CGF ARTICLES, OPINIONS & EDITORIALS
B-BBEE: COULD THE NEW CODES BE A ‘STALEMATE’? (2015-09-30)
September 30,
2015 10889 10889 
Article by Terrance M. Booysen and reviewed by Dr. Robin Woolley (Director: Transcend Capital)
Since the introduction of the Black Economic Empowerment Act 53 of 2003 in South Africa, there has been a lot of debate regarding its relevance and impact on business and civil society.
At the time of launching the Act, few people argued that the Black Economic Empowerment (‘BEE’) Act was not necessary. It was important that the past economic and social imbalances -- caused through South Africa’s previous apartheid system -- be rectified through appropriate legislation. Accordingly, the BEE Act was intended to provide fertile ground to facilitate rapid economic transformation across a broad spectrum for black people, including their businesses and associated beneficiaries.
In reality however, and since the introduction of the BEE Act and the Codes of Good Practice (‘BEE Codes’) -- where neither have a sunset clause -- only a small percentage of black people have truly benefitted. Moreover, there is a growing gap between the few elite mega-wealthy black individuals who have benefitted from BEE, as compared to the millions of disgruntled black people who have been given the ‘raw end of the stick’. It is important to note that the BEE Codes, which were first published in February 2007 as a standard framework, were issued ostensibly to measure the manner in which organisations were complying with BEE. Due mostly to the poor levels of BEE implementation and transformation within many companies, in 2013 the Codes underwent significant amendments and these changes became effective on 01 May 2015.
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