BBBEE

Broad Based Black Economic Empowerment

Consulmet (Pty) Limited has not fared positively under the gazetted HDSA (Historically Disadvantaged South Africans) legislation, purely because of the scorecard’s limitations. However, the new BBBEE (Broad Based Black Economic Empowerment) legislation that has been submitted to Government is far more forgiving, particularly to small companies like Consulmet whose core value is lodged in a particular technical field of expertise

Consulmet’s BBBEE scorecard is listed below with its comments in response plus its opinionated rating:

DIRECT EMPOWERMENT

Equity Ownership:

There is no percentage equity ownership by historically disadvantaged people at this stage. We refer to our Management Statement Policy showing the Consulmet vision to employ, grow and nurture historically disadvantaged students and novices in the process engineering and other technical fields to management and ownership level. Because of the nature of the company’s expertise, there is no percentage equity ownership by women, or historically disadvantaged women. At this point no percentage of equity is held by disabled people. Rating = 0%

HUMAN RESOURCE DEVELOPMENT

Staff:

Approximately half of the skilled staff is HDSA and of that percentage women form about one third. Consulmet has not had occasion to employ disabled persons but has no objection whatsoever to employing this category of person. An allocation of at least 1% of turnover for skills development expenditure is made each year, although the necessity for training may override this budget. Employment Equity Rating = 10%

Financials:

As mentioned above, Consulmet (Pty) Limited is a medium enterprise and the staff complement has only increased in size over the last couple of years. Policies and procedures are still in the process of being established but claims for skills development have been made. Reporting to the Mining and Minerals SETA took place this financial year. Skills Development Rating = 5%

Annual turnover is: R180 million

Consulmet employs thirty-three people at its South African branch.

INDIRECT EMPOWERMENT

Preferential Procurement:

Consulmet has a preferential procurement policy with BBBEE companies where possible. As we operate in a field where there are many niche technologies, this option is often limited. Rating = 5%

Enterprise Development:

We must admit that it is difficult to confirm a percentage of turnover outsourced to BBBEE companies that result in substantive skills transfers (joint ventures). However, Consulmet is keen to participate in joint ventures with local companies. This is encouraged at management level and attempts to source such companies are currently being made. Rating = 5%

Local Content and Manufacturing:

Very little procurement or manufacturing is done outside of the borders of South Africa.

Employment Equity Plan:

Because of the size of the company an employment equity plan has not been lodged with the Department of Labour. Our Human Resources Director is in the process of drafting the necessary policies required for the business.

Environmental Policy:

Consulmet has an environmental policy in place.

Corporate Social Responsibility Plan:

Once again, due to the size of the business, Consulmet does not have a corporate social responsibility plan in place. Rather, Consulmet has the welfare of all of its employees at heart and they are rewarded appropriately for their commitment and diligence in the workplace. Should the company grow to a size where such a plan is required, one will be established.

Overall Rating = 35%