Broad-Based Black Economic Empowerment
Mondi fully believes in the South African government’s policy of enabling ‘Broad-Based Black Economic Empowerment’ (BBBEE) as a means of developing the balanced, sustainable economy that will benefit every business and individual in the country.
By scoring organisations across seven key ratings that measure the levels of black involvement, influence and benefit, BBBEE drives and enables positive social progress beyond business alone into areas such as education, health and infrastructure. Through the award of a score under each of these ratings, businesses achieve an overall rating that may be used by major potential customers, including the government itself, to help determine the procurement of goods or services and the award of contracts.
The system helps to ensure the more highly a business is rated, the more likely it is to win significant contracts, so it is seen and used as an important incentive to actively support the BBBEE legislation.
The key ratings, as per the Department of Trade and Industry’s Codes of Good Practice, are:
- business ownership;
- management control;
- employment equity;
- skills development;
- preferential procurement;
- enterprise development;
- corporate social investment
Mondi takes its obligations very seriously, and to this end we have in place a range of corporate values through which we are addressing the transformation demands. These are:
- removing barriers to business owners and encouraging the participation of black business women;
- promoting the working conditions and diverse organisational culture that will make us an employer of choice;
- delivering employment equity, where the racial and gender profile of Mondi match those of the South African population as a whole;
- increasing our investments in the skills development and training of existing and new black professionals, particularly black women;
- promoting entrepreneurial development and increasing the number and expertise of black-owned and managed firms in our supply chain;
- increasing procurement of goods and services from highly rated BBBEE suppliers;
- ensuring good corporate citizenship in the communities where we operate, including active stakeholder engagement and responsible social investments
Alongside positive procurement and employment practices and privileged support for local producers, examples of our commitment to BBBEE include:
- the sale in 2004 of 42% of our South African newsprint business to the black-owned and managed Shanduka Resources investment company, creating Mondi Shanduka Newsprint
- Shanduka’s purchase of a 40% stake in Mondi Packaging South Africa in 2005 to become our empowerment partner
Mondi Zimele
Mondi South Africa created Mondi Zimele as a vehicle for small business development and Broad-Based Black Economic Empowerment, an innovative concept with a proven track record to further develop enterprises and entrepreneurship in South Africa.
Mondi Zimele invests and provides financial assistance for new or existing businesses in Mondi’s value chain, ensuring black empowerment, capacity building and sustainability.
It also provides us with the opportunity to make a real difference to the success of land reform and transformation of the forestry value chain in South Africa.
Last change: 27/03/2008