Broad-Based Black Economic Empowerment Act, 2003 (Act No. 53 of 2003)

B-BBEE Element

Indicators of Empowerment

Private Sector 5 year target

Private Sector Weightings

Ownership

Exercisable voting rights in hands of black people

25% + 1 Vote

6

Economic Interest of black people in the Enterprise

25%

9

Realisation Points

Ownership fulfilment

1

Net Value

25% graduated over 10 years as per the Codes (Year 5 at 60%)

9

Bonus Points: Involvement in the ownership of the Enterprise by black women

10%

2

Bonus Points: Involvement in the ownership of the Enterprise by black participants in Employee Share Schemes, Co-operatives or Broad Based Ownership Schemes

10%

1

Management Control

Black Representation at Top Management level

50.1%

25

Bonus Points: Black women representation at Top-Management

25%

2

Employment Equity

Black Employees of the Measured Entity who are Management as a % of all Management

40%

7.5

Black Women Employees of the Measured Entity who are management as a % of all Management

20%

7.5

Black employees of the Measured Entity as a percentage of total employees

60%

5

Black women employees of the Measured Entity as a percentage of total employees

30%

5

Bonus points: meeting or exceeding the EAP targets in each category

2

Skills Development

Skills Development spend on learning programmes for Black employees as a percentage of the leviable/payroll

2%

12.5

Skills Development spend on learning programmes for Black Women employees as a percentage of the leviable/payroll

1%

12.5

Preferential Procurement

BEE Procurement Spend from all suppliers based on the B-BBEE Procurement Recognition Levels as a percentage of Total Measured Procurement Spend

50%

25

Enterprise Development Spend

Average annual value of Qualifying Contributions made by the Measured Entity as a percentage of the target

2% NPAT

25

Socio-Economic Development

Average annual value of Qualifying Contributions made by the Measured Entity as a percentage of the target

1% NPAT

25

TOTAL

175