The legacy of apartheid has excluded the majority of South Africans from ownership and/or control of productive assets and resources as well as severely restricting the acquisition of advanced skills and generally the effective participation in the economy.
Since the new democracy, Broad-Based Black Economic Empowerment (B-BBEE) has been adopted as an initiative of the South African Government aimed at promoting economic transformation in order to enable meaningful participation of black people in the economy. The BEE Act of 2003 outlines the required targeted areas of development within the South African economy. These key development areas have measurable outcomes in ensuring a path to greater broad-based and effective economic participation, the right to equality, increased employment, more equitable income distribution, economic unity of the nation, equal opportunity and access to services and protection of the common market place.
In February 2007 the Codes of Good Practice on B-BBEE were gazetted and released in providing a clear and comprehensive framework for the measurement of broad-based BEE across all sectors of the economy. The Codes specifically set about defining the seven measurable scorecard elements of Ownership , Management, Employment Equity, Skills Development, Preferential Procurement, Enterprise Development and Socio-Economic Development.
Obsidian is a level one contributor to Broad-Based Black Economic Empowerment resulting in a procurement recognition of 135% for our customer's Preferential Procurement Element.
Over and above this, Obsidian is a Category B organisation (25% black ownership with a B-BBEE level of between 1 and 6) and we encourage our customers to engage with us regarding reduced payment terms, as our customer's can claim up to 15% of the value of Obsidian invoices towards their Enterprise Development Element.