Minister of Telecommunications and Postal Services, Siyabonga Cwele, has launched a revised broad-based black economic empowerment (B-BBEE) code for the ICT industry, following its publication in the Government Gazette. For ICT companies, this means compliance with the new generic codes outlined in the amended policy.
One of the key differences in the sector code is that the minimum prescribed equity to be held by black people is 30%, versus 25% in the generic code. There’s also greater emphasis on enterprise and skills development.
Commenting on the amended ICT code, Cwele said that it is “to encourage companies to put more effort in this transformation area where little action has taken place in the past,” and that there’s “greater emphasis on enterprise development and skills development.”
“The advantage of a sector-specific code is that it brings regulatory certainty and enables the sector to maximise its transformative impact by focusing on opening up participation in the sector for designated groups,” Cwele said.
One of the aims of the new B-BBEE code is to recognise and develop certain groups of people in the ICT sector. These designated groups include women, youth, people with disabilities, people living in rural areas and unemployed people.