Employment Relations

Compulsory Assignment 01

Affirmative Action & Broad-Based Black Economic Empowerment (BBBEE)

Name & Surname: Degree: Code: Due Date: Word Count:

T. S. Masenya Hons BA EMPLOYU 4 June 2010 3411

TABLE OF CONTENTS
1. INTRODUCTION 2. CONTEXTUALISING AFFIRMATIVE ACTION & BBBEE 3. THE RESEARCH PROCESS 4. QUESTIONS AND RESPONSES 5. DEDUCTIONS & INTEPRETATION 6. CONCLUSION 7. ACKNOWLEDGEMENT LIST 3 3 5 7 10 11 12

1. INTRODUCTION Pre-1994, South African African, Indian and Coloured people were excluded from meaningful participation in the countrys economy. Subsequently this led to an economy characterised by entrenched racially defined wealth disparities and gender inequality. Post-1994, South Africa focussed on ending discrimination against the previously disadvantaged, and reversing the legacy of inequality and injustice by establishing affirmative action and empowerment policies that redress these inequalities. The new South African Constitution duly made provision for such policy and legislation to be formulated to allow efforts to redress the inequalities of the past. This provision is an exception to the Constitutions otherwise staunch commitment to equality (Burger & Jafta, 2010). This paper investigates the opinions, attitudes and experiences of previously and non-previously disadvantaged groups towards Affirmative Action and Broad-Based Black Economic Empowerment, using qualitative research techniques. This paper will describe how the investigation was conducted and the questions compiled, followed by an analysis of the interviews and the researchers interpretation thereof. First a brief overview or contextualisation of Affirmative Action and BBBEE is provided.

2. CONTEXTUALISING AFFIRMATIVE ACTION & BBBEE In an effort to achieve transformation in all sectors of society, it was expected that after the liberation struggle the newly elected African National Congress (ANC) mandated workplace integration through law. At the ANC National Conference in
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May 1992 their second policy objective adopted was the question of addressing inequality (Government Speeches, Online). The Employment Equity Act (1998) and the Promotion of Equality and Prevention of Unfair Discrimination Act (2000) collectively sought to achieve both demographic transformation and equal opportunity in employment by (a) eliminating unfair discrimination, (b) implementing affirmative action, and (c) policing these labour practices in newly established Equality Courts (Durrheim, 2007). The Employment Equity Act (EEA) explains affirmative action as a way to redress the disadvantages in employment that designated groups have experienced, by achieving equitable representation in all occupational categories and levels in the workforce (Alexander, 2007). While affirmative action seeks to bring more black people into the fold on the whole, the Broad-Based Black Economic Empowerment (BBBEE) bill of 2003 concentrates on black ownership and control specifically. Thus affirmative action may be regarded as a set of preventive mechanisms designed to minimise the probability of discrimination in the labour market in an attempt to address the historical injustices suffered by specific groups so as to create diversity in the workforce. The main objectives of these measures is to allow every ethnic or racial group to have an opportunity to be represented in the economic activities of the country (Modisha, online) The EEA in South Africa emphasises the acquisition of skills as a prerequisite for employment of affirmative action candidates. (HSCR Press, Online). Section 6(2)(b) states that it is not unfair discrimination to... distinguish, exclude or prefer any person on the basis of inherent requirement of a job. Section 15(1) asserts that affirmative action measures are measures designed to ensure that suitably qualified people from designated groups have equal employment opportunities and are equitably represented in all occupational categories and levels in the workforce of a designated employer (EEA, 1998).
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The purpose of the BBBEE of 2003 is the economic empowerment of all black people, including women, youth, people with disabilities, workers and people living in rural areas. It is important to note that whilst White women are included in the EEA as previously disadvantaged on gender basis, they are now excluded in the BBBEE policy. The Act requires that the Minister of Trade and Industry develop and publish Codes of Good pratice, aimed at setting guidelines for the process of BEE in the whole economy. To measure compliance with BEE requirements, the Department of Trade and Industry (DTI) uses a balanced scorecard, that will be used for government procurement, public-private partnerships, sale of state-owned enterprises, application for licenses and for any relevant economic activity (Modisha, online). This means that a companys BEE status will be taken into account, for any dealings with the government. The BBBEE policy recognises the importance of accelerating advanced professional skills development so as to address the legacy of job reservation and inferior education of the previously disadvantaged groups (Modisha, Online). The development of employees in line with the Skills Development Act 97 of 1998 is the main focus. This Act aims provides an institutional framework for devising and implementing national, sector and workplace strategies to develop and improve skills of the South African workforce. The National Skills Authority and the Sector Education and Training Authorities (SETA) are two important institutional structures provided by the SDA for various sectors in the economy. This paper aims to determine the opinions, attitudes and experiences of these policies by various groups, to interpret the data and make recommendations thereof.

3. THE RESEARCH PROCESS The researcher used a focus group of 10 young professionals, aged between 26 and 33. The group consisted of 5 males - of which 2 are Black, 1 Indian and 2 Whites 5

and five females - of which 2 are Black, 1 Coloured and 2 White. The industries represented included the mining industry, motor industry, energy industry, business development industry, tourism and retail industry. Of the group, 2 are selfemployed, 1 unemployed and 6 employed. The members of the focus group were deliberately chosen from the researchers social network and had never interacted before. The common denominator and host was the researcher. Members were invited to your expert advice over dinner, which meant members expected dinner with the host, only to find additional friends. This however did not discourage members to participate openly and honestly regarding their feelings, simply because of an understanding of the researchers background and personality, but more so the environment created was relaxed and the questions relating to the topic were randomly posed. In compiling and selecting questions, the researcher followed [Oppenheims (2000) and Boyds et al (1989)] guidelines for wording statements or questions. According to Oppenheim (2000), the objective of wording your questions accordingly is to obtain information related to the enquiry from the respondent with a minimal amount of distortion. The guidelines are that: Each question should be appropriate in relation to the sampling process. A question should not be too one-sided; and it should be easy for the respondent to answer. Each question must motivate the respondent to continue to complete the questionnaire. One should avoid humiliating and embarrassing questions. The items must be made interesting for the respondents to answer. One should ensure that the layout of the questionnaire is simple, so that the questionnaire is easy to understand and to complete.

The answer must be easy to conceptualise, and the question should be worded in such a way as to produce a reaction from the respondent.

Boyd et al. (1989) focuses on the following guidelines in respect of the wording of the questions: Define the issues as far as possible, in term of who; where; what; why; and how, in order to make the questions more understandable and clear. Decide whether the question should be subjective or objective. Decide whether the question should be positive or negative. Avoid ambiguous questions. Avoid leading questions. Do not use sweeping generalizations in the formulation of questions. Use simple words. Do not ask questions that are too personal.

4. THE QUESTIONS & RESPONSES Following is a list of questions and responses received from the members of the focus group. Please note that the questions were randomly posed and sometimes integrated with other questions. 4.1. What is your understanding of affirmative action and do you support the goal and implementation of it? The majority of the responses had a clear and good understanding of affirmative action, its goal and purpose, but few supported its implementation. Of the ten members, seven (of which two were men 1 black and 1 white - and five women) felt that regardless of its goal, the manner in which the policy is being implemented is not doing justice to its cause.

Members cited their respective industries as examples of affirmative action failing the majority of the country and benefiting an elite few. Generally, all the members across the race, displayed a negative attitude towards this question but at the same time, continued to acknowledge and assert its importance. The response to this question overlapped with the question of whether: 4.2. The approaches adopted in the implementation of affirmative action are sufficiently transparent and inclusive. Members felt more emphasis was needed on the approaches adopted in the implementation of affirmative action, in order to make the process more transparent and inclusive. 4.3. Do you feel that affirmative action involves the positive step to redressing historical imbalances? Without any hesitation, the group unanimously agreed that affirmative action involves the positive step to redressing historical imbalances. However one person (white female) was quick to add that she agrees that it is a positive step to redressing historical imbalances but only for a limited period. To this view five concurred (four male 1 black, 1 Indian, 2 White - and 1 female Coloured) and a follow-up question from the members was posed how long is a limited period? This led to the researcher asking whether: 4.4. Do you view affirmative action as a continued discrimination? Overall there were conflicting opinions regarding this question, across all races and gender. Generally the members agreed with the statement when contextualised in situations that did not favour them. Thus the responses were relative. Most females tended to disagree with the statement.

4.5. Do you feel that the structures that have been put in place to facilitate affirmative action are a method of promoting democracy? On average, all race groups reacted positively to the statement. Male members were more convinced than female members, as they seemed to be experiencing uncertainties in respect of the structures aimed at facilitating affirmative action and the question as to whether these structures comprise a method of promoting democracy. The different views and definitions of democracy were discussed. 4.6. Do you feel that affirmative action should be a long-term project with training and development as the first priority? All racial groups agree to a large extent that affirmative action should indeed be a long-term project, with training and development comprising the first priority. More male members than female members agreed with it. 4.7. Should opportunities be created for people who were previously discriminated against, regardless of race or gender? All racial groups, as well as the majority of male and female members, agree that opportunities should be created for people who were previously discriminated against, regardless of race or gender. In general, the members agree that opportunities should indeed be created for such persons (of all races and both genders). 4.8. Should opportunities be created for people who were previously discriminated against, regardless of their experience or qualifications? With this question, most members had varied and conflicting opinions. The overall feeling to the question was more negative than positive. Some members felt that such opportunities would perpetuate an unlearning society. 4.9. Are your views of employment equity similar to those of BBBEE?

All White members, across genders, and Indian, expressed strong negative feelings towards BBBEE. Black members across genders expressed more positive feelings towards BBBEE. Negative feelings lent towards its implementation and desired impact. 5. DEDUCTIONS & INTEPRETATION There were two factors that were addressed in the questions asked, namely: the implementation of affirmative action and the attitude towards affirmative action. The following deductions can be made: Majority members support affirmative action. They are clear of its objectives and purpose and understand its importance. Majority agree that affirmative action is a positive step towards redressing historical imbalances. However the biased and relative response of whether affirmative action is viewed as a continued discrimination raises the question of whether members support affirmative action because of its benefits or because of the objective of redressing historical imbalances. Most agreed that affirmative action should be viewed as a long term project with training and skill development as priority, males more than females agreeing to this. Majority agree that opportunities should be created for people who were previously disadvantaged regardless of race or gender, but were very sceptical regarding creating opportunities regardless of experience and qualification. With regards to BBBEE, the issue of ownership was central to discussions, which raised an emotional and intense debate among the members. Overall there is a general positive attitude regarding affirmative action and transformation policies across sectors, genders and race. The implementation of these policies is a concern as it distorts the possible positive impacts it could have on
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society. The negative perceptions surrounding the implementation further perpetuate the feeling of exclusion not only among the non-previously disadvantaged groups, but also among the disadvantaged groups. Such feelings can be discouraging and has the potential of losing scarce skills to other countries. Transformation debates are almost always going to be intense and emotional, with both previously disadvantaged and non-previously disadvantaged groups taking offense when it comes to the issue of ownership and entitlement. While observing the group discussion it was interesting to notice how members detach themselves from issues that concern them on surface value and somehow find ways to agree to disagree. Issues of transformation somehow challenged members to be more competitive and to ensure that they have a competitive advantage over their colleagues or counter parts. And this explains the sceptism around the issue of creating opportunities for people who were previously disadvantaged regardless of experience or qualification. However the level of passion and emotion that suddenly cropped up when discussing BBBEE, was numbing. To see the anger, the pain, and the ignorance and defence from BOTH racial groups proved just how much work still needs to be done. The South African Constitution alone cannot unite this nation, but spaces for dialogue and exchanging of experiences regarding such issues and learning to develop an appreciation and in-depth understanding of peoples differences will unite us. 6. CONCLUSION The opinions, attitudes and experiences of previously and non-previously disadvantaged groups towards Affirmative Action and Broad-Based Black Economic Empowerment were investigated using qualitative research techniques. Two factors were addressed in the questions, namely; the implementation of affirmative action and the attitude towards affirmative action.
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Using a focus group comprising of ten young professionals, five males and five females across the racial lines, the researcher was able to deduce that most group members had a positive attitude towards affirmative action however; many disagreed with its implementation. In addition, the issue of BBBEE surfaced strong, underlying emotions that sparked intense debate among members and confirmed the amount of work still needed to be done in South Africa.

7. ACKNOWLEDGEMENT LIST 1. Alexander, N. Affirmative action and the perpetuation of racial identities in post-apartheid South Africa..In: Transformation: critical perspectives on Southern Africa. (63): (2007). Durban: University of KwaZulu-Natal. 2. African National Congress (ANC), 1994. ANC Policy Guide for a Democratic South Africa. As adopted at National Conference 28 31 May 1992. [Online] http://www.info.gov.za/speeches/1994/230994009.htm 3. Boyd, H.W., Westfall, R. & Stasch, F. 1989. Marketing research. Seventh edition. USA. Richard D. Irwin, Inc 4. Burger R. & Jafta R., 2010. Affirmative Action in South Africa: an empirical assessment of the impact on labour market outcomes. CRISE Working Paper No. 76. [Online] www.crise.ox.ac.uk/pubs/workingpaper76.pdf 5. Durrheim, K. 2007. The colour of success: a qualitative study of affirmative action attitudes of black academics in South Africa. In: Transformation: critical perspectives on Southern Africa. (64). Durban: University of KwaZulu-Natal. 6. Modisha, G., Online. Affirmative Action and Cosmopolitan Citizenship in South Africa. Racial Redress and Citizenship in South Africa. HSCR Press. [Online] www.hsrcpress.ac.za

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7. Oppenheim, A.N., 2000. Questionnaire design, interviewing and attitude measurement. London: Biddles Ltd. 8. Republic of South Africa. 1996. Constitution of the Republic of South Africa Act No. 108 of 1996. [Online] www.constitution.gov.za 9. Republic of South Africa, 1998. Skills Development Act No. 97 of 1998. Pretoria. Government Printer 10. Republic of South Africa, 2000. Promotion of Equality and Prevention of Unfair Discrimination Act No. 4 of 2000. Pretoria. Government Printer 11. Republic of South Africa, 2003. South Africas Economic Transformation: A strategy for Broad-Based Black Economic Empowerment. Pretoria. Government Printer

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