Preference for whites and Indians in private sector top jobs must be tackled, CEE says

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An annual report by the Commission for Employment Equity (CEE) has found that legislation needs to be enacted to slow the “apparent pervasive and persistent preference” for whites and Indians in senior and top positions in the private sector. The commission is tasked with advising the employment and labour minister on equity targets.

However, analysts have argued it’s impossible to achieve employment equity as a result of fewer job opportunities spawned by Covid-19, which has resulted in many businesses shutting down and huge job losses. It is estimated that about three-million jobs have been lost so far, with projections rising to about seven-million.

Labour analyst Michael Bagraim said the slow transformation pace in the workplace could be linked to the embattled economy, which is expected to suffer a contraction of 7% or more for 2020.

“It is rather silly to expect people to hit employment equity targets when businesses are shrinking. You can’t change the demographic profile of your business when you are retrenching. You can only do so if you are employing,” he said.

“You will never change anything with a shrinking workforce.”

Workplace transformation has been a thorny issue for years, with those against it arguing that there is no capacity to transform quickly, while its proponents believe there is no skills shortage in SA.

CEE chair Tabea Kabinde stated in the commission’s report for 2019/2020 that an analysis of the workforce movement indicated an “apparent pervasive and persistent preference in the appointment, promotion and development of the white and Indian population groups”, particularly at senior and top management levels.

If parliament promulgated the Employment Equity Amendment Bill (EEA Bill), sector targets would become “pivotal in achieving transformation”.

“The employment equity compliance certificate will serve as an incentive in transacting with the state,” said Kabinde.

The EEA Bill was approved by the cabinet and sent to the National Assembly in February. It is intended to accelerate transformation by putting clear targets in place, as the government had no real targets, with current legislation only requiring “reasonable progress” when it comes to transformation. It was published on July 20 for public comment.

The CEE’s report, released this week, showed that in the private sector, 68.6% of the positions were held by white people; 12% by black people; 10.6% by Indians; and 5.4% by coloured people.

At national government, black people fared better holding 76.7% of the positions, followed by ...
20 Aug 2020 7AM English South Africa Business News · News

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