate. In a country, the size of the middle class as a percentage of the population is a critical metric that should be closely monitored and tracked. However, this is never done. Only traditional economic metrics such as GDP and GDP per capita are measured and analysed. It is instructive and prudent to note that key countries in the Global North, such as the United States, the United Kingdom, and France, have not achieved inclusive development or shared prosperity. The Gini coefficient, also known as the Gini index or Gini ratio, is a statistical measure of economic inequality within a population. It measures the income dispersion or wealth distribution among a country’s citizens. The Gini coefficient is one of the most frequently used measures of economic inequality. The coefficient takes values between zero and one. A coefficient of zero indicates perfect equality in the distribution of income or wealth within a population, while a coefficient of one represents perfect inequality or absolute disparity, where one person in a population receives all the wealth or assets. In contrast, the rest of the population gets nothing. South Africa has the world’s highest Gini coefficient for income, at 0.67. This explains the country's perennial challenges of staggering inequality, abject poverty, and unrelenting unemployment despite being Africa’s most industrialised country and biggest economy in terms of GDP. One of the most potent tools for shared economic growth is quality education, characterised by quantifiable skills, competencies and capabilities anchored by financial literacy and entrepreneurial skills. Financial literacy, computer literacy, entrepreneurship, digital skills, and AI literacy should be mandatory subjects for every university student, regardless of their degree programme. Even better, these subjects must be introduced in Secondary School, if not Primary School. This training must be grounded in learning how to learn and unlearn, critical thinking, and problem-solving skills. The Global South doesn’t just want development. It seeks inclusive development. The economic growth must be shared. People in developing and least industrialised countries don’t just desire prosperity. They demand shared prosperity – the creation of societies where everyone can improve their lives and benefit from economic growth. Indeed, opportunity economies must characterise the Global South. This involves reducing inequality, ensuring equitable access to resources and opportunities, and promoting sustainable development. The questions are: What is the potential role of AI in igniting and powering the pursuit of inclusive development and shared prosperity in the Global South? In which economic sectors, and in what ways? What are the use cases, AI tools, expected impact, and associated risks? Prof. Arthur G.O. Mutambara is the Director and Full Professor of the Institute for the Future of Knowledge at the University of Johannesburg. This is an excerpt from his book: Artificial Intelligence: A Driver of Inclusive Development and Shared Prosperity for The Global South. ‘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.iol.co.za/pretoria-news/opinion/why-the-emphasis-on-inclusive-development-and-shared-prosperity-5315d48c-5928-4854-8bda-acf2a009ca93

  • MORE THAN 240 CONSTRUCTION MAFIA ARRESTS MADE SINCE NOVEMBER, MACPHERSON SAYS

    Darren Parker | 11 April 2025 Since the Department of Public Works and Infrastructure (DPWI) hosted its Construction Summit on Crime-Free Construction Sites in November last year and key officials signed the Durban Declaration pledging to tackle crime in the sector, more than 745 extortion cases have been reported and 240 arrests made, Public Works and Infrastructure Minister Dean Macpherson has revealed. “We are . . . cracking down on the criminality that has plagued this sector. The so-called construction mafia has, for too long, operated with impunity – extorting contractors, disrupting worksites and chasing away investment. But . . . progress is being made,” he said at the Built Environment Indaba, in Midrand, on April 10. Macpherson said the DPWI was working closely with the South African Police Service (Saps), the National Treasury and the Construction Industry Development Board to ensure construction mafia criminals were brought to book. He criticised the existing government procurement policy that mandates 30% of certain public sector contracts, particularly in construction and infrastructure projects, be subcontracted to designated groups, such as black-owned small- to medium-sized enterprises, youth, women, people with disabilities and cooperatives, where feasible. This policy, which is aligned with the goals of broad-based black economic empowerment and implemented through government procurement regulations, arises from the Preferential Procurement Policy Framework Act regulations, most notably the 2017 amendments. Macpherson said the current structure of this 30% requirement had inadvertently created an entry point for criminal syndicates to exploit the system. The syndicates use threats or violence to force their way into projects under the guise of claiming this 30% subcontracting opportunity, thereby displacing legitimate black-owned businesses and causing chaos and extortion on construction sites. He commended the Black Business Council for the Built Environment (BBCBE) for recognising that unless the 30% set aside is restructured or better regulated, it will continue to serve as a loophole for these criminal elements, rather than uplifting genuine black-owned enterprises as intended. “It is after all, black-owned businesses that have suffered the most as a result of being forcibly and violently removed from sites by these mafia outfits. To this end, I am incredibly grateful to the BBCBE for their support in recognising that the way the 30% set aside is structured, is the gateway for this construction mayhem to continue. “We must get back to first principles to ensure genuine inclusion and participation is achieved, and not just paying off those with the biggest guns,” Macpherson said. He said that, just last week, construction company WBHO had informed him that it had seen an 80% decline in lost construction hours year-on-year owing to the actions taken by the DPWI and Saps to secure sites.  “Our work is paying off. We will be shortly releasing our proposal for a national facilitation framework to institutionalise a single model of social facilitation to ensure a uniformed approach to working with communities and local businesses in a bid to replicate successes we have seen in [some] provinces,” Macpherson added.  ‘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.engineeringnews.co.za/article/more-than-240-construction-mafia-arrests-made-since-november-macpherson-says-2025-04-11

  • 100 SMALLHOLDER FARMERS IN JOZINI TRAINED TO SUPPLY UNILEVER IN LANDMARK AGRICULTURE PARTNERSHIP

    Nkosana Khumalo | 13 April 2025 One hundred smallholder farmers in KwaZulu-Natal have received training in herb and spice cultivation enabling them to become suppliers for Unilever’s supplier localisation programme, the Department of Agriculture has announced. The initiative, known as the Jozini Smallholder Farmer Programme, is a partnership between the Department of Agriculture (DOA), Unilever South Africa, and the KwaZulu-Natal Department of Agriculture and Rural Development (DARD). The programme is a bold step toward inclusive agricultural development, combining public and private sector efforts to support sustainability, improve livelihoods, and create new opportunities for small-scale farmers in the rural Jozini region. The farmers completed an intensive training course aligned with Agricultural Sector Education and Training Authority (AgriSETA) unit standards, focusing on both theoretical knowledge and practical skills in herb and spice farming. This training now positions them as legitimate and competitive suppliers in the value chain of one of the world’s largest consumer goods companies. Empowering Farmers With Skills and Market Access The training initiative is not only equipping the farmers with valuable agricultural expertise, but also connecting them to commercial markets—one of the biggest barriers facing smallholder farmers in South Africa. Participants learned how to prepare soil, identify and address crop issues, and manage the full cultivation cycle for herbs and spices—key ingredients in the fast-moving consumer goods industry. Zinhle Manzini, a participant in the programme, shared her enthusiasm for the opportunities it has opened. “Through the programme, I’ve gained important skills for nurturing crops, preparing soil, identifying issues, and taking necessary actions to support crop growth. It has also taught me the steps involved in the farming process. “I’m happy that Unilever is assisting us by providing access to marketplaces to sell our produce, helping to prevent financial losses. I encourage young people and women to join such programmes to learn about farming, which can be a viable source of income,” she said. Unilever’s involvement includes assisting with market access, which is expected to boost the farmers’ income stability and protect against common financial risks in agriculture. Enhancing Local Infrastructure and Support The Jozini farmers were also presented with a new tractor and witnessed the unveiling of a drying tunnel—an important addition to the local farming infrastructure. The drying tunnel will allow the farmers to process their produce to meet commercial standards and prolong shelf life, thus improving their ability to compete in larger supply chains. These contributions go beyond training. They provide tangible support that can significantly improve productivity, reduce post-harvest losses, and ensure higher returns for rural farmers. This initiative is part of a larger vision to strengthen agricultural value chains in underdeveloped rural communities and transform them into dynamic hubs of economic activity. Public-Private Partnerships Driving Inclusive Growth Agriculture Minister John Steenhuisen praised the initiative, highlighting the critical role of partnerships in tackling South Africa’s socio-economic challenges. “Partnerships are very important… we recognise that if we try and do things on our own, we won’t get far, but if we work together, we can go far. Partnerships go beyond just something on paper, or what we say is a priority. Partnerships are rooted in our core philosophy as South Africans – Ubuntu,” the Minister said. He stressed that such collaborations are not only about resources, but about shared responsibility in transforming rural livelihoods and making agriculture more inclusive and equitable. The collaboration between government departments and Unilever is an example of how public-private partnerships can function effectively to bring change to marginalised communities. Corporate Commitment to Local Development Unilever South Africa CEO Justin Apsey emphasised the company’s commitment to empowering rural communities and supporting sustainable agriculture. “This initiative will not only improve the livelihoods of smallholder farmers but also contribute to a more sustainable agricultural sector. This is a capacity-building initiative empowering and alleviating unemployment while providing a decent life in the heart of KwaZulu-Natal,” said Apsey. He further noted that Unilever is committed to sourcing more of its ingredients from local suppliers, in line with its global sustainability goals and localisation strategy. By working with smallholder farmers, the company also reduces its environmental footprint while helping to uplift communities. The Jozini programme aligns with Unilever’s broader sustainability mission, which includes inclusive sourcing, reducing poverty, and supporting resilient food systems. AgriSETA-Aligned Training: Building Professional Farmers The farmers received AgriSETA-accredited training that covered every aspect of herb and spice farming, from soil preparation and crop rotation to pest management and post-harvest handling. The training sessions were delivered by qualified agricultural instructors and supported by extension officers from DARD. By aligning the training with national standards, the farmers are now equipped with certified skills that enhance their credibility in the formal agricultural sector. Importantly, the focus on herbs and spices reflects growing market demand, both locally and internationally, providing the farmers with a niche opportunity to enter profitable supply chains. Women and Youth at the Forefront The programme has placed a strong emphasis on including women and youth in agriculture—two demographics often underrepresented in the sector. Many of the participants are first-time farmers who now see agriculture as a viable livelihood, not just for subsistence but for commercial growth. The involvement of young people also provides a critical response to rising rural unemployment and economic stagnation. With support from experienced mentors and government agencies, the farmers are now equipped to expand their businesses and employ others in their communities, multiplying the programme’s impact. Promoting Sustainable Farming Practices Sustainability lies at the heart of the Jozini Smallholder Farmer Programme. Farmers were trained in: • Organic farming methods • Soil conservation techniques • Water-saving irrigation practices • Eco-friendly pest management These methods are essential for improving long-term productivity while protecting natural ecosystems and ensuring food safety. Unilever and the DOA have committed to continuous technical support for the farmers, ensuring that sustainability is not a once-off lesson but a daily practice. Contributing to Regional Development Jozini is one of KwaZulu-Natal’s most rural and poverty-affected municipalities. This initiative is set to transform the local economy by creating employment, enhancing food security, and stimulating entrepreneurship. By producing herbs and spices for a multinational like Unilever, these farmers are becoming part of a global supply chain, proving that rural communities can thrive with the right investment and support. The Department of Agriculture said this programme will serve as a blueprint for future rural development projects across the country. ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://centralnews.co.za/100-smallholder-farmers-in-jozini-trained-to-supply-unilever-in-landmark-agriculture-partnership/

  • BATTLE OVER STARLINK IN SOUTH AFRICA

    Daniel Puchert | 10 April 2025 The chairperson for Parliament’s Portfolio Committee on Communications and Digital Technologies, Khusela Diko, has voiced her discontent with Minister Solly Malatsi’s efforts to introduce equity equivalence investment programmes (EEIPs) in the telecommunications sector. In a statement posted to Twitter/X, Diko said that Malatsi is mounting an offensive against South Africa’s transformation laws by seeking to bypass the Electronic Communications Act in favour of business interests. “Minister Malatsi should know that when it comes to transformation in the ICT sector, the law is clear on compliance and that cutting corners and circumvention is not an option — least of all to appease business interests,” Diko said. “It appears his proposed directives and regulations are an attempt to undermine empowerment legislation by stealth and, should this be found to be the case, they will be fiercely opposed.” Diko is referring to Malatsi’s recent plans to introduce policy directives to encourage competition through international investment in South Africa’s telecommunications sector. These policy directives, taking the form of EEIPs, would overcome regulatory hurdles for telcos entering South Africa, which require 30% black ownership. Equity equivalence programmes involve foreign companies investing in local infrastructure, skills development, and enterprise support, thus positively contributing to South Africa’s economic empowerment goals. MyBroadband learned in November 2024 that Malatsi was in talks with Icasa to encourage the creation of an EEIP for multinational telcos. Malatsi responded to Diko in a statement arguing that EEIPs are permissible by law in South Africa and “have been the source of major investments in our economy, including in sectors such as the automobile industry.” “Recognising their potential, the government’s Medium-Term Budget Plan, formally approved by Cabinet, has adopted the introduction of EEIPs in the Information and Communications Technology sector,” he added. Diko also claims that Malatsi’s fixation on EEIPs is to specifically encourage Starlink to enter South Africa. Starlink, owned by Elon Musk, uses low-earth orbiting (LEO) satellite technology to provide Internet connections in even the most remote areas. So far, the service is available in 19 African countries. “If he’s unhappy with the 30% equity ownership rule, then he must seek an amendment of the law. He will have to explain why he would want to do that for a single company,” Diko told the SABC. “We have a problem with the fact that there seems to be an obsession with Starlink in particular, and this is a matter that’s been raised in the portfolio committee.” Malatsi’s spokesperson recently said that Starlink’s entrance into South Africa would help to increase competition and lower data prices. The SpaceX-owned company had initially planned to launch in February 2021, but these plans were soon put on ice around the time Icasa’s ownership regulations were announced a month later. Although SpaceX never confirmed that this regulatory change caused it to halt its South African plans, well-placed industry sources said they were the reason Starlink deprioritised the country. President Cyril Ramaphosa met with Elon Musk in September last year to discuss investment in South Africa, a month after it was announced that Starlink was in talks with the South African government. SpaceX then suggested to Icasa, during public consultations for new regulations on satellite broadband systems, that it should consider implementing equity equivalent programmes similar to those in other industries. This confirmed that SpaceX considered local ownership requirements an obstacle to launching Starlink in South Africa. Diko argued that several companies from China, Russia, and Europe have indicated interest in South Africa and are making inquiries with Icasa about bringing satellite connectivity to the country. She also noted that Starlink recently concluded an agreement in India that required the company to form a local partnership with two dominant service providers. “The point is that you cannot then have one company that hold us ransom demanding that we reverse our transformation goals, which you know are very important in this country,” she said. Despite their ongoing disagreements, Diko says that she has a “very productive, friendly, and cooperative relationship with the Minister.” ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://mybroadband.co.za/news/government/590680-battle-over-starlink-in-south-africa.html

  • IOL INVESTIGATION UNCOVERS ALLEGED COLLUSION AND CORRUPTION AT CETA

    Nicola Mawson | 8 April 2025 Documents leaked to IOL show that it appears that, far from attempting to sort out corruption practises at the Construction Education and Training Authority (CETA) as he has publicly vowed, the institution’s CEO, Malusi Shezi, has allegedly been complicit in the very practises he has sworn to eradicate. In what could form the basis for a compelling Tom Clancy novel, pages of letters from the National Education Health and Allied Workers’ Union (Nehawu) to Nobuhle Nkabane, Minister of Higher Education, detail alleged irregular disciplinary hearings, as well as allegations of financial misconduct. These, it said show that Shezi apparently interfered in procurement processes as well as instigated disciplinary action against those who questioned him. CETA’s mandate is to aid in developing construction skills through projects and learnerships that enable those participating to achieve recognised qualifications. It has been under scrutiny several times over the past few years, notably having been placed under curatorship in 2020. Construction is a vital economic driver as, in 2023, it contributed 2.7% to the economy. An email to Nkabane from Nehawu sent on March 19 stated that “the minister may be aware that this institution is not functional under the current CEO [Shezi] and the board, and we have written extensively to her office on a myriad of matters plaguing the institution”. That letter called for the minister to investigate “allegations of malfeasance” at the entity. In specific, it claimed that there were “serious violations of procurement processes” regarding a tender for the appointment of a full turn-key managed ICT services provider, bid number 018-2024/2025. Nehawu claimed that the tender box went missing after all the bids - another document shows there were five of these - were submitted and the box was properly sealed. According to the union, the tender should have been cancelled at this point and wasn’t. It does appear, however, that there was a break in camera feed covering the area in which the box was located as a security company was hired to retrieve footage for between January 24 and March, investigate the breakdown in the camera feed, and install additional cameras. The company, whose name is known to IOL, was appointed on February 10 for R286 805 after Shezi was asked to approve a deviation from general procurement processes. CETA did not respond to a request for the outcome of this investigation. Nehawu also claimed that Shezi “has become overly involved with HR policies and even breached its policies and provisions.” It argued that the CEO has bypassed HR protocols and rejected the outcomes of internal disciplinary processes. These claims are in addition to previous ones, as detailed in a press release on the union’s website published on August 7, 2024, in which it claimed that “our members have been subjected to continuous victimisation and intimidation by the CEO for raising issues related to maladministration at the CETA”. The union issued this statement on the back of Shezi’s suspension, which was announced on the same day. However, it appears he remains CEO, as he is listed in this role on CETA’s website. CETA did not clarify this matter when IOL sought its comment. Nehawu’s claims of disciplinary proceedings being abused seem to be borne out by the outcomes of such hearings in IOL’s possession. In one, in which a staff member had reported abuse of the supply chain management process and was herself charged with 15 counts of abusing such processes and suspended. Among other statement, the chairperson said that the employee should be seen as a whistleblower and should, as such, have been protected. “Alas, the employer surprisingly decides to go after the employee, albeit five years later.” The chairperson also noted that CETA’s argument for suspending the employee was confusing and “constitutes trial by ambush because it is not clear which case the employee is expected to answer”. Nehawu’s letters to the minister, as well as presentations to the Parliamentary Committees, also allege that there have been several instances of corruption in terms of appointing service providers as well as the institution sending work to a legal firm that should rightfully have been assigned to another company on its panel of legal service providers. Last July, CETA said in a statement that it “is aware of the allegations of interference in procurement processes levied against Shezi. These claims are being addressed through the appropriate channels and are subject to thorough and impartial investigation. It is important to note that the mere existence of allegations does not equate to guilt. The CEO, like any other employee, is entitled to a fair and transparent investigation process.” In a presentation to a Parliamentary Committee, the union also pointed out that CETA had lost executives and institutional memory. The deterioration of the relationship between the CEO and key executives is evident in a trail of emails shared with IOL in which Shezi becomes increasingly short-tempered with a fellow executive who is seemingly attempting to clarify matters and ensure that dueprocess is followed. CETA has also drawn the attention of the Auditor-General of South Africa (AGSA), which qualified its opinions in its audits for the past three years as of this February. Minutes from a Standing Committee on Public Accounts (Scopa) Parliamentary Committee meeting held on February 4 stated that the AGSA had identified material irregularities within CETA related to financial losses resulting from non-compliance. Zamahlangu Mditshwa, deputy business unit leader at the AGSA, said that her office had encountered significant delays in CETA’s response to its feedback and documents regarding these irregularities, which undermined accountability. She also noted that the office was still concerned about CETA’s slow progress in implementing AGSA’s recommendations, as this continued to hinder efforts to enforce accountability. IOL attempted on several occasions to secure official comment from CETA, Scopa, the Department of Higher Education, as well as the Portfolio Committee on Higher Education via email as to all the above allegations, without success. ‘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.iol.co.za/business/iol-investigation-uncovers-alleged-collusion-and-corruption-at-ceta-03c50187-2bdd-4354-851c-d989cd8ff2bf

  • HUAWEI PRAISED FOR DEVELOPING SKILLS

    Edwin Naidu | 7 April 2025 South Africa must be deliberate in combating youth unemployment and driving digital transformation to achieve an inclusive economy, according to Higher Education and Training Minister Dr Nobuhle Nkabane. “As we navigate the 4th Industrial Revolution and work towards sustained economic growth, partnerships like the one between the Department of Higher Education and Huawei have never been more crucial,” she told the Huawei ICT Awards Ceremony in Johannesburg. Welcoming delegates and students from higher education institutions in South Africa, Nigeria, Uganda, Tanzania and Madagascar, Nkabane praised Huawei for its unwavering commitment to supporting skills development in South Africa, a dedication that served as a beacon of inspiration for us all. “Indeed, this is perfectly aligned with our Medium-Term Development Plan (MTDP) priorities of driving inclusive economic growth and job creation, reducing poverty and tackling the high cost of living, as well as well as building a capable, ethical and developmental state.” The minister stated that since Huawei South Africa was founded in 1999, it has played a pivotal role in the country’s rapid development by supporting the growth of its ICT infrastructure. At the same time, Huawei had also implemented various talent training programmes in recent years. Some of the more catalytic programmes Huawei has run in South Africa include 4IR training, SMME digital skills transformation training, Huawei ICT Academy and Huawei ICT competitions. These programmes have already benefited more than 24,000 South African people in the past three years. Since September 2016, Huawei has established ICT academies in collaboration with various public universities, TVET colleges and private colleges, now numbering 76 institutions in the PSET sector. More than 26,000 students from the PSET system are participating in competitions after receiving training through the academy. In August 2024, the department signed a Letter of Cooperation Agreement on TVET Curriculum Transformation with Huawei and Shenzhen Institute of Information Technology. This partnership aims to promote innovation in ICT-related courses at TVET institutions in South Africa, making them more relevant to the job market and thereby enhancing the employability of students from TVET Colleges. Nkabane said Community Education and Training (CET) Colleges should be included in the programme in this regard. She stated that in September 2024, she visited the Huawei headquarters in Shenzhen during President Cyril Ramaphosa’s state visit to the People’s Republic of China. In November 2024, during a working visit to China, she was hosted by Huawei at its research centre in Beijing. “I was impressed with Huawei’s technological advancement, which included, amongst others, the innovation in designing electric vehicles, which is an integral part of the skills and competencies that are required for the Just Energy Transition. “We hope that in the future, we can also continue to have more far-reaching cooperation with Huawei in talent training, smart campus construction and other projects. Together, we will equip South Africa’s youth not just with formal qualifications but with skills that will enable them to make meaningful contributions to the development of our economy,” Nkabane said. Recognising the importance of involving the African continent and, more specifically, the SADC region in such cooperation, Nkabane said that 2024 was declared by the AU Heads of State as the Year of Education in Africa, allowing the continent to reimagine Africa’s education and skills trajectory. “I am delighted that Huawei has intentionally invested in the African continent, and I trust that these efforts will assist us in implementing our continental frameworks, including the attainment of the aspirations of the AU Agenda 2063,” she said. This year, South Africa ascended to the G20 Presidency. “We seek to utilise G20 to strengthen our partnership in the area of ICT and artificial intelligence; it is for this reason that South Africa has established a G20 Task Force on Artificial Intelligence, Data Governance, and Innovation for Sustainable Development,” she said. “In the G20 Education Working Group, which is co-chaired by the Department of Higher Education and Department of Basic Education, we have identified priorities such as the Mutual Recognition of Qualifications and Skills in the Global Context.“  The Minister said that ICT skills were crucial from the foundational phase of education right up to post-school education, adding that the working group would also focus on ensuring that educational professionals, such as lecturers and teachers, were not neglected but were equipped with the skills to enable them to teach students. Yang Yongpeng, director of the Huawei Southern Africa Region Human Resource Department, said that the world was currently undergoing an unprecedented digital transformation. “Digital technologies have not only changed the way we live but have also created new opportunities and challenges for education, the economy and society. In particular, the potential of the African digital economy is enormous. The African Digital Transformation Strategy 2020-2030, released by the African Union, clearly states that by 2030, Africa will achieve comprehensive digital transformation, and the digital economy will become the core driving force for Africa’s economic growth.” However, Yongpengnoted that the existence of the digital divide remained a significant challenge for Africa and the world. “Our shared responsibility is to let more people enjoy the dividends of this digital technology. As a world-leading provider of ICT infrastructure and smart devices, Huawei is committed to promoting digital inclusion through technological innovation and telecom collaboration. By doing so, we aim to ensure that more people benefit from the growth of the digital economy.“ In terms of ICT competition, he stated that Huawei has collaborated with universities worldwide to establish the Huawei ICT ecosystem since 2013. By the end of 2024, Huawei had partnered with more than 3,000 universities worldwide to establish Huawei ICT academies, covering over 110 countries and cultivating over 1.1 million students. Up to now, Huawei has established 500 ICT academies in the South Sahara African region, with more than 35,000 students. For instance, in 2024, students received nearly 500 Huawei career certifications, and 550 academy students secured jobs at Huawei and its partners. “These figures not only demonstrate Huawei’s strong commitment to cultivating digital talent in Africa but also lay a solid foundation for Africa’s digital future. Huawei’s ICT competition is an important initiative of the Huawei ICT Academy.” The competition has set a broad stage for African youths to demonstrate themselves and pursue their dreams. Many young Africans have achieved outstanding success in the global finals of previous competitions and have successfully joined Huawei. Juvenna Hamutu-Salumu, a young Tanzanian woman and winner of the 2023 ICT competition, joined Huawei as an exceptional female engineer. Aleel Issa, a Nigerian who won first prize in the global ICT competition final, has earned more than 20 Huawei certificates. He joined Huawei and became the product solution manager of the Nigeria Lloyd office. “Through the competition, we have seen the potential of young African teachers and students for digital technology. It is the infinite possibilities of Africa’s digital future. In Africa, a land of hope, digital inclusion carries a special and far-reaching significance,” said Yongpeng. “We will continue to live up to our commitment to Africa and build closer partnerships with African governments, institutions of higher learning, and enterprises. We will collaborate to promote digital talent development programs that support Africa’s digital transformation. Students, you are the hope of Africa’s digital future,” he added. ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://insideeducation.co.za/huawei-raised-for-developing-skills/

  • THREE LEGAL FIRMS JOIN NORTON ROSE FULBRIGHT IN CHALLENGING BEE CODE

    Liesl Peyper | 8 April 2025 Bowmans, Webber Wentzel, and Werksmans call for a revision of implementation timelines to maintain stability in the sector. Three of South Africa’s major legal firms announced on Tuesday their intervention in the legal proceedings initiated by Norton Rose Fulbright (NRF) to challenge the government’s legal sector BEE code. In a joint statement issued by Bowmans, Webber Wentzel, and Werksmans, the firms note their decision to intervene is aimed at ensuring that any legal sector code is “evidence-based, practical, tailored to the unique nature of the legal profession, and that it does not discard the well-established principles of the generic codes that benefit black lawyers as well as other black persons more generally”. The firms expressed particular concern that the legal sector code overlooks the fact that large corporate law firms operate as complex commercial businesses within a regulated profession. “It also fails to recognise the vital role these firms play in training black legal professionals who go on to become judges, senior counsel, and corporate legal leaders,” the trio said in the statement. The Department of Trade, Industry and Competition (dtic) published the Broad-Based Black Economic Empowerment Legal Sector Code of Good Practice (LSC) in September 2024, stipulating a range of compliance targets for higher B-BBEE ratings for large law firms, including that 50% of black legal practitioners should have ownership, voting rights and positions in executive management in the next five years. According to Bowmans, Webber Wentzel and Werksmans, which all currently hold Level 1 B-BBEE ratings under the Generic Codes, the LSC would mean their B-BBEE rating scores are set to decline from Level 1 to Level 6 or lower. The trio further stated that the timeline for achieving the code’s black ownership targets is problematic, with a doubling of black ownership targets to 50% by year five. “This overlooks the fact that in the legal sector, only practicing lawyers in a firm can be owners [in the form of an equity partnership]. They are personally liable for the debts of the firm and retain ownership until retirement. Junior lawyers follow a structured progression path that generally takes 10 to 11 years before becoming equity partners, whereafter most tend to retain ownership until retirement.” According to the firms, even with the best intentions, they simply cannot meet these targets within the required timeframe. “Revising the implementation timelines would allow firms to meet transformation goals effectively while maintaining stability in the sector, as well as ensuring that junior lawyers are properly trained and equipped with the necessary skills to advance to more senior positions,” they said. NRF went to court in January to block the new sector code, arguing that it sets unreasonable and impractical targets on legal firms. Two weeks later, the firm withdrew its bid, although it stated at the time that it did not drop its opposition to the code, reiterating that it was still unconstitutional and unimplementable. Paul Janisch, a BEE consultant and analyst, believes a legal challenge against the code has a very good chance of succeeding. "You have the best collection of legal minds in Sub-Saharan Africa taking on the dtic that has been running roughshod over SA businesses with their empowerment processes and gazetting codes at will, saying it’s legal and legitimate and no one has ever questioned it,” said Janisch. “It’s a typical feature of legislation in SA – where due process is often not followed. And due process requires a proper analysis of the sector or industry to make sure the proposals will work in the legal sector. They failed to do this.” ‘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.moneyweb.co.za/news/south-africa/three-legal-firms-join-norton-rose-fulbright-in-challenging-bee-code/

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