If blacks make up 80% of the South African population, then expectedly, they should be in control of 80% of the economy, land and social culture.
Black people were robbed of their land by colonialism, in the process also losing their heritage and economic prosperity. Twenty years after democracy and reconciliation, Black people in the majority remain poor and marginalized.
The White Supremacist System feeds from disadvantaged Black labour and consumerism, but does not adequately reinvest into Black upliftment and empowerment. This system, tagged to a senseless racism towards Black Africans, What have whites done for this country?
Herman Mashaba, the DA’s newly announced mayoral candidate for the City of Johannesburg, wants all racially based policies, such as broad-based black economic empowerment (BBBEE), scrapped. And if he were to hold the reins of power, he would immediately instruct Parliament to remove all laws that classified anyone a black person.
These plans have cast the spotlight on DA policy, which, until the eve of the 2014 general elections, struggled to reconcile a nonracial philosophy with a commitment to BEE. In a bid to explain its position during the lead-up to the 2014 election, the DA published a document in which it vowed to expand BEE legislation to make it more broad-based and prevent an already enriched elite from benefiting further.
Democratic Alliance (DA) leader Mmusi Maimane says a strong education system and economy is the only solution to the country's high unemployment rate. Maimane was speaking with informal traders at Njoli taxi rank at KwaZakhele in Port Elizabeth as part of the DA's drive to address the growing unemployment in the Nelson Mandela Metro.
He says government should invest in small businesses as they contribute significantly to the economy. Maimane met with informal traders from those selling fast foods to salon owners in one of the busiest taxi ranks in Port Elizabeth.He was accompanied by the DA mayoral candidate in Nelson Mandela Bay, Athol Trollip. Maimane says unemployment is becoming a problem in the country especially amongst the youth. He says small businesses need support as they contribute to the economy.
Revenue for the year was up by 1 percent at R62.7 billion
Barloworld on Tuesday released a “resilient” set of results for the year to the end of September 2015, saying it had increased its dividend by 8 percent in the year during which it had closed out its broad-based black economic empowerment transaction (B-BBEE) transaction.
A statement from the distributor of international brands that provide integrated rental, fleet management, product support and logistics solutions said the dividend for the year was 345 cents per share, 8 percent more than the 320 cents paid out the year before.
Barloworld said revenue for the year was up by 1 percent at R62.7 billion, mainly due to increased revenues in Automotive and Logistics, offset by reduced revenue in Equipment southern Africa, Equipment Russia and Iberia.
The industrial brand management company that was founded in South Africa said operating profit (before the R251 million charge in respect of the close-out of the 2008 broad-based black economic empowerment transaction) of just under R4 billion was 4 percent ahead of the prior year.
The Preferential Procurement Policy Framework Act has stirred up a hornet’s nest among transformation lobbyists, who have called for it to be scrapped. Instead, they say the state’s broad-based black economic empowerment (B-BBEE) trumping clause should be enforced.
Jimmy Manyi, president of the Progressive Professionals Forum, has called for the procurement act to be repealed, saying it gives too much weight to price instead of black empowerment. "It’s out of sync with the generic codes. But I’m not hearing what the (newly formed BEE) commission is going to do (about this discrepancy)."
The implications of the procurement act were "so vast that, if you were to deal with it through this trumping provision, most of the problems BEE companies (face) would be solved," said Mr Manyi.
The trumping clause states that, in the event of any conflict, the BEE act will take precedence over any other law that was in force prior to the date of the commencement of the act. Specifically, this relates to all other instruments of BEE, such as codes of good practice and sectoral charters. BEE lobbyists have backed the clause, saying it would help speed up lagging transformation. However, Mr Manyi said: "The Department of Trade and Industry is paying lip service to the trumping provision."
The first woman to own an aviation service is Sibongile Sambo, who is the founder and managing director of SRS Aviation – the first 100% black female owned aviation company that offers clients professional and personalized flight options to destinations around the world.
According to about.com, Siza Mzimela, founder and CEO of Fly Blue Crane, a start-up South African airline that began taking flights September 2015, with O.R. Tambo International Airport in Jozi as the airline’s operational hub.
The start-up has thus far been operating as an airline that offers low cost domestic routes within South Africa.
According to About.com, Mzimela has been vocal about eventually expanding her business to have more regional scope: “We hope to expand our flight destinations to Botswana, Namibia, Zimbabwe and the Democratic Republic of Congo. We currently have two 50-seat ERJ 145s. The airline will aim to keep its current rates in order to make flying affordable for both business and leisure travel.”
Black Economic Empowerment (BEE) should remain policy until the economy is transformed and black people have more ownership.
Chief Executive Officer of the National Empowerment Fund (NEF) Philisiwe Mthethwa says the NEF is an agency of the Department of Trade and Industry and is the only development finance institution exclusively mandated to grow broad-based black economic empowerment.
The NEF's Divisional Executive for Small Medium Enterprises (SMEs) and Rural Development, Setlakalane Molepo says it’s important for the NEF to continue to implement new BEE policies. "From 2003 when the BEE Act was introduced it has always been meant not to benefit few individuals, hence the changes that have been made to make sure that it becomes a broad based black economic empowerment. So, we are making sure that it touches as many people as it can.
Cement producer PPC plans to finalise a new broad-based black economic–empowerment (BBBEE) road map in the coming six months in light of an anticipated five-level drop in its empowerment rating under the South African government’s new scoring system. It also intends unwinding a BBBEE deal struck in 2008, owing to sustainability problems with the arrangement, which has associated debt of around R2.7-billion that would mature before the end of 2016. For 2015, the JSE-listed group retained a level 2 rating under the Department of Trade and Industry’s BBBEE codes of good practice, with level 1 representing the highest ranking that can be secured. But once the certificate expires in December, PPC is likely to fall to level 7 under the revised rating system. Speaking to Engineering News Online following the release of its 2015 results, CEO Darryll Castle admitted that it was “a big drop”. But he argued that PPC was unlikely to be alone in reporting a major decline in its empowerment rating in light of the fact that the new codes make it harder to score points than was the case previously.
More than ever, businesses are paying close attention as to what impact B-BBEE (Broad Based Black Economic Empowerment) would have on their daily operations.
In May this year, government, under Trade and Industry Minister Rob Davies, authorised a number of amendments to the existing B-BBEE codes, with the aim of boosting shareholding amongst black South Africans and the ultimate creation of a new class of black business ownership.
As one of the industry leaders on B-BBEE principles, Grant Thornton will host in one-day workshop on the 19th of November in Port Elizabeth, in order to explain the amendments in greater detail, as well as what is expected from you and your business.
Click here for more information: http://www.grantthornton.co.za/
This aricle was published here, " http://www.rnews.co.za/event/82/grant-thorton-one-day-b-bbee-training-workshop "
Times are tough for many local businesses and they should, understandably, be expected to prioritise on generating profits for shareholders. But, focusing on profits alone and neglecting social responsibility is being short-sighted, says Jolandi Snyders, Marketing Manager at The Hope Factory.
“Indeed a company does have the responsibility to ensure that the business is sustainable in producing sufficient profit to continue to fulfil its purpose and mission,” she says.
“However, the South African landscape is also characterised by poverty, a high unemployment rate and poor education, all of which pose immense challenges to overcome as a nation. The question is frequently asked, ‘who is ultimately responsible to address these social and economic problems?’”
Snyders says that while some believe it’s the government’s responsibility, the reality is that this is an enormous task that cannot be accomplished in a silo format, by any single sector.
“An alternative perspective on the business of business, is that all business leaders, as citizens of our country, have a responsibility and role to play in addressing our Socio-Economic challenges,” she says.
“Each company has a responsibility to strategically consider the ways in which they could contribute and make a positive impact to alleviate poverty, decrease unemployment and improve education.
“This is called a company's corporate social responsibility, a responsibility towards society beyond their normal stakeholders. Implementing an effective corporate social responsibility strategy within your company could go a long way to improving the quality of life for the less advantaged and contributes to our nation's transformation.”
When it comes to Africa, Africans and the African market everything marketing related should be implemented with a blanket approach. This is because Africans aspire to be anything but African, more specifically they yearn to buy into whiteness of western cultures.
In 2016, it's not shocking to young Africans when brands churn out racist campaigns that are conceived from attitudes like the above statement. We share, and alert each other through social media enough to get an apology. But there is something bigger moving against stubborn brands, they are falling apart and they don't know.
No brand is too big to fall
Old losers: The Platinum Group; owners of Hilton Weiner, Aca Joe and Jenni Button were placed under liquidation this year. They cited the influx of global fashion retailers to the local market - including Zara and Cotton On - and local rivals, such as The Foschini Group and Woolworths' Country Road, eroding the relevance of the Platinum Group brands in recent years.
Who is the largest market for these rivals? Correct! Bernie Brookes vowed to bring back the glory days for Edgars. What he forgot is that the glory days were created by a protracted socio-economic system that relied on indebting South Africans through premium pricing on aspirational brands tied to credit. This created massive profits during the "glory days". Times are different now, more choices available to consumers.
Old winners: With the new South Africa and the rise of the a new middle class, Woolworths positioned itself as an aspirational brand to a generation that was for the first experiencing South Africa in a way they never knew was going to be possible. Yes, a generation that bought into the lily whiteness of Woolworths, this was after Woolworths realised that the white South African cannot sustain the business, only Africans can, a whole lot of Africans.
Opinion is divided on the merits of South Africa’s publicly traded broad-based black economic empowerment (BBBEE) share-purchase schemes. The schemes were introduced over the past decade to give previously disadvantaged members of the public the opportunity to invest and trade in the BBBEE shares of big, listed South African companies.
There were only nine publicly traded schemes at the time of writing, as distinct from numerous closed schemes offered by large, listed companies to qualifying staff and BEE partners.
Some say the public schemes are poorly understood by investors and misrepresented by vendors; others say information is hard to come by, or is pitched well over the heads of shareholders with no investment experience. What most people agree, however, is that the concept is a good one: to spread the wealth generated by the stock market to the section of the population who could otherwise not afford to own shares.
Riaz Gardee, a chartered accountant and investment principal at MMI Holdings, says there are about 800 000 direct shareholders in the nine public schemes, holding assets to the value of R20 billion. More than 95 percent of the shareholders are individuals. This transfer of wealth benefits South African society as a whole, he says. In a recent article on a business website, he said BBBEE schemes have “proved to be the most inclusive, broad-based and transparent economic empowerment mechanism used thus far. BBBEE still has a long way to go in achieving its stated objectives, but this is certainly a good start.”
JOHANNESBURG – A Department of Trade and Industry survey has revealed only three percent of South Africa's economy is black-owned.
Further findings in its study reveal that black graduates are three times more likely to be unemployed than their white counterparts, suggesting the problem lies with business, not education, as the formal sector tends to claim.
The Black Management Forum believes publicly shaming companies that are not adhering to BEE requirements, is one of the ways to deal with this problem.
The survey does show that poverty among black South Africans, has declined since 2001, BMF says merely ticking boxes doesn't translate into real change on the ground.
Black Management Forum president, Bonang Mohale, said white people were hesitant to allow black people into management positions.
“We (are) making progress in certain areas but also we going backwards in other areas...White middle managers and senior managers are still not understanding that if they were to open the floodgates to mostly black people and majority females, they will become supervisors, managers, CEOs, group CEOs and run the world," said Mohale.
The BMF is calling on business to change its thinking on transformation – particularly where education is concerned.
The forum has also recommended that the government simplify its policies and further encourage small business development.
This article was published here, " https://www.enca.com/money/only-three-percent-sa-economy-black-owned "
The pending $5.2 billion (R72 billion) fine issued against MTN does not impact the "cordial relations" between South Africa and Nigeria.
This is according to minister in the presidency for planning, monitoring and evaluation, Jeff Radebe, who briefed the media yesterday following Cabinet's fortnightly meeting.
"This issue does not affect the cordial relations between Nigeria and South Africa. It's in compliance with the laws and regulations of Nigeria. That is the context within which we should look at this matter," says Radebe.
He says the South African government is awaiting the outcome of talks between MTN and Nigerian authorities.
"We do hope that the talks between MTN and the Nigerian authorities will bear fruit because we are very desirous that economic relations between Nigeria and South Africa continue from strength to strength," adds Radebe.
MTN got itself into hot water in the West African nation, which is its biggest market, for failing to disconnect over five million customers with unregistered SIM cards. The fine from the Nigerian Communications Commission (NCC) is the equivalent of around one trillion naira, and is made up of a fine of N200 000 for each unregistered subscriber.
Radebe says Cabinet has noted developments in the matter and hopes discussions will result in the speedy resolution of the dispute, to ensure MTN continues its business of investing in the Nigerian economy.