HomeHome SearchSearch MenuMenu Our productsOur products

The importance of skills development in the new BBBEE codes - and how to score well in this element...

by , 21 July 2015
The new BBBEE codes came into play on 1 May 2015. They introduce the concept of 'priority elements'. They include ownerships, skills development, and supplier and enterprise development.

In simple terms: You need to get above 40% in these elements. If you don't your rating will drop a level.

You'll also drop a level if less than 10% ownership is black. This drop is automatic. So if you want to get a good rating, you need to concentrate on these priority elements. And, in particular, skills development! A good rating is a 7 or 8.

Read on for some handy tips on how to achieve this...

The relevance of skills development in context of new BBBEE codes

The amended codes are in play already. A business's 2016 (or sooner) rating will be based on the current financial year it's in. For example, if your business has a financial year from 1 March to 28 February, the codes would've already been in effect for the month of March 2015.
The amended codes put a lot of  emphasis on assisting hard skills to black employees and black unemployed persons. The result is that little weight (maximum 15%) goes to soft skills (such as customer service, fire fighting, etc.).
***Best seller***

The ONE checklist that'll show you if you're complying with all 26 changes to the Employment Equity Act...
There are still many businesses that don't know exactly what the 26 amendments are or even how to apply them.
But, if you employ more than 50 people or if your turnover is over the Employment Equity Act threshold for your industry, you need to comply with each and every one of them.
Find out how here...

How to score well in skills development

Want your business to score well in the skills development element? Here are some helpful tips…
  • Give serious consideration to the scarce and critical skills facing your business. Report them to your SETA as part of the WSP.
  • Make provision for learnerships, apprenticeships and internships. Make provision for the utilisation of black people in these programmes.
  • Set out a timetable for training. Measure progress on a monthly basis.
  • Utilise the services of black people with disabilities. Provide them with training.
  • Keep proper, up-to-date records of employee information.
  • Retain the people that were in learnerships wherever possible.
  • Try and marry internal training to an existing accredited training programme.
  • Incorporate skills development as part of your wider BBBEE plan. Monitor progress every month.

Related articles

Related articles

Related Products

Recommended for You 

  Quick Tax Solutions for Busy Taxpayers – 35 tax answers at a glance

Here are all the most interesting, thought-provoking and common tax questions
asked by our subscribers over the last tax year – everything from A to Z!

To download Quick Tax Solutions for Busy Taxpayers – 35 tax answers at a glance click here now >>>
  Employees always sick? How to stop it today

Make sure you develop a leave policy to regulate sick leave in your company.

BONUS! You'll find an example of the leave policy and procedure in this report.

To download Employees always sick? How to stop it today click here now >>>
  Absenteeism: Little known ways to reduce absenteeism

This FREE e-report will tell you how you can reduce absenteeism in your workplace while avoiding the CCMA and without infringing your employees' labour rights.

To download Absenteeism: Little known ways to reduce absenteeism click here now >>>
  7 Health & safety strategies to save you thousands

Don't let a health and safety incident cost you one more cent. Implement these seven
strategies in your company today.

To download 7 Health & safety strategies to save you thousands click here now >>>