The gazetting of the BEE Legal Sector Codes has stirred considerable debate within the legal community. NRFSA has initiated a two-part application in the High Court, targeting the Legal Practice Council, the Department of Trade, Industry and Competition (dtic), and the Minister of Justice and Constitutional Development.
Continue readingEmployment Equity Amendment Act: Key Changes Coming in January 2025
Legal Sector Code Gets Green Light
ICT Council Notification
President Ramaphosa Signs Public Procurement Bill into Law
President Cyril Ramaphosa approved the Public Procurement Bill on 23 July 2024, marking a pivotal step towards streamlining and regulating public procurement practices across South Africa. The enacted legislation establishes a unified framework designed to oversee the procurement activities of all state organs.
Continue readingA Shift in Skills Development on the Horizon
The QCTO changes being implemented have the potential to not only significantly impact your skills development plan reporting to the SETA, but also your BEE scorecard. It is important to consider these changes carefully and take any necessary steps to ensure that your company remains compliant and achieves its desired outcomes.
Continue readingLatest Update in Construction
Latest update: Amendment to Employment Equity Bill
The DOEL has been preparing to introduce amendments to the employment equity regulations, originally set to take effect on 1st September 2023. However, recent roadshows conducted by the DOEL have unveiled that the specific effective date for these changes has not yet been formally communicated.
While the DOEL has confirmed that compliance measures and reporting for the year 2023 will continue to be based on the existing legislation, the lack of an established effective date has led to some uncertainty among businesses.
Consequently, all designated employers, regardless of their employee count, will still be obligated to submit their annual EEA2 and EEA4 reports to the DOEL by the stipulated deadline of 15th January 2024.
What we know:
- The DOEL are still consolidating the public’s feedback on sectoral targets.
- The 1st of September for implementation of the amendments and sectoral targets are not possible.
- For the reporting which opens 1 Sept 2023 -15 Jan 2024, use the designated employer definition and all other rules as per current legislation and not amendments.
- Employers who have valid EE plans, do not need to draft a new plan at this point.
- Employers whose EE plans have expired the best practice would be to continue with drafting a new EE plan focusing on both the draft sectoral targets and EAP as basis/target.
What we can expect:
- Justifiable reasonable grounds will start being measured from the year (i.e., 2025).
- When an employer becomes non-designated, they should not deregister, as COC will be done through the portal.
- There will be no system check with the CCMA for COC, but rather a declaration from the employer and then inspectors can conduct their checks/visits for confirmation.
- The selected EAP and sector on the new portal will stick for the 5-year period. Where there are changes within the 5 years in an organisation, they will communicate the process.
- They are still in discussions with the DTI on the impact of the management control element for the employer who is non-compliant in terms of COC.
The main objectives of the Employment Equity Amendment legislation include the following:
- To reduce the regulatory burden for small employers – that is, those employers that employ between 1 to 49 employees will be excluded from complying with the provisions of Chapter III of the EE Act.
- To empower the Minister to regulate the sector specific numerical EE targets.
- To promulgate Section 53.
- To strengthen compliance, including the issuing of EE compliance certificates.
Read more about our HR Consulting Services on https://hrconsultsa.co.za/
Contact: Jaco Jacobs
Office: 012 997 0037
E-mail: consult@beeanalyst.co.za
Understanding Proposed Changes to Employment Equity and the Impact on your business.
1. Introduction
The South African Government published an Amendment Bill, for discussion purposes in June 2023. Many organizations and HR leaders described the bill as “a draconic change in Employment Equity compliance. Much between huge debates and criticism, Solidarity negotiated and signed an agreement with government addressing some of the main principles of the proposed Amendments. Most leaders argue that this agreement will serve as a basis / template for the final Amendment Bill.
2. Summary of the EE amendments, and potential impact on your business
2.1 Objectives of the proposed Changes to Employment Equity
The objective is to enhance workplace diversity, promote inclusivity, and drive equitable representation across all sectors, in a stronger attempt to transform the South African Workforce.
2.2 Sectorial Target MODEL
The DOEL is planning introduce sector-specific targets that companies will have to meet, to achieve compliance. These targets will reflect not only industries, race, and gender, but also be linked to Provincial and National geographics. Example, if your Agri related business is based in Cape Town, the Agri Sector targets as part of the Western Cape targets, will be applicable. By implication, you can expect that your targets for Coloured people, if compared to the target for Coloured people in Gauteng, will be different. The primary focus remains on the Economically Active Population (EAP) statistics, excluding unemployed people.
2.3 Analyzing Your current state of transformation
Remember that your Employment Equity Plan, supported by your annual EEA2 submissions, must remain the driving force of transformation in your business. However, you will have to align your EE plan with these changes and sectoral targets. Your starting point is obviously to conduct a detail evaluation and comprehensive analysis of your current workforce, and perform GAP analysis against the prelim targets via the proposed Amendments. Do not wait and be caught unexpectedly, start with the groundwork now. Evaluate your designated groups and identify areas for improvement. There are no quick fix solutions, without being grossly unfair, you need time to achieve transformation.
2.4 Implementing Strategies to Achieve Sectoral Targets
The Amendments make a clear statement that no one’s employment may be terminated because of transformation projects, and race should not be the sole criteria for future employment and promotions. Issues and requirements such as the inherent requirements of the job, the pool of suitably qualified individuals, their qualifications, skills, experience, capacity for growth, the rate of turnover and natural attrition in the workplace. The same is valid for recruitment and promotional trends within your business. This is certainly not an easy task.
How BEE Analyst can assist
BEE Analyst can assist you, or lead the process, to navigate through the intricacies and complexities of the proposed employment equity changes. It will certainly be a daunting task with many pitfalls. Besides the risk of being non-compliant, you can potentially also face penalties and fines from DOEL. Be pro-active, start now, do not wait. Get BEE Analyst to assist you! We offer professional guidance and have specialized tools to assist you throughout your EE compliance process. We will assist you from reviewing your current EE plan, followed by a detail analysis of your current EE profile, demonstrate your current state of diversity (GAP analysis), and achieve EE compliance meeting the proposed amendments.
Read more about our HR Consulting Services on https://hrconsultsa.co.za/
Contact: Jaco Jacobs
Office: 012 997 0037
E-mail: consult@beeanalyst.co.za
BEEA – INSIDE SCOOP
While the world is reeling from Covid-19, South African youths are battling an entirely different pandemic – one of joblessness. Known as the Born-Frees, Generation Z is confronting an unemployment rate of 74.7 percent, according to StatsSA, which regrettably places us as the world’s number one of unemployment. Not the top spot one pursues to have from a group of 200 countries right?.
‘’Exceptional Solutions’’. “Utmost Transparency’’. ‘Learning Focussed’’. “Instrumental to Development’’.
These are just some of the comments made by our “Interns turned Titans” during their career journeys at BEEA.
Skill them, then employ them
Job Creation is critical to facilitate economic growth, stability and improved social development in the quest to eradicate poverty, inequality and stall the runaway train of unemployment. BEEA is relentlessly in pursuit of providing solutions for their clients with Skills Development Initiatives and Internship Programmes.
As with our own interns, your time/money investment of a 12-month learnership or internship programme will be rewarded ten times over, when that intern is appointed permanently and starts producing performance results. Yes, this may sound slightly objectified, but success is a numbers game. Quality Input equals Quality Output.
‘’Develop them youngsters’’ – Generation Z
To facilitate youth development, eStudy (BEEA’s sister organisation), provides services across all learning and development functions, including Internship and Learnership Turnkey Solutions.
A unique combination of digital self-learning, mobile or virtual classroom-based learning models is available for clients to drive skills development, achieve business objectives and earn BEE points. These delivery mechanisms are selected specifically with ‘’young’’ people in mind.
Like one of the interns mentioned: “BEEA accommodated our needs as youngsters, even though the managers are old!!!” LOL-truth bomb right there)
Let’s get practical
At BEEA, we created a ‘’real-life’’ learning ground for our interns with workplace readiness training, fostering professionalism in verbal and written interaction workshops, and exposing them to hardcore technical courses from the eStudy online training library. On-the-job training is a priority for all our interns, where they receive ample opportunities to turn theory into practice.
We follow a similar approach when strategizing with our clients to ensure that formal and informal training received by their interns, cultivates professional and personal development gains, to be applied and leveraged practically within your business.
From Annoyance to Advantage
The complexities surrounding BEE regulation, scorecards, and newly adopted sector codes are often met with apathy, annoyance, and even downright resistance! To remain on point with the dynamic nature of BEE Legislation and consequentially comply with strict regulatory requirements, become less of a nightmare and a hands-down advantage with BEEA as your proverbial One-Stop BEE Consultation and Verification company.
Dedicated and professional consultants are on a mission to add value to a business, incorporating tools such as the BEE ROI calculator and the digital skills development facilitator (ESDF) products.
We have a stellar track record of helping clients cost-effectively optimise BEE scorecard levels.
BEEA: your trusted provider for A-Grade BEE solutions.