BEEn there

BEEn there

There’s much negativity about BEE, and the way it requires companies to farm out work to people who have little to offer other than the approved skin pigmentation.

But naysayers overlook the fact that BEE holds numerous benefits for the economy. Especially that oft-overlooked benefit to companies - they get to pass the buck when things go belly up.

Much finger-pointing took place when MTN's R510m contract to build cell hubs went spectacularly wrong.

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Submitted by : G S Webster of Queenstown on 2010-12-11 11:06:08

What is BEE other than a lie? That is the very gist of your story! What is the difference between Ant's wife, and the contractors who did work for Umbutho?

We all know (EmptyN included!) that Umbutho were not going to do a stitch of work, and were going to farm out the work to competent (viz. white) businesses to do the actual work.

Why corporate South Africa en masse do not tell the thieving politicians to go to hell along with their AA/BEE policies I will never understand. Mind you, BEE or no BEE, they are still raking it in and merely passing along the added "cost of sales" to the poor sucker at the end of the line...

Quo vadis, South Africa.
Submitted by : Anthony Krijger of Westville on 2010-12-09 09:06:32
My better half is a self employed Caucasian woman in the IT industry. When doing work for parastatals, municipalities etc she has to use a BEE company to front her. When supplying and installing equipment whose costs sometimes are well in the millions of Rand, the BEE company marks up her quotation and subsequent invoice by well over 150%. Then they withhold payment for 6 months or longer. On one occasion she was not paid for well over a year and eventually had to write off a large sum when the BEE company went into liquidation. This turned into a tax loss for the year, so not only does the fiscus lose revenue, we all end up paying exorbitant amounts for what should be basic services. We have the most expensive cell phone bills on the planet. We now have very expensive electricity, water costs rising well above inflation rates, domestic and industrial rates have doubled in the last few years and all this is to make a few black individuals very rich and at no risk whatsoever. In fact they do very little for their huge money. They receive an invoice, add 150% and re-invoice out, collect the money and with luck pay their sub-contractors and keep the rest. How does this provide employment and create jobs? All it does is increase the chasm between the have and the have nots.

Editor's Note
So she knowingly manipulate the BEE law by being party to a lie. That, in our books is corruption.
Submitted by : John Burley of Cheltenham on 2010-11-29 18:09:48
South Africans are paying a very high price for this legalised form of corruption (BEE). Racism never worked for the whites and will not work for the blacks either. Corporates like MTN should stick to what they are good at i.e telecoms. Playing housedog to a sick, corrupted and racist party like ANC will only have benefits while the gravy-train is's going to de-rail one day!


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