Find out how to strategically implement the amended BBBEE codes at one of PMI’s national 1-day workshops to be held in May - facilitated by John Botha (Adcorp’s Head of Strategy and NEDLAC representative).
The amended BBBEE codes come into effect on 1 May 2015. Many companies are concerned regarding the resultant impact on their BBBEE verification status and the possible increase in the cost of compliance.
Theses are the ‘big ticket’ changes:
- Decrease from seven to five BBBEE scorecard elements.
- Skills development spend requirements up from 3% to 6% of leviable payroll per annum on black staff only.
- Skills development and management control must exactly mirror the national Economically Active Population (EAP) in order to achieve maximum scores.
- If a score of at least 40% of the targeted maximum score in each of the three priority elements (ownership, skills development, and enterprise and supplier development) is not achieved, then the overall verification level dilutes by one level.
- Under preferential procurement, the term ‘empowering supplier’ has been included and most suppliers will not meet the required profile in the short term.
- The scores per verification level have been changed, making the achievement of higher BBBEE verification levels more difficult.
It is therefore more important than ever for businesses to ensure they obtain the maximum points possible by engaging in the elements that can be optimised and strategically aligned to the business, such as skills development which counts for a total of 25 points (including five bonus points).
To assist businesses in the strategic implementation of the amended BBBEE codes John Botha will:
- Give an overview of the BBBEE amendments;
- Identify and analyse the ‘big ticket’ changes;
- Provide guidelines and tools regarding methodology and how to design a meaningful, integrated and sustainable BBBEE strategy and plan;
- Discuss the business response to date as well as emerging trends;
- Review case studies across various sectors and industries that detail successful optimisation of workforce planning, preferential procurement and cross-subsidisation; and
- Facilitate the high level calculation of individual workshop participants’ potential BBBEE scorecards with the use of PMI’s BBBEE scorecard programme within Pathfinder.
What previous workshop delegates had to say
Brandon Gillham, Head of HR at MWEB, says he walked away from the session confident and ready to engage with business leaders and now also have a better understanding of what elements of training can be included when reporting on training spend.
Says Isak Staaks, General Manager: Wool and Mohair at BKB, "“PMI continues to add value to our business as a strategic partner. This has once again been proven through their BBBEE workshop. This workshop allowed us to look at our business as a whole and craft solutions that will positively impact the way we tackle Skills Development and Employment Equity going forward.”
According to Chantal Schoombie, HR Executive at Aramex South Africa, the session gave great insight to the extent that they engaged in further consultation with John Botha and PMI to assist them in national policy and plan development.
