On 29 March 2018, the Minister of Trade and Industry issued for a 60 days public commentary process the Reviewed Statement 000 and 300 of 2018 in terms of section 9 (5) of the Broad-Based Black Economic Empowerment Amendment (B-BBEE) Act 53 of 2003 as amended by Act 46 0f 2013.
the dti is inviting members of the public to participate in a public commentary process on the proposed amendments to the B-BBEE Codes of Good Practice on or before 29 May 2018. The proposed amendments aim to promote innovative ways to increase the participation of black South Africans and in particular black youth in the economy. Key to these amendments is the Youth Employment Service (Y.E.S) initiative and the introduction of a ring-fenced Point indicator on the skills development Scorecard for 2.5% spend target on Bursaries for Black Students attending Higher Education Institutions.
The Youth Employment Service (Y.E.S) initiative was one of the initiatives presented in the 2018 State of the Nation Address by President Cyril Ramaphosa. The Y.E.S initiate aims to improve the grim employment outlook for young work seekers by offering work opportunities and therefore inclusion in the economy.
The introduction of the ring-fenced 2.5% target for “Skills Development Expenditure on Bursaries for Black Students at Higher Education Institutions” is critical intervention to enable the raising of funds for the education of needy and deserving black youth.
Both the above highlighted changes are critical policy revisions that are deliberately targeting youth empowerment initiatives through work opportunities and critical skills development.
Preliminary comments received since the Gazette on 29 March 2018, are indicating concerns regarding the proposed qualification criteria “18.104.22.168” which requires entities to score full points on the 2.5% target for “Skills Development Expenditure on Bursaries” in order to qualify for the Y.E.S BEE recognition.
the dti views the participation in Y.E.S to be in line with the objectives of B-BBEE policy and has keen interest that there be maximum impact resulting in empowerment of young South Africans. In order to create certainty and ensure rapid take up in the Y.E.S, has considered to delink the Y.E.S and the Bursary target of 2.5%. This means that the Bursary contributions will not be a precondition to obtain BEE recognition as a Y.E.S participating entity.
The public is encouraged to give input and comments as the process of public comments is still underway and will close on 29 May 2018. Inputs and comments should be submitted Mr Jacques Manus via email: JManus@thedti.gov.za
Furthermore, the dti will be hosting Advocacy sessions on the Reviewed Statements of 2018 during the month of May 2018.
Click the link to access gazette