In addition to the big ticket amendments presented at PMI’s recent workshops on the Amended BBBEE Codes workshops held in Durban, Port Elizabeth, Cape Town and Johannesburg earlier this month, there have been further updates that are worth noting.
The ‘Revised Notice of Clarification’ was released by the DTI in the Government Gazette 38799 - 15 May 2015. It includes important clarification on what qualifies a business as an ‘Empowering Supplier’, such as:
There are now 5 options of which at least 3 have to be complied with by ‘Generic Enterprises’ in order to achieve the status of ‘Empowering Supplier’. An additional 5th option has been added and is geared toward service businesses and requires that 85% of wages be paid to SA citizens.
Businesses that have been verified prior to 1 May 2015 are automatically deemed to be ‘Empowering Suppliers’.
Businesses that qualify as Exempt Micro Enterprises or Newly Established Enterprises automatically qualify as ‘Empowering Suppliers’.
Other subsequent amendments include:
Employee Share Schemes and other Broad-based Schemes still contribute fully to all the ownership sub-elements.
Sector Codes remain of application until end the end of October 2015, by when they must be aligned with the amended codes or be repealed by the DTI.
With the constant and complex changes to this critical legislation, it is becoming increasingly important for businesses to understand and engage in actions that will enable them to obtain the maximum BBBEE scorecard points possible, in ways that will positively impact on their business productivity and performance.
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Or Click here to view the Government Gazettes referred to in this article.