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Alison | 1 June 2023 While exhibiting at EmpowaYouth Week at Orange Farm in May, CTU Training Solutions also participated in a roundtable on scarce skills and opportunities for youth in the banking and finance sector. CTU Training Solutions Head of Programme, Business and Project Management, Thomas Chimutunga, participated in the panel discussion that aimed to shed light on the skills most in demand in the banking and financial sector. All of the other panellists represented the banking and financial sectors. Skills sought in youth job applicants Chimutunga kicked off proceedings by announcing a R50 000 bursary at CTU Training Solutions for attendees at EmpowaYouth Week. He went on to say that some of the reasons for unemployment is a lack of synergy between the skills in demand by industry and those being studied by young people. “We need to look into what skills are in demand so that we can offer those skills to the youth. We’re constantly redesigning our curriculum to keep pace with industry demand, particularly around the fourth industrial revolution.” Brenda Kobola, Head of Talent Acquisition for the Consumer and High Net Worth Group at the Standard Bank Group, agreed: “The 4IR is definitely upon us, which means we’re looking for skills that we didn’t prioritise before. Young people have to bear this in mind when deciding what to study. “We need to balance core banking skills with the digital skills we need to deliver services to our clients. We still need bankers, people who can talk to clients, and skills like financial literacy, etc, but the emerging skills are digital skills such as engineering, software development, data analytics, robotics and automation.” Zanele Jafta, National Head of Digital Wealth Advisory Services at Nedbank Wealth Management SA, adds: “If we consider the skills we require now, it’s all about digital. The introduction of digital has brought with it some negatives that necessitate the need for cyber security. In order to protect the bank and its clients against cyber crime, we require skills in that space.” Ayn Brown, Chief People Officer at Tymebank, agrees: “Digital and 4IR are here to stay. Our phones and computers rule our lives, making things quicker and faster, which obviously impacts the ability to create jobs. With the advent of AI and digital and the way they’ve taken over our lives, it does tend to exclude the human element – yet the human element has never been more important. It’s not going to be AI that takes your job, it’s going to be people who know how to use AI and computers. “In such a fast-moving environment, I’d encourage youth to do short courses to keep pace. Curiosity and a love of learning are key qualities in a potential hire.” Aluwani Chokoe, Deputy Director at the Gauteng Department of Infrastructure Development and Human Settlements, contributes: “We live in the world’s most economically unequal society in the world. We have people who don’t have access to phones or the internet, who can’t use a computer. For this reason, we need to prioritise basic computer skills delivered via home language computer training courses.” Delivering skills to the youth Chokoe says there are several provincial and e-government initiatives that the youth can use to upskill themselves. “It’s important to note that we need to break down the language of computer skills. We can’t talk about AI when people can’t switch on a computer. The youth can also approach the SITAs, which provide a stipend when they train people.” Tyme Bank has plans to start an academy, according to Brown. “We enable youth employment by employing local people to man our kiosks in retail outlets. They acquire sales skills, soft skills and have the ability to earn while going through their learnerships.” Jafta refers to the YES programme that is run by all banks. “The youth employment services programme is available to all employers. They take in graduates between the ages of 18 and 29 for a 12-month period, place them in different roles and do job rotation over the course of the year. This gives the individual an opportunity to find out what he or she is good at. After the year is up, they can apply to be permanently employed by the business. “We also do graduate programmes that run for 24 months that also include job rotation. Youth who are offered these opportunities should grab them with both hands, be diligent, work hard and have a positive attitude so they can be absorbed into a permanent position.” Kobola says there are plenty of opportunities for the youth to gain the prerequisite skills. “We all offer similar programmes for employed and unemployed youth. In a year, we hire about 800 graduates across three different programmes. Our graduate programme graduates with university degrees or national diplomas and offers a rotational approach to work experience, with the possibility of being hired permanently. We also offer internships aimed at filling skill gaps in the bank, which can also turn into full-time employment. Then we offer learnerships, where the individual gets work experience and an NQF-aligned qualification.” She encourages the youth to apply for all of these programmes and steers them towards the bank’s PluggedIn tool, which helps individuals to assess their strengths and interests while creating a CV. Navigating entry barriers and gaining practical experience Chimutunga says as a training solutions provider, it’s important to make sure that it offers a final product that’s adaptable to the current business environment. “We need to look at the curriculum, the demands of the 4IR and ensure students have practical components and can actually do the work required by their course.” Kobola points out that at the beginning of any recruitment process, all candidates are equal. However, as the process progresses, it funnels candidates as it starts differentiating on experience, skills and how the candidate shows up at different stages in the process. She advises the youth: “Don’t give up, keep applying and trying.” Jafta agrees that candidates need to differentiate themselves. “Take the time to draft a proper CV, prepare for interviews – there are standard questions that you can practise ahead of time.” Brown says the youth need to consider how they can stand apart from the crowd. “Never stop volunteering, get involved in community initiatives, don’t stop being curious and when the opportunity comes, show up and differentiate yourself because of your interests. Look at what the role you applied for entails, what the organisation is about, think about what you can bring to the business before you go into that interview.” Chokoe finishes off the discussion by saying that young people starting out on their education need to consider what this country needs, what they can do to leave this world better than they found it. She’s a strong advocate of volunteer work as a gateway to finding employment. “Find a CV app on your phone and download it and use it. There are opportunities out there to gain skills, you need to seek them out and make the most of opportunities that arise.” ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.itweb.co.za/content/PmxVEMKEQe4vQY85

Khanyisa Phika | 3 June 2023 (John McCann/M&G) The outrage of some South Africans after President Ramaphosa’s endorsement of passing the Employment Equity Amendment Bill of 2020 into law on 12 April 2023 is misguided. The new measures aim to further promote diversity and equality in the workplace, particularly for designated groups such as Africans, coloureds, Indians, white females and people living with disabilities. As employment inequality and discrimination persist in South Africa, the bill seeks to advance transformation and promote equal opportunities for all genders by setting equity targets for economic sectors and geographical regions. South Africa has the highest level of unemployment among its peers, with almost four out of five people without work, even though they are actively looking for employment and are available to work, according to Statistics South Africa. These higher levels of unemployment mostly affect women, in particular black and people with lower levels of education. In South Africa, women remain vulnerable in the labour market, relative to their male counterparts, with almost half of working-age women finding it tougher to obtain work than men. In fact, women are more likely to remain unemployed for longer periods which further distorts their ability to be employed in the future. This means that the productive potential of women in the labour market remains underutilised. Of course, the effects of long-term unemployment are the byproduct of historical structural deficiencies in the labour market driven by the mismatch between supply and demand. The mismatch is further complicated by the skills required for specific jobs in different sectors, levels of education and the willingness of companies to train and develop the available labour force with the necessary skills. While transformation in the labour market through self-regulation by employers in the private sector has been positive, it has moved at a snail’s pace. Women remain marginalised in the workplace. The Employment Equity Commission identified that small businesses face a burden when it comes to meeting employment equity goals and targets as set by the department of labour. Although this is a positive gain for small business owners with less than 50 employees, the challenge on inclusion and diversity still remains. The sector-specific and regional employment equity numerical targets should encourage businesses to realise their economic active population targets more comprehensively. Furthermore, the issuing of annual employment equity compliance certificates should act as an incentive for employers to pay workers equitably and increase their chance to do business with the state, as per Section 53 of the Employment Equity Act. To ensure successful implementation of what the Bill requires over a five-year period, the department of labour is now compelled to assign labour inspectors to regularly police workplaces and to issue employers with compliance orders, if necessary. Whether this will yield the desired results remains to be seen. More than 60% of companies in South Africa are owned by white males, despite the fact that they account for a small percentage of the overall economically active population. There needs to be a drive to give designated people more access to opportunities. The recent changes to the Employment Equity Amendment Bill in the sectoral codes promise to improve the participation and representation of women in male-dominated industries and areas that typically have gender bias, such as construction and finance. The adoption of these stringent regulations has the potential to increase much-needed representation of women in decision-making positions across all sectors, bridge the wage parity gap and provide females with more opportunities to advance their careers. Overall, the benefits of promoting women in the workplace far outweigh the potential challenges that employers might face in ensuring compliance with the Employment Equity Amendment Bill. Khanyisa Phika is a macro-economist. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://mg.co.za/thoughtleader/opinion/2023-06-03-transforming-the-labour-market-fast-is-vital-for-sas-economic-growth/

Herman Mashaba | 2 June 2023 ActionSA helps former security guards investigate alleged B-BBEE fronting practices at G4S. ActionSA has assisted over 200 former security guards to get the South African Police Service (SAPS) to investigate alleged B-BBEE fronting practices at G4S after their previous attempts have failed. As a party committed to social justice, ActionSA believes that the legitimate concerns of former security guards that G4S possibly falsified its B-BBEE status by making use of a staff share trust should urgently be investigated and officials should be held accountable. G4S has been making headlines for being the security company in charge of the prison where Thabo Bester recently escaped. No company should get away with breaking the law in South Africa for corporate gain. Alongside some of the security guards and ActionSA activists, I visited the SAPS Headquarters in Tshwane on this morning to request that the police investigate the matter and give the support to the former security guards they deserve. The security guards alleged that after they raised concerns about possibly B-BBEE fronting by G4S, they were threatened and dismissed by the company. ActionSA stands by the rule of law and will therefore continue to support the former security guards to ensure that the truth is revealed and that those guilty of breaking the law are held to account. ActionSA is deeply disappointed by the B-BEEE Commission’s failure to provide assistance to these employees when it is their legal mandate to do so. We are hopeful that the truth will eventually come out when this matter is ventilated in our courts. We are speaking to our legal team to determine what other steps can be taken to assist the former security guards in this regard. No country can create jobs and improve the lives of its people when lawlessness is allowed to flourish, and that is why ActionSA believes private companies should also be forced to operate within the confines of the law. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.politicsweb.co.za/politics/alleged-bbbee-fronting-practices-at-g4s-investigat

Staff Writer | 2 June 2023 Some businesses in South Africa are coming together to discuss and workshop a way to navigate the country’s new black economic empowerment laws and proposed racial targets for various sectors. Trade union Solidarity – vehemently opposed to the new laws and is exploring legal avenues to challenge them – is spearheading an initiative to draw as many South African businesses together as possible to challenge the laws on the ground. The union this week sent out a letter to over 2,000 businesses in the country, calling for “positive protest”. Some businesses have already heeded the call and are joining a workshop where they will discuss their opposition to the laws and try to coordinate actions against them. “We expect that this workshop will be the start of a massive protest across a wide front against the government’s race law and its regulations. It will have a significant influence on the South African race discourse,” the union said. Business groups and opposition parties are pushing back hard against the new Employment Equity Amendment Act, which was recently assented to by President Cyril Ramaphosa. While not yet in effect – the laws are expected to be promulgated in September – the Department of Employment and Labour has already gazetted draft sectoral employment equity targets for designated businesses in South Africa for public comment. Under the new Act, the employment minister is empowered to set sector-specific numerical targets for the racial and gender makeup of designated businesses, which must be achieved over five years. The targets are expressed as a percentage of the population, either nationally or provincially, and it is up to designated businesses to choose one or the other in executing their transformation plans, the department said. Failure to comply with the laws can result in penalties, such as fines. Designated businesses are all businesses in South Africa that employ more than 50 people. The laws apply to all designated businesses – even those that have no intention of doing business with the state. Companies seeking to do business with the government will also need a Certificate of Compliance from the department. Furthermore, the EE Act requires employers to submit employment equity plans and annual reports on their progress in meeting the targets. The backlash to the new laws was immediate, with legal experts poking holes in the gazetted targets, while also warning that, if implemented in a rigid manner, businesses could end up enforcing quotas, which are unconstitutional and unlawful. The government has repeatedly stressed that the sectoral targets are flexible and need to be reached over a long period of time (five years), so they do not amount to quotas. However, Solidarity has argued that the stark reality of jobs and work in South Africa means they cannot be implemented in any other way. According to the Solidarity Research Institute (SRI), there are only two ways that the sectoral targets can be reached – either the economy has to grow so more jobs can be created to absorb the requisite people to hit the targets, or – more likely – the current composition of workers needs to be replaced to represent the targeted spread. “Using the minister’s published targets as well as the Commission for Employment Equity’s annual report as source data, (the SRI) indicates that South Africa’s economy must grow at a national GDP of approximately 12.3% per year, sustained over the next five years to meet the minister’s targets,” the union said. “Given the current economic conditions in South Africa, these levels of growth are impossible and unattainable.” This leaves only the second option, it said – people would have to vacate their positions in whatever way. “Calculations made by the SRI, again using the minister’s published targets as well as the Commission for Employment Equity’s annual report as source data, indicate that a reduction of approximately 66% of white and Indian employees, as well as a reduction of approximately 25% of coloured employees at the top four job levels will be required to meet the minister’s targets. “Basically, two out of three white and Indian employees, and one out of four coloured employees may no longer be represented at the top four job levels to meet the minister’s targets,” it said. The Democratic Alliance – another big critic of the laws – said that over 600,000 white, coloured and Indian South Africans stand to lose their jobs if the targets are pushed onto businesses. The party has also characterised the targets as racial quotas. In rallying businesses to protest the new laws and proposed targets, Solidarity echoed this sentiment. “Providing more job opportunities for black people is a legitimate goal – which is true for all people – but this Act is going about it in the wrong way. It does not create jobs; it simply redistributes it and will lead to poorer service delivery and fewer job opportunities,” it said. “It gives draconian powers to the Minister of Employment and Labour to dictate to businesses who they may employ. Now South African society can be planned and manipulated from a central point according to race. It deprives employers of the right to do business, and it deprives employees of the right to be employed.” ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://businesstech.co.za/news/business/693457/businesses-readying-for-a-big-fight-over-new-bee-laws-in-south-africa/

Dieketseng Maleke | 1 June 2023 Impala Platinum (Implats) has finally achieved control of Royal Bafokeng Platinum (RBPlat) after a long drawn-out process and takeover battle after it acquired the Public Investment Corporation’s (PIC) 9.26% shareholding in the platinum group metals (PGM) company. This move would make Implats hold RBPlat shares comprising an aggregate of approximately 55.46% of the RBPlat shares in issue. “Implats will control the majority of the issued shares in RBPlat, and RBPlat will become a subsidiary of Implats,” the group said. Implats CEO Nico Muller said securing control of RBPlat solidified a stronger, more sustainable future for the Rustenburg region, the North West province, and the South PGM sector – collectively a major employer in the mining sector and a key driver of economic activity for the country. “It will contribute to job security for more than 42 000 Impala Rustenburg employees and contractors, and stability for the more than 495 000 people who depend on its mining activities and social contributions. With more years of continuous operation at scale, the intensity of benefits will continue for longer, delivering tangible socio-economic benefits for the region and its communities,” he said. Muller said together with commitments related to community development spend, small, medium and micro enterprises support, increased localisation, and supplier support, Implats would facilitate the introduction of broad-based black economic empowerment structures in the ownership of the Implats and RBPlat operations, increasing economic participation and ownership of key assets in the South African PGM sector. Implats has also extended the closing date of its offer to June 28. Part of the conditions for the takeover is a new empowerment structure for the merged companies, such as the creation of a community share ownership trust across both companies, as well as the option to replace the RBPlat employee share ownership plan. In addition, Implats has partnered with Siyanda Resources Proprietary, which will lead a broad-based empowerment consortium (Siyanda Consortium) as part of the proposed empowerment transaction. The PIC said the Implats offer would deliver financial value to its clients and would ensure long-term sustainability to PGM mining in the greater Rustenburg region. “It will also have a positive impact on regional employment as well as enable Implats to deliver on its social commitments,” it said. The drawn-out process for Implats to finally take over RBPlat took more than a year as Northam, a PGM producer, was involved in a takeover bid with Implats over RBPlat. Owing to the process taking long, RBPlat CEO Steve Phiri said in March that the uncertainty caused by the delay in finalising the corporate action had become a key risk to managing its people, their morale, and retention. Northam said the reason for the delay was that Implats had submitted various complaints to the Takeover Regulation Panel (TRP) regarding its announcement of the takeover bid. As a consequence of the Implats complaints, the TRP withheld its approval of the posting of the Northam Offer circular until the TRP had decided in respect of the Implats complaints. Eventually in April, Northam terminated its offer to buy RBPlat, citing low prices of PGM. As a result, Implats became the only company in the running to take over RBPlats. Anchor Capital investment analyst Seleho Tsatsi said Implats’ takeover of RBPlats had been expected following Northam Platinum’s decision to terminate its RBPlats offer. “That decision made Implats the most likely party to gain control of RBPlats. At the moment, the PGM sector is facing the challenge of weak PGM prices, particularly palladium, and rhodium, meaningful cost inflation, and volume pressures. “Clearly, Impala is looking through the current weakness and is likely thinking about longer-term prices. Impala has finally achieved control of RBPlats after what turned out to be a long drawn-out process,” he said. By 4.20pm RBPlats’s share were 0.74% higher at R136, while Implats shares were 2.17% higher at R158.33. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.iol.co.za/business-report/companies/implats-finally-wins-rbplats-hand-after-lengthy-battle-06783944-2b2a-401d-a8f2-812d57c53255

Staff Reporter| 1 June 2023 Credit, cash flow and loans are trigger words for the entrepreneur and SMME in South Africa when the waters get deep, and these become panic words for most. The rise of fin-tech and micro-financing makes the lending landscape look like an easy way out; independent lenders proclaim easy, quick-fix solutions that will help business owners sleep better at night - until they read the fine print. “And often, we don’t read the fine print,” says Sandra Beswick, a Senior Business Rescue Practitioner and a Director of Fluence Capital. Struggling SMMEs take out loans without a comprehensive understanding of the impact of the repayments on the business and how the interest rates may squeeze the profit margins in the long run, inevitably crippling the business and its ability to keep afloat. With statistical data released by the South African Reserve Bank stating that only 25% of total business loans are allocated to SMMEs, Beswick warns about ‘too good to be true offers’ with the alternate and proverbial ‘quick loan’ scheme. It is understandable that ‘quick loans’ appear as an attractive source of financing compared with traditional banks. Banks are risk averse by nature and are highly regulated with stringent criteria, such as a minimum of 12 months in operations. According to SMME South Africa, businesses are rejected for funding primarily based on a lack of financial readiness and limited collateral, which is why the shiver of independent lenders have swum their way closer to SMME shores. Every business owner knows the dreadful panic that ensues as the month draws to a close. Employee salaries are due, and suppliers need to be paid. “But panic also makes us blind and possibly a little naive too,” says Beswick. “Admittedly, any income opportunity looks like a life jacket in a crisis, but ‘crisis’ is a man-made thing,” says Beswick. “Our business is only in crisis when we’ve missed something along the way when we have not taken measures to plan correctly.” The low barriers of entry provided by the new financing structures, such as fin-tech and micro-financing options, are convenient, but at what cost? When it comes to cash flow and loans, every business needs to do the maths to maintain good ground. Whether it’s a banking institution or an independent lender, there are multiple factors to be considered when applying for a loan other than jumping at the shiny, low monthly repayment amount. Are independent lenders just a big scam? No. There may be some lenders out there that are not legally compliant, but not all lenders are “sharks”. Credentials and compliance are everything when dealing with a lender. Dealing with a fully legal, fully regulated lender is your first port of call. To start, every lender must comply with the regulations set out by the Financial Sector Conduct Authority (FSCA) and National Credit Act. Check them out! What’s a major red flag for any SMME loan? Watch out for “Personally Liable” by providing sureties or guarantees: a term that could have detrimental effects on you and your business. Should your business not be able to pay back the loan repayment, and you are forced into business rescue or liquidation, you, as the owner, will have to use your personal assets to offset the losses of the business. For smaller SMMEs, this could mean losing your family homes too. It is important to note that all lenders, banks included, have red flags in their structures (some more than most!). The bank rejected me, what options do I have for a business loan? Don’t panic. For “micro businesses”, you could extend your search to include government grants, personal loans and micro-financing options. These exist, but always with terms and conditions. Firstly, always read the terms. Secondly, always read the terms. Financial institutions offer borrowing against your debtor’s book. Is this a good idea? Financing your business this way may be beneficial, to begin with, but the benefits don’t last very long. Once the bank fronts you a percentage of the debtor's book and you are unable to pay, it costs you more on the interest rate that they’re charging - and interest will cut into your profits. Meaning: your business may become stagnant and unable to grow. Can I ask my lender for a better, more customised funding model? Of course, you can. And you should! For most reputable lenders, there are options to restructure your payments to avoid the impact of high interest rates. For instance, loan repayments can be restructured so that the interest portion is paid monthly, and you have a moratorium for a few months on paying the capital amount until your cash flow improves. This allows your business space to adjust and recuperate. Take charge of your loan structure - if you don’t ask, you won’t get it. How do the banks determine if I am eligible for funding? There are many factors associated with the financial viability of a business. Banks will go the whole nine yards to assess your risk profile. Larger corporations have greater credit histories and adequate security, making them a safer option for banks. For SMMEs, the whole business is taken into consideration; the market they operate in, the business life cycle and seasons – including cash flow and credit or risk profile. In a way, you can thank your bank for being this protective against risk - it warrants safer, transparent grounds for a better bank-business relationship going forward. Should SMMEs be wary of the “Quick Quote”? Definitely. The speed of the “Quick Quote” becomes a striking option, but it’s easy to over commit, trying to keep up with one loan by taking up another. This is dangerous water! Be wary of signing anything too soon. Funders outside of the traditional banking route are less likely to offer comprehensive documentation, so take time to do the calculations for yourself first. Prepare adequately for your lending contract and compare different lending structures to find the best fit for your business. What does interest have to do with anything? Everything! The real impact here, other than the structure of the financing model, is the interest rates applied to the principal amount of the business. How much will you actually be paying back in the long run? This is the question. Even if your monthly payments may seem smaller than that of traditional funding structures, do your calculations - you may end up paying much more than the loaned amount without ever stabilising your cash flow. What happens if I can’t make my monthly repayments on time? Three rules when it comes to this: 1. Communicate. 2. Communicate 3. Communicate. It is all about honest, upfront communication – with all of your creditors. The worst thing a business can do is wait too long, loan more money or hide from the fact. Banks hate surprises – fact! All lenders do. Have the conversation with your financial partner ahead of time to figure out a more viable option to support your repayment plan. Pro-tip: there are always options, trust me. I’m in so much debt - how did this happen? Firstly, there is no shame in debt. Debt is a fact of business life. There is good debt and there is bad debt, and both must be properly managed. Getting into bad debt is kind of like today’s assignment due at 8am – the one you left until the last minute; you didn’t plan properly, and now you’re scurrying to hand it in. There can be only one outcome here: you fail. Because, here’s the thing about debt: debt doesn’t manage itself. You are in charge. You are always in charge! And here’s the good news: ‘Debt’ is something you can control and survive - bottom line. A quick fridge magnet summary? Do your research. One loan at a time Timely Communication is everything. Keep a record of all sureties you agree to provide. Always compare structures – ask for what you need. Plan way ahead - calculate for the long run, not the short-term challenges. Planning is a constant. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.iol.co.za/personal-finance/entrepreneurs/the-biggest-cash-flow-mistake-of-the-south-african-smme-be590dfc-b1cd-4fc7-9dd8-1886755fb87e

Ivor Price | 1 June 2023 Agri SA says proposed regulations requiring up to 75% black South African shareholding in water licenses could devastate agriculture, risking the nation’s food supply. In a move that has sent shockwaves through South Africa’s agricultural sector, the department of water and sanitation has unveiled draft regulations that could have far-reaching implications for food security. The proposed regulations demand that certain enterprises seeking water use licenses allocate shares of up to 75% to black South Africans. However, experts warn that this singular focus on ownership demographics disregards crucial factors and could lead to disastrous consequences for the agricultural industry. Janse Rabie, legal and policy executive at Agri SA, a prominent agricultural association, cautions that these regulations, if adopted in their current form, would spell devastation for the commercial agricultural sector. Rabie highlights that the department envisions compulsory licensing of existing lawful water uses, which would disproportionately impact agricultural operations heavily reliant on historic water rights. “The proposed regulations seek to make BBBEE (broad-based black economic empowerment) the sole consideration for granting licenses, disregarding the other critical factors outlined in Section 27 of the National Water Act,” asserts Rabie. This approach neglects essential considerations such as the efficient and beneficial use of water, socio-economic impact, and investments already made by water users. Loss of water resources The agricultural sector, which accounts for approximately 60% of the country’s total water use, finds itself in the crosshairs of these regulations. By focusing solely on ownership demographics, rather than a comprehensive evaluation of all relevant factors, viable commercial farming enterprises could face the loss or partial loss of water resources, severely hampering their ability to provide the nation with a secure supply of food. Furthermore, the draft regulations extend their reach to “stream flow reduction activities” like commercial forestry plantations and even include provisions for hydraulic fracturing. These additional measures pose further risks to food security and add to the growing concerns raised by industry stakeholders. While Agri SA recognises the importance of an inclusive and representative agricultural sector, they contend that the current draft regulations would effectively force the transfer of ownership of water, the sector’s lifeblood and most crucial input factor. Rabie warns, “The consequences that the draft regulations in their current form will have with respect to agriculture and food production in South Africa will be fatal.” The proposed regulations arrive at a particularly precarious time for the agricultural sector and the wider economy. The industry is already grappling with challenges such as frequent power outages, rural crime, and deteriorating public infrastructure. This additional burden threatens to exacerbate existing hardships and undermine the sector’s ability to contribute to national food security. Stakeholders and concerned parties are urged to participate actively in the commentary period, which ends on 18 July 2023, to ensure that the final regulations account for the broader considerations essential to safeguarding the nation’s food security and the sustainability of the agricultural sector. Failure to address these concerns could have dire consequences for South Africa’s ability to feed its population and maintain a thriving agricultural industry. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.foodformzansi.co.za/water-regulations-threaten-food-security-agri-sa/

Business Live | 1 June 2023 With sector-specific analysis, the 2023 report gives an objective assessment of economic transformation in SA The third edition of the Sanlam Transformation Gauge is set to provide clarity on the performance of broad-based BEE in SA through a comprehensive economic transformation scorecard of the country. The report will be published by Sanlam, the largest non-banking financial services group in Africa, in partnership with the Sunday Times Business Times. Since legislated in 2003, BBBEE has faced severe headwinds. This has ranged from it being connected to corruption and state capture to a disillusioned, unempowered majority of South Africans who have watched the policy fall short of its expected outcome to achieve financial equality and inclusion. Andile Khumalo, co-founder of the Sanlam Transformation Gauge and CEO of KhumaloCo says, the negative national conversation surrounding economic transformation calls for an objective assessment of its performance and proposals for interventions and course corrections. This will be provided by the Sanlam Transformation Gauge 2023. With sector-specific analysis, the report will pose the burning question: “Is BEE policy keeping pace with major changes in industries?” It will assess the unseen solutions that could solve persistent policy uncertainty regarding procurement and other areas of BEE. “This next edition will continue in the same vein as the past two iterations, with tightly defined views of how sectors in SA are transforming and where they are being hindered. This has the power to enable key players to work together to action meaningful inclusivity, growth and transformation within their industries.” Khumalo says a key theme that emerged in the 2022 Sanlam Gauge Report was that an overhaul of the BBBEE framework was necessary to improve transformation. “We believe this is going to develop into an important issue in the short term.” The Sanlam Transformation Gauge 2023 pursues a current view across ownership, management control, skills development, enterprise supplier development (ESD) and socioeconomic development, to inform industry and country conversations. One consistent theme is that the reality on the ground is worse than the scorecards suggest. Adding to the robust insight of the intelligence report and to stimulate the debate over the future direction of transformation policies, the Sanlam Transformation Gauge 2023 will include results of a survey that canvasses the views of BBBEE verification agencies. These agencies, through their interactions with businesses across all sectors, are at the forefront of measuring BBBEE in companies and are acutely aware of the challenges affecting transformation. Like the second iteration, the panel of economic and social development experts will put forward actions for progress in the annual publication. For example, the 2022 edition highlighted the lack of a credible and effective national measurement process for BBBEE. The report indicated that ESD was the second-worst performer in the country and, in February 2023, the BBBEE Commission released an ESD research report with a focus on “how ESD funds can be effectively implemented for the purposes of promoting the development and growth of black-owned businesses”. There is no doubt in the minds of BBBEE experts that changing how we unlock ESD offers huge potential for inclusive economic growth. Ray-ann Sedres, chief transformation officer at Sanlam, says procuring from small black-owned businesses, providing support and developing new enterprises is solid in principle and, if effective, would generate a strong base of small businesses that would grow and employ more people. This would address SA’s triple challenge of poverty, inequality and unemployment. “We need to work with the BBBEE Commission and sector councils to overcome the barriers being encountered in measuring transformation. The Sanlam Transformation Gauge continues to facilitate debate on the pace of socioeconomic transformation of the SA economy, drive action that propels the country towards a more inclusive economy, and to safeguard the integrity of the original intent of the BBBEE legislation.” The Intellidex-led research relies on BBBEE scorecards from companies, grouped into sectors using the International Standard Industrial Classification codes. It reports across 11 sectors of the BBBEE classifications system: agriculture; construction; defence; finance; forestry; information communications technology; integrated transport; marketing, advertising & communications; property and tourism — the Sanlam Transformation Gauge reflects a national picture of transformation. The third Sanlam Transformation Gauge event will take place on July 18 2023, presented by Arena Events. This will be followed by the publication of the highly anticipated research findings in the Sunday Times Business Times. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.businesslive.co.za/companies/2023-06-01-native-sanlam-transformation-gauge-is-policy-keeping-pace-with-industry-change/

Siphelele Dludla | 31 May 2023 The rate of unemployment remains persistently high in South Africa at 32.7%, and rising above 60% when it comes to youth aged 18-35. The Jobs Fund has requested an additional allocation of R3 billion from the National Treasury's already constrained fiscus in a bid to keep the youth employed as the prevailing economic climate in South Africa has dealt private sector businesses a significant blow over recent years. This comes as the Jobs Fund on Monday said it was looking for experienced private and public sector organisations and NPO intermediaries to submit applications for its 11th funding round titled: Breaking Barriers: Future Proofing South Africa’s Employment Options. The Jobs Fund was started more than 10 years ago with a R9bn recapitalisation, and co-finances projects by public, private and non-governmental organisations that will significantly contribute to job creation. This involves the use of public money to catalyse innovation and investment on behalf of a range of economic stakeholders in activities that contribute directly to enhanced employment creation in South Africa. The rate of unemployment remains persistently high in South Africa at 32.7%, and rises above 60% when it comes to youth aged 18-35. Jobs Fund monitoring and evaluation manager Vuyo Tetyana yesterday told Parliament that a number of external factors had historically negatively impacted on the Fund’s ability to disburse and create jobs. Presenting before the Standing Committee for Finance, Tetyana said these included slow economic growth, which averaged 0.6% between 2016 and 2022, and resulted in reduced demand for SMME goods and services, thus shrinking markets. "This impacts on partners’ ability to request further grant disbursements, which in turn hinders the pace of job creation. Higher levels of economic growth of at least 5%-plus per annum are needed in order to make a meaningful dent on unemployment," Tetyana said. He said the drought was also a factor in the Fund's underperformance as the Jobs Fund has a big agriculture portfolio that was affected by the multi-year drought conditions that had prevailed since 2015. Tetyana said the drought conditions crashed agricultural outputs, including crop yields and meat production. "This has had a knock-on effect on farmers’ ability to maintain production levels, thus impacting on their revenue streams. “Slowing agricultural activity impacted on disbursements to the portfolio, as payments are linked to performance," he said. While rainfall had improved, climate scientists have cautioned that increased climate variability will expose South Africa to more frequent and prolonged droughts. Tetyana said the conditions that gave rise to the establishment of the Jobs Fund continued to prevail, and in fact had worsened in the past 10 years. He said the government, therefore, needed to continue to play a leading and enabling role in the market by partnering with initiatives that remain committed to effect meaningful change in the unemployment crisis in the country. "The Jobs Fund has requested an additional R3bn allocation for the roll-out of new funding rounds. The requested amount is in addition to the R9bn initially allocated to the Jobs Fund in 2011," he said. "Informed by the historic cost per funding round, as administered by the Jobs Fund, is inclusive of a 10% allocation which involves value-added services such as governance and technical support. This cost structure is still significantly more competitive compared to other global Challenge Funds, which have operational costs of 15% to 33%." According to the Fund, there are currently three significant job creation areas that it has identified, including the informal economy, digital economy and business process outsourcing. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.iol.co.za/business-report/economy/jobs-fund-calls-for-r3bn-from-treasurys-already-constrained-fiscus-in-a-bid-to-keep-youth-employed-f25e3084-88d0-469a-a4f4-be9d0a537012

Partner | 31 May 2023 TETA EmpowaYouth Week took place at Orange Farm last week and featured a panel discussion on the skills and opportunities young South Africans need to enter the finance and banking industries. The panel included Thomas Chimutunga – Head of the Business and Project Management Programme at CTU – who discussed how the job market in the financial sector is evolving. Chimutunga said he is concerned that many young South Africans are not being equipped with the cutting-edge skills necessary to thrive in the workplace. “One of the reasons we have unemployment in the country is that there is no synergy between what the industry wants and what young people are studying,” he said. Chimutunga noted the core skills that will always be relevant – such as decision-making, leadership, data analysis, software development, and engineering – are not being taught effectively by many educational institutions. CTU, however, is constantly assessing industry needs to ensure its students are given all the skills they require to succeed in the modern workplace. In addition to obtaining the right skills, the panel said that graduates must also be proactive and take all opportunities given to them. Chimutunga stated that a proactive attitude and constant effort are critical, as South African businesses will always prioritise diligent and reliable individuals who are willing to learn new things. He added that CTU prides itself on helping students build these soft skills across its 11 nationwide campuses, which all boast robust support structures for students. This ensures that CTU equips its graduates with the skills necessary to find jobs – including those in the in the banking and financial sectors – and provide immediate value to their employers. The panel also touched on the concerns many have about AI in the workplace. Many believe that AI poses a threat to their job security, but Ayn Brown, Chief People Officer at TymeBank, said that this is not the case. “AI won’t take your jobs. People that know how to utilise AI will be the ones that take your jobs,” said Brown. “It is therefore important that we all try to keep up with the latest technological advances.” CTU awards R50,000 bursary At the EmpowaYouth Week event, CTU also awarded one lucky attendee with a R50,000 bursary to study any course of their choosing at CTU. The deserving winner was Samukelisiwe Xulu, who was delighted to receive this incredible opportunity. “Welcome to the CTU family, Samukelisiwe!” said CTU Training Solutions. “We can’t wait to witness your journey and how you will utilize this incredible opportunity to shape your future.” CTU and EmpowaYouth Week CTU had a large presence at EmpowaYouth Week, which included Chimutunga’s appearance on the panel, the awarding of the R50,000 bursary, and its exhibition stand at the event. The organisation was excited to attend the EmpowaYouth Event, as it provides an excellent opportunity to reach passionate South Africans and show them the valuable courses CTU offers. As a South African private tertiary education provider that has been developing skilled professionals since 1987, CTU understands the importance of offering industry-relevant skills. It has witnessed the job market evolve at an incredible pace over the past 36 years, and knows that events like EmpowaYouth Week are key to young South Africans elevating themselves to meet these changes. “Together, let’s continue to bridge the skills gap, encourage youth development, and pave the way for an inclusive future,” said CTU Training Solutions. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://businesstech.co.za/news/industry-news/692581/collaboration-between-education-and-industry-critical-to-economic-growth-in-south-africa-ctu/

Bizcommunity | 31 May 2023 Tech-network giant, Vodacom played host to local SMME suppliers and business partners at the launch of the inaugural Vodacom Innovator Trust Supplier Development Conference, honouring top achieving South African small businesses within the Vodacom supply chain. The conference took place on Thursday, 18 May at VodaWorld, Midrand, in collaboration with the Innovator Trust who serve as the management and implementation partner for the Vodacom Innovator Trust Supplier Development (SD) programme. With the first intake of SMME beneficiaries back in 2018, several initiatives ranging from health and safety training, access to markets support, POPIA training, FTTX equipment and training, FTTH sales training, a Wi-Fi installations initiative and most recently, a logistics initiative. One of the flagship programmes available to SMMEs is the iThuba sales and marketing initiative which aims to uplift the SMME’s brand, providing them with necessary access to key marketing tools and encouraging the uptake of new digital technologies and platforms to allow them to thrive in an increasingly competitive and digital economy. To date, 147 SMMEs have been supported over a 2-year period through the SD programme. “On behalf of the Innovator Trust, it is an honour to be a part of this iconic event. The ICT small business industry is doing amazing things when it comes to innovation and technology, and Vodacom is one organisation who has walked the talk when it comes to SMME support and continues to pioneer the way forward to ensure that SMMEs develop into key contributors to the ICT sector and the South African economy at large,” commented Tashline Jooste, CEO of the Innovator Trust. In addition to highlighting the strides taken by the Vodacom in their commitment to SMMEs, the conference also offered a platform for stakeholders from both sides of the table to engage on the realities of supply chain management, where the opportunities lie and how, as a small business, one can capitalise on them. The conference featured several industry leaders who delivered insightful keynote addresses throughout the programme. The list included representatives from Vodacom, Takalani Netshitenzhe, chief officer and executive director of external affairs for Vodacom South Africa, Lynda Marthinus, Vodacom Group head of B-BBEE and transformation, Rashmika Singh, executive head of IT and enterprise for Vodacom Supply Chain Management, and Ricardo Platt, Vodacom Payments managing executive who shared an exciting presentation on the unique offers from Vodacom tailored for the SMME market. Chief executive officer for The Brave Group and author, Musa Kalenga, was a guest speaker at the event and captivated the audience in his keynote on how SMMEs can experience exponential growth in business through sales and marketing. Lazo Karapanagiotidis, IoT.nxt chief product and marketing officer and Takalani Mavhunga, chief financial officer of Nexio, both subsidiaries of Vodacom also featured as panelists on the programme discussing supply chain challenges, the effect of digital transformation on supply chain management and the importance of improving engagement with SMME suppliers. Chief executive officer for The Brave Group and author, Musa Kalenga, was a guest speaker at the event and captivated the audience in his keynote on how SMMEs can experience exponential growth in business through sales and marketing. Lazo Karapanagiotidis, IoT.nxt chief product and marketing officer and Takalani Mavhunga, chief financial officer of Nexio, both subsidiaries of Vodacom also featured as panelists on the programme discussing supply chain challenges, the effect of digital transformation on supply chain management and the importance of improving engagement with SMME suppliers. For SMMEs who have excelled in growing their businesses, showing an increase in revenue, size, and improvement in service delivery while on the SD programme, Vodacom showed acknowledgement with performance awards given to SMMEs across several categories. Each of the awards were also accompanied by cash prize grants towards the small businesses. “On behalf of the Innovator Trust and the Vodacom Supplier Development programme, it is my hope that the essence of our commitment to SMMEs and the ICT sector is accurately received and today’s event results in even greater engagement, change and impact that will lead the way in the interest of the development of SMME suppliers in our country,” remarked Jooste. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.bizcommunity.com/Article/196/841/238862.html

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