Warning: Focus on meeting employment targets instead of worrying about losing BEE points under BBBEE draft codes!
Under the BBBEE draft codes, you'll need to earn up to 20 extra points to maintain your BEE status. Those who've adopted BEE policies are now focusing on this aspect, doing all they can to add a few points and keep their current BEE level. But you should worry about meeting your EE targets instead...
One of the recent employment equity changes
is that you need to separate numerical targets reporting from numerical goals reporting, in line with legislative requirements.
But businesses seem to have forgotten this, focusing instead on how many points they stand to lose under the BBBEE draft codes of the codes of good practice, published by Trade and Industry Minister Rob Davies in September last year.
That's because an amendment to the revised codes could result in a reduction of companies' empowerment ratings through the introduction of sub-minimum targets for the priority elements, says SmartProcurement.
So companies will now need to earn between 10 and 20 extra points to maintain their BEE status.
But the revisions are intended to reduce the amount of malpractice, with 'companies adopting a tick-box exercise where it is about scoring the maximum points without any qualitative and substantive initiatives,' says The Mail & Guardian Online
Look at whether you're meeting your EE targets instead of focusing on your BEE score!
That's why corporates need to stop asking how the codes affects their score and start trying to increase the number of people who will benefit from their actions, adds The Mail & Guardian Online
One way to do so is to make sure you separate numerical employment targets reporting from numerical goals reporting, in line with legislative requirements, says FSP Business
The only way to prove that your employment targets and numerical goal figures are accurate…
To prove that your figures are accurate, you'll need to keep the previous two years' reports on workplace profiles and numerical EE target reports for small companies, and the previous three years' reports for large companies, says the Labour Bulletin
It's the easiest way to comply with employment equity law ahead of changes to the BBBEE draft code.
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