Coca-Cola Beverages South Africa (CCBSA) has increased its Broad-based Black Economic Empowerment (B-BBEE) ownership to a revised 20% target, with a significant worker ownership component.
“This updated agreement will result in employees increasing their current holding of around 5% in CCBSA to an approximate 15% shareholding in CCBSA,” CCBSA Managing Director Velaphi Ratshefola said.
Coca-Cola has also agreed to additional commitments. Coca-Cola will contribute R80 million per year for three years to localisation initiatives that form part of the South African government’s efforts to rebuild the economy.
“We have also undertaken to collaborate with our sugar suppliers to increase the volume of sugarcane procured from Black farmers,” Ratshefola said.
Trade Minister Ebrahim Patel said Coke’s commitment to increase the level of worker ownership deepens the level of transformation in the sugar value chain and supports the broader localisation drive in the economy.
He said the decision to increase B-BBEE ownership is important in SA’s efforts to create a more inclusive economy.
“It’s an example of what companies can do, and we look forward to others following their lead, as we drive an enhanced model of broad-based transformation, through worker empowerment, in our country,” Patel said.
Coca-Cola’s Ratshefola thanked Patel, the dtic and the Competition Authorities for the engagement, in challenging times, which has lead to this “effective solution” which benefits both Coca-Cola employees and assists the government.
“We look forward to the strengthening of our partnership with government in this way and it underscores our commitment to doing business the right way by creating a better, more inclusive future for all,” Ratshefola said. –SAnews.gov.za