The Department of Trade and Industry (DTI) is inviting the public to participate in a public commentary process
on a proposed amendment to the Broad-Based Black Economic Empowerment (BBBEE) Codes of Good Practice on or before May 29.
The proposed amendments aim to promote innovative ways to increase the participation of black South Africans and particularly black youths in the economy.Key to these amendments are the Youth Employment Service(Yes) that was launched last month and the introduction of a ring-fenced point indicator on the skills development scorecard for a 2.5% spend target on bursaries for black students that are attending higher educational institutions.
The Yes initiative was one of the initiatives presented in President Cyril Ramaphosa’s 2018 State of the Nation Address, which aims to improve the grim employment outlook for young work seekers by offering paid work experience and, therefore, inclusion in the economy.The introduction of a ring-fenced 2.5% target for skills development expenditure on bursaries for black students at higher educational institutions is a critical intervention to enable the raising of funds for the education of needy and deserving black youth.
Both these initiatives are critical policy revisions that are deliberately targeting youth empowerment through work opportunities and critical skills development.The DTI views the participation in Yes to be in line with the objectives of BBBEE policy and has a keen interest that there be maximum impact resulting in the empowerment of young South Africans.To create certainty and ensure rapid take up in Yes, the DTI has considered to delink the Yes and the 2.5% bursary target, meaning that the bursary contributions will not be a precondition to obtain black economic empowerment recognition as a Yes participating entity.