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  • R79-MILLION PRODUCTION PLANT INVESTMENT IN HAMMANSKRAAL

    Pretoria Rekord | 25 July 2023 The investment has empowered individuals with valuable skills and created a sustainable source of income by creating 27 new employment opportunities in Hammanskraal. Tshwane has welcomed a major boost to job creation in the township of Hammanskraal through a major foreign investor. Nestlé South Africa has this month made a bold move to invest R79-million in the local economic development of the Hammanskraal region, boasting skill development and job creation in the rural economy in the northern region of Tshwane. The investment in the area, which was also massively hit by a series of cholera outbreaks recently, has led to the creation of a cutting-edge coffee production plant in Babelegi, providing jobs and skills to the locals. The plant has already created 27 jobs, with more on the horizon. Of the 27 employees, 24 are employed in production and three are based in engineering within the plant. Not only will the community benefit from this venture, but the coffee market within Tshwane will also reap the rewards. The production plant will oversee the local production of Nescafé coffee mixes with 46% locally sourced ingredients. Tshwane MMC for economic development Hannes Coetzee said this new production line’s primary goal is to increase employment prospects in the Hammanskraal region. “Additionally, this is attempting to fulfil market needs and guarantee a consistent supply of coffee mixes.” Coetzee said Nestlé is one of Tshwane’s key foreign direct investors. “The company is making significant contributions to the city’s economic growth and development goals.” Coetzee said this commitment to community upliftment strengthens the community, both economically and through the provision of exceptional products. “Overall since Nestlé’s arrival they have invested around R400-million in the local economy, resulting in the creation of nearly 300 permanent job opportunities in the region,” Coetzee said. He said this investment in localising production exemplifies its commitment to building strong partnerships with local communities, fostering economic development, and embracing technological advancements. “By producing locally, Nestlé aims to streamline supply chain operations, reduce environmental impact, and ensure fresher products for consumers.” He said the city is appreciative of Nestlé’s contribution to its industrialisation and localisation initiatives. “We are grateful for their continuous loyalty, commitment and trust in South Africa’s future and the resiliency of Tshwane’s economy,” Coetzee concluded. Brian Soldaat of the Department of Trade, Industry and Competition emphasised the importance of government collaborating with the private sector. “This investment supports the growth of the local economy by localising production and this sets a positive example for the industry,” Soldaat said. He said the importance of collaboration with local communities, economic development, and sustainable business practices leads to the growth of the local economy. “This project has empowered individuals with valuable skills and created a sustainable source of income by creating 27 new employment opportunities in engineering and production.” Nestlé East and Southern Africa business executive officer Carl Khoury said this manufacturing plant demonstrates its dedication to the local market. “We take pride in our investment in this production plant as it reflects our dedication to nurturing the potential of the region and contribution to rebuilding the economy.” Khoury said this marks a significant milestone in the company’s commitment to meeting local market needs and supporting economic development. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://rekord.co.za/464359/r79-million-production-plant-investment-in-hammanskraal/

  • ENGEN SUPPORTS UPINGTON DISABLED ARTISANS ENTER THE WORKPLACE

    Arrive Alive | 24 July 2023 Engen has partnered with the Disability Economic Empowerment Trust (DEET) to launch an artisan training programme for 100 people with disabilities that will assist them with the skills required to enter the job market. Rolling out in Upington, in the Northern Cape this month, a group of 20 trainee beneficiaries commenced a one-month carpentry training course covering table, chair and cupboard manufacturing as well as door and ceiling installation. Working closely with Disabled People SA and various government departments, Engen and the DEET have worked together since 2019 on various initiatives aimed at enhancing the quality of life of persons with disabilities through the equalization of opportunities, poverty reduction, and promotion of social inclusion. Casvin Neville Jonkers, a beneficiary on the carpeting learnership said he thoroughly enjoyed the course, which was very challenging due to his disability, but he is feeling very excited about all the new techniques of woodwork he has learnt. “As an amputee, I can’t properly work with my left hand, but this course gave me all the skills I need and will definitely open doors for me. We learnt how to make furniture, how to install doors, cupboards and ceilings. “This is a dream come true. I feel I can express myself creatively through my hands and I hope to start a business in woodwork.” Sydney Coetzee says when he heard about the carpentry learnership rolling out in Upington, he made sure he was the first on the list. “I received my own took box which is the best gift I have ever received in my life. I want to thank Engen and DEET for bringing this very important training to Upington and for helping to develop people with disabilities. We all enjoyed the training so much that we asked for an extension.” Israel Malatsi said the training was very well organized, with excellent facilitators who went above and beyond. “I am truly grateful to Engen for funding this project and to DEET for bringing this skills development learnership to persons living with disabilities in my area. The Northern Cape has been neglected over the years.” To date, the artisan training programme has afforded 65 persons with the opportunity to developskills and competencies required to enter the workplace or even start their own business, enabling them to live a dignified life and contribute to the economy in a meaningful way. Engen’s Head of Transformation and Stakeholder Engagement, Dr James Nyawera says the project will provide skills and competencies which the beneficiaries will be able to use throughout their lives either as employees or as entrepreneurs. “The project is intended to improve the conditions and living standards of persons with disabilities, by providing participants with skills that they can use to earn a living,” says Nyawera. The skills programme will run over a six-month period and will also include refresher training sessions. It is open to South African citizens under the age of 35 and aims to provide occupational qualifications and practical skills for 35 plumbers, 30 wheelchair repair persons and 35 carpenters across the Eastern Cape, KwaZulu-Natal and the Northern Cape. Expressing his gratitude to Engen for their renewed support, CEO of the Disability Economic Empowerment Trust (DEET), Thabiso Phetuka says essential work skills and qualifications opens-up a whole host of new prospects for participants and guarantees sustainable livelihoods. “Our partnership with Engen provides hope to job seekers with disabilities and those who aspire to start their own businesses, who previously have been unsuccessful in securing a position, as a result of not having the necessary skills or confidence,” says Phetuka. Engen’s continued commitment to DEET fulfills South Africa’s ratification of the United Nations Convention on the Rights of Persons with Disabilities, which was signed in 2007, as well as the White Paper on the Rights of Persons with Disability that was approved by Cabinet in 2015 as part of domesticating the convention. “The rationale behind our drive to support persons with disabilities is not only about upholding the Constitutional principles of non-discrimination on the basis of disability but also to put tangible measures in place to support developmental interventions, so that people living with disabilities can become inclusive, contributing members of society,” adds Nyawera. Disability inclusion is one of Engen’s key social investment focus areas, giving the company the opportunity to contribute towards inclusive disability rights in South Africa. As a company, Engen champions nine of the UN’s Sustainable Development Goals (SDGs), including SDG 4 – Quality Education, which aims to ensure inclusive and equitable quality education and promote lifelong learning opportunities for all. “As a caring and inclusive company with ‘heart’, this aligns with Engen’s commitment to the United Nations Sustainable Development Goals, which endeavour to ensure a better and more sustainable future for all,” comments Nyawera. In 2021, Engen partnered with DEET to launch a driver disability training programme for people with disabilities assisting 100 new drivers in five provinces with all the necessary requirements and skills needed to pass their learner’s and driver’s license and enter the job market. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.arrivealive.co.za/news.aspx?s=1&i=64161&page=engen-supports-upington-disabled-artisans-enter-the-workplace

  • Tips for an Effective EE Committee Webinar - Jul 25

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  • HOW LEARNERSHIPS CAN ADDRESS YOUTH UNEMPLOYMENT AND BOOST BUSINESS RANKINGS

    Daniel Orelowitz | 24 July 2023 South Africa’s youth unemployment rate is staggeringly high, with 66.5% of all unemployed people currently between the ages of 15 and 24. This figure increases annually as more than 500 000 matriculants enter the workforce and tertiary institutions, only to be met with a lack of real opportunities. In comparison to other developing nations, South Africa’s economy is vibrant and advanced – and there is the potential to create opportunities for all who live in South Africa. With this in mind, the government offers incentives to businesses that facilitate learnership programmes. This is a significant opportunity for companies to upskill the unemployed and the employed, as well as their staff - and by funding training, companies can gain the means to improve their Broad-Based Black Economic Empowerment (B-BBEE) ranking. Overcoming obstacles through hands-on training What is the biggest obstacle for school leavers as they become job seekers? The fact that it’s almost impossible to get a job without experience, and it’s impossible to gain experience without a job. Learnerships are a unique solution to this age-old impasse because they bring together invaluable workplace experience and industry-relevant training in a manner that produces a versatile individual with the required knowledge and a level of practical experience to find and fill a position within that specific sector. A learnership is a structured work-based programme that runs over 12 to 24 months, during which the learner is exposed to theoretical and practical on-the-job training that relates to a specific occupation. Leveraging learnerships As such, learnerships are the pathway to a registered qualification on the National Qualifications Framework (NQF) that is managed by the relevant Sector Education and Training Authorities (SETAs). The benefit for the sponsor or funding company is that learnerships contribute towards the company's employment equity objectives, in addition to enhancing skills development internally. The government also offers tax incentives and cash grants in addition to B-BBEE rating incentives to companies for participating in learnerships. These incentives are even higher for companies that provide ongoing employment (absorption) once the learnerships are completed. Learnerships are awarded points on the B-BBEE Scorecard under both Employment Equity and Skills Development, and there is a South African Revenue Service (Sars) tax allowance if the learnership is registered with the Department of Labour and relevant SETA. Such an allowance is calculated on a case-by-case basis. For example, a disabled learnership could translate into a R120 000 tax allowance, and an abled-person learnership could translate into an R80 000 tax allowance over 12 months. Furthermore, skills levy contributions made this way can truly work for the benefit of the company, its people and the communities they touch. Benefits Given that learnerships are developed to be industry-specific, participants gain skill sets that are closely aligned with the requirements of businesses operating within those sectors. This develops candidates that have a good grasp of all the required work processes. Participants in learnership programmes gain knowledge and skills that are immediately applied in the workplace and lead to higher output standards and improved productivity, which is an immediate tangible benefit for the sponsor company. For participants in learnership programmes, their job prospects are greatly enhanced by having practical experience along with theoretical knowledge. Occupation-specific training that is backed by a nationally-recognised qualification provides job seekers with a boost of confidence, as well as a way to achieve a formal qualification when tertiary education might be inaccessible due to tuition costs and the like. Most learnerships provide an allowance/stipend for the duration of the programme, which assists significantly with costs such as transport and meals. The fixed-term employment contract for the duration of the learnership often results in permanent employment upon completion if the learner has performed well, which is the ultimate solution to addressing youth unemployment. Smart facilitation The right training partner will have all the necessary accreditations, means and mechanisms to run learnership programmes from end to end. Partnering with a training provider that specialises in youth development is a clear-cut way to ensure that the full benefits of learnerships are achieved – both for the company and the individuals intended to benefit from such programmes. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.iol.co.za/business-report/careers/how-learnerships-can-address-youth-unemployment-and-boost-business-rankings-a65a5c9c-b633-4efb-a2a9-ca14ac97d40f

  • EE ACT DRAFT REGULATIONS WILL ADVERSELY IMPACT WOMEN – DA WCAPE

    Cayla Murray | 24 July 2023 These will exacerbate existing gender disparities with virtually every sector setting higher targets for men. The Democratic Alliance (DA) in the Western Cape is deeply concerned about the proposed Employment Equity Act Draft Regulations, particularly its potential negative impact on women in the province. In response to a parliamentary question, the Provincial Department of Finance and Economic Opportunities outlined its concerns and put forth an alternative approach to address labour market disparities and inequality. The Draft Regulations aim to give effect to Section 15A of the Employment Equity Amendment Act, and if implemented, will exacerbate existing gender disparities in the workforce, with virtually every sector setting higher targets for men than women. Higher quotas for men across various sectors and occupational levels are troubling, because as labour force statistics show - women are more acutely affected by unemployment than men. According to the latest Quarterly Labour Force Survey, the unemployment rate amongst women is 4.7 percentage points higher than the male rate. Such gender-biased targets will further marginalise women and hinder their access to employment opportunities, deepening inequality and making the labour market more unfair. Instead, an evidence-based approach is essential to address the root causes of underrepresentation, rather than relying on ill-conceived numerical targets that could lead to unintended consequences. Education and skills development are key factors in addressing labour market imbalances. By focusing on high-quality education and aligning curriculum with marketable skills, the party aims to provide better opportunities for women and all citizens to participate fully in the labour force and contribute to economic growth. We will continue to fight for exactly that. That is why the Draft Regulations need to be withdrawn, and the Employment Equity Amendment Act needs to be repealed. There also needs to be a more comprehensive consultation process that includes all relevant stakeholders, especially women, to address inequality in the labour market. As the DA, our policies are designed to foster economic growth, attract investment, and create an enabling environment for business while promoting equitable representation of vulnerable population groups in the workforce, including women. The DA will on Wednesday 26 July be marching in protest in Cape Town against the ANC’s overly prescriptive Employment Equity regulations, and invites everyone who rejects the ANC government deciding where they can work, to join us and make their voices heard. Issued by Cayla Murray, DA Western Cape Spokesperson on Finance, Economic Opportunities and Tourism, 24 July 2023 ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.politicsweb.co.za/politics/ee-act-draft-regulations-will-adversely-impact-wom

  • WHITE-OWNED FIRMS ABUSE BBBEE TO ENRICH THEMSELVES

    Bongani Mdakane | 24th Jul 2023 The allegations drew the ire of UDM leader General Bantu Holomisa who lamented NJM’s caper was indication many white companies have been using black people as fronters for years. Political parties and the Black Business Council (BBC) have fired a broadside at an engineering company NJM for breaking Broad-Based Black Economic Empowerment (BBBEE) laws. This after NJM shareholders stated in their answering affidavit in the Joburg High Court that they fraudulently supplied a signed shareholders’ agreement to Eskom for the purpose of misleading and misrepresenting the company’s shareholding to win a tender at the state-owned utility a few years ago. They submitted the affidavit when a female shareholder, Baleseng Zinyana, who held 26% of the shares, which she paid for in cash, took the other directors to court after they refused to hand her the company’s accounting records to conduct an audit to determine the value of the business. The company’s former CEO Jack Madzivhandila also reported NJM to the BBBEE commission of the Department of Trade and Industry and said another female shareholder of the company, Vanessa Chungu, was fronting for the entity to enable it to be 51% black women owned. The allegations drew the ire of UDM leader Bantu Holomisa, who lamented NJM’s apparent caper as an indication that many white companies have been using black people as fronts for years. “BBBEE policy implementation allowed many white companies to exploit it for their gain. This policy was intended to build a black middle class using state funds. “Other white-owned companies saw loopholes and exploited black workers to enrich themselves. This is also how they looted PIC funds. Today some of the listed and unlisted companies are failing to service their PIC loans,” said Holomisa. ActionSA leader Herman Mashaba said it was totally wrong for white-owned companies to use black employees to front for their businesses. He said companies that are using black people to front were committing a crime. “I am dealing with the matter of 200 people who were fired by a white-owned company when they asked about their shares. The BBBEE Commission is tasked to tackle this matter, but it is doing nothing,” he said. Xiluva president Bongani Baloyi said established and non-established white-owned companies had been using black people as tokens to pose as company shareholders to be compliant with BBBEE, and questioned the effectiveness of the commission monitoring compliance with empowerment legislation. “Xiluva is of the view that this body has failed dismally to promote adherence. The idea of BBBEE to increase the economic participation of black people and redress the legacy of apartheid is a correct one, however, the current BBBEE has proved to be a failure,” said Baloyi. GOOD secretary general Brett Herron said companies, largely white-owned, have not transformed their shareholding or top management out of a commitment to redressing their historical unearned privilege but simply to be BBBEE compliant and to continue to win government tenders. “The corruption of this system of preferential procurement happens through this fronting and the culprits are those who own the companies. The law needs to introduce harsh penalties for those who have undermined BBBEE, and its proper intention in order to continue to win tenders.,” said Herron. DA spokesperson for trade, industry and competition Darren Bergman said his party did not believe that BBBEE in its current format had helped emerging black businesses nor existing business. “BBBEE has often led to exploitation and even more corruption with the net result of money going into the hands of people bucking the system and not people that should be redressed from an historic disadvantage.” IFP spokesperson Liezl van der Merwe said fronting did not only frustrate the achievement of the objectives envisaged by the BBBEE Act, but it was also a type of fraud. “The IFP is against any form of fronting, and in full support of the fines and penalties imposed through the BBBEE Act. Any company found to be in contravention of BBBEE regulations must face the full weight of the law. “The BBBEE Commission is woefully under-resourced, which in turn makes it difficult to identify and deal with issues such as fronting.” BBC CEO Kganki Matabane said: “Those people should be prosecuted as per the BBBEE Act. “Any person convicted of an offence in terms of the amendment act, will, for offences provided … be liable to a fine or imprisonment for a period not exceeding 10 years or to both a fine and such imprisonment.” In letter drafted by its lawyers, Knowles Husain Lindsay Attorners, NJM said it was not correct that its directors have been ordered to hand themsleves to the Hawks. They said compliance with the court order envisage a report being submitted to the Hawks as maybe necessary and did not require them to hand themselves over to the anti-corruption unit. However, Madzivhandila said, in his view, there was no difference. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://sundayworld.co.za/news/business/white-owned-firms-abuse-bbbee-to-enrich-themselves/

  • GAUTENG INTERVENTION SEES YOUTH GRADUATE FROM WELFARE TO WORK

    Busi Kheswa | 23 July 2023 Levels of unemployment continue to engulf our thoughts, more so as we believe sustainable livelihoods programmes will bring about pride – and restore some level of dignity. With Gauteng being the most populous province in South Africa, this number will be quite significant due to a number of reasons, including our fellow young people migrating from their home provinces in search of better opportunities in the province believed to be more viable for economic opportunities. According to Quarterly Labour Force Survey, the youth unemployment rate, when measuring job seekers between 15 and 24 years old, notes that it rose to 62.1% in the first quarter of 2023, the highest in a year, from 61% in the previous three-month period. Gauteng accounts for the most. The Gauteng provincial government launched a programme called Tshepo 1 Million with the aim to ease pressure from youth in the province. Various departments needed to contribute through a number of programmes to ensure this was realised. As part of contributing to the programme, the Gauteng department of social development (GDSD) is implementing the Welfare-to-Work Programme (W2WP) The W2WP is one of the offspring of the Tshepo 1-Million programme, which involves taking welfare recipients to the work environment provided for by various non-profit organisations (NPOs). This programme includes the recruitment and selection, assessment, placement and on-job development, case management, training and developmental education, support services and job retention services. It helps prepare participants for the job market and provides them with work experience to find and keep jobs. Initially, the W2WP was developed to support young women who were recipients of child support grants and foster care grants, but was further expanded to assist exiting foster care beneficiaries, victims of gender-based violence, recovering substance abuse patients, women exiting shelters of victim empowerment programmes, beneficiaries exiting child justice system, and other beneficiaries to transit from welfare into the world of self-sustenance. The programme incubates individuals for a period of not more than three years, and based on their assessment and educational profile, individuals are linked to education and training programmes aimed at ensuring that they can move themselves out of the social security system. Beneficiaries are selected based on factors, such as: • The age cohort (between 18 and 25 years old) • Social status factor (from poor backgrounds – based on household profiling from GDSD • Passed matric • Participants who are willing to, and are ready to work • Participants willing to, and are ready to look and take a post matric qualification/course Through this programme, the GDSD provides accredited skills training programmes through partnerships with accredited training partners in the field of hospitality, fashion design, real estate, photography, beauty therapy, and hair dressing, etc. This is done through partnering with various NPOs, who train and offer unit standards and/or qualifications that fall within the primary focus area of the Education and Training Quality Assurance body of the relevant Sector Education and Training Authority (Seta) or professional body. The training focuses on skills development, wherein beneficiaries are taken through various accredited skills development programmes. There is also job placement, where participants are linked to job opportunities within the network of potential employers, and enterprise development, which links participants to self-employment opportunities. Last month, 536 youngsters graduated from this programme having been trained in hair, beauty and fashion design. One beneficiary, 30-year-old Thando Femmers, who graduated in fashion design through the Sun Goddess Foundation, said he was happy to break the cycle of poverty. He now owns a high fashion brand. “I want to empower people in my community who are hopeless. I was once a member of the community with no aspirations, but I thank Sun Goddess Foundation and the Gauteng department of social development for giving us an opportunity to live a life with purpose”. Even though these interventions seem scanty given the magnitude of youth employment, the government continues to change lives through sustainable livelihood and developmental programmes. W2WP was launched in 2014 and has benefited over 83 000 youths across the province. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://sundayworld.co.za/news/opinion/columnists/gauteng-intervention-sees-youth-graduate-from-welfare-to-work/

  • VUSLAT BAYOGLU: STATE, BUSINESS AND NGOS ALL HAVE A ROLE IN ENSURING SOCIAL STABILITY

    Vuslat Bayoglu | 24 July 2023 The frequency of scandals and policy missteps in SA can be exhausting and numbing to any investor who follows the daily news bulletins. So much so that for those who are not paying attention to the details, the manifestation of various crises may seem unconnected to previous ones. Take, for example, the July 2021 unrest that left infrastructure damaged, a chunk of the country’s growth shaved off, public confidence in the state undermined and investors frightened. If you aren’t paying attention, you would think the causes of the unrest have abated, the sad events of the July unrest belong to some distant past. But you’d be wrong. There are indications that unless drastic steps are taken urgently, we may experience variations of social unrest at any time. Many social commentators and state officials focused on the topical political trigger of July 2021 and how it was exploited: the incarceration of former president Jacob Zuma. They also focused on law enforcement failures, rebuilding of damaged infrastructure and insurance claims amounting to R30bn. While all this was correct, it is worth stating that Zuma’s situation wasn’t the main factor. If anything, his case only served as an igniting factor to an existing powder keg which hasn’t gone away. It is waiting for another high-profile politician or any figure with a public following to trigger it. Let me illustrate the point. During the unrest, none of our more than 3,000 employees in all our businesses in KwaZulu-Natal, Gauteng, Mpumalanga, and Northern Cape participated in the looting or rioting. In KwaZulu-Natal, the province that suffered most of the damage, our business operations, which employ about 1,000 people, continued normally. The reason was simple: they were not “sitting and idling” at home. But of course, social standing does not guarantee respect for the law: the notorious Mercedes-Benz looter is a good example. But overall, people who work to provide for their families are unlikely to be hoodwinked into the politics of unrest. Yet, we have, broadly defined, an unemployment rate of 42%. The majority of the unemployed, well above 60%, are youth. I share the concern expressed by Mpumi Tyikwe, CEO of SA Special Risk Insurance Association (Sasria) in Business Day (“Unemployment crisis could spark a ‘revolution’ in SA, warns Sasria boss”, July 7). His comments should worry all of us who are concerned about the country’s stability. He said: “The biggest worry is youth unemployment. The youth are sitting and idling.” As each day passes without a prospect for a job, due to some of the factors I discuss here that undermine investment, young people see their futures disappear, leaving them in despair and without any idea of what it means to work. Some participate in mini unrests in their local communities when local populists recruit them usually for selfish political and/or business interests. Youth employment The state alone cannot — and shouldn’t be — the biggest employer. It should create an environment for private businesses to employ young people. If we do not open new businesses, existing businesses and the state will have to shoulder the despair of the youth. And there will be more pressure on the state to come up with unsustainable public employment schemes. So, enabling the willing and capable investors to create jobs is in the national interest. Putting people to work in private companies is the best insurance for the country’s social, economic, and political stability. There is no better hedge against instability. It is within this context that we should be wary of foreign and local elements who use their financial muscles not to invest and create jobs, but to discourage investments and destroy jobs. While the modus operandi of the foreign-funded and anti-mining non-governmental organisations is to use legally permissible methods to pursue their goals, the results of their actions are not different to those spawned by the illegal activities of the construction mafias around the country. Bluntly put, they are chasing investors away at the time we desperately need them. They are directly challenging the state’s role to create a conducive investment environment. Investors who are not prepared to give up on SA — and I count myself on the list — must increase their political risk appetite. Given the country’s stage of economic development — the best indicator being the worsening unemployment rate — no-one should have a right to block investment with the potential to create jobs and generate taxes for the state. Funders of NGOs who specialise in anti-mining and anti-gas exploration activities are invariably based in developed countries. Their activism would be best suited for developed countries where “42% unemployed” and socioeconomic instability is unheard of. Red tape Some state officials with the authority to regulate economic activities are also frustrating investment projects by delaying the issuing of licences. By acting against President Cyril Ramaphosa’s clearly articulated policy to cut bureaucratic red tape and fast-track business licences, some (not all) state officials are adding to the negative perception of investors. Part of a country’s competitiveness is the ability of regulatory officials to be efficient and innovative in addressing investor concerns and processing licence applications while adhering to the laws of the country. Responding to the negative perception on SA as reported by the Fraser Institute, which interviewed mining executives, mineral resources & energy minister Gwede Mantashe accused CEOs of “badmouthing” the country. He may or may not have a valid point. But he should be aware that he and the president’s enthusiasm about mining investment is not entirely shared throughout the regulatory value chain of the state. This is negatively impacting on Mantashe’s otherwise stated intention to increase mining’s share of the GDP. If we hope to tame the conditions that make people vulnerable to populist mobilisation, we must practically deal with all the blockages to investment — both real and perceived. We need a constructive engagement with the NGO sector — both local and international — so that investment that brings about growth and diffuses social tension takes precedence over other considerations. But if we allow Standard Bank or any bank to be attacked, as was the case recently in a protest by some NGOs, for the “crime” of investing in sectors they disagree with, it means we are not serious about growing the economy. Similarly, if we allow NGOs to block the mining of anthracite in KwaZulu-Natal as has happened with mining company Tendele — preventing more than a thousand people from getting jobs — then we are not serious about stability. • Bayoglu is MD of Menar, a private investment company. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.businesslive.co.za/bd/opinion/2023-07-24-vuslat-bayoglu-state-business-and-ngos-all-have-a-role-in-ensuring-social-stability/

  • EMAXESIBENI BUSINESSES BENEFIT FROM GOVERNMENT INVESTMENTS IN SMALL TOWNS

    Nkululeko Nyembezi | 24 July 2023 Small businesses display their art work Emerging business people and the taxi industry at EmaXesibeni, formerly known as Mount Ayliff, hope that the Small Town Revitalization project will provide good returns for local Small, Medium and Micro Enterprise (SMMEs) and the transport industry. The multi-million-rand project is part of the Small-Town Revitalisation programme initiated by the Office of the Premier in the Eastern Cape. It seeks to attract potential investors and uplift socio-economic activities in the area. Street vendors are expected to benefit more from this much-needed programme. Informal trading contributes immensely to local economic development in the Eastern Cape. It’s a significant catalyst to fight poverty and unemployment in the countryside. It’s expected that this business hub will boost economic growth and motivate more informal traders in rural areas. And it’s a dream come true for hawkers. Hawker Thembisa Ganyaza says, “We are extremely happy about this initiative, ECDC and Umzimvubu have done well and because we have been trading under harsh weather conditions for son many years, all is well now and we are happy for the recognition.” Hawker Mnyamezeli Mdepha claims, “For so many years, we’ve been crying for a nice place to market our businesses. Now that it has come, its joy for everyone and its going to change so many lives.” Dozens of emerging entrepreneurs stand a chance to take their businesses to another level. Project manager Azola Makhanda says, “This project is aiming to create job opportunities and grow the local economy of this area. The project is situated in the CBD. It has 114 hawkers , which will benefit. About 25 million rand that has been set aside for it.” The strategic business hub is seen as a game changer for small businesses in the region. Umzimvubu LM Mayorz, Zukizwa Ndevu explains, “We want to change the economic outlook of the small town of Mount Ayliff. We want to see women, young people take space. The aim is to fight poverty and unemployment. This is a way to go as we are changing the lives of the people.” Street vendors hope more local economic development infrastructure will continue to be prioritized. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.sabcnews.com/sabcnews/emaxesibeni-businesses-benefit-from-government-investments-in-small-towns/

  • EMPOWERING LEARNERS WITH DIGITAL LITERACY SKILLS

    SA News | 21 July 2023 As part of efforts to create a digitally empowered society, the State Information Technology Agency (SITA) has commenced with the rollout of cyber labs at schools across the country. “We want to see a multitude of Information and Communication Technology (ICT) enabled learners, harnessing ICTs for the development of interventions and other solutions that contribute to a better way of life,” Communications and Digital Technologies Minister Mondli Gungubele said on Thursday. Addressing the launch of the SITA cyber lab at Ntafufu Senior Secondary School in the Eastern Cape, the Minister said SITA will also handover five cyber labs at high schools in the North West, Northern Cape, Eastern Cape and KwaZulu-Natal. “As learners you must use this cyberlab well. Work really hard and excel. Information technology (IT) gives students confidence, it gives them self-belief, it gives them something to grow into. “This cyber lab gives students tools to learn new ways of learning, show skills and to be able to compete with other countries, because other countries are way ahead of us. As we hand over the cyber lab, we are giving you keys to the future. The future is cyber,” Gungubele said. Government’s South Africa Connect national broadband policy of 2013 envisions achieving universal internet access by 2030. “Our goal is to provide a meaningful future for our youth that goes beyond employability, as simply getting children through matric is not enough. Learners who are comfortable using everyday technology and devices to access content and to self-learn are far better positioned to build a life outside of school. “Embedding ICT into our schools and curriculums is critical for any form of economic participation post-secondary school. Young people who do not have digital skills and who cannot access the internet will not be equipped to participate in the digital economy. This is but one dimension to the South Africa Connect policy objectives,” the Minister said. He said the smart use of the internet improves the quality of education in many ways. “It opens doors to a wealth of information, knowledge and educational resources, increasing opportunities for different approaches to learning in, and beyond, the classroom. “It is also important to consider teachers' – especially teachers in rural schools - adoption of information and communication technologies (ICTs) for teaching and learning in schools. “Research using the Technology Readiness Index (TRI), found that the vast majority of the teachers surveyed were optimistic about the use of ICTs for teaching and learning, despite the existing financial, technical and digital skills challenges at their schools,” the Minister said. In his 2023/24 budget speech, Gungubele announced interventions to ensure increased access through SA Connect to the value of R1.3 billion. “To complement the SA Connect programme, I added that SITA will launch a National Broadband Project to the value of around R6 billion. These are all aimed at making the lives of our people better,” the Minister said. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.sanews.gov.za/south-africa/empowering-learners-digital-literacy-skills

  • APPRENTICESHIPS CAN HELP BRIDGE THE SCHOOL TO WORK GAP

    Schalk Burger | 21 July 2023 Businesses can take actions to upskill young people and empower them with work experience that will better their chances of standing out in an oversaturated labour market, says electrical equipment manufacturer Eaton learning and development manager Melanie Riches. She adds that apprenticeships offer ambitious youth on-the-job training and valuable work experience, thereby strengthening their skills. While addressing South Africa's significant macroeconomic challenges requires a sustained effort from both businesses and government in the long term, apprenticeships provide learners who completed matric an opportunity to use their hands and talents to build a creative and successful career. "It is also a medium to get qualified artisans, tradesmen and tradeswomen back into the industry and I believe it’s where there is huge potential for entrepreneurial skills to be extracted from," she notes. For example, Rina Letsebe started as an electrician apprentice in 2013 in Eaton's four-year apprenticeship programme and qualified as an electrician in 2016. In 2019, she was promoted to production planner, and currently serves as an environmental health and safety analyst, as well as serving as an inspiration to other women entering the electrical manufacturing sector, Riches illustrates. South Africa’s youth are entering a daunting job market, where slow economic growth has meant businesses are struggling more than ever to absorb each new wave of entrants into the workforce. "Many apprenticeships often overlook the essential soft skills that young professionals need to thrive in their careers. The transition from graduate to professional can be challenging, and entering the workforce as a fresh graduate can be intimidating," she adds. Eaton apprenticeship alumna Nneheng Khusu credits her apprenticeship with helping her adapt to the working world and jumpstarting her career with a goal-driven mindset. "Apprenticeships not only refine technical skills, but also guide young individuals in professionalising themselves and expanding their knowledge," Riches says. Eaton’s four-year learnership programme emphasises competencies such as communication, teamwork and problem-solving. Additionally, the company also offers training sessions and networking events aimed at imparting practical and valuable knowledge that promotes holistic professional development, she adds. Eaton employee Seyakamela Maropene says her apprenticeship taught her how to work and think independently, remain persistent in her personal career goals and not allow herself to be swept up with the crowd. "This is proof of the personal development that takes place alongside the professional growth that an apprenticeship offers," Riches avers. Eaton South Africa says it understands the need for change and creating opportunities for the youth. For many years, it has been running apprenticeship programmes, as testament to its commitment to equipping young individuals with sustainable skills of excellence for the future. "At Eaton, we specifically focus on electrical apprenticeships for our Wireman positions, which, despite the name, are available to male and female apprentices. Once qualified, these apprentices work on our shopfloor as Wiremen. Some apprentices move on to work in the quality test section as well," she says. "We onboard 10 to 15 apprentices per four-year programme. Although small, this ensures that we get all of them qualified, and possibly placed for permanent positions internally." Further, young women need to be given equal opportunities in historically male-dominated industries to gain entry-level experience, advance their careers and ultimately take on leadership roles, just like their male counterparts. "This should also be across business units or segments. In the manufacturing industry, young women are increasingly showing an interest in areas such as environmental health, safety management, electrical or power engineering, operations engineering, human resources, finance, accounting, supply chain management, informational technology and technical sales," adds Riches. Meanwhile, while many businesses in South Africa may struggle to provide apprentices with additional enrichment experiences, those that can should provide young professionals with work opportunities that go beyond their expectations. "This is especially pertinent for multinational companies, like Eaton, that have a global footprint. Collaborating with overseas teams, and even having the opportunity to visit operations abroad, can be transformational for a young professional," Riches notes. A highlight for Eaton apprentices is the annual assessment course, in France, where these young minds visit and collaborate with their young colleagues from Eaton’s operations across the world. "We cannot solely rely on the government for solutions. It is a shared task. However, offering a professionally robust and inclusive apprenticeship programme is one way businesses can play their part in helping to alleviate unemployment. "Even if a business cannot absorb all of its apprentices, these young professionals leave the programme with skills, experience, and a growth mindset that will enable them to stand out as they continue their professional journey," Riches says. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.engineeringnews.co.za/article/apprenticeships-can-help-bridge-the-school-to-work-gap-2023-07-21

  • SANLAM AT THE FOREFRONT OF DELIBERATE TRANSFORMATION

    Ray Ann Sedres | 19 July 2023 The third Sanlam Transformation Gauge, a research report that takes a holistic measurement of economic transformation in SA, has scored SA Inc as a low level three. The result is based on the average score of the 14,542 companies involved. A key theme that emerged again was that the broad-based BEE (BBBEE) system is not representative of the state of transformation in the workplace. In fact, this is far behind what scorecards reflect. Companies pour billions of rand into compliance efforts, but inequality is increasing in SA — which the World Bank already ranks as the most unequal country in the world. We need fast, shared impact at scale. That requires creative thinking and collaboration. This year, almost all scorecard elements failed to reach their targets, except for socioeconomic development. It's becoming clear we need a system overhaul to address the systemic challenges buried deep in SA’s DNA. The solution doesn’t lie in greater regulation or a bigger compliance burden — we must be audacious. Now is the time for transformation by deliberate design. We need a big-picture vision that takes a broader view of transformation, with long-term structural change as the goal. We need new ways to measure success by impact, not just input. As a purpose-led group, Sanlam is committed to empowering all Africans to be financially confident and prosperous. This isn’t possible in a country such as SA that's fractured by deep fault lines of inequality. As such, our notion of transformation goes far beyond compliance. Sanlam has the stature and stability to help change the nation’s narrative, to foster socioeconomic inclusion and drive an agenda of deliberate change. Sanlam is pushing the boundaries of traditional transformation in four pivotal ways: 1. Adopting a broader view of transformation Sanlam contributes to sustainable growth, higher investment, job creation, reduced inequalities and deracialised economic activity. 2. Sanlam's impact in Africa The company touches more than 32-million lives across Africa and more than 22-million in India and Malaysia, with a target of 50-million for Africa by 2025. It has an opportunity to serve as an inclusivity champion and uplift the previously disadvantaged and excluded members of society — enabling access and participation in financial services. 3. Linking capabilities to furthering socioeconomic transformation: Sanlam has a huge bank of expertise it can leverage to move the needle. For example, more than 70% of jobs are generated by small, medium and micro enterprises (SMEs) in emerging economies, contributing up to 40% to a country's GDP. The company has put its might into nurturing the nation’s SMEs through a multifactorial approach, from risk management and employee benefit offerings to enterprise and supplier development contributions of R225m in 2022. In addition, Sanlam Investments’ Investors’ Legacy Range and Resilient Investment Fund were established to create and preserve jobs — primarily in the small business sector. Sanlam also runs an enterprise and supplier development programme, which has created and sustained 3,578 jobs since inception. It uses procurement to push the transformation agenda, with R4.4bn spent on SMEs, R4.7bn spent on black-owned suppliers, and R2.6bn on black-women owned suppliers in 2022. The goal is to unlock opportunities for local procurement in host countries across the continent and Sanlam has only scratched the surface of its potential to do so. 4. We cannot do it alone: The scale of transformation required calls for hyper-collaboration. With 1.2-million employees globally, and by leveraging its extensive partner network, Sanlam can ignite a catalytic reaction to set change in motion. Let’s act now, together. This is the moment to go beyond box-ticking compliance in a system that isn’t serving us. Sanlam is committed to fostering greater financial inclusion through accessible insurance and investment solutions across Africa, a sustained focus on job creation and enterprise growth, infrastructure development and trade solutions, and skills and socioeconomic development through inclusive education. It urges corporate SA to come together at this critical juncture in our history. Let’s make decisions our young people will thank us for. The findings of the annual report on the progress of economic transformation in SA were unpacked on July 18. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.timeslive.co.za/news/2023-07-19-native-sanlam-at-the-forefront-of-deliberate-transformation/

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