Draft Construction codes, more complicated than you think |
The draft Construction sector codes were issued on the 28th of October in terms of section 9 (5) of the BEE Act. The draft Construction sector code will now be available for a 60 day commentary period. The commentary period will end at the end of December 2016. Thereafter the minister may gazette as an official sector code. Companies will most likely be implementing the amended Construction sector codes in the next verification in 2017. The draft Construction Sector code has some positive features. It gives some new interpretations, which will help with verification. However the draft codes are a lot more complex than the standard amended codes. Many areas, but especially skills development, and the re-named Procurement and Supplier Development element must be approached from a different viewpoint. Different admin and different strategies will need to be implemented in order to do well on this code. For example, targets for skills development have been dropped to 2% from 6%, but will require a completely different approach. The code uses demographics but at one point refers to the previous codes adjustment for gender! The draft Construction Sector code will require a clear and focused plan to achieve good results. The dti appreciates any comments, but they must be well thought out and relevant to the objectives of the codes. Join us for an informative Half Day session on the 17th of November. We cover the technical details and help you with comments and a submission. We also help you prepare for the likely gazetting of the codes with the strategies you will need to be successful. Construction Sector videos: https://www.youtube.com/watch?v=LKeb0jMQvWo https://www.youtube.com/watch?v=ONnaL_XSJRE Course details Title: Construction sector workshop Date: 17 November 2016 Time: 08h30 for 09h00-13h00 Venue: 435 Rugby Avenue, Ferndale Cost: R1 710 incl VAT Download a booking form and email info@econobee.co.za to secure your seat. Seats are limited. Additional information and a full calendar of all our courses are available on our website. The Amended ICT codes were gazetted on the 7th of November. There is not much difference from the ICT draft codes to the final version, however it is critical for all ICT (Information Communication Technology) companies to be aware of what they need to do for the future. Summary of the scorecard Elements | Generic Scorecard | QSE Scorecard | Ownership | 25 | 25 | Management Control | 23 | 15 | Skills Development | 20 | 25 | Enterprise and Supplier Development – Preferential procurement | 25 | 20 | Supplier Development | 10 | 5 | Enterprise Development | 15 | 5 | Socio Economic Development | 12 | 12 | Total | 130 | 107 |
Although there are more points available for the generic scorecard, the QSE scorecard is much harsher as there are less points available. The revised points to level table for ICT companies will result in more companies achieving a lower level especially for QSE’s. Points to level table B-BBEE Status | Qualification | B-BBEE recognition level | Level One Contributor | >=120 points on the ICT Scorecard | 135% | Level Two Contributor | >=115 points on the ICT Scorecard | 125% | Level Three Contributor | >=110 points on the ICT Scorecard | 110% | Level Four Contributor | >=100 points on the ICT Scorecard | 100% | Level Five Contributor | >=95 points on the ICT Scorecard | 80% | Level Six Contributor | >=90 points on the ICT Scorecard | 60% | Level Seven Contributor | >=75 points on the ICT Scorecard | 50% | Level Eight Contributor | >=55 points on the ICT Scorecard | 10% | Non-Compliant Contributor | <55 points on the ICT Scorecard | 0% |
Even though the empowering supplier criteria have been temporarily suspended, it is important to note that the ICT council has applied their mind to the concept and had introduced 2 additional criteria to make it more possible to be an empowering supplier. EconoBEE is hosting sessions on the recently gazetted final ICT sector code aimed at entities operating in the ICT Sector. The final sector code is required to be followed by all ICT (Information Communication Technology) companies from date of gazette being 7 November 2016. Course Content: We briefly cover the theory of BBBEE, and then go straight into a practical session on how each of the components of the scorecard operates. We explain each pillar and indicator, and make it completely applicable to your business. During our session we will cover the Amended ICT Sector Code in great detail and you will leave with an understanding of the ICT sector code. Breakfast will be served. Course details Title: ICT sector code breakfast Date: 6 December 2016 and 24 January 2017 Time: 08h30 for 09h00-11h00 Venue: 435 Rugby Avenue, Ferndale Cost: R899 incl VAT Download a booking form and email info@econobee.co.za to secure your seat. Seats are limited. Additional information and a full calendar of all our courses are available on our website. Please email info@econohr.co.za or info@econobee.co.za to reserve your seat. Seats are limited. Additional information and a full calendar of all our courses are available on our website. Talk to us today about other solutions to help your business achieve its objectives. Contact us on 011 483 1190 or info@econohr.co.za to find out how we can help you manage your Employment Equity sustainability.
Additional Information: Contact us on info@econobee.co.za or 011 483 1190.
While there is demand for a BBBEE Scorecard someone will be taking advantage, shouldn’t that someone be you…
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