Annual Report 2009
 
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Sustainability report       
 
 

Black economic empowerment (BEE)

The Group believes it has a leading role to play in the ongoing transformation of the South African economy through the participation of black people and black organisations in the Group, and that broad-based community and employee participation in the Group is critical to its future success.

Mvelaphanda Group is addressing the Group’s BEE credentials and initiatives to maximise the BBBEE scorecard points achieved by the Group, including maximising the “bonus points”, in terms of the BEE Codes. Maximising the BBBEE scorecard points is a clear indication of Mvelaphanda Group’s commitment to BEE, and is an important element in securing new business and contracts for Mvelaphanda Group’s subsidiaries and to position Mvelaphanda Group as the BEE partner of choice for companies who wish to conclude BEE investment transactions.

Employment equity

The Group remains committed to the principles and spirit of the Employment Equity Act and firmly endorses the four key areas of employment equity identified by the Employment Equity Act, namely:

  • elimination of discrimination in decision-making;
  • promotion of employee diversity;
  • reduction of barriers to advancement of the disadvantaged; and
  • introduction of measures and procedures for transformation.

All Group subsidiaries are required to maintain up-to-date employment equity plans that include specific goals for training and staff development, with compliance being monitored and reported on regularly. The companies in which the Group holds investments are encouraged to do the same.

Particular emphasis is placed on the identification and accelerated development of previously disadvantaged individuals (“PDIs”) with the potential to rise to management and executive levels. Mvelaphanda Group is proud of its track record in developing and promoting its own employees, including employees from previously disadvantaged backgrounds, to senior positions within the Group. The profile of the Group’s approximately 26 860 employees is represented in the table below:

           
    Black males   Black females   Non-black    
Category     Number   Per-  
centage  
Number   Per-  
centage  
Number   Per-  
centage  
Total  
                 
Board of directors     5   50   2   20   3   30   10  
Executive management     7   22   1   3   25   75   33  
Senior and middle management     355   33   156   14   570   53   1 081  
Skilled employees     671   63   518   28   629   35   1 818  
Semi-skilled employees     11 522   78   2 559   17   799   5   14 880  
Unskilled employees     2 402   27   6 496   72   14   1   9 038  

“Black” means “black” as defined in the BBBEE Act.

Skills development

Having the appropriately skilled people at all levels of our organisation is crucial to the Group’s long-term success, while comprehensive and effective training also supports the fast-tracking of PDI employees up the management ladder.

The majority of Mvelaphanda Group companies and investments offer vocational and specific skills-based training to their staff. This training is essential to maintaining the high quality of service and expertise that has made many of the Group’s operating businesses leaders in their industries.

To facilitate skills training, each of the businesses have established formal structures. These include, amongst others, the operation of in-house training facilities, on-site training programmes, participation in Group and industry training programmes and learnership programmes. Details of the specific training initiatives of the Group’s largest operations (measured by number of employees) are set out below:

Protea Coin Group has its own specialised training facilities to provide training to the security officers employed in these businesses. This training includes the grading of security officers in terms of SIRA regulations, training for the specialist divisions such as the VIP protection unit, canine and equestrian units, the critical situation unit, special investigations unit, asset-in-transit vehicle crews and armed reaction officers.

Mvelaserve Cleaning operates its own dedicated training teams. These teams provide on-site training to cleaners, supervisors and managers on subjects such as the use and operation of cleaning equipment, use of alternative cleaning materials and solvents and specialised cleaning techniques (particularly in the Mediguard division which provides cleaning services to hospitals).

TFMC provides comprehensive training programmes for its employees. These programmes range from competency training for technicians involved in the delivery of services to Telkom and other clients of TFMC, health and safety training for Occupational Health and Safety representatives, as well as functional training in a range of subjects, including computer systems and industrial relations. Adult basic education and life-skills training is also offered to employees. A management development programme, which provides training to middle management on business management techniques for problem-solving, communications, teambuilding, business processes and human behaviour in organisations has also been developed.

RoyalSechaba provided a wide range of training courses for its staff during the current year. These training courses covered a wide range of subjects, including manager and supervisor development, occupational health and safety, customer service, hazard analysis and critical control point procedures (“HACCP”) compliance, and a range of functional training courses specific to their contract catering business such as basic cooking skills, and nutrition and dietary-related courses. In addition, basic life-skills courses as well as HIV/Aids awareness courses are run frequently.

The HIV/Aids challenge

As a large-scale employer, the Group recognises that the HIV/Aids pandemic is likely to have an impact on the Group. Certain of the Group’s businesses are reporting increased levels of staff illness, absenteeism and employee deaths. This has a negative impact on occupational health/safety and employee productivity, employee benefit costs and staff morale.

The Group has accordingly adopted a life-threatening diseases policy aimed at preventing discrimination against HIV-positive employees in the workplace, who will be assisted to remain healthy and productive for as long as possible. This policy lays down universally accepted guidelines regarding HIV testing, confidentiality of medical information and disclosure of HIV status. All employees are briefed on the rights of those suffering from HIV/Aids or other life-threatening diseases, and sufferers of these illnesses are referred to independent medical and counselling service providers when needed.

Environment, health and safety

The Group is committed to achieving high standards of environmental care and to providing a safe and healthy workplace for employees, contractors and other affected persons; to implement accepted safety, occupational health and environmental management systems and complying with all applicable environment, health and safety legislation as a minimum requirement, as well as implementing programmes and processes to achieve greater protection, where appropriate.

Mvelaphanda Group’s businesses and investments operate in a variety of industry sectors, and as such the responsibility for compliance with general and industry-specific environment, health and safety legislation has been devolved to individual Group companies. The Group encourages and supports compliance with all such legislation, which includes the Occupational Health and Safety Act, the Mine Health and Safety Act and the implementation of HACCP.

Training for the appointed Occupational Health and Safety representatives is provided by the individual Group companies. Mvelaphanda Group is not currently actively involved in operating businesses which have responsibility for the direct negative impact on the natural environments in which they operate. These responsibilities are largely retained by the clients of the Group’s operating companies.

   
 
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