The Youth Employment Services (Y.E.S) Initiative was gazetted on 28 August 2018 with an accompanying practice note on 12 October 2018.
This initiative will be run and monitored by the Yes-4-Youth non-profit organisation. Should an entity wish to implement and take part in the Y.E.S Initiative, they need to register on the Yes-4-Youth website at www.yes4youth.co.za. If you do not register on this website you will not be able to claim the enhancement for your Broad-Based Black Economic Empowerment (B-BBEE) certificate.
The initiative’s main purpose is job creation for individuals who qualify in terms of the requirements, as gazetted. Only individuals who meet the following criteria are eligible for participation in the Y.E.S Initiative:
- They are aged between 18 and 35
- Meet the definition of “Black People” as defined in the B-BBEE Act
Should a company wish to register with the Y.E.S Initiative, they will have to comply with the following prerequisites:
For a Generic Entity:
- Must achieve at least 40% sub-minimum under each of the priority elements;
- Must achieve an average of 50% across the 3 Priority Elements.
For Qualifying Small Enterprises (QSEs):
- Must achieve at least 40% in 2 of the 3 Priority Elements, of which Ownership must be one;
- Must achieve a score of 40% across 2 priority elements, of which Ownership must be one.
Once these prerequisites are met, the entity can proceed to calculate the targets that they will have to implement (remember that your SEESA BEE Legal Advisor can assist you with the calculation of the necessary targets).
Why is it important for an entity to implement and take part in the Y.E.S Initiative?
If the entity complies with the prerequisites, they will be able to obtain the following enhancements on their B-BBEE Certificate when the partake in the Y.E.S Initiative:
|Achieve Y.E.S Target and 2.5% Absorption||Move up 1 B-BBEE Recognition Level on the Scorecard|
|Achieve 1.5 x Y.E.S Target and 5% Absorption||Move up 1 B-BBEE Recognition Level on the Scorecard + 3 Bonus Points to the overall Scorecard|
|Double Y.E.S Target and 5% Absorption||Move up 2 B-BBEE Recognition Levels on the Scorecard|
With the high unemployment rate we are experiencing under our youth in South Africa, the Y.E.S Initiative is truly something that entities can invest in – to the benefit of B-BBEE ratings and the benefit of South Africa’s economy.