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Clause 2.4.2 of Statement 400 of the Amended General B-BBEE Codes of Good Practice allocates Bonus Points for creating one or more jobs as a direct result of a Supplier Development or Enterprise Development  intervention.   The necessary evidence varies between B-BBEE Rating Agencies. Generally, however, a letter confirming job creation from the Beneficiary will serve as such evidence or a Signed Employee contract. The letter of confirmation must affirm that the intervention created at least one new job. Some confirmations may include being administered by a Commissioner of Oaths.  This must be undertaken by the Beneficiary and must include (not limited to):   An organisation’s full name, physical address, postal address, and registration number; A Beneficiary’s full company name, physical address, postal address, and registration number; The Enterprise Development or Supplier Development commenced; The date of the contribution; The number of new positions due to the intervention; and The names of the new employees;   Enterprise & Supplier Development Services   are available to assist Members meeting requirements for Job Creation.

In South Africa, the concept of Broad-Based Black Economic Empowerment (B-BBEE)  is intrinsically linked with the broader ideals of social justice. The nation’s history of apartheid, which systematically excluded Black people, and necessitated a comprehensive approach to rectify past injustices. In this article, we will examine the relationship between B-BBEE and social justice in South Africa, highlighting the ways in which B-BBEE seeks to address historical imbalances and promote a more equitable society.   To understand the connection between B-BBEE and social justice, we must first consider the historical context. Apartheid, a system of institutionalised racial segregation that lasted for a very long period, entrenched in deep-seated economic inequalities based on race. Black People were systematically excluded from meaningful economic participation, resulting in social injustices and inequalities that persist to this day.     The aims of B-BBEE   1.         Economic Redress:  One of the primary aims of B-BBEE is to rectify the economic injustices of the past by economically empowering Black People in South Africa. This is achieved through mechanisms such as Ownership, Management Control , Skills Development, Preferential Procurement and Socio-Economic Development.   2.         Social Inclusion:  B-BBEE seeks to break down the barriers that historically marginalised Black People and communities. Through the provision of opportunities for Ownership, Skills Development and Employment, B-BBEE actively works to include all South Africans in the country’s economic growth.   3.         Capacity Building : A crucial aspect of B-BBEE is capacity building, which involves education and skills development programmes. This empowers Black People to actively participate in the economy, thereby reducing social inequalities.   4.         Economic Growth:  B-BBEE contributes to economic growth by promoting a more inclusive economy and diversified workforce, and a growing economy has the potential to uplift communities and improve living conditions, furthering the cause of social justice.   5.         Equity Redistribution:  B-BBEE strives to promote a fairer allocation of economic resources and opportunities, aiming to both rectify historical injustices and advance social justice by diminishing economic disparities and empower Black People to participate meaningfully in the South African economy, through employment, entrepreneurship and other mechanisms that will enable and drive economic growth.   While B-BBEE is undoubtedly a crucial step towards social justice, it is not without its challenges. Some critics argue that it has led to instances of Fronting (where companies claim to be B-BBEE compliant without genuine empowerment), while others contend that it has not gone far enough in addressing social and economic disparities.   B-BBEE is not just an economic policy, it is an important tool for advancing social justice. When we address historical imbalances, create opportunities for economic participation and strive to uplift marginalised communities, B-BBEE is instrumental in achieving this. However, the journey toward social justice is complex and challenges do persist. It is essential for South Africa to continue refining and implementing B-BBEE policies to ensure they remain aligned with the goals of social justice and truly transform the nation into fair and inclusive society.

The most significant risk to an organisation meeting its Preferential Procurement targets is fraudulent B-BBEE Statuses. They not only go against the spirit of B-BBEE, but they put an organisation at risk, as fraudulent B-BBEE Credentials generally only reveal themselves at the time of an organisation’s B-BBEE Verification.   The B-BBEE Commission's website contains a List  of known Fraudulent / Invalid B-BBEE Credentials currently in circulation.   If any Members have suspicions about B-BBEE Credentials currently on file, Certificate Collection Services  is on hand to assist with validation of their authenticity.

MICT SETA | 7 April 2025 The MICT SETA wishes to inform all accredited and prospective Skills Development Providers (SDPs) and assessment centres that the Quality Council for Trades and Occupations (QCTO) has suspended the proposed implementation of accreditation fees for occupational qualifications, part qualifications, and skills programmes until further notice.  This decision follows the need for further consultation and engagement with all relevant stakeholders. The QCTO remains committed to transparency, accountability, and fostering constructive dialogue throughout this process.  Further details updates will be provided once the final decision has been made. Your continued support and cooperation is sincerely appreciated.  Yours in Skills Development MICT SETA ‘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.mict.org.za/suspension-of-qcto-accreditation-fees/

Michael Bagraim | 7 April 2025 In a parliamentary questions session, I asked employment & labour minister Nomakhosazana Meth about the training and rollout of 10,000 inspectors who have just been employed, and why they were employed specifically to target employment equity wrongdoing. Instead of answering the question directly, the minister accused me of being anti-transformation and of trying to undermine SA’s employment equity laws and regulations. I argue that our equity laws have been anything but transformational. Since the implementation and advent of employment equity our employment figures have gone from bad to worse. The reality has to sink in that we have over 40% unemployment in SA. It cannot be business as usual. Employment equity is costing SA billions of rand every year, over and above employers’ desperate efforts to find ways to not create more jobs. Every business has its own reasons for not hiring, but the common thread is a deep distrust when government tells them who to employ. Many of these are black-owned businesses and their reasons do not differ from employers in coloured, Indian and white race groups.  It is a disgrace that we still, in 2025, have so many race-based laws on our statute book. While most agree that we do need to rectify the wrongdoing of the past, the employment equity legislation has been shown to have failed. The only way we are going to rectify the wrongs of the past is by ensuring that employers train and mentor as many of those who were previously disadvantaged as possible. The way to do this is through employer incentives, which could take the form of tax exemptions or a plethora of other beneficial arrangements, which would cost the fiscus far less than trying to implement and monitor the employment equity legislation. Just one example of the cost of this monitoring is the training and employment of a further 10,000 inspectors by the department of employment & labour. ‘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/letters/2025-04-07-letter-employment-equity-laws-cost-jobs/

Nomvula Zeldah Mabuza | 7 April 2025 South Africa stares down a ticking time bomb: over 45% youth unemployment threatens to detonate our future. Our young people—our greatest asset—rot on the sidelines while industries like energy and construction beg for skilled hands. The nation’s growth hinges on a vital, overlooked connection: empowering youth to fuel industrial transformation. This is not a pipe dream; it is a necessity. Breaking the cycle of stagnation demands dismantling structural barriers, embracing technology, and forging a united front across sectors. The stakes are high, but the rewards—a thriving, inclusive economy—are higher. South Africa boasts frameworks like the National Youth Development Agency (NYDA) Act, the National Youth Policy (2020–2030), and the Integrated Youth Development Strategy, all designed to skill and employ our youth. Yet, they falter. Research from the Human Sciences Research Council (HSRC) and the Development Policy Research Unit (DPRU) paints a grim picture: fragmented implementation, lack of accountability, and an education system failing at its core—where many Grade 4 learners cannot read for meaning, per the South African Institute of International Affairs (SAIIA)— leaving graduates unprepared for technical trades. In my field, where precision engineering drives energy infrastructure, this gap delays projects and dims our industrial future. Policies exist, but their impact remains invisible. The fallout is stark. Statistics South Africa’s Q4 2024 data pegs youth unemployment (ages 15–24) at 59.6%, breeding crime, poverty, and unrest. In townships and rural areas, brilliant minds languish, disconnected from quality education and professional pathways. The International Labour Organization (ILO) warns that such rates threaten social stability—a reality I have seen firsthand in the energy sector’s struggle to find skilled artisans and engineers. This is not just an economic issue; it is a social emergency. President Cyril Ramaphosa’s 2025 State of the Nation Address (SONA) and Finance Minister Enoch Godongwana’s budget speech nodded to infrastructure and growth but sidestepped youth unemployment with actionable plans. SONA touted investments, yet timelines for youth initiatives were absent. The budget funnelled R380 billion to debt repayment, starving skilling programs of oxygen. This vacuum demands industry-led solutions—where expertise can bridge the gap that policy leaves behind. HSRC’s Post-school Education and the Labour Market in South Africa and DPRU’s scalability studies reveal a skills mismatch crisis. Policies churn out graduates unfit for industry, with little visible progress. In my experience mentoring teams, I have seen how aligning training with real-world needs—like those in high-pressure boiler systems and specialised welding techniques—can transform lives and industries alike. Globally, shortages of welders and engineers collide with AI and automation’s rise, threatening progress. Yet, this chaos gifts South Africa a chance to lead—blending hands-on skills with tech-driven training. Government inertia persists, underscoring the need for a national pact where industry shapes the future. Hope lies in key sectors. Services (62.66% of employment), industry (18.08%), and agriculture (19.26%) hold potential, per Statistics SA’s 2022 data. But the energy sector—think renewable projects and boiler systems—stands apart. These fields can absorb youth, alleviate poverty, and power infrastructure, but only if training meets industry specifications. Construction, engineering, and maintenance are ripe for impact; we just need the bridge. Look abroad and solutions emerge. Brazil slashed youth unemployment to 17.9% by 2023 through robust apprenticeship programs (IBGE, 2023). India’s Skill India initiative, leveraging public–private partnerships, created millions of jobs in digital and manufacturing sectors (ILO, 2024). South Africa could adapt these—crafting apprenticeships for energy and tech, slashing red tape for youth startups. These are not theories; they are blueprints for transformation. To harness our nation’s potential, we must bridge the gap between policy rhetoric and effective action. This demands a holistic strategy where government, industry, and civil society unite to: Revise and streamline policy frameworks: Reform initiatives like the National Youth Policy (2020–2030) with clear, measurable targets and robust monitoring systems to ensure accountability and inter-departmental coordination. Invest in targeted skilling initiatives: Prioritise sectors poised for mass employment—advanced manufacturing, renewable energy, and digital innovation—drawing from successful models like Brazil’s apprenticeships and India’s Skill India. This includes specialised artisan training programs for high-demand skills like welding, where global shortages—such as the 400 000 welder deficit projected in the US by 2024 (American Welding Society)—offer South Africa a chance to not only meet local needs but also supply world-class talent to international markets. Leverage public–private partnerships: Expand initiatives like the Harambee Youth Employment Accelerator, which connects job seekers to employers, creating scalable models for job creation. Enhance youth engagement: Ensure youth are not just recipients but architects of policy, incorporating their voices into decision-making processes. Our future hangs on skilling a fearless, tech-savvy youth army. The clock’s ticking—smash the barriers, ignite industries, and catapult South Africa into a bold new era of global leadership. ‘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/skilling-the-youth-south-africas-growth-lifeline-f7e562db-b35b-4f91-801a-699e04fdfa95

At the time of a B-BBEE Verification, many organisations fail to produce updated B-BBEE Statuses from their suppliers especially those who are EMEs and QSEs with Enhanced Recognition. During a B-BBEE Verification, a B-BBEE Rating Agency will generally consider:   Any B-BBEE status that is valid within the Measurement Period or thereafter; Most recent valid B-BBEE Status; and A B-BBEE status that is valid for at least one day in the Measurement Period due to differing Financial Year Ends as well a customer and supplier not being measured at the same time.   B-BBEE Statuses that have expired before the start of an organisation’s Financial Year End will not be accepted.   Certificate Collection Services  are available to clarify the validity of any B-BBEE Status on file.

Statistics South Africa is the source used to determine the Net Profit After Tax (NPAT) for calculating the targets for Enterprise Development, Supplier Development and Socio-Economic Development. The latest statistics  were published during March 2025. The statistics in this version will be for the 4th quarter of 2024.   Any B-BBEE Verification from hereon would most commonly apply the latest Industry Norm published by Statistics South Africa. For example, if a B-BBEE Verification takes place in April 2025, the latest published stats to be used would be those posted during March 2025    Technical Compliance Services is available to guide members in calculating their Targets.

In the ever-changing landscape of business, Broad-Based Black Economic Empowerment (B-BBEE) Verification plays a crucial role in encouraging economic transformation and inclusivity. Instead of viewing it as a mere compliance process, businesses can proactively change their approach to B-BBEE Verification , ensuring a smoother and more strategic experience. Understanding B-BBEE Verification B-BBEE Verification is not just about meeting compliance standards; it is an opportunity for businesses to showcase the substance of B-BBEE Initiatives and inclusion of Black people and their communities. This involves evaluating various elements, including Ownership, Management Control, Skills Development, Enterprise and Supplier Development and Socio-Economic Development as well as the Youth Employment Service Initiative.   The Pitfalls of Last-Minute Preparation Many businesses fall into the trap of treating B-BBEE Verification  as a once-a-year compliance task. This reactive approach can lead to rushed submissions, inaccuracies, and even potential non-compliance issues. Planning ahead is key to transforming the B-BBEE Verification process from a burden into a strategic advantage.   Transformative Strategies for Proactive Preparation: 1. Continuous Monitoring and Improvement Regularly assess your B-BBEE compliance status throughout the year. Implement a system for ongoing monitoring and improvement, addressing any gaps or areas that need attention promptly.   2. Strategic Skills Development Instead of viewing Skills Development   as a checkbox, integrate it into your overall business strategy. Invest in training programmes that align with your business goals and empower employees, contributing to meaningful transformation.   3. Long-Term Supplier and Enterprise Development Build sustainable relationships with Black-Owned suppliers and enterprises. This not only contributes to your B-BBEE Scorecard but also fosters a more inclusive and resilient business ecosystem.   4. Transparent Reporting and Documentation Maintain accurate and transparent records of your B-BBEE initiatives. A well-documented audit trail not only facilitates the B-BBEE Verification process but also demonstrates a commitment to accountability and integrity.   Benefits of Planning Ahead: 1. Reduced Stress and Time Constraints Planning throughout the year eliminates the stress associated with last-minute preparations. This proactive approach allows for a thorough review and correction of any discrepancies, ensuring a smoother B-BBEE Verification process.   2. Improved B-BBEE Scorecard Performance Continuous improvement leads to enhanced B-BBEE Scorecard performance. Strategic planning enables businesses to identify and address weaknesses, ultimately boosting their overall B-BBEE Rating and implementing impactful B-BBEE initiatives.   3. Enhanced Business Reputation Businesses that demonstrate a proactive commitment to B-BBEE transformation build a positive reputation within the business community and among stakeholders. This can open doors to new partnerships and opportunities.   In conclusion, changing the way businesses prepare for B-BBEE Verification involves a shift in mindset—from viewing it as a regulatory obligation to embracing it as a strategic initiative. By planning ahead, continuously monitoring progress, and integrating empowerment principles into everyday business practices, organisations can navigate the B-BBEE Verification process with confidence and contribute meaningfully to South Africa's economic transformation journey. Remember, B-BBEE is not just about compliance; it is about creating a more inclusive, equitable, and prosperous environment for all.

A B-BBEE Verification  is based on a sampling of evidence and an element of risk. In other words, the process of analysing less than 100% of the evidence supplied. The procedure provides a Verification Analyst with a reasonable basis on which to conclude that all evidence provided is true and accurate.   However, posing a challenge is a Learnership claim where the Learner is no longer employed. If that particular Learner is chosen as part of the sample, the B-BBEE Rating Agency will need to interview them for an organisation to claim its points.   As per Clause 18.3.1.3 (e), the SANAS R47-03 document states the following:   " (e) As part of the Verification process, the Verification personnel shall interview a sufficient number of black persons at all levels of the Measured Entity to provide assurance that the information gathered is sound. For the avoidance of doubt, interviews shall be conducted for the Skills Development element. This does not exclude the sampling of white persons or others who do not meet the definition of 'Black'."   Therefore, an organisation must ensure that it has up-to-date contact details of Learners no longer employed or other pieces of corroborating evidence.   B-BBEE Verification Support Services  are available to assist Members to prepare for B-BBEE a Verification.

The Star | 1 April 2025 Africa, the cradle of humanity, is once again shaping the future, this time as the cradle of skills. The continent is home to the youngest population in the world, a demographic trend that stands in stark contrast to the aging and shrinking workforces in regions such as Europe, North America, and parts of Asia. Africa, the cradle of humanity, is once again shaping the future, this time as the cradle of skills. The continent is home to the youngest population in the world, a demographic trend that stands in stark contrast to the aging and shrinking workforces in regions such as Europe, North America, and parts of Asia. By 2050, Africa’s workforce could become one of the most powerful economic forces globally, bridging labour gaps in ageing populations economies. However, to maximise this advantage, Africa must urgently invest in education, skills development, and strategic workforce planning to ensure its talent is valued globally. This must happen in a world where innovation is accelerating, redefining industries and economies, yet disruption — both technological and political — threatens stability. Without coordinated efforts, the continent risks missing out on a defining era — one that could determine whether its young workforce thrives or remains underutilised in a world that desperately needs its talent. The Future of Jobs Report 2025 by the World Economic Forum (WEF) highlights the shifting nature of work, emphasising the rising demand for skills in technology, engineering, artificial intelligence (AI), and project management, all areas where Africa's young workforce can thrive if equipped with the right skills. One of Africa’s greatest challenges is not just unemployment but a skills mismatch — where graduates enter the job market with qualifications that no longer align with industry needs. This gap emerges because, by the time universities award degrees, three to four years have passed, long enough for industries to evolve, technologies to advance, and employer demands to shift. As a result, many graduates find themselves lacking the latest skills, not because their education was inadequate, but because the world moved forward faster than their curriculum. To address this, higher education must evolve. Universities must expand beyond traditional degrees to include industry-aligned training, professional certifications, and skills-based learning that prepare students for the real world. This presents a unique opportunity for universities to enhance their relevance by partnering with organisations to offer globally recognised certifications to students before they graduate. Certifications are not “one and done” and are designed to adapt and evolve alongside industry changes. This ensures that certified professionals remain current, competitive, and aligned with the latest developments in their fields. Universities across Africa have embraced this approach, with several institutions in Kenya, Ghana, and Rwanda serving as Authorised Training Partners (ATP), ensuring that students gain globally recognised project management skills that align with industry needs. The University of Johannesburg is one of the pioneers in this space, serving as an ATP offering specialised training for candidates pursuing PMI’s Construction Professional (PMI-CP) certification. This model not only equips graduates with industry-relevant expertise but also strengthens their employability in high-demand sectors. However, for this transformation to be truly impactful, it must extend beyond individual institutions. To equip Africa’s workforce with future-ready skills at scale, certifications must be embedded into national education policies as a formal pathway to professional competence. As part of this effort, governments should require that certain public projects, particularly in infrastructure, technology, and energy, be managed by certified professionals. By making certifications a standard for procurement, governments can improve project outcomes, create demand for skilled professionals, and align public sector projects with global best practices. This policy shift will not only enhance efficiency but also ensure that Africa’s workforce is globally competitive and prepared for high-stakes, high-impact projects. Another effective approach is for governments to subsidise or incentivise certification programmes, making them more accessible, particularly in high-demand fields such as AI, cybersecurity, renewable energy, project management, and advanced manufacturing. Beyond boosting national productivity, this approach strengthens the country’s skills pipeline, creating a workforce equipped for high-growth industries. A deeper talent pool not only meets immediate labour demands but also positions the economy for sustained growth and global competitiveness. Africa now needs action. Governments, universities, and businesses must break old models, invest in skills, and build a workforce that not only participates in but also defines the future. With strategic investments in skills development, education reform, and policy integration, the continent can transform its youth dividend into a global competitive advantage. The challenge is clear, but so is the opportunity. ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://thestar.co.za/opinion/2025-04-01-the-next-superpower-isnt-a-country-it-is-africas-youth/

Qhawekazi Memani | 31 March 2025 On 27 March 2025, the Vaal University of Technology (VUT) Department of Accountancy officially launched the Banking Sector Education and Training Authority (BANKSETA) Grade 12 Community Engagement Initiative. The event, held at the VUT Auditorium 100, brought together key stakeholders, including principals and teachers from the Sedibeng West District, BANKSETA representatives, the Acting Executive Director of VUT’s Technology Transfer and Innovation (TTI) unit, the Director of Community Engagement, VUT lecturers, and the Head of the Accountancy Department. In his welcoming address, Professor Chengedzai Mafini, Executive Dean of the Faculty of Management Sciences, expressed his enthusiasm for the collaboration, stating, “Gathered today are all partners in educating learners. Let us strengthen this relationship to ensure that children, particularly in Accounting and Mathematics, are given the best opportunities to excel.” He further acknowledged the value of diverse perspectives in education and encouraged educators to provide academic support while engaging meaningfully with learners. “Through this programme, VUT has expanded its reach, incorporating 13 schools from the Sedibeng West District, with BANKSETA providing funding for the initiative,” said Professor Mafini. Representing the Deputy Vice-Chancellor for Research, Innovation, Commercialisation and Internationalisation (RICI), Dr Speech Nelana, the Executive Director of Technology Transfer and Innovation, Mr Maemo Kobe, underscored the university’s commitment to impact-driven, socially engaged scholarship. He highlighted VUT’s dedication to addressing social challenges through research, community-based projects, and the commercialisation of intellectual endeavours. He also conveyed a message from the DVC, who expressed pride in the Accountancy Department’s efforts and pledged full support for the initiative. BANKSETA representative Mr Koena Molamudi elaborated on the organisation’s mandate, emphasising its dedication to supporting educational initiatives that foster youth development. “We are here to offer support, and hopefully, this will not be the last project we undertake with VUT to improve the future of our learners,” he remarked. Similarly, Ms Palesa Thebe, an accounting facilitator in the Sedibeng West District, expressed gratitude for the partnership, noting that the support from both BANKSETA and VUT would significantly impact the learners’ educational journeys. Dr Reverend Lindokuhle Manuel, a lecturer in the Accountancy Department, introduced the working committee for the project, followed by closing remarks from Professor Maseko, Head of the Department of Accountancy. Professor Gauda Maseko provided insights into the project’s origins, explaining that it initially began at Dr Molefi  Olifant School, a specialised institution. However, as the programme expanded, it became evident that other schools faced distinct resource challenges. Consequently, a digital literacy component was incorporated to ensure equitable benefits for all participating learners. Additionally, Professor Maseko announced that BANKSETA had generously contributed R800,000 towards the initiative, directly supporting 75 Grade 12 learners in the Sedibeng West District. He appreciated all attendees and thanked BANKSETA for its continued commitment to the cause. “As an institution of higher learning, VUT upholds a strong mandate of academic excellence, research and community engagement. By fostering partnerships like this, the university reaffirms its role in societal transformation, equipping young minds with the necessary skills to succeed in higher education and the workforce,” said Mr Joseph Norman Radebe, Director of Community Engagement at VUT. Launching the BANKSETA Grade 12 Community Engagement Initiative marks a significant milestone in VUT’s ongoing commitment to education, empowerment and community development, ensuring that learners from the Sedibeng West District receive the support they need to excel academically and beyond. ‘Disclaimer - The views and opinions expressed in this article are those of the author(s) and not necessarily those of the BEE CHAMBER’. https://vut.ac.za/vut-and-bankseta-join-forces-to-empower-grade-12-learners-in-sedibeng-west-district/