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Antonie Beukes says although the university is involved in a number of projects that add to its BBBEE rating, considerable attention is given to initiatives to better the lives of some of its suppliers.

For the past two years, the University of the Free State (UFS) has had one of the best Broad-Based Black Economic Empowerment (BBBEE) ratings among universities in South Africa. The university recently received confirmation that its Level-4 rating has been approved for another year. 

According to Antonie Beukes, Assistant Director in the UFS Department of Finance, this rating enables the university to compete with the advantage of a 100% procurement level regarding tenders. “It will also help with our third-stream income, and more importantly, this level assures everyone that we are on the right track regarding BBBEE,” says Beukes. 

Opportunity to better the lives of others

The university had to work hard to maintain their Level-4 BBBEE status. Beukes says one of the initiatives they focused on was the development of suppliers and enterprises that are not associated with the UFS. 

“Many people think of BBBEE initiatives as a project where money is paid, and that is where the buck stops. Although this may get you some points, it is important for the university to better the lives of others.”

“We mostly focus on Exempted Micro Enterprises (EMEs) and Qualifying Small Enterprises (QSEs), because they are the small, start-up companies that need help to be sustainable. Even though assistance can take various forms, such as spending time with suppliers and offering services at a lower cost or free of charge, the university gives considerable attention to providing training to these service providers,” says Beukes.

Always strive for a better rating

The UFS Department of Finance strives to achieve a better rating each year. “The aim for next year will obviously be to be rated as a Level 3 but maintaining the Level 4 will be a big achievement.”

Beukes, however, points out that one needs to be realistic and must keep track of what is going on in the economy, as well as the challenges brought about by the COVID-19 pandemic. 

He continues: “Strict new rules regarding BBBEE scoring also came into play last year and we see that most businesses are rating lower scores (higher levels), which directly impact the UFS.”

News Archive

UFS staff to get a minimum of 4,71 percent salary increase
2005-11-25

The University of the Free State (UFS) management and trade unions have agreed on a minimum of 4,71 percent salary increase for 2006 as well as a once-off non-pensionable bonus of R1200 payable in December 2005.

The agreement was signed today by representatives of the UFS management and the trade unions, UVPERSU and NEHAWU, in Bloemfontein.

Prof Niel Viljoen, Chief Director: Operations at the UFS and chairperson of the UFS Council’s representatives, and Prof Johan Grobbelaar, chairperson of the joint Union Forum, said: “The bonus is payable in December 2005 in recognition of the role that staff played during the year to promote the UFS as a university of excellence.”

He said the intention is to pass the maximum benefit possible on to staff without exceeding the limits of financial sustainability of the institution.
For this reason the negotiating parties reaffirmed their commitment to the Multiple-year Income-related Remuneration Improvement Model used as a framework for negotiations.

Proff Viljoen and Prof Grobbelaar said one of the factors that influence the model and therefore the negotiations is the level of subsidy the UFS receives from the government.

“As the state subsidy level is unfortunately not yet known, remuneration could vary several percentage points between a window of 4,71 and 5,5 percent. Should the state subsidy be such that the increase would fall outside this window then the parties will renegotiate.”

Proff  Viljoen and Prof Grobbelaar said the R1200 bonus is payable to staff members who were in the employ of the UFS on UFS conditions of service on 21 November 2005 and who assumed duties before 1 October 2005. There are however some exceptions.

The agreement signed today also provides for restructuring funds of R752 000 to address partial backlogs in support services, including an increase in the medical allowance of 640 staff members.

The implementation date for the salary adjustment is 1 January 2006, but could be implemented on a later date due to logistical arrangements.

Proff Viljoen and Prof Grobbelaar said the UFS and unions could reach an agreement despite the declining phase in income and the generally more difficult financial environment in which universities operate.

Prof Grobbelaar said salary negotiations are never easy, but the model is an important tool. The model made it possible to tie up salary negotiations for November 2006. “This is unique for any higher education institution.”

Media release
Issued by: Lacea Loader
Media Representative
Tel:  (051) 401-2584
Cell:  083 645 2454
E-mail:  loaderl.stg@mail.uovs.ac.za
24 November 2005

 

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