Cape Town – Black people are still used as tokens in companies in South Africa that have not transformed adequately, said Zodwa Ntuli of the Broad-based Black Economic Empowerment (BBBEE) Commission.
In a submission to Parliament during public hearings on financial sector transformation, Ntuli said the commission’s role is to make sure BEE legislation is being implemented. She said all charter sector codes in various industries need to be aligned with the BEE legislation that was amended in October 2015.
“There’s a trumping provision in the legislation, which means if there is legislation that is not aligned with the latest BBB-EE codes as set out in the latest legislation, then the new BBB-EE legislation prevails.”
Ntuli was highly critical of the notion of “once empowered, always empowered” – a matter that has been fiercely debated among business and government.
“Although ‘once empowered, always empowered’ has been accepted in the past, it’s not a good principle. It shouldn’t be allowed, because it regresses the country and creates confusion in the market.”
Ntuli said the Financial Sector Charter code is in dire need of being updated. “We must have a deadline as to when this will happen.”
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