TRANSFORMATION TOO SLOW, WARNS BMF PRESIDENT

BMF on Amended Employment Equity Act

The EE Amendment Act represents a pivotal shift in the legislative landscape, aiming to fast-track the pace of transformation in the workplace by introducing sector-specific targets and empowering the Minister of Employment and Labour to set numerical goals for designated employers. As the Black Management Forum, We support the overarching objective of accelerating transformation; however, we do have concerns with regards to the implementation and practical implications of the published regulations.

We appreciate that sector-specific EE targets seek to ensure representativity and inclusion at all occupational levels across sectors and we believe this is consistent with the spirit and purpose of the Employment Equity (EE) Act, which aims to redress historical imbalances, however, we are of the view that there needs to be meaningful consultation with industry players, trade unions, and civil society to ensure that targets are both ambitious and achievable.

There is a lack of clarity regarding the methodology used to arrive at the numerical targets outlined in the regulations as well as the empirical data, demographic breakdowns, and regional considerations that informed the targets. This opacity undermines stakeholder confidence and opens the process to legal and operational challenges. We, therefore, call on the Department of Employment and Labour to provide a comprehensive technical report that outlines the data modelling used.

We would like to see these regulations as surpass a mere tick-box exercise and lead to genuine transformation but the regulations, as they stand, provide too much room for minimal compliance (to avoid penalties) and fails to foster inclusive workplace cultures, invest in talent development, or address structural barriers to advancement. We urge the Department to couple enforcement with support mechanisms that drive substantive, not just statistical, equity.

We welcome the establishment of sector engagement forums and recommend that these become formalised structures with consultative powers. Further, we propose the introduction of a regular review cycleat least every three yearsto assess progress, recalibrate targets, and ensure ongoing relevance and fairness. Furthermore, the BMF emphasises that employment equity be aligned with broader transformation frameworks, including the B-BBEE Act, the National Development Plan, and sector charters. Siloed implementation risks inefficiency and policy contradiction. We call for an integrated national transformation strategy that harmonises all related regulatory instruments.

As we celebrated 31 years of freedom this year, we looked at the South African landscape, and while there was a lot to be proud of, we were also profoundly disappointed with the slow pace of transformation and the persistent push back from some quarters of society. It is disheartening to see black South Africans continue to bear the burden of poverty and exclusion and there is an apathy about this which is very alarming. The promise of democracy was not only political emancipation but also social inclusion and economic empowerment but the voice of black people continues to be stifled and we remain excluded from the opportunities that would allow us to achieve a better life.

Well, the policies exist but they are not being effectively implemented and there is a resistance from those who have long monopolised capital to comply with policy. So, we need more effective enforcement mechanisms. Our public officials need to be made more accountable. The private sector needs to be equally accountable for not supporting the state’s efforts in job creation, increasing market access and competitiveness, providing opportunities for training and development, and just generally supporting the upward mobility of black South Africans. There also needs to be better coordination in our efforts. Funds need to be properly administered to those who need it in the easiest fashion and there needs to be a re-look at our macro-economic policies as we move from the one-size-fits-all approach of dispensing welfare to creating genuine economic empowerment by growing enterprises and creating more jobs.

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