On 1 May 2015, after a transition period of just over 18 months, the Amended B-BBEE Codes of Good Practice (“Amended Codes”) which was issued in 2013 came into effect. These “Amended Codes” replaced the B-BBEE Codes of Good Practice (“Old Codes”) of 2007. On the 5th of May 2015, Dr Rod Davies, the Minister of Trade and Industry, published the Government Gazette Notice No 38764, to provide further clarity regarding the application of the Amended Codes. Dr Davies highlighted the following:
Furthermore, the Notice clarifies that black participants in Broad-Based Ownership Schemes and Employee Share Ownership Programmes can now only score points under paragraph 2.2.3 under the Ownership scorecard.
If you have any further general questions regarding B-BBEE, you are welcome to arrange a consultation with Arnold Scholtz by contacting him at firstname.lastname@example.org.
(This article was adapted from correspondence issued by the South African Institute for Chartered Accountants)