EMPOWERMENT SCHEME
ONKGOPOTSE JJ TABANE: Sasol shows the way with BEE approach
Sasol Inzalo makes a welcome move in this era of malicious compliance
Broad-based black economic empowerment (BEE) and its part in the economic development debate has had unintended consequences. Chief among these is what can loosely be referred to as malicious compliance. This "tick-box" approach to BEE compliance by corporations has resulted in many of them implementing measures in ways that do not result in meaningful empowerment. When BEE first emerged, grabbing connected black people and making them shareholders was one of the first signs of malicious compliance. To remedy this, broad-based BEE was introduced, giving ordinary people a chance to own a piece of the economy through the ownership of shares in large corporations. In line with this, companies such as Sasol launched schemes in which their own staff and other citizens from designated groups participated in some of the largest BEE transactions of the past decade. The Inzalo scheme, which ends in 2018, held out the promise of a new type of participation in the economy.
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.