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- DEVELOPMENT IS MORE THAN MONEY
Whilst making a financial contribution to an Enterprise Development or Supplier Development Beneficiary is deemed a contribution, it does not always constitute a sustainable claim. A claim for each of these sub-elements needs evidence that demonstrates an organisation’s intervention has contributed to growth, sustainability, as well as operational and financial independence. The monetary route is one contribution option. However, other avenues are contributing an asset or upgrading equipment. In such a case, the value of the asset or the upgrade will determine the claim. It is important to note that only the asset or upgrade is a claim. A B-BBEE Rating Agency will not recognise other line items on an invoice that do not relate to the initiative. When submitting a claim for granting an asset, it is irrelevant whether it is new or pre-owned, imported or locally produced. The Enterprise & Supplier Development Services are available to help members ascertain that their investment is an authentic contribution.
- ENTERPRISE DEVELOPMENT ELEVATION TO SUPPLIER DEVELOPMENT IS ENCOURAGED, NOT MANDATORY
Organisations are encouraged to achieve Bonus Points by graduating an Enterprise Development Beneficiary to a Supplier Development one. Therefore, an organisation may enter into a Supplier Development Programme directly without first going through the Enterprise Development phase but will not earn the Bonus Points available. Statement 400, clause 3.8 of the Amended General B-BBEE Codes of Good Practice highlights the rationale behind this: “A Supplier Development Beneficiary is a part of the Measured Entity's supply chain, whereas an Enterprise Development Beneficiary is not.” Enterprise & Supplier Development Services are available to guide members on Enterprise & Supplier Development Initiatives.
- FUTURE SUPPLY CHAIN PROFESSIONAL: A PROACTIVE AGENT OF CHANGE
Tsholofelo Tsholofelo | 23 January 2024 The changing face of global supply chains demands a new kind of professional – one who is not only a custodian of procurement and logistics, but also a steward of sustainability. The constant changes occurring in the logistics space point to a sector different from what people might have imagined 10 years ago. I believe the supply chain landscape is at a crossroads as traditional paradigms are being disrupted by digitisation. Once characterised by linear processes and limited connectivity, supply chains are experiencing a seismic shift as they embrace the power of the technologies. The transformation is not merely a modernisation of age-old practices; it signifies a reimagining of how goods are produced, distributed and consumed. Moreover, the infusion of data analytics, artificial intelligence, and the internet of things (IoT) into supply chain operations has given rise to a new era of real-time insights and predictive capabilities. This is at odds with traditional supply chain paradigms which relied heavily on reactive decision-making, and after-the-fact solution mapping. The shift has empowered logistics firms, giving them the ability to anticipate disruptions, optimise routes, and enhance inventory management, cutting down on costs and improving customer overall customer satisfaction as goods are delivered on time. The technologies do not come without risk, however, with increased digitisation, meaning organisations must be vigilant to issues such as cyberattack and data privacy intrusions. But new technologies are not the only change turning the sector on its head. The greening of supply chains has also sparked innovative practices, from eco-friendly sourcing to circular economy models. That said, sustainability brings its own challenges. Balancing economic viability with environmental responsibility remains a delicate dance. The realisation that sustainability encompasses social and ethical dimensions adds further layers of complexity to the equation. What all this means is that future supply chain professionals will be compelled to take a “value-beyond-price” approach in the execution of their duties. They will need to be an ethical professional through and through, with a passion for the socio-political and socio-economic environments they operate in. In addition, the rise of e-commerce has engendered a change in consumer behaviour that has ushered in an era of demand volatility, personalised experiences and expedited last-mile deliveries. The supply chain is challenged to synchronise itself with the whims of an ever-changing consumer. In this regard, warehouses are evolving into fulfilment centres that double as distribution hubs, further blurring the lines between online and off-line shopping. This shift has prompted supply chains to pivot swiftly, adapting to the new rhythms of digital commerce. The “revolution” occurring in the logistics realm is also seeing greater collaboration where, for example, sharing data for mutual benefit is becoming the new normal, while resilience is becoming a prized asset in any organisation. The future supply chain professional will embody a versatile set of skills that transcends anything their predecessors had. From harnessing data-driven insights to reimagining network structures, they stand at the forefront of leveraging innovation for optimised operation. Their role extends beyond the boardroom, as they will have to collaborate with cross-functional teams and bridge the gap between evolving technologies and human expertise. The future supply chain professional is not merely a responder to change, but a proactive agent of it. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.iol.co.za/business-report/economy/future-supply-chain-professional-a-proactive-agent-of-change-c5910329-516e-4412-acfa-94f606cf625b
- CUT ‘WORK EXPERIENCE’ REQUIREMENTS FOR JOBS IN SOUTH AFRICA: RAMAPHOSA
Staff Writer | 22 January 2024 President Cyril Ramaphosa has called on businesses in the country to remove prior work experience requirements for job positions, in a bid to boost the employability of South Africa’s job-seeking youth. In his weekly letter to the nation, the president said that the record success of the country’s matric class of 2023 means that thousands of fresh matriculants will be moving on to various tertiary institutions to further their education. However, he said that there are many who will also move into the working world with just their matric, and called on “all of society” to make more job opportunities available to them. “As government, we have made the call for businesses to invest in our nation’s future by employing more young people, and, where possible, to do away with the requirement of prior work experience,” he said. Ramaphosa said that the government has made tax incentives available to businesses to encourage more youth employment, and said companies should make use of this avenue to ensure those seeking jobs can find them. “I encourage companies to use the Employee Tax Incentive to hire more young job-seekers, to make more training and mentorship opportunities available, and to sign up with the Youth Employment Service and other initiatives being rolled out in partnership with government.” South Africa’s 2023 matriculants set a new record, having passed with a national rate of 82.9% – the highest pass rate since the National Senior Certificate was introduced in 2008. Matriculants who do not go on to further studies will be entering an extremely difficult work world, where unemployment remains unacceptably high. The Quarterly Labour Force Survey (QLFS) for the third quarter of 2023 saw the national unemployment rate improve to 31.9% – and 41.2% by the expanded definition which includes discouraged workseekers. Youth unemployment, however, has reached alarming levels. According to Stats SA, the country’s youth (aged 15 to 34, not involved in education or training) remain vulnerable in the labour market. While the QLFS results showed that the total number of unemployed youth decreased by 174,000 to 4.6 million over the quarter, the overall unemployment rate for the segment still sits at 43.4%. World Bank data pegs South Africa’s youth unemployment rate even higher at 51.5%, making it one of the highest rates in the world. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://businesstech.co.za/news/business/744363/cut-work-experience-requirements-for-jobs-in-south-africa-ramaphosa/
- LETTER: CONSEQUENCES OF BEE ARE INEVITABLE
Willem Cronje | 24 January 2024 The policy will only work if it is voluntary rather than forced on business. Regarding “B-BBEE head Tshediso Matona defends economic redress amid legal challenges”, January 23. Broad-based BEE commissioner Tshediso Matona has called for stronger laws to enforce and monitor BEE. BEE’s objective to enhance the participation of black people in the SA economy is admirable, and there have no doubt been successes, but it is doubtful that this policy benefited its intended constituency overall. Why is this? Was there insufficient buy-in? Was business recalcitrant? No. Even with the best will in the world, the present policy is dangerously flawed. These are three inherent faults in BEE as the government implements it now. The policy inevitably inculcates an attitude of entitlement. There may well be a moral case for such forced redress, but there is no doubt that forced preferential treatment weakens motivation. This consequence operates independently of any other factors, and it is a weak foundation on which to build a broader economy. Due to price preferences of up to 30% afforded to the beneficiaries of this policy, it was inevitable that politicians would hijack the process, which they have done in the form of cadre deployment. This intrusion of politics has, ipso facto , served to exclude more deserving beneficiaries. It was likewise inevitable that criminal gangs would muscle in on the (no doubt well-intentioned ) distortion of market prices, and seek to extort “their share” of the benefits violently. These three deleterious effects of BEE as now designed are not due to a defective application of the policy, but are inescapable consequences of the policy itself. Yes, the constitution enjoins action towards broad demographic representivity. Indeed, we all desire this. However, to effectively accomplish inclusive participation in the economy this injunction should be interpreted as exhortative and not mandatory. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.businesslive.co.za/bd/opinion/letters/2024-01-24-letter-consequences-of-bee-are-inevitable/
- GLASFIT ACHIEVES LEVEL 2 BBBEE CERTIFICATION
Darren Parker | 25 January 2024 Glass repair and replacement company Glasfit has attained its broad-based black economic empowerment (BBBEE) Level 2 certification, featuring a 55.9% black female ownership. “We believe diversity in leadership is key to driving innovation and success. This certification aligns seamlessly with our overarching goal of growing our business and contributing to the growth of the economy and the people of South Africa," Glasfit CEO Safiera Mall says. Glasfit highlights its achievements in enterprise and supplier development, socioeconomic development and skills development, where the company has helped foster growth in local businesses. Glasfit has also contributed to socioeconomic development by positively impacting on local communities. In terms of skills development, Glasfit has contributed to empowering individuals with the knowledge and tools essential for success in the glass repair and replacement industry. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.engineeringnews.co.za/article/glasfit-achieves-level-2-bbbee-certification-2024-01-25
- SA NEEDS AROUND 3.21 MILLION NEW SMMES BY 2030 TO ACHIEVE NDP TARGETS
Kizito Okechukwu | 25 January 2024 The National Planning Commission (NPC) recently released its 10-year review of the National Development Plan. The NDP review revealed that the vision for South Africa outlined in the NDP has not been realised over the past decade. The review revealed that the NDP has been marginalised, leading to fragmented planning and ineffective implementation. The NDP places the responsibility of creating 90% of new jobs in the workforce in South Africa on the small, medium and micro enterprise (SMME) sector, between 2010 and 2030. The small business sector, which had an estimated 2.5 million small businesses in 2019, was most severely affected by the Covid-19 pandemic lockdown. 22 On Sloane recently published a white paper that seeks to foster a comprehensive understanding of the employment landscape within the South African SMME sector. This was achieved through the compilation, analysis and trend analysis of data from various publications and data sources. The NDP has set an ambitious target of reducing unemployment to 6% by 2030, with interim goals of 20% by 2015 and 14% by 2020. The unemployment rate in 2015 stood at 24.3%, surpassing the 20% target by 4.3 percentage points. Notably, the discrepancy escalated significantly over the five years leading up to 2020, when the unemployment rate was 18.3 percentage points higher than the 14% target. Another cause for concern is that, based on the current trajectory, the 2030 unemployment rate could potentially increase to 38%. At the unemployment rate, a negative growth rate of -11.58% would be needed to reach the 2030 NDP target of 6%. The fact that unemployment levels have increased significantly from the initial figures on which the NDP had based its projections over the past decade remains a cause for concern. There are multiple reasons for the increase, including the socio-economic and health impact of the Covid-19 pandemic, skills deficits in emerging and critical sectors, unsuitable policies, rising crime, growing social fragmentation and lower than-expected investment. We are in the 2019-2024 Medium-Term Strategic Framework (MTSF) and it is envisaged that the 2024-2030 MTSF would be the last seven-year NDP implementation framework. Over the past 15 years, the employment ratio has seen a negative growth rate of -1.27%. To reach the NDP target, there would need to be an 8.53% growth rate over the next seven years. The current projection based on the past 15 years is 35.3%. Total employment will also need to see the growth rate increase from 0.92% to 5.91% over the next 7 years, to reach the NDP employment target of 24 million in 2030. The current projection, based on the past 15 years is 17.55 million. These projections (Employment Ratio and Total Employment) provide an estimate of the employment level in 2030 under the assumption of a continued trend, without major economic disruptions, as observed in the historical data. In the white paper, 22 On Sloane introduced a “Covid-19 Exclusion Baseline”, which is a hypothetical scenario designed to estimate the trends as if the Covid-19 pandemic had not occurred. For 2020 and 2021, data points were replaced with the average values from a 5-year period (2017, 2018, 2019, 2022, 2023). This was with the aim of creating a normalised baseline for comparison against the pandemic-impacted data. With the exclusion of Covid-19, the projections improve to 27.83 million for the labour force and 18.44 million for employment, with a decline of 1.16 million in the total number of unemployed individuals. While the figures paint a more positive picture, they are still significantly behind in reaching the NDP targets. The NDP envisions that in 2030 the SMME sector will contribute 60 to 80% to gross domestic product growth and employ 90% of the workforce. Of the overall 24 million employment target (NDP target for total SA employment by 2030), SMMEs would need to employ 21.6 million people in the workforce by 2030. The projection of 9.72 million jobs in the SMME sector by 2030 means that, without major economic disruptions and at the growth rate, SMMEs could potentially create only 1.72 million new jobs. The Department of Small Business Development emphasised in May 2023 that as of 2023, approximately 2.5 million SMMEs in South Africa employ just under 8 million people and thus to meet the NDP target, there would be a strong need to significantly increase the number of SMMEs and cooperatives in South Africa. The situation calls for a substantial increase in support for SMMEs, along with the development of integrated strategies within the SMME and cooperative sector, as outlined in the National Integrated Small Enterprise Development Strategic Framework (NISED). To align with the NDP goal of having SMMEs generating 90% of new jobs by 2030, the need for adjustments to facilitate growth needs to be acknowledged. Providing robust support for SMMEs over the next seven years requires thorough research to inform policies that effectively address gaps. Attention is required to fill evidence gaps, including obtaining information on SMMEs in rural areas, obtaining more accurate estimates of SMME employment and understanding SMME growth rates. Regularly updated evidence, encompassing the impacts of interventions, is essential for better monitoring and evaluating programmes. The role of SMMEs in job creation, particularly for vulnerable populations, is pivotal. Governments, private sector and donor organisations in developed and developing nations recognise this, leading to substantial investments in SMME development, as underscored by the International Labour Organisation in 2010. If South Africa is to achieve its NDP targets, it means that the private and public sectors need to work together to create 3.21 million new SMMEs over the next seven years and, given the estimate of 3.71 employees per SMME, this could potentially help create 11.9 million new jobs by 2030, thereby achieving the NDP targets. ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.iol.co.za/business-report/economy/sa-needs-around-321-million-new-smmes-by-2030-to-achieve-ndp-targets-6740e1e3-009d-47da-8bce-83570a6a88cb
- NAVIGATING THE ROAD AHEAD FOR B-BBEE TRANSFORMATION IN SA
Yuneal Padayachy | 28 January 2024 As South Africa moves into 2024, the landscape of Broad-based BEE (B-BBEE) is poised for significant shifts. The B-BBEE framework has been a cornerstone of economic transformation in our country, aiming to address historical imbalances and promote inclusive economic growth. In 2024, I am hoping to see the following taking place in the B-BBEE transformation space: Updated B-BBEE Sector Codes of Good Practice The B-BBEE Codes of Good Practice, including for specific sectors, are subject to periodic reviews, and 2024 may see updates to the code, especially aligning to the 2019 Amendments to the General B-BBEE Codes of Good Practice. Businesses should anticipate changes in scorecard elements, weightings, principles and compliance criteria. Staying abreast of the modifications will be crucial for companies striving to maintain or improve their B-BBEE status. Enhanced focus on implementation and monitoring One of the primary expectations I hope to see is an increased emphasis on the effective implementation and monitoring of B-BBEE initiatives. The notion of impactful B-BBEE initiatives needs to be instilled within the mindsets of B-BBEE practitioners and transformation managers. There is a need to place a stronger focus on ensuring that companies are working towards achieving the outlined B-BBEE goals and that the intended benefits are reaching the targeted black beneficiaries. The shift from being transactional to transformational is a must. Increased collaboration and partnerships Collaboration between businesses and stakeholders is expected to be a key theme. Companies may engage in strategic partnerships to pool resources, share best practices and collectively work towards achieving B-BBEE objectives, which will achieve larger impacts on the intended black beneficiaries. Focus on skills development Skills development has been a crucial pillar of B-BBEE, and there may be an intensified focus on training and upskilling initiatives. I do foresee companies exploring more innovative approaches to skills development, including mentorship programmes, online training platforms and partnerships with educational institutions to address the skills gaps in our country. Focus on job creation South Africa faces a large challenge in respect of unemployment. I hope to see more collaboration between the public and private sector to address challenges of unemployment. From a B-BBEE perspective, it would be great to see more of an uptake of participation under the Youth Employment Service initiative and giving a young people the opportunity to gain working experience. Inclusive procurement practices Procurement is a significant component of B-BBEE, and 2024 will probably witness a continued emphasis on inclusive procurement practices. Companies are encouraged to source goods and services from black-owned and black women-owned businesses, with a focus on small business. The evolution of B-BBEE transformation is inevitable. Companies must proactively adapt to the changing landscape, embracing technology, fostering collaboration and prioritising the holistic impact of their B-BBEE initiatives. The trajectory of B-BBEE transformation promises an array of pivotal changes and opportunities for businesses. As we anticipate updated B-BBEE Sector Codes of Good Practice, a pronounced emphasis on implementation and monitoring, increased collaboration and a sharpened focus on skills development, job creation, and inclusive procurement practices, the landscape of empowerment and economic growth is set to undergo significant evolution. Businesses must be vigilant in staying abreast of the developments, ready to pivot and align their strategies to effectively navigate the shifting B-BBEE landscape. Embracing innovation, forging strategic partnerships, and committing to impactful initiatives will be integral in not just meeting compliance criteria but fostering inclusive economic growth and addressing historical imbalances. Yuneal Padayachy is the chief support officer at The BEE Chamber . You can contact its team at members@bee.co.za or (011 726-3052). https://www.iol.co.za/business-report/economy/navigating-the-road-ahead-for-b-bbee-transformation-in-sa-b528d3e1-cb3f-4206-b8d8-53cc7ace8405
- COLLAPSE OF STEEL INDUSTRY IMMINENT, WARNS SEIFSA
Bongani Mdakane | 29th January 2024 The imminent collapse of South Africa’s steel industry poses a threat to thousands of employment, according to a warning from the Steel and Engineering Industries of Southern Africa (Seisfa). As of now, the industry employs 362 000 people, compared to 577 000 15 years ago. Seisfa COO Tafadzwa Chibanguza made this remark on Friday. More job losses are likely, he said. The main reasons behind the closure of the ArcelorMittal South Africa (Amsa) facility were slow economic growth, low gross fixed capital creation, energy-related structural constraints, and logistical challenges. Businesses at every stage of the value chain have to cope with these problems, and Chibanguza said that without quick action and reform, it is unlikely that they will be resolved in the medium term. Therefore, with a few modifications to account for the Amsa closure, it may be conceivable to estimate the current pace of employment declines into the medium term in the absence of reform. He is alluding to Amsa’s declaration at the end of the previous year that it was considering closing its factories in Newcastle and Vereeniging, which would have a devastating effect on the economies of both towns and eliminating 3 500 jobs. According to Chibanguza, the steel and engineering industries play a pivotal role in the South African economy, serving as the foundation of the nation’s unparalleled industrial base within the continent. According to him, “the value chain represented in the sector comprises the full metals value chain, from merchants and service centres to metal fabrication, heavy and light engineering, and metal manufacturing [ferrous and non-ferrous].” Numerous other industries, such as water, logistics, mining, construction, agriculture, and many facets of the electrical supply business, depend heavily on this industry for its input needs. In addition, the industry exports 40% of its total output, generating an annual gain in foreign exchange revenues of $20-billion for the country. The CEO of the National Employers Association of South Africa, Gerhard Papenfus, predicted that continued government meddling in the steel sector will lead to the sector’s inevitable steady decline and Amsa’s eventual extinction. “Minister Patel continues to introduce and renew these duties despite the harmful effects. This raises the question, why continue with a policy that is reducing the competitiveness of the steel downstream and hastening the alarming trend of de-industrialisation, which is a primary cause of the sharp rise in unemployment and ensuing socioeconomic instability? “The only way to stop the steel industry’s fall is to stop and reverse the department of trade, industry and competition’s irrational initiatives. In the near term this will cause disruption, but over time, the industry will return to balance.” ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://sundayworld.co.za/news/collapse-of-steel-industry-imminent-warns-seifsa/
- INSETA ‘BELLIGERENCE’ IMPERILS YOUTH JOB OPPORTUNITIES
Edwin Naidu | 27 January 2024 What happens to learners when left in the lurch by the organisation meant to help them? In a major blow for transformation, hundreds of students who have completed learnerships for critical skills in the insurance sector have been denied their accreditation certificates from the Insurance Sector Education and Training Authority (Inseta). As a result, they cannot work in the insurance industry and up to two years of training may have been in vain. Scores of students are being denied the opportunity to work in the sector dealing with long-term insurance, short-term insurance, life insurance, insurance and pension funding, risk management, unit trusts, administration of health insurance, funeral insurance, reinsurance, ancillary and intermediary services. Some have been awaiting their certificates since 2020. Carol Mentz, a learner, asked the Inseta to conduct quality assurance and issue her with a certificate. It was a requirement for her job application at Hyundai, the South Korean car manufacturer. Unfortunately, due to not receiving the certification, she lost her job. In emails, she pleaded with the Inseta to help load the accreditation onto the system so that she could work. It never happened. Learner Craig McLachlan has been awaiting his certificate since 2022. He urgently needed to show proof of his qualifications to his employer. The learner’s commission was stopped because of the non-certification. Another learner, Vuyolwethu Malamlela, was fortunate. He was fired because he did not have his accreditation. However, following extensive interventions from his training institution, he was reinstated after receiving the certification. At least 192 students who have completed the skills training programme are awaiting accreditation for 2023. It has been estimated that another 555 have not been accredited since 2020 because the data may have been lost or mysteriously disappeared. In another twist, some students may have received their certification without putting in the hours. The Inseta's inaction on certificates means that instead of helping students, it is throwing them on the street – and passing the blame for the delays. The students are in the crossfire involving Inseta and the respected skills development provider the Graduate Institute of Financial Sciences (GIFS), through whom hundreds of students have undergone training. The penny dropped when GIFS complained to the Public Protector about alleged corruption, inefficiencies and operational matters of concern related to the management of students' accreditation. But instead of addressing the issue, Inseta maintained an uncompromising attitude, going to the extent of axing GIFS, which has been involved in the industry for almost two decades. Whistle-blowers are not protected in South Africa. While GIFS says it wants to prevent Inseta from being "captured", avoiding a long-term collapse of the sector, it is the students who are suffering. It also begs the question, what is Inseta doing to honour its mandate to “grow the pool and quality of critical and scarce skills within the insurance sector” when hundreds of students are left in limbo? This conduct occurs against a backdrop of corporations contributing massively to the Skills Development Levy (which companies pay to upskill their staff). Yet, annually under Inseta's watch, leadership funding has been cut – so much for giving youth in the country a chance. It has emerged that employers who question the reduced funding and Inseta's poor service delivery are victimised or, like in the GIFS case, have their funding cut. On October 17 last year, GIFS asked the Public Protector to intervene, expressing concern that Inseta was riddled with corruption. Despite being framed as a neutral regulatory body, GIFS uncovered evidence that Inseta deliberately streams prospective learners to one favoured learning institution whose educational practices have been questioned. The head of this rival training body favoured by Inseta labels it “a frivolous competitor making claims”. The Public Protector takes it seriously enough to warrant a probe. Ironically, GIFS' whistle-blowing has resulted in Inseta launching a public campaign to discredit it and put it out of business, despite the educational institution's crucial role in training most of South Africa's insurance professionals. When the institute closed for the end-of-year holiday on December 14 last year, Inseta sent GIFS a letter at 5:38pm, informing it of its immediate de-accreditation as a Skills Development Provider. They warned other service providers not to work with them – or face the music. GIFS programmes form part of the National Qualifications Framework and were approved by the South African Qualifications Authority. They're experts when it comes to skills development in the country. In addition, Inseta itself had awarded GIFS full accreditation status up to June 2024 in line with its practice of awarding certification annually. So, GIFS turned to the courts for help. In an urgent High Court interdict on January 4 this year, GIFS' legal counsel accused Inseta of corporate bullying and victimisation. They argued that Inseta's withdrawal of GIFS' accreditation was based on a GIFS fraud investigation report compiled just over two years ago, now under review in the courts. GIFS maintains the report is fraught with trumped-up allegations, overt bias, glaring irregularities and multiple procedural flaws. It has only held off on its legal review as Inseta renewed its accreditation after the report was finalised in 2021. But the court ordered Inseta to reinstate GIFS' full certification within 24 hours; withdraw all unlawful notifications it had distributed to industry stakeholders informing them of GIFS' de-accreditation; reassure the public on its website and via email of the complete restoration of GIFS' accreditation and pay the costs of GIFS' legal counsel. Inseta has ignored the court order. Chief Executive Officer Gugu Mkhize dismissed questions about the case and the complaint before the Public Protector. That is how bullies operate. They are going to appeal and waste taxpayers’ money while learners are left in the lurch. With the Minister deflecting a scandal and the lack of delivery from the National Student Financial Aid Scheme (NSFAS), one can understand his attention is elsewhere. But what about the Quality Council for Trade and Occupations (QCTO) doing its job and holding Inseta accountable for its delay in issuing certification that jeopardises the very young people who need the piece of paper they worked hard for? The silent QCTO is responsible for quality assurance and the oversight of the design, accreditation, implementation, assessment and certification of occupational qualifications, part-qualifications and skills programmes. Why look the other way? Inseta's belligerence now means that students without proof of their qualifications risk losing their livelihoods. Is that how we look after learners? ‘Disclaimer - The views expressed here are not necessarily those of the BEE CHAMBER’. https://www.iol.co.za/news/politics/inseta-belligerence-imperils-youth-job-opportunities-ef84ab35-61fa-4cd7-a44b-5e37ebbf5e96
- ANNUAL SUBMISSIONS | WORKPLACE SKILLS PLANS & ANNUAL TRAINING REPORTS
For most SETAs, the deadline for submitting Workplace Skills Plans (WSPs) and Annual Training Reports (ATRs) is 30th April 2024. Where organisations must submit these reports to their relevant SETA, they should obtain points under the Skills Development element. As Skills Development is an identified Priority Element, not submitting an ATR and WSP could trigger the Discounting Principle, which will impact an organisation’s overall score. The information contained in the WSP and ATR must coincide with the data submitted to an organisation's B-BBEE Rating Agency at the time of their B-BBEE Verification. Both the WSP and ATR are strategically designed documents that systematically identify any skills gaps, which align with the government's overall Skills Development Strategy. Both intend to track development, plot succession plans, and monitor the overall progress of organisations against set targets. Skills Development Services are available for any queries or challenges regarding submissions.
- EMPLOYEE BURSAR SALARY RECOGNITION
An organisation may not claim the salary for an Employee Bursar as part of its Bursary Programme. However, as per 2.1.1.2 of Statement 300 of the Amended General B-BBEE Codes of Good Practice , an organisation may claim a Stipend for an unemployed Bursar. 2.1.1.2 refers: “Skills Development Expenditure on bursaries for ‘Black’ Students at Higher Education Institutions”. Furthermore, clause 5.5 states: “Salaries or wages paid to an employee participating as a learner in any Learning Programme constitute Skills Development Expenditure if the Learning Programme is a Learnership, Internship and Apprenticeship (Category B, C and D) of the Learning Programme Matrix or a stipend linked to a bursary programme in terms of paragraph 2.1.1.2.” Historically, this principle results in organisations giving preference to unemployed Bursars, where they can claim a higher overall cost. Members need to consider the return on investment as well as the B-BBEE points when developing their bursary strategy. Additionally, members must ascertain whether bursaries fall into their Employee Value Proposition (EVP) and their Training Plan before being driven blindly by the B-BBEE points in isolation. Skills Development Services are on hand to guide members in making expenditure claims.