june 2016 bulletin
DESCRIPTION
ÂTRANSCRIPT
JUNE / JULY 2016
EXPLAINED:
EME BBBEE
VERIFICATION
REQUIREMENTSpg 8
HOW TO GET APRODUCTIVE WORKFORCE
IN SOUTH AFRICApg 22
THE BENEFITS
OF HAVING A
BBBEE CERTIFICATE
pg 13
AN OVERVIEWOF THECCMA RULES
pg 33
30
I N D E XJune / July Issue
17
B-BBEE Verification Agency
Tel:�011�814�2752011�814�2753
Cell:�083�268�5114Fax:�086�513�0744
For�more�informationwww.cenfed.co.za
We want to encouragemembers of the East
Rand Chamber ofCommerce & Industry to
submit any and all material we can publishwithin out next Chamber
Bulletin.
The purpose of theChamber Bulletin is to
give you the opportunityto put your company,your products and orservices into a well
compiled document,being sent out to all ourmembers and newsletter
subscribers.
We also want toencourage members to
make sure that theirwebsites are up to date,
if you have new information, or photos,
send them [email protected] or arrange for acompany representativeto come visit you. He willalso be able to take somephotographs we can use
in both the ChamberBulletin and as updates
within your website.
Make use of the servicesyou have at your
disposal.
If you are unsure whatexactly the extent of theservices are you qualify
for as an ERCOCmember, please let us
know and we will get youup to date.
With 2016 well underway,make sure that you havecovered all the necessaryangles of your companyand that everything is upto date so that you can
run at full speed.
page 8 Explained: EME BBBEE Verification Requirements
page 12 The Importance of BBBEE Accreditation
page 13 The Benefits of having a BBBEE Certificate
page 16 Blogging: Your Best Marketing Asset
page 22 How to get a Productive Workforce in South Africa
page 25 Static vs Responsive and Mobile Websites
page 29
An Overview of the new CCMA Rules
page 34 Die Strandloper: Fourth Edition
page 43 Why you need BBBEE Consulting Services
Business News
page 33
Why you website should be seen as an asset
Business News
CLAIM YOUR ERCOC SUBSIDYTO START YOUR OWN
INBOUND MARKETINGDEPARTMENT
Interest free for 5 yearsThe East Rand Chamber of Commerce and Industry (ERCOC) and their American Inbound Marketing partner HubSpot, has embarked on a job- creation project by subsidising member companies to start their own Inbound or Electronic Marketing Department.
They believe that if a business entity earns more revenue they will obviously have to employ more staff, and due to the fact that the buying process now starts on the internet, it stands to reason that the astute business owners will want to increase their exposure in Cyber space.
Marketing Departments is a luxury that smaller enterprises cannot afford. To employ an Electronic Marketing Consultancy Company, at budgets of in access of R 400,000.00 per annum is in most instances not an option.
This limited offer to 10 membersonly, is as follows
www.chamberlink.co.za
R2688 per month excl. VATfor 24 months
The following services will be performed:1. Target market analysis, creating buyer persona to properly direct marketing efforts. 2. A complete competitor analysis.3. K eyword research to ensure that correct keywords may be used to direct traffic to the newly designed website.4. C urrent website analyses to assist in the development of the new or altered website.5. R esearch and development of prime content (downloadable E-books) offer to be downloaded by website visitors.6. W riting of 4 Blog posts per month with market related content aimed at enhancing the image and expertise of the member in their related field of business.7. D esigning of a landing page to convert visitors into leads when downloading prime content.8. D esign and research Call to action to entice visitors to download prime content offer.9. D evelopment of a fully responsive website, capable to impress visitors.
08 Bulletin Blogswritten by Lindie van der Walt
Broad-Based Black Economic Empowerment policies can be confusing for business owners, especially when words like “certificate” and “verification” are added to the mix. However, the rules and procedures are often not as complicated as they seem – particularly for smaller businesses. In this article, we provide a brief overview of the BBBEE verification requirements for the smallest of companies - Exempt Micro Enterprises, commonly known as EMEs for short.
Businesses in South Africa are classified as EMEs if their annual turnover is under R10 million. The next category up is Qualifying Small Enterprises (QSEs), which have annual revenue of R10 million to R50 million. Both EMEs and QSEs are often family businesses. EMEs receive two primary benefits under BBBEE legislation – the first involving verification procedures, and the second pertaining to revenue generation. BBBEE legislation comprises the BBBEE Act (No. 53 of 2003) and the Codes of Good Practice (last revised in 2015). Under the previous Codes, EMEs had to produce an auditor or accredited accountant's certificate for verification purposes. However, recent revisions have simplified things, and EMEs now only need to provide a sworn affidavit that has been stamped by a Commissioner of Oaths.
The affidavit, samples of which can be freely downloaded online, needs to clearly state the EME's annual turnover, as well as their percentage of black ownership. All EMEs automatically gain Level 4 BBBEE status (there are eight levels, with Level 1 being the highest ranking). If there is 51% black ownership, they are given Level 2 status, while EMEs with 100% black ownership immediately gain Level 1 status. Affidavits are valid for a period of one year, and then need to be re-done.
It is true that BBBEE verification requirements differ for some EMEs. Affidavits are only accepted for EMEs in the general sector. EMEs in some industry sectors, including transport, media, construction, tourism, ICT, finance and property, are required to obtain a BBBEE certificate just like QSEs. This process, while not overly complex, involves more documents and time. For example, financial statements need to be provided. However, it is still worthwhile for the businesses to undergo verification, as it opens up access to a range of benefits.
EMEs experience one of these benefits in the area of supply – they automatically qualify as Empowering Suppliers, and businesses are encouraged to spend 15% of their total measured procurement spend with EMEs. Thus, BBBEE verification creates opportunities for income generation and the establishment of working relationships with larger businesses.
In addition, EMEs may benefit from BBBEE verification in the realm of brand management and marketing. Because BBBEE is aimed at creating progressive social change in South Africa, certified or verified businesses project a good image by being part of it. BBBEE verification can be included in a business's marketing materials.
To complete BBBEE verification or to clarify any issues on the topic, EMEs are encouraged to contact a BBBEE verification agency. Cenfed is one such agency with substantial experience and good reviews.
Keyword: BBBEE Verification Requirements
Explained: EME BBBEEVerification Requirements
In South Africa, Broad-Based Black Economic Empowerment (BBBEE) is a much-discussed topic in the realms of business. The complexities of the legislation mean that BBBEE, sometimes incorrectly called BEE for short, is often misunderstood and a source of confusion and concern. However, it is an integral part of the nation's growth and advancement, and the government is taking an increasingly active approach to encouraging compliance with BBBEE policies. As a result, BBBEE accreditation is important for businesses.
The aims of BBBEE are to promote greater black economic participation, thereby empowering those who were disadvantaged during apartheid and redressing some of the ills of the past. To effect these positive changes in society, BBBEE policy has been codified into legislation. This comprises the BBBEE Act (No. 53 of 2003) and supplementary Codes of Good Practice (last revised in 2015). Compliance is, contrary to popular belief, entirely voluntary.
BBBEE compliance is called verification, certification, or accreditation. The process for BBBEE accreditation varies according to the size of a business and the sector they are in. For the smallest businesses, Exempt Micro Enterprises (EMEs) – which have an annual turnover of under R10 million, accreditation can be very simple. If the business is in the general sector, they require nothing more than a sworn affidavit that has been stamped by a Commisioner of Oaths, in which they declare their turnover and percentage of black ownership. All EMEs automatically gain Level 4 status on the BBBEE rankings (there are eight levels, with Level 1 indicating the highest degree of compliance). If they have 51% black ownership they gain Level 2 status, 100% - Level 1.
For EMEs in certain industry sectors, the BBBEE accreditation process is similar to that of Qualifying Small Enterprises (QSEs) – which have annual revenue of R10 million to R50 million. QSEs need to submit various documents, including financial statements, to obtain a BBBEE certificate.The process is a bit more complex, but well worth it, as BBBEE accreditation opens up a world of benefits.
On a national level, BBBEE accreditation can have a positive impact on society as it supports governmental initiatives for tranformation. On a business level, it can have positive effects on brand awareness and marketing campaigns. It also provides key financial and relationship advantages. These include: being able to take part in tender processes – the higher the BBBEE ranking, the greater the chances of being awarded a tender; being able to conduct business with government (at all levels, including municipal); and being able to participate as a supplier in the chain of preferential procurement.
Businesses with BBBEE accreditation have a competitive edge as they are more likely to be sourced by other businesses looking to spend their BBBEE budget. This has the effect of encouraging other businesses to get certified.
So, as can be seen, for both business and societal reasons, obtaining BBBEE accreditation is very important in South Africa. For advice on the exact accreditation procedures needed for your business, it is advisable to speak to a BBBEE verification agency.
The Importance ofBBBEE
Accreditation
12 Bulletin Blogswritten by Lindie van der Walt
Obtaining a Broad-Based Black Economic Empowerment (BBBEE) certificate for your company may seem like a lot of hard work, tedium and jumping through bureaucratic hoops – but it doesn't have to be. A certificate can give you an edge over competitors and open up a lot of doors for business growth - and it might be easier to acquire than you think.
BBBEE policies are set out in the BBBEE Act (No. 53 of 2003) and reinforced by the Codes of Good Practice (last revised in 2015). Under this legislation, it is not compulsory for a business to obtain a BBBEE certificate – it is an entirely voluntary process. However, a certificate brings with it a lot of benefits – particularly for Qualifying Small Enterprises (QSEs). A QSE is a company that has an annual turnover of between R10 million and R50 million.
One of the biggest benefits of having a BBBEE certificate is being able to conduct business with government sectors (including municipalities) and public entities. A certificate allows a company to tender – and the higher the level of your certificate, the better your chances of winning. There are eight levels of BBBEE compliance, with Level 1 being the highest and most desirable.
Other advantages of having a BBBEE certificate include having a better chance of securing contracts with large companies and big industry names, because they are encouraged to do business with smaller BBBEE-compliant companies. A certificate allows you to participate as a supplier in the lucrative chain of preferential procurement.
A further benefit of having a BBBEE certificate is the impression it gives. A certificate shows that you care and that your business is committed to making a positive difference in socety. Remember that BBBEE policies are focussed on effecting transformation in the business world by empowering greater black economic participation. A BBBEE certificate can be promoted in your business's marketing materials.
BBBEE certificates can be issued by verification agencies that are approved by the South African National Accreditation System or Independent Regulatory Body. Obtaining a certificate may not require special auditing – an affidavit may suffice. For example, a QSE that has 51% black ownership is automatically qualifies for Level 2 BBBEE status. If the ownership is 100% black, this grants Level 1 status.
Exempt Micro Enterprises (EMEs), which need to have annual turnover of less than R10 million, automatically acquire Level 4 status without needing any black ownership. Having black ownership immediately upgrades them to Level 1 status.
BBBEE certificates are valid for one year from the date of issue, and need to be renewed annually. Even though rules and regulations have become stricter with the policy changes that were introduced last year, it is still perfectly feasible to obtain a BBBEE certificate – and with all the benefits that having one brings, there is no good reason not to.
We recommend talking to a BBBEE consultant to help with any questions you may have, as their extensive experience will allow them to provide answers and advice.
13Bulletin Blogswritten by Lindie van der Walt
The Benefits ofHaving a BBBEE Certificate
2016 - CHAMBERLINKNETWORKING BREAKFAST EVENTS
The East Rand Chamber of Commerce & Industry is proud to announce that they have all future business events to Little Paradise Wedding and Conference Venue in Springs, who will be hosting and co-ordinating these events from start to finish including all bookings and correspondence.
The first upcoming business event will be a Chamber Business Breakfast as per the invitation. Business events are crucial as it is not just very informative but allow and encourage members to network amongst each other.
The Chamber’s aim with these business events is to create and maintain a business relationship with member companies as well as to inform members and non-members of the Chambers membership advantages and services. Value adding specialist presentations, informing and tutoring members on important subject matter will be presented at each event.
RSVP direct on-line. Details on method of payment will be sent once RSVP has been received.
NETWORKING BREAKFAST 7 JULY 2016
Please join us for an East Rand Chamber of Commerce Networking Breakfast Event. Allowing Business toNetwork and to Grow
TOPIC: WHAT IS INBOUND MARKETING?
Inbound marketing is a fundamental new way to approach a potential customer. Instead of Cold Calling,Cold emails, Interruptive Ads and being Marketer focused, Inbound focuses more on nurturing yourpotential client with SEO, blogging and attracting new leads, by being Customer Centric.
GUEST SPEAKER: CHAMBERLINK
COME FIND OUT WHAT IT IS ALL ABOUT
At: Little Paradise Venue79 Robertson Street, Petersfield, Springs (See map)
Date: 7 July 2016Time: 07h30 for 08h00 till 10h00
Cost: R100.00 pp
Please confirm booking as soon as possible
Enquiries: [email protected]
RSVP BEFORE - 25 JUNE 2016
“Nerworking is the single most powerful marketing tactic to accelerate and sustain success for anyindividual or organization!” - Adam Small
SCHEDULED DATES
Open to members and Non-Members
BOOKINGS AVAILABLE ON-LINECOST: R100 TIME FOR EVENT: 7H30 - 10H00
7 July 2016
11 August 2016
22 September 2016
6 October 2016
17 November 2016
RSVP On-line Form - Click Here
RSVP On-line Form - Click Here
RSVP On-line Form - Click Here
RSVP On-line Form - Click Here
RSVP On-line Form - Click Here
MAP AND DIRECTIONS
Little Paradise, Wedding and Conference Venue, 79 Robertson St, Petersfield, Springs, Gauteng
These days everyone and everything has a blog – it's an integral part of an online presence. Blogs can be valuable marketing assets for businesses large and small – they are easy to create and maintain, and offer all sorts of benefits. In this article, we take a look at what blogging can do for you, and how you can do blogging, in more detail.
Blogging has evolved from its rudimentary beginnings (when the internet was still in its infancy) as a sort of online journal to become a ubiquitous platform that provides a voice for not only writers, but companies, organisations, products and even cute animals. As a marketing tool, blogging can be one of your greatest assets.
For a start, blogs are great for the SEO of your website. They ensure fresh, regularly updated content – which Google and other search engines love. Each blog can also give you an extra indexed page on your site, increasing your chances of ranking in searches. Within the blogs there are opportunities to highlight key words, further bolstering your SEO strategy. At the end of the day, that is about drawing more traffic to your website – the underlying aim of any inbound marketing tactics.
Visitors will land on your site via your blogs – especially if the content is informative and relevant. While you can, of course, promote your services and products in a hard-sell, direct manner on your blog, many companies find it more effective to take a softer, more indirect approach. This means that they publish blogs which meet visitors' information needs and then work to convert those visitors into leads by offering added extras like free eBooks or other perks. From there, more direct marketing can take place. We often encounter the terms top, middle and bottom of funnel – these refer to the level of “sell” a blog or other text is doing, with top being the broadest and most general. You can think of it as thought leader stuff; material that engages readers and piques their interest – getting them thinking about the services or goods on offer in a roundabout fashion.
Having a blog can lend your company credibility, positioning you as a source of authority in your field. If it is a really good blog, you might even get media practitioners or people looking for experts approaching you for comment and advice. This can mean publicity gains.
Another way in which blogging can be an asset for your business is through generation of content for your social media platforms – every time you post a new blog, you can spread the word through Facebook, Twitter and so on. These posts have a lot more substance, and tend to get better reach and interaction, than generic posts that don't provide a strong link to your website.
Blogging can be done in-house or easily outsourced – many companies offer professional services as part of a marketing package. It tends to be affordable and is a worthwhile investment in your business. The East Rand Chamber of Commerce can help with your blogging aims – contact us to find out more.
16 Bulletin Blogswritten by Koot van der Walt
Blogging: YourBest Marketing Asset
R 2500.00
R 6312 (12 x R526)
To receive all the services from the Chamber,
member companies Pay a Once off fee of R 4838 and receive these services annually
A monthly fee of R526 for the total 1st year value of R23250.00
Welcome to Hilton Logistics & Distribution
Hilton Logistics (13)Our core business is supplying the mining sector with freight & distribution solutions which includes the use of specialized equipment for rigging and earthmoving purposes, with skilled and licensed operators.
We deliver on a daily basis to mines in the Gauteng and Surrounding provinces. All Vehicles and staff are PPE / Safety ready to operate in any mine in South Africa
Our Company now offers low bed and crane services that are also ready to operate all mine regulations.
The Company was formed in 2000 by Mr. L. K. Moodley, where he bought his first vehicle and began transporting products on behalf of Minova RSA, to various mines around Gauteng and surrounding provinces.
The Company is owned and managed by Mr. L. K. Moodley, who has been in the transport, warehousing and distribution industries for 20 years. Assisting him is Nelson Naidoo, who has also been in the transport and warehousing industry for the 15 years.
CONTACT US
Physical Address:34 Barium StreetAlrode, AlbertonGauteng, 1459Email: [email protected]
Tel: 011 908 9464 / 011 864 3256Fax: 086 512 1800Cell: 082 474 2550
Tel: 011 397 7729/1271
Fax: 011 397 1139
Email: [email protected]
Web: www.exval.co.za
Unit 9 & 10
Gateway Industrial Park
Graniet Street
Jetpark, Gauteng
To grow the economy, we need to a) employ more people and b) boost the productivity of those who are already employed. The unemployment rate in South Africa is currently 25.5%, which translates to one in four people being without a job. Compounding matters is the fact that the country's workforce is less productive than its counterparts in other developing countries – rendering us less competitive than we should be. The question of how to get a more productive workforce is a complex one – but one that we will try to address in this article.
Statistics show that South Africa's productivity rate is the lowest it has been in 42 years. The output per worker per unit of capital has fallen from R7 297 in 1967 to just R4 924 – all the more concerning when one factors in inflation. With rising fuel prices, the Rand's reactions to political shifts, and its poor performance against the dollar, companies need to bolster productivity more than ever - to protect themselves and to have a positive impact on the economy. This means that they need to do more with their human resources than they have been – within reason.
The first step is to devise a way to assess current levels of productivity and to diagnose problem areas. It can be difficult for companies to measure productivity. For example, there are different criteria for workers with quantifiable output compared to workers performing more abstract functions – and the quality of the work is always a consideration. Before instituting any measures for improvement, it is recommended that managerial staff meet and develop a performance checklist against which work can be assessed.
A productive workforce is one that has good leadership – meaning that the role of management cannot be emphasised enough. Employees need to be held responsible for their work – not only their mistakes, but their successes too. The company's disciplinary code needs to be enforced strictly – but at the same time, care must be taken not to discourage employees. Motivation and a positive, friendly working environment that feels safe and promotes wellness are critical factors in increasing productivity. If any of these are lacking, productivity is bound to drop.
Employees also need to be satisfied in their roles, engaged and competent. The last point can be addressed through skills development programmes. The Skills Development Act of 1998 has a focus on increasing productivity to make the country's workforce more competitive in the global arena. In line with this, regular, specific training should be done to bring workers' skills up to required levels, and even beyond the bare minimum.
Another area to look at is employee absenteeism. This needs to be reined in, as it has a very negative impact on productivity. However, when dealing with the issue, employers need to be sensitive and consider all causative factors so as to protect the working relationship with the employees and the atmosphere in the workplace. Workers should be encouraged to come and talk to management about any problems they may be facing – an open door policy should be emphasised.
At the East Rand Chamber of Commerce and Industry, we provide a range of services to help you enhance the productivity of your company. These include consultation services and the drawing up of documents like performance checklists. Contact us for more information.
How to get a ProductiveWorkforce in South Africa
22 Bulletin Blogswritten by Koot van der Walt
9 Geduld RoadGeduld Ext.Springs, 1559
P.O. Box 1290Strubenvale
Springs, 1560
CEILINGDRYWALLERECTORS
Web:http://klatrade803.co.za
If you're a web designer, you'll be familiar with the terms static and responsive when talking about websites. As the virtual landscape continues to change and develop, we are seeing a strong shift towards the latter. Recommended by search engines like Google, responsive sites comprise the bulk of websites these days – and, as will be shown, with good reason. Here we provide a breakdown of the terms and an overview of the features of static, responsive and dedicated mobile websites.
The terms make reference to the layout of websites, with a static site being one that has a fixed layout. The size does not change at all, regardless of the device that a reader accesses the website from. If you've ever arrived on a website from your mobile phone and been greeted by a horizontal scrolling bar or something similar, you've seen a static site. This was the only option for website layout in the early days of the internet. Responsive sites, on the other hand, do what their name suggests – they respond to the size of the screen on the device you are accessing the website from, and adjust their layout accordingly. Relative units and media queries are used to do this. This kind of website has been around for a good six years and continues to grow in popularity due to the optimised viewing experience on offer. Responsive websites are mobile and tablet friendly.
While responsive websites may sound like the best option for all web design in the modern era, they are not without disadvantages. For one thing, they are sometimes slow to load. They also may not integrate well with third-party services on the site, such as booking forms. Responsive sites also tend to be more complex and more expensive to set up, compared to simple static sites.
Other options exist when trying to make the layout of a website more flexible and appealing for visitors. Adaptive sites are one example; they are like static websites in that their layout is fixed, but they offer a number of resolutions and use media queries to load the one that best suits the accessing device. Adaptive sites are less old-school than static sites and are actually a relatively simple and affordable way of improving old static sites without scrapping and redesigning them completely.
Another option is to have a dedicated mobile website. This is a standalone site with its own URL (usually starting with m.). It has its own content and features and is completely separate to the full site. As a result, it requires much more maintenance than a responsive site, which only has one set of content. While mobile sites might provide a very good user experience, they are not very popular due to the extra work and cost involved in their creation and maintenance.
Going forward, responsive websites are likely to continue to dominate the internet. However, websites that rely on other designs, like static and mobile, will be around for a while yet.
25Bulletin Blogswritten by Koot van der Walt
Static vs Responsive and Mobile Websites
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send your designs to:
R520 (excl. VAT)
These days, if you aren't online, it's like you don't exist. The world is increasingly connected via the internet, and customers expect to be able to conduct business and interact with companies using online platforms. Yet in spite of this reality, a large number of small and even medium-sized enterprises remain firmly offline, without any web presence whatsoever. A website is a valuable part of your business; it is an extra asset in many ways. In this article, we explore what we mean by this – why your website should be seen as an asset.
A website offers many advantages for companies. For one thing, it can give you an edge; a leg up over your offline competitors. Or at the very least, it can help you to keep up with them. Well over 2.4 billion people use the internet every day, and 90% of them have made a purchase or contacted a company online in the last year. A website allows you to target a much bigger market and can be a very effective means of making your business more accessible and approachable.
Having a website fulfils marketing, education, customer service and communication functions. On the marketing side of things, a website is a way of increasing awareness of your brand and products or services – of course, you can promote what you do or sell goods directly online, increasing contracting and buying opportunities. It can also have a more indirect effect by piquing the interest of potential customers through educational articles.
In order to do this, you simply need to post unique, relevant and engaging content on your website – to meet your future customers' information needs. For example, if they are looking for information on the different types of industrial roofing, and you are a company that specialises in roof sheeting, it would be strategic to have a general article that gently draws in customers without an immediate call to action.
Your website should be seen as an asset further for its customer service potential. You can use forms, forums and social media links to field complaints, enquiries, and compliments through the website. You can also include a section on Frequently Asked Questions (FAQs) for visitors to consult. Both of these measures can result in significant savings in time and labour as they streamline customer relations.
An extra benefit of websites is that they give you customised email addresses, which can lend your business a degree of credibility. This is far preferable to using free email addresses that necessitate strange user handles ending in random numbers – and easier for potential clients and customers to remember too.
Just having a website is not enough - your website should be professional and user-friendly, and regularly updated. Unless you have a dedicated IT department, it is worthwhile enlisting the help of web service providers. While this is not free, the small costs can be seen as an investment in your business – a website is an asset just like your office building, equipment, and even employees. It is integral to the continued success of a company going forward into the technology-centric future.
29Bulletin Blogswritten by Koot van der Walt
Why Your Website Shouldbe Seen as an Asset
B-BBEE Verification AgencyWhy wait until your certificate is about to expire Cenfed B-BBEE
Verification will complete all requirements of verificationand issue certificate when required on expiry of current certificate
Obtain your accredited B-BBEE Certificate now!!!
EME Certificate R350-00EME Certificate R350-00QSME Certificate R5600-00QSME Certificate R5600-00
Generic Certificate R8800-00Generic Certificate R8800-00No additional fees for:
Procurement, Collection of Documents or Site Visit
(<51% Black Ownership)
Get Verified
2�Station�Road,Nigel,�1491
E-mail�[email protected]
Tel:�011�814�2752�/�011�814�2753Cell:�083�268�5114Fax:�086�513�0744
For�more�informationwww.cenfed.co.za
QSME Certificate R3500-00QSME Certificate R3500-00(>51% Black Ownership)
33Bulletin Blogswritten by Christine du Plessis
New rules pertaining to the Commission for Conciliation, Mediation and Arbitration (CCMA) came into effect in April last year. More than 12 months later, some of these changes remain confusing for employers. Unless you are, or employ the services of, a labour law consultant, it is unlikely you would know them in depth. As a result, we have put together a guide to the major adjustments, as well as an overview of statutory limitation on cases.
First, it is important to note that all matters referred to the CCMA in terms of the old rules must be dealt with in terms of the old rules. The new rules govern cases referred since they came into effect.
A significant change to the rules influenced the serving of notice to the opposing party. It is now possible to serve and file documents by email and SMS, which was previously not allowed.
A 14-day notice period is required for conciliation, and 21-day period for arbitration proceedings. If notice is served by registered mail, an additional seven days must be provided. Parties can agree to shorter notice periods if they wish.
Rule 13 was changed so that disputes can no longer be dismissed if the party who refers the matter does not attend. In such cases, the dispute simply remains unresolved. People also no longer necessarily need to attend conciliations in person.
Rule 14, regarding proof of jurisdiction, was adjusted so that a conciliating commissioner must now require a referring party to prove that the CCMA has jurisdiction if a jurisdictional issue has not been determined, provided that jurisdictional issues requiring evidence may be deferred to arbitration.
Changes were also made in terms of Rule 25, concerning representation at the CCMA. It is still possible for members of trade unions to represent an employee at the CCMA, but they must be able to prove their represent the union. Furthermore, representation by an office bearer, official, director or employer of an employer who is a member of an employer's organisation is still allowed, as is representation by a legal practitioner, but now only legal practitioners may charge fees for the service. The new rule also prevents labour consultants from joining an employer's organisation solely to represent them at the CCMA.
The revised Rule 36 stipulates that digital records should be kept, while the updated Rule 39 states that CCMA arbitrators must consider, when determining whether cost orders should be granted or not, the measure of success achieved in the case, fairness, agreements between the parties, and the effect the cost order may have on a continued workplace relationship. Legal fees can only be awarded where both parties had legal representation.
Turning to statutory limitation, there are restrictions on time periods for referring disputes. In cases of unfair dismissal, the employee must refer the dispute to the CCMA within 30 days of the dismissal date, while in cases of unfair labour practice, the employee needs to refer the matter within 90 days. Claims of discrimination must be referred within six months. Cases can still be referred after these periods, but an application for condonation needs to be made.
For further information on the changes to CCMA rules and statutory limitation, we recommend talking to a labour consultant – they will be able to answer any questions you may have.
Keyword: Statutory limitation on CCMA cases, new CCMA rules
An Overview of the new CCMA Rules
43Bulletin Blogswritten by Lindie van der Walt
The term BEE, short for BBBEE, or Broad-Based Black Economic Empowerment, is often tossed around in business circles – without a proper understanding of what it is about. BBBEE has become a bit of a bogeyman, with misconceptions, concern and hesitation abounding in discussions about it. But BBBEE is, overall, a very positive social initiative that can benefit everyone – not just, as is often assumed, a small sector of society. Good consulting services can go a long way towards dispelling the myths and confusion that surround the policies, and help you to get the most out of them.
BBBEE policies are set out in the BBBEE Act (No. 53 of 2003) and reinforced by the Codes of Good Practice, which were last revised in 2015. The underlying goal of the legislation has always been to effect positive transformation in the business world and greater society, addressing the legacy of apartheid and empowering greater black economic participation. Contrary to popular belief, it is not compulsory for a business to obtain a BBBEE certificate – it is an entirely voluntary process. However, doing so brings with it a lot of benefits.
For one thing, it means that you and your business are doing your part for transformation – and this can actually be added to your marketing materials, as it creates a good impression. It shows that you care and are committed to change.
Another benefit – in fact, perhaps the biggest benefit, of having a BBBEE certificate is being able to conduct business with the government sector, including municipalities, as well as public entities. A certificate allows a company to tender – opening up new possibilities for work.
A further advantage of having a BBBEE certificate is having a significantly higher chance of securing contracts with large companies, because they are encouraged to do business with smaller BBBEE-compliant companies. A certificate also, crucially, allows you to participate as a supplier in the lucrative chain of preferential procurement.
With all the benefits that a business stands to gain from BBBEE compliance, you might wonder why not everyone is on board. The primary reason is that the legislation can be a bit of a minefield to navigate. The very thought can create stress and be offputting for many companies. The updates to the laws last year made things much stricter and resulted in changes in categories and requirements for the scorecard – all of which can seem intimidatingly complicated.
When calculating the BBBEE scorecard, which comprises eight levels ranked in order of excellence from one downwards, a thorough understanding of the legislative requirements is essential. While small businesses in the form of Exempt Micro Enterprises (EMEs), and, to an extent, Qualifying Small Enterprises (QSEs) – both of which are categorised according to their annual turnover, may not need to provide much in the way of supporting documentation, larger businesses are compelled to show all sorts of items. An audit may be necessary.
To take advantage of the benefits of a BBBEE scorecard in the simplest way possible, and to gain a clear understanding of the legislation and how it all works, BBBEE consulting services are highly recommended. They make the process much easier and hassle-free.
Why you need BBBEEConsulting Services
R598.00
R665.00
R731.00
R798.00
R848.00
R930.00
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