top of page

Search Results

Search this site

1935 results found with an empty search

  • 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/

  • CONFIRMING JOB CREATION

    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.

  • THE INTERSECTION OF BROAD-BASED BLACK ECONOMIC EMPOWERMENT AND SOCIAL JUSTICE IN SOUTH AFRICA

    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.

  • FRAUDULENT B-BBEE CREDENTIALS

    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.

  • SUSPENSION OF QCTO ACCREDITATION FEES UNTIL FURTHER NOTICE

    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/

  • LETTER: EMPLOYMENT EQUITY LAWS COST JOBS

    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/

  • SKILLING THE YOUTH: SOUTH AFRICA'S GROWTH LIFELINE

    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

  • VALIDITY OF B-BBEE STATUSES

    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.

  • QUARTERLY INDUSTRY NORM STATISTICS PUBLISHED

    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.

bottom of page