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INVESTIGATIVEREPORT
E M P L O Y M E N T E Q U I T Y H E A R I N G S
2016 / 2017
Imagine a future freefrom gender oppression and inequality...
The Commission for Gender Equality
is striding boldly and with
determination into
this future.Join us.
Move with us.
Work with US to make this imagining
an irreversible reality.
ISBN: 978-1-920308-68-1
Cover Design / Design & Typesetting: Egoli Forms (Pty) Ltd.
Publisher: Commission for Gender Equality
Copy Editing: Nicky De Bene
COPYRIGHTS: 2017 Commission for Gender Equality. All rights reserved. No part of this publicationmay be reproduced, photocopied or transmitted in any form, nor any part of the report be distributedfor profit making purposes, without prior written consent of the Commission for Gender Equality.
PAGE
1. Introduction 6
2. Companies which appeared before the Commission 6
3. Legislation informing the Hearings 7
4. Objectives of the Hearings 7
5. Enabling Legislation and the Legal Process 8
6. Presentation by Mercedes -Benz South Africa 9
7. Presentation by Pick n Pay 14
8. Presentation by Rhodes Food Group (Pty) Ltd 19
9. Presentation by Big 5 Construction 22
10. Presentation by Vermeulens Build It 25
11. Presentation by Tiger Brands Ltd 26
12. Presentation by South African Breweries Pty Ltd. (SAB) 30
13. Presentation by Sasol 34
14. Presentation of H L Hall & Sons 38
E M P L O Y M E N T E Q U I T Y R E P O R T
3
T A B L E O F C O N T E N T S
15. Presentation by Six Sons (Pty) Ltd. Trading as Kloppers 41
16. Presentation by Oos Vrystaat Kaap Operations Limited 44
17. Presentation by Mafikeng Toyota 47
18. Presentation by RCL Foods 50
19. Presentation by NWK Ltd 53
20. Presentation by EH Hassim 57
21. Presentation by Jonsson Workware 57
22. Presentation on Moorddrift Dairy Pty Ltd 60
23. Supplementary hearings 62
24. Conclusions 71
25. Appendix 1
E M P L O Y M E N T E Q U I T Y R E P O R T
4
A B B R E V I A T I O N S A N D A C R O N Y M S
BBBEE Broad-Based Black Economic Empowerment
BCEA Basic Conditions of Employment Act
CGE Commission for Gender Equality
CEO Chief executive officer
DoL Department of Labour
EEA Employment Equity Act
EAP Employee Assistance Programme
EE Employment Equity
EXCO Executive Committee
HIPOS High Potential Talents
KPAs Key Performance Areas
KPIs Key Performance Indicators
LEAD Leadership, Evaluation and development
MBSA Mercedes Benz South Africa
MD Managing Director
MOU Memorandum of understanding
OVK Oos Vrystaat Kaap
PWDs People with Disabilities
SAB South African Breweries
SETA Sector education and Training Authority
E M P L O Y M E N T E Q U I T Y R E P O R T
5
1. INTRODUCTION
In the financial year 2016/2017 the Commission for Gender Equality was required to
conduct transformation hearings with special focus on the private sector. The
purpose of this report is to present and analyse the findings of the hearings on gender
transformation in the private sector. The hearings were hosted by the Commission for
Gender Equality (CGE) from 24-28 October 2016, at the Parktonian Hotel in
Braamfontein, Johannesburg. Seventeen entities were invited or subpoenaed to
present their responses to 22 questions which had been sent to them prior to the
hearings. They had also been requested to furnish the Commission with
documentation concerning employment equity. This report is based on background
information and policy documents provided by the entities, findings by the CGE legal
department, the presentations by the entities themselves, relevant legislation, and
question and answer sessions with the commissioners after the presentations.
Conclusions are presented at the end of the report. Legislation regulating
employment equity in South Africa, especially the Employment Equity Act 55 of 1998,
was used as a guiding yardstick to analyse the content of background information
and presentations.
2. COMPANIES WHICH APPEARED BEFORE THE COMMISSION
The 17 companies which appeared before the Commission are:
• Mercedes Benz South Africa
• Pick n Pay
• Rhodes Food Group
• Big 5 Construction
• Tiger Brands
• Vermeulens Build It
• SAB Miller
E M P L O Y M E N T E Q U I T Y R E P O R T
6
• Kloppers
• Sasol
• OVK
• Hall and Sons
• Mafikeng Toyota
• RCL Foods
• NWK
• EH Hassim Builders World
• Jonsson Workwear
• Moorddrift Dairy (Pty) Ltd
3. LEGISLATION INFORMING THE HEARINGS
The guiding legislation informing the investigation of entities’ compliance with
gender-equity principles, is the South African Constitution and the Employment Equity
Act (EEA). Other legislation which impacts on the assessment is the Labour Relations
Act 66 of 1995, the Basic Conditions of Employment Act 75 of 1997, the Skills
Development Act 97 of 1998, and the Promotion of Equality and Prevention of Unfair
Discrimination Act 4 of 2000. One of the aims of such legislation is proportional racial,
and gender representation in the workplace, and representation of people with
disabilities (PWDs), to further the Constitutional principles of equality, dignity and
freedom.
4. OBJECTIVES OF THE HEARINGS
The primary objectives of the hearings are to assess the impact of the EEA and to
hold the private sector accountable for non-compliance with legislation. The
Commission concedes that it is easier to transform companies in terms of race, but
E M P L O Y M E N T E Q U I T Y R E P O R T
7
very difficult to transform in terms of gender. The hearings also intended to raise
awareness of national legislation and relevant international commitments.
Furthermore, they ascertain the vulnerabilities and risks experienced by women and
people with disabilities across various sectors and levels in the workplace. They assess
how companies themselves are dealing with their own non-compliance in terms of
the EEA. Finally, they identify challenges encountered and successes and progress
made in achieving equity targets for women and people with disabilities. They share
best practice models from companies which do comply with the EEA and related
legislations. In so doing, they assess measures in the workplace which achieve
transformation in terms of gender, race and disability. Findings are shared with the
Employment Equity Commission and the Department of Labour (DoL). Overall, the
hearings are intended to protect the vulnerable and voiceless and transform society
into what was intended in the preamble of the Constitution.
5. ENABLING LEGISLATION AND THE LEGAL PROCESS
The Constitution of the Republic of South Africa, 108 of 1996 prohibits discrimination
based on, inter alia, race, gender, sexual orientation, age, disability, etc. in Section
9(3). The Commission is a Chapter 9 Institution, and is one of the institutions supporting
constitutional democracy. The mandate of the Commission is contained in Section
187(1) of the Constitution of South Africa, which reads: “The Commission for Gender
Equality must promote respect for gender equality and the protection, development
and attainment of gender equality”. Section 187(2) grants the CGE “the power as
regulated by national legislation, necessary to perform its functions, including the
power to monitor, investigate, research, educate, lobby, advise and report on issues
concerning gender equality”. The enabling legislation of the Commission is the
Commission for Gender Equality Act 39 of 1996, as amended. In terms of Section
11.1(a)(i)-(iv) of the Act, the Commission “shall monitor and evaluate policies
and practices of organs of state at any level; statutory bodies or functionaries;
public bodies and authorities; and private businesses, enterprises and
institutions … and may make any recommendations that the Commission deems
necessary”.
E M P L O Y M E N T E Q U I T Y R E P O R T
8
Section 4 of the Act stipulates that for the purposes of conducting such an
investigation, the Commission may call any person, by notice in writing served by a
sheriff, to appear before it, and to produce articles or documents. Any person
appearing before the Commission does so under oath or affirmation, and must be
competent to answer all questions put to him or her connected with the
investigation. Such a person may be assisted by an advocate or attorney or both.
Failure and/or neglect to appear may result in a criminal charge being instituted.
The hearings are structured as follows: The Commission comprises a panel of
Commissioners, supported by the legal department. Preliminary findings made by
the Commission’s legal team, based on the entities’ answers to the 22 questions
which were sent to them, and on background information, are presented. Entities
are then called to account and are represented by the accounting heads, such as
the managing director (MD) or chief executive officer (CEO) or their delegates. After
presentations, commissioners interrogate the information provided, and the
attendee has the right to reply.
The full process, of which the hearings are a part, is as follows: entities are asked to
submit specified information to the Commission. The Commission analyses the
information and makes preliminary findings. Investigative hearings are then held.
Supplementary hearings can be held, if necessary. A report is produced. The report
is presented to the National Assembly.
6. PRESENTATION BY MERCEDES-BENZ SOUTH AFRICA (MBSA)
Presented by CEO, Mr Arno van der Merwe, and the Executive Director of Human
Resources.
Mercedes-Benz South Africa (MBSA) is a public company in terms of the Companies
Act 71 of 2008. It has been operating in South Africa for approximately 70 years. It
is one of the largest employers in the East London locality.
E M P L O Y M E N T E Q U I T Y R E P O R T
9
Women constitute 28.2 percent of the overall workforce of 3609 employees. Statistics
reflect that MBSA is doing well in terms of racial transformation, but is lagging behind
in terms of gender transformation. For example, in terms of executive committee
(EXCO) members, four are white males, one is an Indian male, one is a white female,
and one position is currently vacant. Within the occupational band “legislators,
senior officials and managers” women only represent 27 percent. The “clerks”
occupational band is the only stratum where women outnumber men. Such a lag
is also prevalent in respect of disability, where women are underrepresented.
Diversity, in particular relating to gender, is a mandatory goal for all executives within
the Daimler organisation.
MBSA focuses on diversity, creating a culture that values differences between
people. It is concerned about their socioeconomic well-being. It boasts 22 years in
transformation and gender equality. Gender progression is important, and it has a
learning academy, the purpose of which is to create technical competence at a
grassroots level. Out of an intake of 28 in 2016, 16 were women and 28 men. MBSA
boasts a graduate development programme, whereby graduates are brought into
the organisation on internships and bursaries. In 2015 the intake of women
outstripped that of men, with 64 percent of intake being women. In 2016, this levelled
off at 50 percent intake being men and 50 percent being women. It has a LEAD
(Leadership, Evaluation and Development) Performance Review, which focuses on
women’s development, by assessing individual performance and behaviour to
identify potential for the next hierarchical level. The CEO and executive leadership
take responsibility for gender transformation. There is also a transformation forum,
which is headed by a woman. Two women serve as organisational transformation
specialists. There is a capacity development programme for women and people
with disabilities.
There are systems that track skills development. Each employee has a development
plan. The Mercedes-Benz learning academy provides the necessary environment to
teach skills, extend knowledge and instil learning among future technical
and engineering specialists in MBSA, but also the greater community and South
Africa.
E M P L O Y M E N T E Q U I T Y R E P O R T
10
There is a flexitime option in place, and, where possible and appropriate, people
can work from home. Laptops and modems are provided.
Awareness is created of the value of women in the workplace, through various
activities celebrating women, such as the celebration of Women’s Day.
A workplace practices survey is included in the Employment Equity (EE) planning
process. This survey relates specifically to gender and racial equality among
employees. Overall, more than 70 percent of employees who responded agree that
gender discrimination and racism are not experienced within the working
environment.
There is a sexual harassment policy, and there is zero tolerance of sexual harassment
in the workplace. It is available to all employees. MBSA notes that it has not
“conducted sexual harassment awareness campaigns in recent years, as cases
relating to sexual harassment in the workplace are minimal”. However, in 2017 an
awareness campaign will deal with policies that influence the working environment.
MBSA has a social and ethics committee. This covers anti-corruption, human rights,
labour standards and environmental protection. It is chaired by Ms Cheryl Carolus.
In 2016, R130 million was spent on the training academy for training and
development. There is an increasing focus on women with regard to artisan skills.
Staff retention is supported through the LEAD programme.
There is ongoing communication with employees on EE. Interview and selection
panels have a diverse range of representation to ensure transformation.
MBSA also supports external socioeconomic projects. In 1998, Nelson Mandela noted
the importance of this, during his visit to the East London plant in celebration of its
expansion. He said: “Your contribution to capacity-building presidential projects in
Bisho, your Siyakha housing project, and your investment in education and other
projects have set a shining example.”
E M P L O Y M E N T E Q U I T Y R E P O R T
11
Discussion of MBSA’s presentation
The Commission applauds MBSA for its progressive approach in respect of a
comprehensive set of policies on gender transformation in the workplace. These
include a flexitime policy, the provision of empowerment programmes to upskill
employees, commitment to implement a gender diversity plan, compliance with the
legislative prescripts such as the designation of senior managers to oversee gender
transformation; and the support of the Business Women’s Association and its awards
programme.
The Commission said that there was very little in the presentation concerning policy
impact, but the presentation speaks to where transformation is going in general
within the company.
The numbers of top decision-makers are not a good indicator of gender equity,
although racially there is better demographic representation. White men dominate
the decision-making body. The Commission suggested that where vacancies
became available in the executive team, they should be ring-fenced for women.
MBSA is doing a lot in terms of skills development, and it is clear that they are working
very hard at addressing historical imbalances in the workplace.
The assumption that because very few cases of sexual harassment are reported
implies that they do not exist, is problematic. There may be a range of reasons why
it is not being reported. The Commission suggested that there could be a committee
on sexual harassment. It noted that it is difficult for women to come forward on this
issue, particularly in a male-dominated environment, where most managers in the
company are men.
The training academy is lacking intake on people with disabilities.
The respondents from MBSA said that progress with transformation is made and
measured over time, but concurred that the current statistics of gender equity and
people with disabilities are not at an acceptable level, and must improve further.
E M P L O Y M E N T E Q U I T Y R E P O R T
12
One of the company’s transformation aspirations is to bring shop stewards
onto the transformation forum, to create awareness among employees of
transformation.
In terms of sexual harassment, there is a policy on general harassment, whereby a
process is in place for employees to report harassment without fear or favour. There
is a hotline which can be used to ensure confidentiality.
There is a learnership in place for people with disabilities. There are 30 people in a
technical learnership, and nearly 50 percent of them are women.
The Commission followed up, commending MBSA on training, but wanted to know
how many women benefit from this training.
The Commission noted that there are no childcare facilities at MBSA, and enquired
whether these were being planned for women advancing up the career ladder.
The Commission asked that MBSA note there is a White Paper on disability, and that
they should avail themselves of it.
The MBSA representative said they would revert back with figures on how much of
the R65 million spent on training, is spent on women.
The gender configuration of top management has improved: 15 percent of top
management is currently women, compared to 11.5 percent in 2013. In the
professional and specialists bracket, 36 percent are women.
The MBSA representative agreed that childcare facilities are an issue in the
transformation dialogues which have taken place. The issue is being dealt with at
the highest executive level, and costs are being researched. However, there is a
‘Mom’s room’ which is a breast-feeding room. This was set up in response to
employees’ requests in marketing and sales in Pretoria. However, none exist in the
production plant in East London.
E M P L O Y M E N T E Q U I T Y R E P O R T
13
There is, as noted, a corporate social responsibility strategy for community upliftment,
with a focus on HIV/AIDS. There is also an employee volunteer programme (a
budget will be submitted). In 2014, R11.3 million was spent on corporate social
responsibility, and in 2015, R18.25 million was spent.
7. PRESENTATION BY PICK N PAY
Presented by Ms Pearl Maphoshe, Group Executive: Human Resources and Michelle
Lehmann, Head of HR Corporate, Western Cape.
Pick n Pay employs more than 37 000 people across the continent, in 1420 stores, at
top management, senior management and operational levels.
The employment profile of the company is as follows:
There are three women on the executive, and four women on the non-executive .
At top management level, 86 percent of staff is male. Of these, 77 percent are white,
9 percent are African, 4 percent are Indian and 10 percent are coloured.
At senior management level, 69 percent of staff is male. Of these, 51 percent are
white, 22 percent African, 9 percent are Indian and 18 percent are coloured.
At the operational level, 34 percent of staff is male and 66 percent female. Of these,
2 percent are white, 75 percent are African, 2 percent are Indian and 21 percent are
coloured.
The company recently appointed its first two African females at regional manager
level.
People with disabilities at all levels constitute 0.49 percent (181 out of 37 299) of all staff.
In total, the company employs 66 percent women which constitute 24 000 of the
37 000 employees.
E M P L O Y M E N T E Q U I T Y R E P O R T
14
The company has a large supplier base, and it promotes gender diversity within this
sector as well.
Pick n Pay submitted that there is a scarcity of women with certain skills required in
the senior positions in the industry. The nature of the industry with regard to long
trading hours, and late and early shifts is not conducive to some women who have
multiple roles as mothers, wives and primary caregivers.
There are a number of ways in which women are advanced to senior and top
management levels. There is a women’s empowerment programme, which plans to
partner all graduates with members of the group executive for mentoring and
coaching. It is aimed at critical and scarce skills positions. There is an ‘insights
discovery’ programme, which is a customised retail management programme for
graduates. It has 8 males and 13 females. The company also prioritises women
candidates into the W&R SETAs retail management development and international
leadership development programmes. There is a women-only corporate retail
academy. There is a graduate development programme that prioritises women,
insofar as 80 percent of candidates are female. In the past financial year – 2015/2016
– 12 061 women at all levels were trained and upskilled at a cost of R56 997 484.
The company does not have a specific recruitment policy for women or people with
disabilities. It has one broad policy based on equal opportunities for all. A lot of work
is still to be done at top and senior management level, in terms of recruitment equity
for women.
The mechanism used for tracking the movement of women is a quarterly monitoring
process nationally, regionally and in all divisions.
The CEO and the entire group executive are responsible for working with the
transformation division for the purposes of gender transformation. Compliance with
gender transformation measures does form part of the performance review for the
CEO and group executive. Each store has its own equity plan and transformation
targets which it has to achieve.
E M P L O Y M E N T E Q U I T Y R E P O R T
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Pick n Pay do not have a flexitime policy or childcare facilities. The company submits
that it lacks the funds to build and run childcare facilities. However, shifts are
negotiated with women depending on their stage of pregnancy, their health, and
nursing mothers. Transfer requests are also considered.
The company runs a diversity awareness workshop. Only 20 percent of the staff have
attended thus far; more sessions are scheduled.
The company has a sexual harassment policy, as well as induction training material
which focuses on sexual harassment. Induction is conducted on a monthly basis.
The policy is applicable to all employees, customers, suppliers and contractors, and
any other persons dealing with the company.
There have been 28 cases of sexual harassment from 2014 to date: 2 matters are still
pending and 26 have been finalised as follows:
12 dismissals; 4 final written warnings; 7 not guilty; 1 resigned; 2 suspended.
The company is introducing a Code of Ethics to guide conduct internally and
externally.
Other human resources policies in place include a recruitment and selection policy;
disciplinary and grievance procedure; training and development policy; policy
pertaining to employee wellness; HIV/AIDS policy, and succession and career-
pathing policy.
Top management level has been identified as the most problematic in terms of
transformation and EE. It is the area where the most digression from the achievement
of the company’s EE plan is reflected. Although some profiles may have improved
at this level, for example, African male and female groups have grown since the
inception of the plan in October 2014, the progress is over-shadowed by the fact
that this level has had an enormous overall growth of 61 positions or 40 percent since
2009, and a total of 46 positions or 75 percent of those opportunities went to white
males and to a lesser extent, to white females.
E M P L O Y M E N T E Q U I T Y R E P O R T
16
It is further noted that improvement at top and senior management levels is also
seriously curtailed by the attitudes and actions of the corporate divisions, which seem
to take very little notice of the company’s EE plan.
The EE targets were satisfactorily reached at the operational level. However, there
seem to be bottlenecks in the upwards mobility of these employees to senior and top
management.
The newly established corporate (regional) forum will assist in monitoring adherence
to, and progress in, EE plans. Furthermore, EE has been made an integral part of
senior management Key Performance Indicators (KPIs) that will be measured, with
continuous monitoring of adherence to HR policy on recruitment by the internal audit
division.
In 2016, the overall retention rate was 95.5 percent, of which 79.7 percent were
males.
Selection and appointment panels consist of experts in the positions being filled, and
line management. Often there is a woman or a PWD on the panel, depending on
the person interviewed.
The EE plan set a target of 1.25 percent of people with disabilities employed by 30
September 2018. The current figure is 0.49 percent. In 2014 there were 109 people
with disabilities employed; in 2016, there are 118. In many stores, the environment is
not conducive for people with disabilities, as there is a lack of accessibility to some
training venues, canteens and ablution facilities. However, the company has
committed itself to a focused recruitment drive of PWDs throughout.
Current efforts to create diversity awareness, including PWDs, will continue through
diversity awareness programmes. A recommendation has been made to the
company to ensure that approved new store plans take into consideration facilities
for PWDs. The company works with Deaf SA and the Downs’ Syndrome Association,
to identify suitable candidates for employment. Disabled persons have been trained
to work at the till and to engage with customers.
E M P L O Y M E N T E Q U I T Y R E P O R T
17
Discussion of Pick n Pay’s presentation
The Commission urged the company to take cognisance of the White Paper on
disability. It also said that all stores must be accessible to employees with disabilities.
The Commission noted that the executive level of the company was dominated by
white males. This raised the question of exactly how strong the company’s commitment
is to taking action against male domination and promoting gender equity.
In terms of the sexual harassment policy, the Commission asked whether there is a
strategy to ensure that women feel management is responsive to claims of sexual
harassment.
The Commission noted that R56 million is spent on training. It asked where the women
who have been part of this training are in the organisation.
Feasibility studies should be carried out on childcare facilities and that such facilities
could be in-house, or nearby.
The Commission pointed out that the assumption that long trading hours mitigated
against women wanting to work at the company, was gender-insensitive and
gender-blind. They proposed that if this attitude is adopted, women will not be found
to fill these positions, although they are there. Women must be specifically targeted
for these positions.
The representative said that the company intended to create 5000 new jobs by 2020.
In filling these positions, cognisance will be taken of transforming the workplace. She
pointed out that since the beginning of year two of their EE plan, executive positions
went to women. This shows real commitment to transforming the organisation. Top
positions do not become available often, so there is a bottleneck as far as women’s
advancement in the company is concerned.
In terms of succession planning, if appropriate candidates are not available within
the organisation to fulfil transformation targets, the company does look further afield
within the industry. In-house emerging talent is identified for people at senior level.
E M P L O Y M E N T E Q U I T Y R E P O R T
18
The representative referred to the learning and development report, wherein learners
are disaggregated in terms of race, gender and disability.
The representative pointed out that there is a dedicated women’s development
programme, which senior managers attend. There are 13 females and 8 males on
the graduate development programme, and 45 percent of store managers are
women.
There is a specific recruitment policy for people with disabilities and women.
Scarce skills include specialist positions such as pharmacists, chefs, bakers and
butchers. Traineeships are run to earmark the development of these skills. In-house
training is given. The positions of buyers, planners, information technology specialists
and finance specialists are developed through the graduate development
programmes, that earmark these positions.
The Commission said that they would see the company in six months’ time. The CEO
must come back with further information.
8. PRESENTATION BY RHODES FOOD GROUP (PTY) LTD.
Presented by Job Mpele, HR Director and Bernadette Lakay, Corporate Affairs
Manager.
Rhodes Food Group was formed in 1999, as a family-owned business. Through a
process of acquisition, it has come to be what it is today. In 2014 it was listed on the
stock exchange. It is a producer of fresh, frozen and long-life meal solutions
sold in multinational markets. The company has 12 production facilities and two
farms.
There follows a disaggregated profile of top management, senior management and
operational positions.
E M P L O Y M E N T E Q U I T Y R E P O R T
19
Top management: 100 percent is male. 85.7 percent is white, 14.3 percent is African;
74,3 percent of senior management is male, with 80 percent white, 2.9 percent
African, 0 percent Indian and 17.1 percent coloured.
At the operational level, 38.1 percent is male and 61 percent female, with 5.7
percent white, 52.2 percent African, 41.8 percent Indian and 21 percent coloured.
In the Western Cape Fruit Products plant seasonal employees are 90 percent black
women.
More than 50 percent of employees on the company’s management development
programme with MANCOSA are women.
PWDs at all levels amount to 0.55 percent of all staff.
The chairperson of the Rhodes Food Group Holdings Ltd of directors is Dr Yvonne
Muthien, a black female. The positions of group manager, group financial manager,
group corporate affairs manager were created, and all were filled by females.
There is an under-representation of African people and women at top level
management. There is an under-representation of African males and African
females at senior, middle and junior management levels. Generally, there is a low
level of representation of Indian people, particularly Indian females, at all levels of the
organisation. In order to align the organisation with the Employee Assistance
Programmes (EAP) targets, emphasis will be placed on the recruitment and training
of these under-represented race and gender groups.
There are no specific funds allocated to gender transformative measures. The EE
budget is used to implement all EE plans, including gender transformation.
The internship programme is not exclusively for women. However, it has 9 African
males and 13 African females. The certificate in business management learnership
has 1 Indian male, 9 coloured males, 9 African males and no white males. It has 1
Indian female, 3 white females, 7 coloured females and 16 African females. The
E M P L O Y M E N T E Q U I T Y R E P O R T
20
food-handling learnership has 10 African males and 15 African females. The
apprenticeship has 5 African males and 2 African females.
The social and ethics committee oversees the implementation of gender
transformation policies. This includes the HR director and non-executive directors.
The attainment of gender transformation does not form part of the current appraisal
process.
Rhodes Food Group has no flexitime policy or childcare facilities.
The company does inform employees of all relevant policies, but it is not clear how
that is done.
The company submits that there is a need to increase representation of women in top
and senior management levels. The implementation of flexible working arrangements
is not always feasible in the timed production line sites. Anecdotally, a female industrial
engineer has been appointed. She has joined the business as an intern.
There is a sexual harassment policy which has been effectively utilised and has been
augmented by the fraud and ethics hotline implemented throughout the company.
Creating awareness of the policy is not done on an ongoing basis. Only two cases
have been reported since 2014. In the first, a final written warning was issued. The
plaintiff was satisfied with the outcome. There was insufficient evidence to proceed
with the second case.
The EE plan came into effect in 2008 and has been periodically updated, most
recently in February 2016.
Internship programmes, learnership programmes and bursaries will continue to be
provided to black employees as a priority. The current profile of disabled employees
will continue to be maintained.
Employees at higher levels need better skills and qualifications, which are sometimes
difficult to find. The current racial and gender composition of the executive
E M P L O Y M E N T E Q U I T Y R E P O R T
21
committee (EXCO) is the same as it was at the inception of the business. This must
be rectified.
Discussion of Rhodes Food Group (Pty) Ltd.
The Commission said that the overall picture in terms of employment equity is very
bleak. There are no plans or strategies to address this, and it is not enough for the
company to say they are not happy with the existing state of affairs. The question is:
what do you do?
In terms of the sexual harassment policy, the Commission asked who is in charge of
the policies, how are they communicated, to whom and by whom?
There is no strategy or recruitment plan for people with disabilities.
The representative responded, saying that the social and ethics committee is
responsible for transformation.
They said that the gender and race profiles within the company change with each
acquisition. When untransformed companies are acquired, they have a big impact
on the racial and gender profile. There is a clear consciousness of promoting women
in the company, when opportunities arise.
In response, the Commission pointed out that the more companies that are
acquired, the more the Group has to commit itself to transformation. At the factory
level, there are 61 percent women and 38.1 percent men.
The Commission said it was not happy with the Rhodes Food Group. The CEO must
be available for follow-up hearings.
9. PRESENTATION BY BIG 5 CONSTRUCTION
Presented by CEO Mr Theo Paton.
The company is based in Kimberley. It is a construction and engineering enterprise.
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The nuclear staff are 82 percent male and 18 percent female.
There is a total of 69 staff; 57 are male, of which 36 are African, 15 coloured and 6
white. There are 12 females, of which 2 are African, 4 coloured, 5 white and 1 Indian.
At management level, there are 9 men, of which 4 are African, three coloured and
two white. There are 8 females, of which 2 are African, 1 coloured, 4 white and one
Indian. Top management comprises 6 males, of which 1 is African, 2 are coloured,
and 2 white. Of 6 females, 1 is African, 1 coloured, and 4 are white. Senior
management comprises 4 males, of which 3 are African, 1 coloured, and 2 females,
of which 1 is African and 1 white.
The office manager is responsible for gender transformation, which will form part of
her performance review going forward. The movement of women and PWDs is
tracked as part of the annual EE review and promotion process.
The CEO said that the current context of the construction sector in which the
company operates, must be understood. It is undergoing a huge downturn, resulting
in considerable constraints. The staff turnover is low, and the majority of employees
have been there for between 5 and 30 years. The company strives to keep its staff.
It has a policy of last in, first out on short-term contracts.
It is seen that women are better at management and administration than men are.
Women are mentored.
In restructuring the company, consideration was given to how it could diversify.
Personnel have been moved from construction into different structures in the group.
The company does not really know where it is going.
The challenge with gender transformation is that the work is mainly physical, and
women are not attracted to this sort of work. There are no specific funds for gender
transformation.
E M P L O Y M E N T E Q U I T Y R E P O R T
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The EE forum sits annually to track the advancement of women.
There is no flexitime or childcare, but the need will be investigated.
There are no awareness programmes.
On 1 August 2016, a sexual harassment policy was introduced, as were a recruitment
and selection policy and a disciplinary and grievance policy. The office manager is
responsible for the implementation and oversight of transformation. The office
manager is allowed to use any resources available to them for transformation, going
forward. The annual EE review and promotion process forms the tracking mechanism
of women advancing in the company. Women and the disabled are targeted. All
staff receive ongoing training every day, on the job. A small business allows for this.
Men and women are trained. Flexitime and the provision of childcare facilities will be
investigated in future.
There are no formal steps for awareness of equity and discrimination. This has never
been a problem in the company. Likewise, there was never a need for a sexual
harassment policy. No formal steps have ever been taken in this regard. There have
been no cases and no prosecution.
There has been one case of a woman moving from the position of cleaner to logistics
manager. A white woman, with no experience in the beginning, is currently the
manager of the fencing department.
The biggest challenge can be identified as male domination because of the physical
manpower required in the industry, and women are not interested.
Few formal interviews are held because staff are there to stay. Ten of the current 12
women staff have been employed since before 2014.
Discussion of Big 5 Construction
The company can work with Sector Education Training Authorities (SETAs) to get
formal staff training, and to formalise a mentoring programme.
E M P L O Y M E N T E Q U I T Y R E P O R T
24
The numbers suggest that the company is not empowering women. There may be
reasons for this, but the company can still push women to do the work they want to
do. To suggest that the physical labour required is not attractive to women, is
gender-blind, and not appropriate to 2016. The company should identify women
who want to do the work.
There must be a clear policy on sexual harassment, and a complaints unit. It is not
possible that in such a male-dominated company, there are no incidents of sexual
harassment.
More formal policies are required to be compliant with gender equity.
The company will be called again next year to appear before the Commission.
10. PRESENTATION BY VERMEULENS BUILD IT
Presented by Deon du Plessis, CEO.
The operation is based in Kimberley. It is a retail outlet for building material and
hardware. It is a family-based enterprise, and the CEO is the owner.
The total number of staff is 89; 23 (25 percent) are female.
Its top structures are 100 percent white male. At the operational level, it is 97 percent
female.
The employment of women has improved from 2015-1016, with an increase from
22.22 percent to 25.84 percent.
It has no gender transformation policy.
It has no flexitime or childcare.
The challenge is the scarcity of women who are willing to work in this sector, and
there is a general shortage of talent in the industry. There are high rates of
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urbanisation, and Kimberly is predominantly rural. Also, accommodation costs in
Kimberly are high. The industry is male- dominated, with a high staff turnover, but low
attrition at senior levels.
It has a sexual harassment policy. There is no sexual harassment.
It does run awareness campaigns on gender equality and discrimination. There have
been no reported incidents of sexual harassment.
It has a buddy system.
The representative conceded that in future the company must focus on
transformation, the recruitment and retention of women, talent development,
internal promotion, and collaboration with the CGE and the DoL.
Discussion of Vermeulens Build It.
The Commission asked what the company’s interpretation of “equal opportunities”
is. The representative said it meant that no person is discriminated against, and that
there should be a bias towards the recruitment of women.
The Commission asked whether the high staff turnover was women or men, and why
there is a low rate of attrition at the senior level. The Commission suggested that scarce
skills should be built in-house. The implementation of the understanding of equal
opportunities must demonstrate that the company is non-sexist. The Commission
advised the company that it wishes to meet with them after one year. The company
should then be able to give a better indication of what it intends doing in terms of
gender equity and the development of women. It suggested that the relevant SETAs
could help with gender transformation. It noted that a lot still needs to be done.
11. PRESENTATION BY TIGER BRANDS LTD.
Presented by T E Kodisang. Chief Human Resources Officer.
The constitution of top, senior and middle management, per gender, is as follows:
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26
Top management: 9 males 2 females
Senior management: 69 males 27 females
Middle management: 314 males 181 females
Total: 8216 males 3519 females
The total number of PWDs is 39.
The workplace profile is monitored monthly through the Broad-based Black
Economic Empowerment (BBBEE) scorecard and the business takes it into account
when recruitment opportunities arise.
Senior managers in their respective divisions are responsible for implementing and
overseeing gender transformation. The company considers gender transformation
as one of the core responsibilities of leaders across the company. Although this may
be reviewed annually, the senior managers are held accountable for delivering
against targets and the BBBEE scorecard targets are usually linked to the company
bonus incentive scheme for all managers. Tiger Brands main Board and the Exco
leadership team have oversight of the middle, senior and top management profiles
which are managed and directed by the nominations committee. While there is no
formal gender transformation programme or associated budget, Exco and sub-
committees of the main Board have oversight of the company’s talent profile and
actively drive the promotions and career progression of talented female employees.
The company’s learning programmes are designed to step change personal
development planning of all employees to build personal capability and to build the
pipeline for future senior appointments. The strategy is to buy less talent and build
more from within, and therefore, the company places significant focus on female
advancement but there are no distinct female-targeted or people with disabilities
development programmes. A specific programme to attract people with disabilities
into the organisation in various roles will be undertaken in 2017. Thirty-seven percent
of all learning spend in 2015 was on female employees. The company has a bursary
and graduate programme investment, the number of females being 22 against 19
males from 2014-2016. There is a young talent programme, which constitutes 53
percent female; a learnership and workplace experience programme of which 46
percent are female; shop floor development learnerships constituting 18 percent
E M P L O Y M E N T E Q U I T Y R E P O R T
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female; and a trainee miller programme, of which 33 percent are female, in a very
male-dominated profession. The management of the company’s high potential
talent (HiPOs) is managed centrally and is key to driving gender transformation.
Forty-one percent of all HiPOs are female leaders and all of them have detailed
career development plans and have had detailed career discussions with their
leaders. However, a gender-specific transformation programme must be developed
and implemented. The company does not recognise differential capacity between
men and women, and there are no mentorship or capacity-building programmes
aimed at accelerating women and PWDs to senior and top management positions.
The annual EE reports and the quarterly EE forum meeting track the upward
movement of women and persons with disabilities to top and senior management
positions. The entire workforce profile is monitored monthly by the business and
executive leadership teams through the BBBEE scorecards. The company’s
recruitment policies do not specifically target women and people with disabilities for
recruitment to senior positions, but African women and PWDs are targeted. No
gender-focused recruitment panels or interviewing arrangements are currently
practised.
The company does not provide childcare facilities at all sites, but does have a
crèche in the Ashton factory. It does have a flexible working conditions policy, which
applies across the entire organisation and applies to all employees in non-shift-based
roles.
EE and diversity training is offered to all members of the EE forums across the
company. The company does have a sexual harassment policy. However, the
company noted that the policy needs to be refreshed and this will be scheduled
during the coming months. There have been no campaigns conducted. The policy
has been communicated through training sessions across most of the business, and
offenders have been disciplined and appropriate actions taken for both perpetrators
and victims. The number of cases reported from 2014 to date is six. Five have been
successfully prosecuted with two dismissals, two final written warnings, one found not
guilty and one currently in progress.
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Specific medical examinations such as pap smears and mammograms are provided
for female employees.
It was stated that the company’s recruitment policy should address the challenges
of minority female graduates in engineering, construction and manufacturing fields.
The company indicated resources and funding challenges as factors inhibiting the
successful addressing of gender transformation. The EE forum and its members
communicate the EE process to employees.
There are no gender-focused recruitment panels or interview arrangements currently
in practice. However, the company indicated that there is a plan for 2017 to
promote voluntary disclosure of disabilities as well as identifying barriers to engage
disabled employees to find corrective actions that are required.
Discussion of Tiger Brands Presentation
The Commission noted that in its operations, across the entire country, 42 people with
disabilities are employed. They wanted to know where exactly they worked.
The Commission noted that in total, 70 percent of employees were male, and 30
percent female, illustrating a totally male-dominated company. Despite all that was
said about successes in gender transformation, the numbers suggest a different
reality. What are the major contributors to an inability to transform? Transformation
is by default. There is no strategy specifically targeting women.
The representative said that if one looks at the entire company, the least transformed
are bakeries, grains and milling. Consumer brands do better. Ashton Foods are the
most gender-friendly, but that is because of the seasonal employment of women
workers.
The Commission wanted to know what characteristics of the grains business make it
the least transformed, and how could this be corrected. The representative said that
the challenge here was at senior level, where the level of attrition was very low.
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The representative said that there is a transformation strategy across all enterprises.
It was necessary to reach deeper into the organisation to recruit trainees and identify
high potential employees. People who are appointed to management trainee
programmes are largely female employees. Appointments from within are 41
percent female. There are diversity transformation programmes. Over the past two
years, leadership development programmes have created capacity through
training.
The Commission noted that there is no targeted recruitment of women, and that a
policy needed to be developed, particularly among the businesses which
performed the worst in terms of gender transformation. It also said that in terms of
promotions, women must be targeted to ensure that 30 percent of women who are
loyal are advanced to top management positions. There should be a budget for
transformation and programmes on disability.
The representative said that the company was not skilled enough to conduct a
disclosure programme on disability. They had tried but had poor results. They had
appointed a third party and budgeted to do this. They had also identified a disability
recruitment agency.
The Commission noted that the company worked with approximately 16 trade
unions. They can help with sexual harassment policy and awareness raising.
The company will be recalled in a year’s time to assess its progress.
12. PRESENTATION BY SOUTH AFRICAN BREWERIES PTY LTD. (SAB)
Presented by Lucia Swartz, HR Director.
The profile of top and senior management, and other grades, was presented as
follows:
Top management: 2 females 5 males
Senior management: 13 females 39 males
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30
Other grades: 875 females 3099 males
Total: 1302 females 5034 males
(includes lower levels such as cleaners and gardeners)
There are eight business units, each headed by a director. Out of eight units, two are
headed by women.
There was no mention of PWDs, although it was later clarified that there are 70
people with disabilities.
The company sets targets on an annual basis as part of BBBEE and EE planning,
supported by talent development and training programmes to identify and prepare
candidates for positions at senior levels.
The HR director is responsible for implementing and overseeing gender
transformation, but implementation of BBBEE transformation strategy is driven by all
business and functional managers in the company in their respective areas, including
the managing director and executive directors with Corporate Affairs as the overall
custodian. Implementation of gender transformation is incorporated in either
performance goals or incentive targets of managers. The company has a
transformation committee, consisting of directors and subject-matter specialists.
Targets are centrally and annually set. The implementation is owned by business
heads. There is a transformation manager. The company has training programmes
with specific focus on women, for example, the women in the leadership
programme, which currently has 32 women, traineeship programmes and talent
management initiatives. There is a management development programme and an
executive leadership programme. In terms of traineeships, there is a sales and
distribution transformation strategy. The executive assistant programme is currently
attended by 15 women. Two are ready to adopt senior positions when the
opportunity arises. The company reports staff movement trends, i.e. appointments
and promotions, as well as conducting a ‘gap analysis’ in terms of gender and
disability against the EAP. In turn, recruitment practices focus on using opportunities
to close the gaps identified. Some appointments are made internally by the talent
coordination committee and are not advertised. This committee considers BBBEE
targets as well as the impact of appointment decisions on BBBEE performance. There
E M P L O Y M E N T E Q U I T Y R E P O R T
31
is a women in leadership programme and regionally-based ad hoc initiatives to
develop and mentor women. There are also management development
programmes to represent all gender and EAP groupings.
The company was not specific on the existence of childcare facilities, but it does
have a policy on flexible working arrangement.
The company has a discriminatory policy that is used to initiate and raise awareness
of discriminatory practices.
There is a sexual harassment policy. It conducts awareness campaigns on the policy
and the policy is included in the induction of new employees, which is done annually.
Employees sign confirmation that they are familiar with policies.
The number of cases of sexual harassment reported from 2014 to date is six. The
sanctions are one final written warning with two weeks’ unpaid suspension, as well as
one dismissal. The company did not indicate the status of the other four cases.
The company indicated success in employing females in commercial roles in sales
and distribution, which has been male-dominated in the past. A good gender
pipeline has been developed. The company indicated that it requires skilled African
females in senior roles in the technical environment, manufacturing and sales. The
representation of women in support functions is not a problem.
The company’s retention figures from 2014 indicate a higher percentage of women
are retained. The employment of PWDs presents challenges. The company has run
a disability disclosure campaign.
In terms of external community commitment, the company runs a ‘women in maize’
socioeconomic development programme. It is in a pilot stage. There are 120
women in 11 co-operatives, across four provinces. They supply SAB with 10 percent
of its maize. There is also the SAB Foundation which supports enterprise development
in society, and has invested in female entrepreneurship and social innovation. There
is the SAB Kickstart project to alleviate poverty, and takes in people between the
ages of 18 and 35.
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32
Discussion and analysis of SAB Miller
The Commission commended the company for having a strong will to do what needs
to be done in terms of transformation, to which it has shown a commitment.
The Commission asked which is the most male-dominated unit and why. The
response was that it is supply chain and manufacturing in the breweries, and
machine operators. Breweries make up the majority of employees.
The Commission indicated that it was disappointed when it comes to disability. It
was observed that such a big company should be looking after people with
disabilities.
The company also submitted that SAB develops people from within the organisation,
and that women are deliberately promoted. 41 percent of management benefits
women. The marketing department is also run by an equity-targeted female. Thirty-
one percent of training spend goes on women. Some sites have a mother and baby
room. More flexi-work is encouraged. Employees can also work from home.
Maternity leave constitutes four months paid leave with an option to extend to one
month’s unpaid leave, or standard leave.
The Commission asked why less attention is paid to lower grades in terms of
transformation? The response was that there are major challenges of
representation at upper levels, and that the company feels pushed to improve
gender representation at those levels. It is more difficult to find women to fill these
roles. The company needs to be more deliberate in finding women at these levels.
The Commission responded by saying that there needs to be more focus on women
to transform lower levels.
The company is committed to growing the number of women in co-operatives in
four provinces. It plans to invest substantially in agriculture and black women.
The Commission wishes to meet the company again in a year’s time.
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13. PRESENTATION BY SASOL
Presented by Ms Sinenhlanhla Mkize, Senior Vice President Human Resources.
Sasol operates within the fields of chemicals, mining and energy. It has a presence
in 33 countries, and employs a total of 31 000 people. There is poor representation
of females in top, senior and professionally qualified employees. At top
management level Sasol has 34 employees, of which only 5 are female. In total,
Sasol employs 20 821 (77 percent) males and 6 113 (23 percent) females.
The joint CEOs and the group executive committee are responsible for the
implementation and oversight of gender transformation. Transformation and growth
strategies are a human resources strategy priority. Women’s empowerment is central
to the talent management strategy. To this end the following are in place:
incentivisation of opportunity utilisation; a diversity 10-point plan; talent leadership
development focusing on diversity, high potential individuals (LEAD)through which
high potential diverse candidates are provided with skills training to accelerate
diversity and inclusion at senior management positions. Females make up 52 percent
of the current delegates. LEAD equips leaders to deal with unconscious bias, a
mentorship programme, and a women’s empowerment strategy. Seven hundred
leaders have gone through this programme. Whenever there is a vacancy, the
opportunity must be used to close a gap in diversity employment, be it racial, gender
or disability. Succession planning, retention and development all focus on women.
An amount of R12 million is allocated to the LEAD programme. Spend on female
bursars and learnerships in the annual cycle was R65.84 million. The leadership
diversity dialogue spend was R1 million and the launch of women empowerment
strategy was R1.5 million.
In terms of training, there is a 3-5 year programme, in terms of which employees are
moved around the company. They are put into real jobs and gain experience to fill
leadership positions. They receive a lot of mentorship. Fifty percent of the 2013
individuals emerged in top positions in the operational and technical environments.
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34
There are also mentorship circles, where a senior person mentors up to 12 people.
There are international rotation programmes, and the Sasol women’s networks are
entrenched. On the leadership development courses, female participation is 32
percent and male participation 68 percent. Sasol runs one of the largest bursary
schemes in the country, but the intake consists of more men than women. In terms
of the artisan career path, which includes a learnership, more women are
participating than previously.
The spend on female bursars and learnerships is R65.84 million. The resources
allocated to improving gender representation is led by joint CEOs and the group
executive committee. Executive accountability lies with the executive vice-
president.
Sasol relies on affirmative action measures to drive and monitor the upwards
movement of women and PWDs to top and senior management. Although Sasol’s
recruitment policy does specifically target women and PWDs, the implementation of
the policy seems to be poor. In order to track the movement of women and PWDs
within the company, there is a quarterly gender report. The CEO also looks at
progress monthly. The human resources scorecard monitors the progress of women
in the organisation. There is a monthly analysis of female movement per
occupational level. The ‘Women in operations’ framework targets women’s
development to fill positions in the more senior leadership roles. The company has
focused on development programmes, such as the youth development programme,
the graduate internship programme in the supply chain, and development
programmes for female fuel distribution operators.
Sasol does not have childcare facilities, but does have a flexitime policy. The
company is working on providing childcare facilities. Funding is currently lacking for
a crèche in the new head office. Space has been made available, and building
plans will be mapped out in the next 18 months.
Sasol does run awareness programmes to address gender equality and
discrimination, but the frequency of the campaigns is problematic. Sasol conducts
sexual harassment awareness campaigns. The sexual harassment policy has been
E M P L O Y M E N T E Q U I T Y R E P O R T
35
effectively used. Since 2014 there have been eight cases. Four ended with dismissals,
two in final written warnings, one in a final warning with suspension, and one with no
action taken.
Sasol has been steadily progressive in retaining staff. It has a high retention level of
female employees.
Sasol was recognised as finalist for its gender mainstreaming programme in four
categories at the Gender Mainstreaming Awards in 2013.
One of the difficulties faced by Sasol in terms of achieving gender equity is that not
many women choose careers in technology and engineering. In addition,
underground and shift work is not attractive to women. There is an improvement in
the representation of women in research and technology, and sales and marketing.
Office-based jobs in general are more attractive to women. The biggest struggle in
terms of the representation of women is in operations. They are also competing with
Shell, GP, Anglo American, etc, for skills in the sector. There is a small pool of expertise,
and the industries are highly competitive. The low oil price has also imposed
constraints on employment. Their bursary schemes and learnerships target women.
Fabrication, rigging and turning work used to be outsourced. Now that it is insourced,
there is an improvement in equity numbers.
Analysis of Sasol
The Commission said that the presentation shows clear evidence of Sasol’s
commitment to transformation. It wanted to know whether the company has shared
best practices with other industry players. The response was that best practice is
shared in industry bodies, where Sasol also learns from other companies. They work
closely with the SETAs in the industry. They are often invited to forums and
conferences where they can share best practice.
The Commission noted its disappointment with the apparently poor ascendance of
people with disabilities into top and senior management. It questioned the gaps in
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36
representation in learnerships, and asked what plans are in place to increase women
taking up bursaries.
The representative replied that there has been a more focused approach in
targeting women for top positions over the past five years. There is intense targeting
of women in the EE plan. The first woman on the Exco was 11 years ago. Historically,
gender was not a focus in senior leadership positions. They are trying to reverse a 65-
year history. The LEAD programme is now 73 percent women. When the programme
was initiated, there were only two women. The over-representation of white males at
all levels is a result of the company relying on natural attrition. Women are considered
for positions when vacancies arise. People tend to stay in Sasol because they
acquire the required knowledge and skills over time.
The company runs projects in the community to inspire more girls to choose a career
in engineering and technology.
It also runs the handbag project for victims of racial and sexual assault.
In order to equip women physically for mining jobs, mining boot camps are run to
improve women’s fitness and ability to work in an underground environment. Fifty-
one out of 66 women passed a fitness test after participating in a boot camp. The
company has also improved personal protective equipment for women, and
upgraded underground ablution facilities.
The Commission questioned the lack of presentation of PWDs, and offered CGE’s
help in this regard. It also noted that the White Paper on disability has very clear
recommendations on mainstreaming PWDs. Gender is all-inclusive. It includes
women in all their diversity, including disability. Disability is not an add-on.
A project for sourcing PWDs is being run over a five-year period. It includes ensuring
accessibility for PWDs, awareness sessions and the encouragement internally of PWDs
to volunteer for positions. It also wants medical verification as defined by law. A
problem is that many people don’t want to voluntarily declare their disabilities. The
company has established a data base of PWDs, and can also recruit them externally.
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37
Positions for PWDs have been earmarked across the organisation, and they are being
targeted for specific positions. Two years ago, there was the Harambe learnership
programme for PWDs. PWDs entered the organisation in various roles. This was a
very successful strategy.
The representative said that the current childcare facilities are to be used as a pilot.
Childcare facilities are particularly needed where women work shifts. The wellness
centre in the new headquarters has breast-feeding and expressing facilities. It is also
a pilot.
The Commission also commended Sasol on the number of programmes focusing on
the training of women. It wanted to know whether child-care facilities would be
rolled out to all centres in future. It also wanted to know what is happening with the
outstanding case on sexual harassment. It questioned how the company ensured
that gains are not reversed.
The Commission noted that the representation of women, especially at higher levels,
was not substantive. It requested that Sasol return in a year’s time, and illustrate
substantive changes. Gaps in achieving gender equity must be closed. The
Commission stressed that the company must focus on ensuring that equity gains are
not reversed. Like must be replaced with like, where there is already equity.
14. PRESENTATION OF H L HALL & SON
Presented by Ms Karen Mostert. HR Manager.
The company is an agricultural business based in Nelspruit. It is not to be confused
with Halls juice or Halls sweets. It focuses on the cultivation of avocado, and
produces five million cartons of the fruit per annum. It is family owned, and has
existed for 125 years. It operates in four countries.
There are 241 employees. In senior management, there is one white male and one
white female. Most staff fall under administration and operations. Thirty-seven staff
are salaried, and out of these, 15 are female and 22 male. There are wage
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employees in operations and farming. There are seasonal employees in the
packhouse.
There is poor representation of females at top and senior management levels, and
no representation of historically disadvantaged groups. The majority of staff at these
levels consists of white males. There was no evidence of employment of PWDs.
There are no specific measures to promote gender transformation at these levels,
except for reliance on the EEA. Transformation is overseen by the HR department
and the EE committee, with no specific individual to drive gender transformation.
An external consultant is engaged in the process of training on EE throughout the
business.
The company did not provide information on what measures are employed, or
budgets allocated, to support gender transformation.
The company relied on quarterly meetings of the EE committee to track upward
movement of women and PWDs.
The company does not have a recruitment policy and does not specifically target
women and PWDs.
There are no mentorship programmes aimed at women and PWDs aimed at
accelerating their progress to top and senior positions. There are no childcare
facilities or flexitime.
There are no awareness campaigns for gender equality, sexual harassment and
discrimination. The company has a sexual harassment policy, but its effectiveness is
unknown. Employees are aware of the policy. In 2015 one case was reported, but
charges were withdrawn.
The company focuses on people’s skills and abilities, rather than on gender.
A number of corporate social Investment programmes, focus on education, health
and employee volunteerism. The Viziemaths programmes have 241 students
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enrolled, and provide extra maths lessons. The Umphakatsi project is an early
childhood development programme for practitioners. The Woodhouse community
centre takes care of orphans and children of employees, as there are no childcare
facilities. The Right to Care projects provide HIV/AIDS information, screening and
counselling. There is a clinic service for all staff and dependants. The Lula Sandla is
a quarterly staff award which encourages volunteerism in employees. The proceeds
of the award are paid to the entity where they volunteer.
Discussion of H L Halls
This discussion presents a preliminary engagement with H L Hall. After a brief
discussion, the commissioners adjourned to caucus. They noted their appreciation
to the representative for making herself available, but said they preferred to interact
with the accounting officer. They were finding it difficult to engage as there were no
policies to engage with. CGE further pointed out that everyone is operating
according to the Constitution and a legal framework. Business must understand
their rights and obligations. The Commission wants to see an understanding of what
the Constitution says about a rights-based approach to employment. It asks that
basic policies prescribed by law, especially the EE Act, are in place within six months.
A review of what has been done must be presented. A workshop must be
conducted for all employees on policies, especially on a sexual harassment policy.
The head of legal department will offer support. There also must be interaction with
the DoL. The Commission noted that the total lack of focus on gender and PWDs is
a big problem. It said that the HR representative cannot be solely responsible for
transformation. She should speak to the CEO and the Board, requesting assistance.
She should also contact the Business Women’s Association. It added that
transformation is not a welfare approach, but a rights-based approach.
The representative said that the professional/operational level was divided into
farming and packing. Experience was required to head these departments. It
required oversight and management. She said there were 2 black assistant
managers. People who worked in irrigation and orchards were 38 African males and
64 African females. She said the company was committed to seeing change.
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15. PRESENTATION BY SIX SONS (PTY) LTD. TRADING AS KLOPPERS.
Presented by Dr G Van der Berg, Director, assisted by Mr W Kloppers, Director and Ms.
A Wessels, Human Resources.
The company is based in Bloemfontein. It is a retail department store, offering a wide
range of products. It was established in 1967.
The profile of top, senior and middle management is disaggregated as follows:
Top management: 5 white males, 0 white females and PWDs
Senior management: 5 white males, 2 white females
Middle managers: 4 African females, 2 white females, 1 coloured female,
5 African males, 1 coloured male and 9 white males.
Administration: 64 African males, 12 coloured males, 55 white males,
50 African females, 17 coloured females, 2 indian females,
42 white females.
The company employs 27 PWDs, of which 9 are women. None are at senior or top
management levels. They represent 9.6 percent of the total workforce.
The total number of staff is 283. The above statistics include lower levels of staff, such
as cleaners and gardeners.
The company indicated that there are two white females in senior management
positions. African females and coloureds were appointed in middle and junior
management positions, and are developed to be promoted into senior
management positions.
Mr Dirk Klopper, the Director of the company is the equity manager. He is responsible
for implementing and overseeing gender transformation. Gender transformation
forms part of the performance review of responsible persons together with the other
four directors.
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An amount of R600 000 is available for training and development. Part of this budget
is spent on women.
There is no special budget for gender transformation. However, funds are allocated
for training and development. There is also no specific system in place for tracking
the upwards movement of women and PWDs to top and senior management.
Recruitment policies do not specifically target women and PWDs for senior positions.
There are no capacity-building programmes aimed at accelerating women and
PWDs to senior and top management positions. Women appointed in junior and
middle management positions are targeted for further development within the
company.
The company does not provide childcare facilities or flexitime. In-house
presentations are made on unfair discrimination and affirmative action to all
employees and management. Kloppers currently rent their premises. It is expected
that a crèche will be built within three to five years. The company does not have a
sexual harassment policy and uses the Code of Good Practice to deal with sexual
harassment cases. Awareness campaigns on sexual harassment were last carried
out in 2014. From 2014 to date there have been two cases of sexual
harassment reported. One employee received a final written warning, and one was
dismissed.
The equity manager and members of the employment equity committee are
responsible for communicating the employment equity process to employees. A
copy of the annual report is also placed on the notice s of the company.
The company has been successful in promoting female employees to junior
management positions and involving them in development programmes. The
company said that it was difficult to get women and PWDs with the necessary skills
and experience, into senior management positions.
The recruitment rate from 2014-2015 was 11 males and 8 females. Fourteen males
and 8 females resigned or had their contracts terminated.
E M P L O Y M E N T E Q U I T Y R E P O R T
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The company has no particular representation of women on selection panels, and
there are no PWDs on these panels.
Discussion of Kloppers
The Commission noted that the presentation was disturbing. One person, namely Dr
Van der Berg, is responsible for almost everything in the company. More diversity is
needed.
The Commission asked whether salaries across gender and racial groups are equal.
The representative said that during EE committee meetings, the equity manager and
managers of all levels are present. The committee approves any plan before it is
signed by directors. The committee tracks who was trained and appointed, who
resigned and why, and who was recruited. This is all part of the tracking process and
in the minutes.
Since 2014 there has been equal work for equal pay, with the exception of those in
long service. Seniority is also taken into account.
The Commission noted that the company is on the right track, and that the
employment mix is not male-focused.
The Commission wanted to know the kind of training offered by the company and
its focus. It also asked whether the company is working with the SETA. It noted that
the company has done very well on the employment of PWDs, and shown
commitment in this area.
The representative says that training is concentrated on HIV/AIDS, health and safety.
Other training, for example, how to manage finances, is also offered. T h e r e
are 18 supervisors on learnerships.
The Commission noted that SMMEs are very important in transformation and
development in South Africa.
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The Commission suggested that in terms of childcare, the company should partner
with other facilities in the vicinity, as it was unlikely, given the small number of people
employed, that it would have adequate numbers to justify building its own facility. It
pointed out that when there’s a resignation, diversification could take place through
that route.
It noted that it is important to have black disabled women on the staff.
It said the company should not necessarily copy what other companies do. Rather,
it should ask employees what they want.
Thee needs to be a sexual harassment policy, not just a code of good practice.
16. PRESENTATION BY OOS VRYSTAAT KAAP (OVK) OPERATIONS LIMITED
Presented by Mr Malcolm Jafta, GM Corporate Services.
OVK is 98 years old. It began as a number of small farmer co-operatives, with small
numbers of white farmers. The co-operatives are divided up into districts. Each district
selects an individual to represent them on the Board of directors. The directors are all
farmers. The company is based in Ladybrand, in the Free State province. It has
branches in the Northern Cape and Eastern Cape provinces. In total it has 51 trade
stores and two Toyota dealerships, in Ladybrand and Ficksburg. In 91 percent of
towns where it operates, it is the only employer. It is an agricultural business. The
company provides services required by farmers, such as insurance. It also provides
loans.
Top, senior and middle management is profiled as follows:
Top management: 1 coloured male and 6 white males.
00 females and PWDs.
Senior management: 17 white males
The total number of
people with disabilities: 11.
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44
All other positions: 608 African males, 225 coloured males,
376 white males, 157 African females,
173 coloured females, 2 Indian females,
180 white females.
Total employed: 1935 1372 males, 563 females.
People with disabilities: 1 African female, 2 white females,
1 African male, 1 coloured male, 6 white males.
These statistics include skilled, semi-skilled and unskilled employees.
The general manager, corporate services and the managing director are responsible
for implementing and overseeing gender transformation.
Gender transformation does not form part of the performance reviews.
There are monthly management meetings, as part of the EE plan, chaired by the
managing director, which track the progress of women and PWDs in the company.
Recruitment policies do not specifically target women and PWDs for senior positions.
The recruitment and selection policies are under review. Advertisements are placed
in newspapers, on websites, through recruitment agencies, and on LinkedIn. Internal
advancement is preferred over external recruitment. There is succession planning
and talent management, although there is no specific mentorship. There are,
however, targeted skills development programmes to create a larger pool of suitable
qualified people from designated groups. The profile of the learnership and graduate
programme 2015/2016, is as follows: 27 African males, 36 coloured males, 17 white
males, 10 African females, 33 coloured females. There are no capacity-building
programmes aimed at accelerating women and PWDs to senior and top
management positions.
Awareness on gender equality and discrimination is carried out through an internal
monthly newsletter. An awareness session will be held in the first week of December
2016.
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The company does not provide childcare facilities, as they operate in small towns.
Female employees are allowed 2 child-minding breaks per day. There is also no
flexitime.
The company has invested in a mobile clinic in the Northern Cape.
There is a sexual harassment policy. No awareness campaigns on sexual harassment
are conducted. Three cases of sexual harassment were lodged in the past two years
and the necessary disciplinary action was taken. One employee received a final
written warning, another one was dismissed, and one is receiving ongoing
counseling.
The challenges encountered by the company include finding suitable, qualified and
willing individuals to do the work. The company requires scarce skills to fill specialised
roles. For example, it has taken seven months of fruitless searching for a finance
manager. The company is looking for an African female. It has taken three months
to fill the position of manager of grain. In many instances, OVK is the only employer
in the small towns in which they operate. If an employer’s spouse is not able to find
employment, the company tries to assist. There are often either no schools in the
area, or schools only offering up to Grade 7. Children have to go far away to schools,
and often parents follow them, and leave the small towns.
The interview panels consist of the departmental manager, who is male, an HR
consultant who is female, and a company representative who can be male or
female. There is no mention of a PWD on the selection panel.
Discussion and analysis of OVK
The Commission noted that it is an uphill struggle for OVK to effect transformation. It
is always difficult to retain Africans in places which are not transformed. The
representative said that since last year, HR and branch managers have spent time
with school teachers to identify potential employees from learners from designated
groups. It also attends open days of schools and universities, and has a relationship
with provincial government. It is not actively targeting white males.
E M P L O Y M E N T E Q U I T Y R E P O R T
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The company said it requires skills and expertise in agriculture, and people in that
field are white men. Farmers are Afrikaans-speaking and 90 percent of customers
are Afrikaans-speaking. So a challenge is that BEE candidates are not fluent in
Afrikaans.
The Commission noted that 14 employees were disabled, but there was no
disaggregated data. It wanted to know how PWDs will be recruited in future. The
respondent said that bigger towns, such as Port Elizabeth and Ladybrand, had to be
targeted for potential talent. The currently employed PWDs are from Bloemfontein.
PWDs have logistical and infrastructural problems in smaller towns. The company
provides four months’ maternity leave on 33 percent of salary.
The Commission said the company should have memorandums of understanding
(MOUs) with schools, technical colleges and universities. It said that it was not
convinced that the company was going to transform. The Commission requested
a follow-up meeting with the company in six months. It wants evidence of a
transformation plan. It will then be able to say after a year whether or not the
company is transforming successfully.
17. PRESENTATION BY MAFIKENG TOYOTA
Presented by Ms Natasja Dames, Labour Consultant.
The profile of the company’s workforce is presented as follows:
The total number of employees is 35.
Top management: 1 white male, founder of the dealership.
Senior management: 1 coloured female, 1 white male and 1 white female.
Mid management: 1 African male, 1 coloured male and 2 white males.
Skilled level: 13 African males, 3 African females, 5 white males
and 1 white female.
Semi-skilled level: 1 African male, 3 African females and 1 white female.
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The company was not clear on who oversees gender transformation and on whether
it forms part of the person’s performance review. There is no mention of what the EE
manager’s role is and at what level.
The company has no measures to support gender transformation. Throughout its
responses to the questionnaire, it reiterates the fact that it is small, and based in a
rural area. There is an indication that cognisance is taken of gender and race when
new appointments are made, but no indication of how it is done. There are
mentorship programmes, but no indication is given of what they entail and who they
target. The company has six apprentices from designated groups. There is a sales
and service advisor for skilled levels of employees. Their efforts are aimed at African
women. There is no flexitime or childcare facilities.
The company has a generic harassment policy, but no policy dealing specifically
with sexual harassment. There are no sexual harassment awareness campaigns as
the company is too small. There seems to be an assumption that because the
company is small, there is no sexual harassment.
Cognisance is taken of various institutions of higher learning in Mafikeng, but the
company maintains that, due to their location, it is unable to find qualified people.
There is no mention of whether they have forged relationships with these institutions
in order to source the requisite talent.
The company indicates that generally they do not conduct interviews as the majority
of candidates are headhunted, due to the limited availability of talented individuals.
Despite headhunting, men continue to dominate management positions.
Challenges encountered include the lack of availability of qualified people in the
North West Province. Sourcing such persons is expensive. For example, relocation
costs have to be paid. Young, qualified individuals seek employment in cities. There
is a general 15-20 year literacy gap which hampers the trainability of prospective
employees. The company will not be expanding to meet equity targets. It will only
source new employees if individuals leave the company. Sourcing from within the
company to fill more senior positions is considered first, before appointments from
E M P L O Y M E N T E Q U I T Y R E P O R T
48
outside are made. Owing to the scarcity of work in the North West Province,
employees tend to remain in their jobs. The availability of people with disabilities in
Mafikeng is less than one percent. Such persons can only be employed in
administrative and sales positions.
Discussion and analysis of Mafikeng Toyota
The Commission noted that it does not follow that when numbers in a company are
small, there is no sexual harassment. It also noted that it is difficult to find skilled people
with disabilities in Mafikeng. However, it questioned whether the company takes
measures to pro-actively source PWDs.
The respondent noted that in terms of the employee profile, there is an African male
in the service centre, and a white female working in stores. Three African females are
working at the skilled level, and being trained for service, and possibly for the store
side. If a white male moves, an African female will be considered.
The Commission noted that there was no transformation in the company. It questioned
whether training was linked to necessary skills requirements. The respondent said that an
African female will be considered for stores and customer services.
The Commission said that females must be trained as technicians. Women must be
encouraged to move into male-dominated fields.
The respondent said that policies are available for all employees. Unskilled
employees are not involved in policy creation programmes.
The respondent said that no specific mention is made of sexual harassment. She
said that no cases had been reported in the past 10 years. She insisted that sexual
harassment simply does not happen. She said that the owner of the company invests
in the upliftment of the children of employees.
The Commission asked whether there is an individual in the company who is
responsible for sexual harassment, to whom employees can report. The respondent
E M P L O Y M E N T E Q U I T Y R E P O R T
49
answered in the affirmative, saying the person was a white female. The respondent
said that approximately R440 000 per year is spent on training in technical skills, sales
and management skills. The focus of training is on females.
The Commission said it was mindful that this is a private family-owned business, and
that the owners made the decisions. It would accept the offer of the respondent for
the CGE to personally sit with company representatives to advise them on
mainstreaming gender in their workforce.
The Commission said it wishes to meet again with the company in six months’ time.
It must develop a plan to expose women to management positions, and plan a
training programme. It also said that skilled staff must be recruited from the university.
The SETA can direct the company towards people with disabilities.
The respondent challenged this, saying it can prove how often it had approached
the SETA in this regard, without success, but they welcomed the Commission’s offer
to assist the company in their transformation efforts.
18. PRESENTATION BY RCL FOODS
Presented by Wayne Hoare, Chief Human Resources Officer.
RCL Foods is an old company which used to be Rainbow Chicken under Remgro
and TSB Sugar. The new company was registered in June 2015. It has 20 000
employees around the country.
The employment profile of RCL foods is as follows: at top management level, there
are 7 white males. At senior management level, there are 4 females (1 African and
3 whites) and 33 males (29 whites , 2 Africans, 2 Indians)
The company has focused on its agricultural sector to promote gender
transformation, through its ‘Women in Agriculture’ initiative. This programme has
shown significant results in that it has facilitated an increase in female representation
at management level from 9 percent in 2014 to 30 percent at the beginning of 2016.
E M P L O Y M E N T E Q U I T Y R E P O R T
50
The company has an EE manager. HR directors report at regular intervals to their
respective divisional executives and the designated EE manager to the RCL foods
executive on progress made against the EE plan and gender equality targets.
Employee relations structures also exist where employees can voice any feeling of
dissatisfaction with, inter alia, the progression of gender equality.
The company has various resources allocated to support gender transformation.
These include learnerships, apprenticeships, senior leadership programmes and
recruitment drives, which prioritise hiring African, coloured and Indian females. One
in every two people recruited is from a designated group. It has a 41 percent
representation of previously disadvantaged persons.
Recruitment is aligned to support EE plans. In the financial year July 2014 to June
2015, in the categories of technically skilled and academically qualified workers and
above, 42 percent of hires were female, and from July 2015 to June 2016, 48 percent
of hires were females. Between 2015 and 2016, female hires went from 98 to 198, a
99 percent increase in one year.
The company has a formal reporting system on issues of gender transformation,
through monitoring, record keeping and reporting on progress. The CEO, the
executive and the Board are responsible for promoting gender transformation. The
social and ethics committee tracks the progress of women in the company. There
are 57 EE forums around the company. The promotion of women does form part of
performance appraisals.
From July 2015-June 2016, in terms of positions available, the company employed 48
percent females.
The company has both formal and informal mentorship programmes and coaching
programmes, in conjunction with the programmes in agriculture and the engineering
departments. It has also launched an executive leadership programme with the
Gordon Institute of Business Science. To date, 55 senior women in management have
attended this programme. Each has a personalised development plan. It aims to
identify, attract and retain women in business.
E M P L O Y M E N T E Q U I T Y R E P O R T
51
The company has no crèche or childcare facilities. However, clinics do have breast-
feeding rooms. It also has flexitime.
There is a sexual harassment policy, and the company conducts a sexual harassment
awareness campaign for its new employees during induction. It also hosts
information sessions for its older employees which include sexual harassment. The
policy has been utilised effectively. Twelve cases were reported and finalised since
2014. Two cases resulted in the offender apologising; two cases were found to be
without merit; three cases resulted in a final written warning; five cases resulted in
the offender being dismissed.
Given the sensitivity of reporting sexual harassment and fear of victimisation, the
company has a ’Hayibo’ whistle-blowing hot line through which employees can
report a matter in confidence. The information regarding this hot line is prominently
displayed on notices at all sites, on every employee’s payslip, as well as on the
company’s intranet. The hot line is available 24 hours per day, all year.
There is a Code of Ethics and Good Practice which has to be signed by all
employees.
The company has a higher female retention rate from 2015-2016.
Discussion of RCL Foods
The Commission applauded the company for prioritising women on the
management programme run by the Gordon Institute of Business Science.
It noted that even in unskilled and semi-skilled positions, there are many white males. It
encouraged the company to change the profile of its workforce at these levels. It
suggested that a targeted programme be initiated to recruit and train women in hard
skills. It also suggested that when people go on leave, women are put in their place.
The Commission said that within six months, the company should have transformation
plans for short-, medium- and long term. It said that the company will be contacted
within a year.
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19. PRESENTATION BY NWK LTD
Presented by Danie Marais, Managing Director.
NWK Ltd. has existed since 1998. Prior to that, it was a co-operative. It is an
agricultural business and has been participating in the grain and food value chain
of southern Africa, predominantly in the North West province, for more than a
century. Its main objective is to trade in agricultural and related products, aids and
services at a retail level and to undertake associated activities. It also participates
in the upliftment and development of local communities and beginner farmers. It is
dominated by male farmers. Shareholders and clients are predominantly white
farmers.
From 2011-2015 it was undergoing restructuring. Human capital policies and
processes were revamped. Its focus has been on building talent, management
coaching, mentoring, mapping the talent pool and succession planning
infrastructure. It received the Employer of the Year Award for three years in a row,
from 2013 to 2015.
The profile of the workforce is as follows:
Top management: 4 white males.
Senior management: 6 white males.
Middle management: 10 females and 49 males (racial disaggregation not given).
Junior management: 89 females and 225 males
(racial disaggregation not given).
Semi-skilled levels: 262 females and 580 males
(racial disaggregation not given).
Skilled levels: 81 females and 555 males
(racial disaggregation not given).
The company provides learnerships to previously disadvantaged groups and PWDs.
People who participated in the learnerships are permanently employed by the
company. The company developed a ‘grow leaders’ programme, which includes
E M P L O Y M E N T E Q U I T Y R E P O R T
53
diversity training. In 2007, the total budget spend on training was R230 000. In 2016
it was R10 million; 9 million rand on males and R 2.2 million on females.
The managing director champions gender transformation. The manager:
transformation and labour relations, the group manager: human capital and the
talent scout and heads of department of the various business units are also
responsible. Implementation of gender transformation forms part of their
performance review.
The recruitment policy seeks to ensure that bias and unlawful discrimination are
excluded in the recruitment and selection process. NWK has an on-going
programme that seeks to ensure that people who are newly hired feel welcome and
prepared in their new positions. In the long run, the hope is that NWK will be able to
retain them. In terms of managers’ KPAs, they must recognise diversity and promote
and apply fair labour practices in their departments.
The succession policy indicates that previously disadvantaged employees must be
given preference where necessary and it also seeks to groom and develop them for
more senior positions. Progress is monitored monthly by a business intelligence
system. The recruitment platform also tracks this movement. The recruitment policy
and the EE plan focus on transformation in respect of all designated groups. The
company has a graduate programme and offers bursaries and internships. I t
does not provide childcare facilities, as a recent survey showed a lack of interest
from women employees. Flexitime is provided, and includes alternative work
arrangements for women returning from maternity leave. This arrangement ensures
that women’s transition and re-integration into the workplace is done with ease.
The company takes numerous steps to initiate awareness on gender equality and
discrimination: it has equal pay workshops, diversity training, a sexual harassment
policy, and awareness campaigns are conducted during staff induction.
The effectiveness of the sexual harassment policy has not been established and no
cases have been reported.
E M P L O Y M E N T E Q U I T Y R E P O R T
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The company noted the following challenges: Language: the predominant
language of the company and its customers is Afrikaans. Employees must ideally be
bilingual in English and Afrikaans. The lack of availability of talent in rural areas is
another challenge; professional and skilled black employees come mainly from big
cities. There are no community or family support structures in rural areas. The junior
management level turnover is 18 percent; people leave to return to the cities or to
be closer to families. Another challenge is the Infrastructure problems in the North
West province: in small towns, the availability of adequate housing is scarce. There
are also problems with water and electricity provision. There are relocation
obstacles, and the expense of relocating staff, the geographical situation of the
company and the perception of the industry is not attractive. The general economy
has been bad for the past three years. There have been three droughts in five years.
NWK needs to consolidate. It needs a turn-around strategy, which will include closing
businesses and selling off businesses. Therefore, employee totals are shrinking, and
going to shrink even further in the future.
The EE committee communicates the EE process to employees.
In September 2016, EES-SIYAKHA Services was appointed to assist with the
restructuring of the EE consultative forum, to conceptualise the functioning of the
new EE management committee, to revamp the EE plan and to assist in building EE
management reporting.
More women are retained than men, with 83 percent of women being retained,
compared to 78 percent of men.
Outside the business, NWK runs a farmer development programme, mainly in maize
and sunflower production. This season, 20 farmers were financed by NWK Financing.
A cap of R25 million was placed on the available funds. Services rendered comprise
the following: support on all aspects of farm management, grain handling and
access to grain markets, financing of production inputs, input cost insurance. and
supply and procurement of all production inputs.
E M P L O Y M E N T E Q U I T Y R E P O R T
55
In terms of black farmer development, technology transfer and training is
undertaken. A large number of these farmers have already completed NWK’s NQF
Level 2 Farm Management Course and some have even completed NWK’s NQF
Level 4 Advanced Farmer Development Programme. A NQF Level 2 course in animal
husbandry was also presented to 20 learners.
Discussion and analysis of NWK Ltd
The Commission noted that there are no employees with disabilities. It urged the
company to use the University of the North West Potchefstroom’s disability desk to
help to address this.
The Commission wanted to know whether top management positions will be ring-
fenced for women, and who is earmarked for these positions. The Commission also
asked for a copy of the survey on childcare facilities. It asked why women were 0not
interested in this.
The Commission asserted that the company needs help on improving its equity
numbers, the environment, and attitudes. The respondent said that there is one
person with a disability employed.
More information on financing black farmers and women in horticulture will be
provided. The Commission is concerned about the fact that the bulk of the training
budget is allocated to men, with R9 million for males and slightly over R2 million
allocated to women.
The Commission also recommended that NWK have a programme geared towards
training females and black people in technical skills and that this must reflect in the
workforce.
The Commission recommended further that NWK needs to submit racial
disaggregation of its middle management, Junior management, semi-skilled levels
and unskilled levels.
E M P L O Y M E N T E Q U I T Y R E P O R T
56
20. PRESENTATION BY EH HASSIM
Presented by Tsakani Khoza. Group HR Manager.
After a presentation which involved mainly the illustration of the company’s
Employee Policy Handbook, the Commission queried why, out of two sons and a
father who are the owners and directors of the company, not one was able to
attend with the HR manager. The Commission called for an adjournment, so they
could discuss how to go forward.
The Commission returned after caucusing. It noted that part of the aim of
establishing the CGE was to ensure that institutions are respected as supporting
democracy. It takes a dim view that when it calls people who make decisions in the
companies, they do not appear. The legal team will call for a supplementary
hearing, at the expense of the company, at the CGE’s head office. The Commission
said that there were questions it wanted to ask, which the HR person would be
unable to answer. It said it could not engage further, and EH Hassim was excused.
21. PRESENTATION BY JONSSON WORKWARE
Presented by Nicholas Jonsson, CEO.
The head office of the company is in Durban. It was established 60 years ago. The
employment profile of the company is as follows: at top management level, there
are 3 white males and 1 white female. At senior management level there is 1 Indian
male, 2 white males, 5 African females, and 3 white females. In total, 58 percent of
employees in the company are women.
There are no specific measures put in place to evaluate and promote gender
transformation and to increase women’s representation at top and senior
management levels. There is no specific person responsible for implementing gender
transformation. The responsibility for driving the EE process is EXCO’s. The aim of the
company is to be inclusive and non-discriminatory, and to hire the best people for
E M P L O Y M E N T E Q U I T Y R E P O R T
57
the job; to teach them and build a successful business. It is difficult to change the
composition of the workforce at the top level. The new financial director is a woman.
The company adopts a non-hierarchical approach to business. People are hired
mainly based on their attitudes. The company has a good reputation for being
forward-thinking. There is a high turnover of staff, because employees are poached
by other companies. They are hired over the telephone, because they are so good.
The CEO invited the CGE to visit the company and talk to the employees to see how
things are done. There are no resources allocated to specifically support gender
transformation.
There are no tracking mechanisms to track the movement of women and PWDs.
The company has an internal academy which provides mentorship, training and
guidance to their employees and the company offers subsidised extended learning.
All employees spend their first two weeks at the academy, where they are taught
how the company runs, and business values.
There are no awareness campaigns to promote gender equality.
No sexual harassment awareness campaigns are conducted. There have been no
cases of sexual harassment since 2014.
There are no childcare facilities. However, flexitime is allowed, although there is no
formal policy. A high number of female staff leave the company.
Discussion and analysis of Jonsson Work wear
The Commission pointed out that the policies which are not on paper, and
formalised, indicate the tone of the approach to gender equality. Formal policies
are important, because the Commission can then see where the company can
improve.
The Commission asked whether PWDs were being considered. It was not clear where
disabled women were in the company. It also noted that women must come to the
fore in senior positions in the company.
E M P L O Y M E N T E Q U I T Y R E P O R T
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The Commission also asked what programmes the company had in place to ensure
the upward mobility of women. in the company. Informal policies could be transient.
The focus on gender mainstreaming was in the hands of one person. What would
happen when that person was no longer in the company?. What would happen if
a person with a different attitude came in his place? Therefore, written policies are
necessary. There is also a problem with the high turnover of employees. If the
company invests in training employees, and then they leave, the investment is lost
with them.
The Commission asked who sits on EXCO? What is the succession plan? Are
conscious decisions made to employ African males and females and PWDs?
The representative said that all policies are written, and that they are free for
everyone to see. They are posted on the internet, and discussed frequently. No form
of discrimination is tolerated. He stressed that the sexual harassment policy is very
important.
He stressed that there is an all-pervasive attitude of equality in the workplace, with
very competent leaders. He said he himself, as the CEO, is not all that important.
He said the company would like to work with the CGE, and would look at their
employment policies and ask for the Commission’s comments before they
implement them. He said it was difficult to find appropriately qualified black
professionals in Durban. He said the industry is faced with a skills shortage, mainly in
technical areas. There was a plan to build a factory near a village for AIDS orphans
outside Durban. He added that the company has a graduate leadership
programme. Young black students were elected for a 2-year term. He said these
students were sourced by the company presenting itself at open days at schools
and universities, and that the response was unprecedented. Twenty graduates were
selected on a short-list, of which four would be chosen for the programme. They
must be black, with a minimum of two females and two males. They will spend time
in various parts of the business, and then they can focus on a particular area.
Jonsson’s has no preference for which vocation they chose. It is their attitude that is
important. He said that the company implores senior managers to mentor more
E M P L O Y M E N T E Q U I T Y R E P O R T
59
junior employees and to expose younger people to interesting aspects of the
workplace.
He said the company was looking at new approaches to how people engage with
labour. For example, they were looking at job-sharing, where two to three women
shared a job. This would also give them more freedom to fulfil responsibilities outside
of work. He said that on the assembly-line, flexitime was difficult, but job sharing was
possible.
He said the company needed to make more effort in terms of employing PWDs. He
said they employ a deaf black woman who is a self-taught seamstress. She has
taught her colleagues sign language. There is a young black male paraplegic in
security, who monitors the CCTV cameras. He committed the company to dealing
with PWDs in the next EE plan.
The Commission said that the company was on the right track. But it must have a
policy on all aspects of employment equity. It can also then be exchanged with
others as good practice.
22. PRESENTATION ON MOORDDRIFT DAIRY PTY LTD
Presented by Jacqueline Stander, Chief Financial Officer.
The enterprise is family-owned, and over 100 years old.
The employment profile of the company is as follows:
Top management level: 2 white males, 1 white female
Senior management level: 2 black males, 2 white males, 1 black female,
1 white female.
Administrative level: 197 black males, 9 white males,
125 black females, 20 white males.
E M P L O Y M E N T E Q U I T Y R E P O R T
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The company relies on its EE plan to promote gender transformation in top and senior
management. The human resources manager is responsible for implementing and
overseeing gender transformation.
No resources are allocated to support gender transformation.
The EE plan highlights that “each employing and programming unit is expected to
undertake affirmative action to achieve equal opportunity for group members and
members of the underrepresented clientele and designated groups.” The
recruitment policy targets designated groups from the surrounding areas.
Preferential consideration must be shown for capable women and people with
disabilities when filling vacant posts. No discrimination is allowed against women or
PWDs in terms of pay, or conditions of employment.
The company has an EE and skills development committee and ensures a
reasonable representation of women and PWDs on the committee. Four members
of top and senior management are represented and six from administrative positions.
The representation is 50 percent male and 50 percent female. However, despite
the representation of women on the committee, it is difficult to ensure their
participation and feedback. The company tries to create an environment of
acceptance, where women can actively grow and contribute to the company’s
success. There is a programme which fast-tracks women and men for mentoring and
career progression.
The EE committee currently meets quarterly. However, this will be changed to every
second month to ensure that monitoring of progress can be more closely managed.
The company does have learnerships, although it says that it struggles to implement
these as it battles to find managers with the necessary qualifications to be trainers.
It also operates under financial constraints. The majority of people taking up study
assistance for designated groups are male. Furthermore, women take up shift work
and extra overtime to benefit financially due to large numbers of family dependents.
This makes it difficult for them to study, as they do not have the time.
E M P L O Y M E N T E Q U I T Y R E P O R T
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The company has a sexual harassment policy, but does not conduct sexual
harassment campaigns. The company deems the policy to be effective. There are
no reported cases of sexual harassment.
No childcare facilities are provided. The company says it struggles to find suitably
qualified and experienced employees from designated groups. The company
would appreciate education on relevant legislation.
Discussion on Moorddrift Dairy (Pty) Ltd
The Commission commended the company for the 50/50 representation of women
on the EE and skills development committee. It stressed that the company must run
sexual harassment awareness campaigns. It must also target women directly for
study assistance. It questioned which skills the company requires to promote women.
The Commission asked whether the company could conduct a survey on childcare
and maternity leave.
The representative said that they try to get people with disability to work on the farm.
There is a deaf woman working in the dispatch area. They also have programmes
with the Red Cross.
There are no childcare facilities. They do provide staff from the communities with
transport to the farm.
23. SUPPLEMENTARY HEARINGS
In the case of EH Hassim, a supplementary hearing was held on 12 January 2017 at
CGE’s offices. See Appendix 1 for the report.
24. CONCLUSIONS
Many companies presented a suite of policies, but had little or no evidence of the
impact of these policies.
E M P L O Y M E N T E Q U I T Y R E P O R T
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1. In general, companies make scant provision for people with disabilities. There
sometimes exists anecdotal evidence of the employment of such people, but
the issue is often not mainstreamed into transformation policies, or targeted
and addressed systematically. There also seems to be a lack of awareness of
the White Paper on disability.
2. The top levels of companies are largely dominated by white males. A notable
exception was an Indian-owned and run business, which was dominated by
Indian males.
3. In terms of the employment pyramid, there is generally an inverse relationship
between positions of seniority and the numbers of people from designated
groups, especially black women.
4. The challenge of the scarcity of skills and experience required for various jobs,
among women, was often noted. This is exacerbated by the EAP in certain
geographical locations and rural locations. Another problem with finding
requisite skills and expertise is the nature of the work involved. One such
instance is that women do not follow careers in science, technology,
engineering and maths. Another is that women are not physically capable of
work involving hard, manual labour. Another is that women are not attracted
to jobs involving long hours and shift work. Another case is unpleasant working
environments, for example abattoirs or underground. In these cases, the
Commission urged employers to actively target women, and to be gender-
sensitive.
5. The Commission urged companies not to harbour assumptions about women’s
likes and dislikes. Such assumptions mitigate against women being employed
for particular jobs, because it is assumed that they do not wish to be.
6. There is a prevalent misapprehension that because sexual harassment is not
reported, or because an entity is small, sexual harassment does not exist. The
Commission pointed out that there are numerous reasons as to why sexual
E M P L O Y M E N T E Q U I T Y R E P O R T
63
harassment may not be reported, which is not the same as its non-existence.
These reasons include an environment not conducive to the safe reporting of
such cases, such as an environment which is male dominated. The
Commission urged companies to provide a safe environment and safe means
whereby sexual harassment may be reported and dealt with.
7. Many companies raised the fact that overriding structural conditions such as
the economic downturn, droughts, the low price of oil, conditions within
sectors, for example, manufacturing, are not conducive to spending on
gender mainstreaming in terms of creating new positions which can be filled
by women, or training women.
E M P L O Y M E N T E Q U I T Y R E P O R T
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A P P E N D I X 1
SUPPLEMENTARY HEARING HELD ON 12 JANUARY 2017, CGE BOARDROOM.
1.PRESENTATION BY EH HASSIM BUILDERS WORLD
Presented by the CEO, Mr Z. O Tayob, Tsakani Khoza, Group Human Resources
Manager and Erich Katzke,Human Resources Consultant.
The company is based in Limpopo. It offers its’ extensive line of hardware products
through fine retail outlets in Limpopo. The Commission accepted an apology from
the CEO of the company for failing to appear before the initial hearings held on 28
October 2016.
There is a total of 465 staff. Three hundred and fifty-one (351) are males, of which 290
are Africans, 3 coloureds, 16 Indians and 6 white males. There are 114 females, of
which 94 are Africans, 3 coloureds, 6 Indians, and 8 white females.
At top management level, there are 3 Indian males. There are 2 males in senior
management of which they are cited as foreign nationals. There are 5 African males,
1 African female, 1 white female, 1 coloured female, 2 Indian males and 6 foreign
males respectively at middle management. At junior management level there are 50
African males, 29 African females, 3 coloured males, 8 Indian males, 4 Indian females,
5 white females and 4 white males.
The HR manager is responsible for gender transformation, which will form part of her
performance review going forward. The movement of women and PWDs with
disability is tracked through the EE plan.
The CEO advised the Commission that the company is a family business that was
established in 1895 and that throughout its existence there was a lack of priority on
E M P L O Y M E N T E Q U I T Y R E P O R T
65
employment and gender issues. A decision was taken nearly two years ago to turn
the company into a corporate professional business and thereby comply with the
necessary laws and policies. The CEO advised that the company has a bursary
programme of which R100 000 is offered for 12 months of study. The bursary is not
conditional to employment at the company. The CEO advised that the Commission’s
transformation hearings were a learning curve for the company to comply with the
necessary gender legislations.
The company has established ramps in all its yards to enable the environment to be
accommodating for PWDs. The company has 7 employees with disability, all of them
male.
The company has established a three- and 5- year exit strategy to deal with
transformation in the company. Included in the strategies is the succession training
of identified candidates and these candidates include women. The company
indicated that in the last six months seven female employees were appointed to
management positions.
The company intends opening four stores in and around Limpopo. In this regard the
company intends to employ 700 people. The company resolved that 25 per cent of
these employees will be females in management positions. The company commits
to appoint from within the company.
The company has established training and development programmes in terms of
their expansionary development of the business. These programmes include inter
alia, business leadership, coaching, negotiating for results, leadership skills for
supervisors, and human resources. A budget of R831 375, 00 has been set aside for
these trainings in 2017.
The challenge with gender transformation is that the work is mainly physical, and
women are not attracted to this sort of work.
The company has a sexual harassment policy and only one case was reported in
2014. Awareness programmes around this policy take place annually.
E M P L O Y M E N T E Q U I T Y R E P O R T
66
There are no childcare facilities due to the nature of the environment that does not
make it suitable for children.
The company has submitted all requested gender-related policies.
Discussion of EH Hassim Builders World
The Commission commended the company for having a plan and vision towards
gender transformation. The Commission urged the company to take cognisance of
the White Paper on disability. It also said that all stores must be accessible to
employees with different disabilities. The Commission is concerned about women
with disabilities not being represented in the company.
The figures indicate that the company is widely dominated by males. Although the
company argues that the nature of work requires physical strength, it is however
observed that the lack of female representation at the company does not reflect the
demographics of the country.
It is observed that both middle and junior management are also dominated by
males. This imbalance is concerning considering that generally management
positions do not necessarily require the physical strength of a person. A view may
therefore be expressed that the lack of female representation in this position is due
to the company’s lack of gender transformation mechanisms and strategies that
seek to ensure that females are escalated to senior management positions.
It is noted that once the performance review of the human resources manager
includes gender transformation, it will ensure that the company strives with
commitment to achieve their targets as delineated in the EE plan.
The submissions by the CEO indicate how private companies in general have minimal
understanding of what is required by the EE legislation. It therefore becomes evident
that non-compliance with the EE legislations has been for a longer period. It is
necessary that the company comes to terms with the fact that such better
representation among the designated groups makes business sense.
E M P L O Y M E N T E Q U I T Y R E P O R T
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The Commission noted that the company intended to open four new stores and
therefore advised the company to commit to recruiting people with disabilities in
these stores and urged the company to conduct further training around sexual
harassment. The opening of the new stores is a window of opportunity for the
company to increase its female representation and people with disability. The
company has set a baseline of at least 25 per cent of women targeted for
management positions in the intended stores. Although this is below the 50 per cent
representation, it is positive and a bold start to transformation.
The company resolved to include in its advertisements that women and persons with
disability are targeted. The Commission pointed out that the company needs to be
intentional about gender transformation and thereby observed that the unskilled
and semi-skilled categories need to change in terms of race and gender.
In terms of the sexual harassment policy, the Commission advised that there is a need
to have a structure that supports sexual harassment victims and is thereby responsive
to claims of sexual harassment. This measure will reassure the complainants that the
company understands the serious nature of sexual harassment and its effect on the
victims in the workplace.
The Commission urged the company to have succession plans for female
employees, as this measure would ensure that the company retains its female
candidates who are reassured of growth in the company.
Although the recruitment policies are found to be non-biased, it was, however, noted
that the interview panel may be biased because there are only male panelists.
In terms of maternity leave, the female employees are given four months’ unpaid
maternity leave. These women find their jobs still intact when they return to work after
maternity leave.
The company has an in-house training centre that is accredited by SETA and
employees are trained therein. The Commission commended the company for this
good practice.
E M P L O Y M E N T E Q U I T Y R E P O R T
68
CONCLUSIONS OF THE HEARING
In order to achieve gender transformation, it is required that the company must show
intention and commitment to EE issues. Both practical and bold steps need to be
taken by the management to achieve this. It became evident during the hearings
that the company needed some guidance around the EE laws. The company
indicated that the transformation hearings were a learning curve and as such
appreciated the Commission’s assistance. The Commission will continue to work with
the company around employment equity issues and compliance with relevant laws.
RECOMMENDATIONS
• The company needs to improve female representations in management
positions by ensuring that at least 25 per cent of women are appointed in
management positions in the new stores.
• The company needs to improve representation of women with disabilities and
race representation of whites, Indians and coloureds.
• In the employment of persons with disabilities, the company needs to consider
all forms of disabilities.
• The company interview panel needs to be gender-balanced.
• The company needs to consider headhunting at the University of Limpopo for
persons with disabilities.
• The company needs to create succession plans for female employees.
E M P L O Y M E N T E Q U I T Y R E P O R T
69
E M P L O Y M E N T E Q U I T Y R E P O R T
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NOTES:
GAUTENG :JOHANNESBURG (HEAD OFFICE)2 Kotze Street, Women’s Jail, East WingConstitution Hill, Braamfontein 2017, South AfricaTel: +27 11 403 7182 Fax: +27 11 403 7188
EASTERN CAPE (EAST LONDON)33 Phillip Frame RoadWaverly ParkChilselhurstEast London, 5200Tel: +27 43 722 3489Fax: +27 43 722 3474
FREE STATE (BLOEMFONTEIN)49 Charlotte Maxeke Street, 2nd Floor,Fedsure Building,Bloemfontein 9300Tel: +27 51 430 9348Fax: +27 51 430 7372
GAUTENG (PRETORIA)267 Lillian Ngoyi Street,Preator ForumPretoria 0002Tel: +27 12 341 6090 Fax: +27 12 341 4689
KWAZULU-NATAL (DURBAN)40 Dr. A.B Xuma Road, Suite 313, Commercial City Durban 4001 Tel: +27 31 305 2105Fax: +27 31 307 7435
LIMPOPO (POLOKWANE)Cnr. Grobler & Schoeman Streets, 1st Floor, Library Gardens Square,Polokwane 0700Tel: +27 15 291 3070 Fax: +27 15 291 5797
MPUMALANGA (NELSPRUIT)32 Belle Street, Office 212-230, Nelspruit 1200Tel: +27 13 755 2428Fax: +27 13 755 2991
NORTHERN CAPE (KIMBERLEY)143 Du Toitspan Road, Kimberley 8301Tel: +27 53 832 0477Fax: +27 53 832 1278
NORTH WEST (MAFIKENG)38 Molopo Road, Mafikeng 2745Tel: +27 18 381 1505 Fax: +27 18 381 1377
WESTERN CAPE (CAPE TOWN)132 Adderly Street 5th Floor, ABSA Building, Cape Town 8001Tel: +27 21 426 4080 Fax: +27 21 424 0549
TOLL FREENUMBER:0800 007 709
[email protected] I www.cge.org.za