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Broad-Based Black Economic Empowerment Act, 2003 (Act No. 53 of 2003)

Industry Charters

Construction Sector Charter

Code Series 2400 : Measurement of Skills Development Element of Broad-Based Black Economic Empowerment

Statement 2400 : The General Principle for Measuring Skills Development

 

1)        The Skills Development Scorecard

 

Category

Skills Development Element

Weighting

Points

Compliance

Target

Contractors

BEP

1.1

Skills Development Expenditure on any program specified in the Learning Programmes Matrix (Code 400, P57)

 

1.1.1

Skills Development Expenditure on all employees as a percentage of Leviable Amount

2

2.5

1.5%

1.1.2

The portion of Skills Development Expenditure, spent on Black employees, as a percentage of Skills Development Expenditure on all employees using the Adjusted Recognition for Gender

3

4

70%

1.1.3

The portion of Skills Development Expenditure, spent on Black Employees in all Management Categories, as a percentage of the portion of Skills Development Expenditure spent on Black Employees, using the Adjusted Recognition for Gender (see paragraph 1.b)

1.5

2

25%

1.2

Learnerships

 

1.2.1

Number of Learners participating in Learnerships or Category B, C and D programmes as a percentage of total employees (See paragraph 1.c)

1

1.5

2.5% Contractors

1.5% BEP'S

1.2.2

Black Learnership and/or Black Category B, C and D programme participants as a percentage of total Learnerships and Category B, C and D programme participants using the Adjusted Recognition for Gender

2.5

3.5

70%

1.2.3

Black People with disabilities participating in Learnerships and/or Category B, C and D programmes as a percentage of Black Learnerships and Black Category B, C and D programme participants using the Adjusted Recognition for Gender. This item only applies to office based employees (See paragraph 1.d)

1

1.5

5%

1.3

Bursaries

 

1.3.1

Scholarship and/or Bursary Expenditure on Black Students, as a percentage of Leviable Amount

2

2.5

0.3%

1.4

Mentorship

 

1.4.1

Implementation of an approved and verified mentorship programme (paragraph 3)

2

2.5

Yes to all criteria in paragraph 3

 

 

1)        Notes on Calculations

 

a) The Adjusted Recognition for Gender in Annexe 400(B), Code 400 will be applied as follows in Code 2400 (The reference to the letters remains the same as in Annexe 400(B), P58):
i) 1.1.2 A=B/1.2+C
ii) 1.1.3 A=B/1.71+C
iii) 1.2.2 and 1.2.3 A=B/1.29+C
b) S= D/E * W (Calculation for 1.1.3)
i) S = The score applicable to this indicator. Black Management includes all levels of management.
ii) D = [(The portion of Skills Development Expenditure spent on Black Management divided by the portion of Skills Development Expenditure spent on Black People) /1.71] + (The portion of Skills Development Expenditure spent on Black Female Management divided by the portion of Skills Development Expenditure spent on Black People). Multiply the result of the calculation with 100 to express in a percentage format.
iii) E = The target for this indicator (25%).
iv) W = The weight of this indicator.
c) Total employees for the purpose of the calculation in paragraph 1.2.1 refer to the average number of employees over the measurement period. It does not refer to the total number at a particular point during the measurement period.
d) V=Y/Z * X (Calculation for 1.2.3)
i) V=The score applicable to this indicator.
ii) Y=[(The number of Black People with disabilities participating in learnerships and/or Category B, C and D programmes divided by the number of Black learnerships and Black Category B, C and D programme participants that form part of or will form part of office based staff)/1.29]+ (The number of Black Females with disabilities participating in learnerships and/or Category B, C and D programmes divided by the number of Black learnerships and Black Category B, C and D programme participants that form part of or will form part of office based staff). Multiply the result of the calculation with 100 to express in a percentage format.
iii) Z= The target for this indicator (5%).
iv) X= The weight of this indicator.
e) Calculations only relate to employees of the measured entity with the exception of the provision of 1.f.
f) Bursary related costs that can be included are limited to students that are currently employed or contractually obliged to work for the Measured Entity in the future. Furthermore this indicator will be subject to the same provision contained in paragraph 3.2, Code 400, P 55.
g) The review of targets related to Learnerships as indicated in paragraph 5.4.4 in the Section 12 Construction Transformation Charter will take place three years after the commencement date of this Statement.
h) An expansion is applicable to the definition of Learnerships, which will include category A of the DTI Learning Program Matrix with regards to the BEP's only with reference to paragraph 1.2.1, 1.2.2 and 1.2.3 (under Code 2400). This will include but is not limited to engineers, architects, quantity surveyors and CAD draughtsman.

 

2)        Code 400

 

a) Code 2400 shall adhere to all other principles, definitions and measurement methodologies contained in Code 400, Annexes and related Statements as been published in the Government Gazette no. 29617 and where there are any conflicts, the requirements of code 2400 shall take precedence over Code 400 as published in the Government Gazette No 29617.

 

3)        Mentorship

 

a) Measurement of Mentoring
i) Compare the company mentor program with the provided list of criteria. If the program complies with the list of requirements below, it will qualify for recognition in the score card.
ii) The verification agent will evaluate the portfolio of evidence for the proteges against the list provided.
iii) The verification agent will randomly select a few protégés to interview to determine the effectiveness of the program.
iv) The verification agent will then sign off that the mentor program is compliant.
b) The following criteria constitute a mentor program and must be present in the Measured Entity:
i) Each company must have one person in the company who is responsible and accountable for mentoring, called the mentor champion. In a larger company, this may be the chairman of a committee set up to manage a mentor program.
ii) Other criteria for the program include the following:
1. The objectives and desired outcomes of the program
2. The structure of the program
3. The resources required and how they will be allocated
4. Methods on how the protégés and mentors will be selected and matched
5. The training for the mentors and protégés on their responsibilities toward the mentor relationship, which may include communication skills and conflict handling
6. The training necessary to support the mentoring
7. The time frames for the implementation of the program.
iii) General portfolio of evidence to include the following:
1. Monthly report to mentor champion on overall program (Internal progress review)
2. CV of mentor champion
3. Minutes of mentor committee meetings
4. Plan of mentor program as indicated above.
iv) Individual portfolio of evidence for each protégé to include the following:
1. Minutes of meetings between protégés and their mentors including details of time, location and duration of meetings, topics discussed advice and guidance given and progress review on required development outcomes.
2. Any training provided to support protégé development.
3. Attendance at mentor and protégé training for the program.
4. Individual development plan.
5. Development interventions.
6. Quarterly report on protege benefits from mentor relationship.
7. Individual progress review on a quarterly basis against individual development plan.
8. Activities undertaken by the protégé including which departments the protege worked in, details of job assignments and details of activities undertaken.