Comments for B E E Scorecard BEE Rating BBBEE Compliance Black Empowerment

Comment on Measurement Period vs Measurement Date by JTM

JTM — Mon, 18 Feb 2013 07:24:55 +0000

I need clarification as this is the scenario…
Our company had a BBBEE certificate which was valid from November 2011 until November 2012. We applied for a new verification in November 2012. The financials which are used is the financials ending Feb 2012. Within that financial period we contributed 1.2% of Net Profit to SED as we were required according to the BBBEE Codes that was valid on the last day of the period to contribute 1.0% of Net Profit to SED. The ICT codes only can into effect in June 2012. We are now penalized for not achieving the 1.5% contribution towards SED for the period ending Feb 2012 ? This does not make any sense. If I compare it with a athlete which needs to qualify for the Olympics by running the 400m in 38 seconds before Feb 2012. Then he runs a 37.5 but in June 2012 he is told that the qualifying criteria have now been changed and he should have achieved 37 sec. and therefor can no longer run at the Olympics? Hasn’t any other companies/persons queried this?

Comment on Comments on BEE Advisory meeting held on 20 September 2012 – Narrow-Based BEE makes an unwelcome return by Keith

Keith — Wed, 03 Oct 2012 14:20:47 +0000

It now does look as if the dti has dropped this from the revised draft BEE codes. It only affects EMEs, not QSEs.

Comment on ED Re-visited by Allan Holmes

Allan Holmes — Fri, 21 Sep 2012 10:36:43 +0000

EconoBEE’s comments unhelpful and not well thought through.

I don’t agree with EconoBEE’s promotion of the proposed change to ED in the BEE scorecard, that will force companies to spend their ED on their suppliers.

This will eliminate a large number of excellent ED initiatives happening across our country. We work with a number of entrepreneurs providing them with training, working capital, operational space and mentoring.

If these changes take place we will not be able to carry on with this.

Use SED some may say – NO!!! There is enough need in other sectors (HIV/ AIDS, Education, Human Rights, Poverty alleviation – to name but a few).

By taking away the current ED funding channels for ED beneficiaries we will be abandoning the entrepreneurs we work with. The micro business economy is a vital component to the economy – particularly third world economies.

ED in its current form should stay – even be expanded to fast track the development of micro business.

ED for startups and micro businesses is working well!!!

Please EconoBEE, Government and DTI – come to your senses !!!

Comment on The Construction Charter by Peter Newmarch

Peter Newmarch — Tue, 22 May 2012 17:57:18 +0000

Land Surveyors do not fall under the construction sector code. Land Surveyors have nothing to do with the built environment council and have had no input into the construction sector codes in any way. Land Surveyors operate under their own council. I agree that if more than 50% of a Land Surveyors buisness is in construction related matters, then the wording of the charter is correct. But the reality is that most land surveyors dont do anywhere near 50% construction work. My land survey buisness is more like 80% in the legal sector buisness. The land Survey industry because of its diversity ranging from legal, accounting, natural sciences, construction, mining, marine etc… fields of practice needs to essentially have its own sector codes. BEE agencies have little understanding about what people do – if a doctor serviced the construction sector by more than 50% of his buisness – would they give him a BEE rating under the construction sector – I doubt it and land surveyors are the same – to say so otherwise shows that one has no clue as to what land surveyors do. I last did anything relating to construction about 10 years ago !

Comment on Blacks But Non-Blacks!! by Keith

Keith — Thu, 06 Jan 2011 08:26:16 +0000

The Codes of good practice are available on our web site http://www.econobee.co.za

Look in the downloads section. The definition you want is contained in the definitions at the end of the codes.

I can also email it to you if you wish. Drop me an email to keith@econobee.co.za

Comment on Blacks But Non-Blacks!! by mufika

mufika — Wed, 05 Jan 2011 05:27:11 +0000

I’m a black person that could have acquired my citizenship prior to 1994. Where can I get a copy of the Codes of Good Practice with the definition mentioned on this blob and secondly where can I get guidelines on proving that I could get have became a naturalised South African.

Comment on A Julius Dilemma by Keith

Keith — Thu, 04 Mar 2010 09:19:31 +0000

Richard, what you say is absolutely untrue! (Please read the rest of this response before replying) You did not lose your business to BEE, and your lack of job has nothing to do with BEE.
The people you dealt with chose NOT to embrace BEE. They called it BEE, and you fell for their trap by believing that it was BEE. BEE – broad-based black economic empowerment is very different to your situation. You do not, and never did need a “BEE partner” to become BEE compliant. That you fell for it is terribly sad – considering that we have spent the last 5 years educating South Africans on what BEE is and what it is not. Most people see I support BEE and stop reading further, without ever knowing that BEE is about the seven elements, that “proper” BEE is about doing lots of good things, about getting more business.
Richard, I have to question why you even considered “BEE partners”, especially since you were obviously a QSE. I’d like to know who told you that you had to have a “BEE partner”. You could have reached level 1 without any ownership changing hands!
If your customers were private enterprise companies then their insistence was on a BEE scorecard, not a partner. They would have been incredibly happy with a level 1 scorecard from you. It would have been at negligible cost and very rewarding to you.

Comment on A Julius Dilemma by benbreda

benbreda — Wed, 03 Mar 2010 08:16:54 +0000

It would seem that that many organisations (which can be considered as state organisations i.e trade unions) have vested interest by virtue of their shareholding(presumably bought with their pension funds) in companies. Surely they will ensure that any state contract that they are involved in will be channeled to “their company” Heard not so long ago ‘if you give us a bigger shareholding in your company we can help with the big government contracts”? Where does one’s loyalty lie?

Comment on Codes of good practice Interpretations by henryh

henryh — Tue, 02 Mar 2010 21:14:05 +0000

Dear Keith

RE: ED SPEND COMMENCEMENT DATE

I find this article most interesting (and disturbing).

My interpretation (based purely on my understanding of English, and I am English speaking) is that the commencement date is Feb 2007, and that measured entitites could choose an earlier ‘commencement’ date if they had been spending on ED in earlier years. They are permnitted to go back to a maximum of 5 years.

Also should a measured entity choose to commence it’s scorecard say in 2010, then the x% of NP after tax is applied to the years 2008, 2009 and 2010 to achive a maximuim ED score.

e.g. in your example the targets were R300 R500 and R250, and if the measured entity only started in 2010, then the total of R1050 must be spent to earn the full ED Score – 15 for generic scorecard and 25 for QSE Scorecard. If say the spend was only made for the 1st two years a total of R800, then the score earned for ED would be R800/R1050 % X 15 or 25.

I’m believe that SANAS approves/audits Verification Agencies to be able to practice, so surely the interpretation of the Codes is known by SANAS. If this is in fact the case, surely if there is confusion, in the final analysis one must look to SANAS for the intepretation.

Kind regards

Henry Harkcom

Comment on A Julius Dilemma by Richard

Richard — Tue, 02 Mar 2010 16:48:27 +0000

Hi – I am a white 59 year old who was not able to find work due to my race and age. 10 years ago I started a small business procuring promo itema & corporate gifts. I built up a sustainable income working from home – nothing earth shattering – just comfortable in middle class suburb with average type vehicle. The reason I HATE tendertrepeneurs is that they have cost me my business as all the hard work in craeting a small client base was shattered with sponsors of my client base insisting on BEE sourcing. Firstly some so called BEE “partners” insisted on large remuneration deals to come aboard. Secondly, when the deals went to BEE suppliers they ended up paying over 50% more than what I quoted on all the items. One item alone was R 12 000 more !! So sad as in the end there was less to go around to the end beneficiaries (education in the townships).