Contributing to future growth
Reunert recognises that education and job creation are central to economic growth and
South Africa's future stability. We are proud of the significant contribution the group
has made in these areas and our part in the country's social upliftment and development.
Reunert College
Our flagship project is Reunert College. Here, selected matriculants from previously
disadvantaged communities benefit from a bridging programme to improve their mathematics
and science matriculation symbols. This allows them access to tertiary education,
specifically in the engineering field. This project also serves as an opportunity to
nurture and train black engineers for our future. During 1999, 12 former students of the
Colleges were employed in the group and eight students are undergoing practical training.
Reunert College was founded as a community development
programme in 1993. Today it operates from campuses in Boksburg and Alrode, Alberton. To
date 257 students have participated in the academic advancement programme, with 16
students obtaining distinctions in higher-grade mathematics. During the last six years we
have achieved an average pass rate above 95%.
Reunert grants ten new bursaries to engineering students
annually - 178 bursaries have already been awarded. The Technikon Witwatersrand, Vaal
Triangle Technikon and Pretoria Technikon accredit Reunert College for experiential
training.
Growing demand encouraged the formation of an independent
study group which was established this year to assist 29 students with mathematics and
science.
Outreach programmes
Panasonic's commitment to the country's youth was reinforced when Japanese principal
Matsushita Electrical Industrial Company donated R1million to the Mhlontlo Senior
Secondary School in Mount Fletcher, Transkei.
Panasonic has also contributed towards the running costs of
the Twilight Children's Home in Hillbrow, Johannesburg - a facility which provides street
children with clothing, food, education and accommodation.
Nashua supports the Doctor Knack School in Alexandra and
helped the Boepakisto Primary School in Diepkloof develop and equip a library. It also
erected a sun deck for HIV and terminally ill babies at Enthambeni in Doornfontein.
ATC, Telkom and Marconi Communications have established a
centre of excellence in Optical Communication at RAU. The sponsorship includes a R400 000
contribution from ATC over the next four years and will focus on providing solutions for
Africa-specific telecommunications problems.
African Cables, in association with the Riverside High
School in Vereeniging, has been sponsoring a Saturday school for black children from grade
8 to 12 since 1994. This year 77 children attended the programme focusing on accounting,
science, mathematics and English.
A number of group companies provide student bursaries. ATC
currently sponsors eleven students at the Brits Technical College. The African Cables
Bursary Fund which assists employees' children, awarded bursaries to 43 pupils, 70% of
whom are from previously disadvantaged backgrounds.
Job creation and black empowerment
Reunert, as a member of the SA Foundation, is involved in the Business Initiative to
create employment opportunities in South Africa. As part of this initiative, Reunert
donated R2,2 million to the South African National Business Trust to stimulate the tourism
industry and address unemployment. To date programmes exceeding R400 million have been
launched, and the inaugural meeting of the consultative body was chaired by President
Thabo Mbeki.
This year Reunert completed its sponsorship of the Airborne
Trust, with a donation of R2,5 million. The trust was established to re-train ex-SANDF and
ex-MK soldiers and facilitate their return to civilian life.
Reunert's contributions as a founder member of the Private
Sector Initiative, established in the early 1980s, has exceeded initial expectations and
been most gratifying. Demonstrating its commitment to broadly based education and training
projects Reunert has contributed R4,1 million to the Joint Education Trust over the past
six years.
Creating entrepeneurs
Restructuring within the group has provided additional opportunities for companies to
outsource activities previously conducted within the group. Progress has been maintained
in creating small and medium-sized enterprises involving entrepreneurs from disadvantaged
communities.
Panasonic and black empowerment partner Zimele Broadcasting
Services supply major broadcasters with broadcasting equipment. Panasonic Business Systems
has appointed a black entrepreneur to purchase and run a franchise operation. The venture,
known as Office Solutions Empowerment Company, is an ideal synergistic opportunity for
Panasonic to expand its presence in the corporate business systems market while at the
same time developing entrepreneurial skills.
Providing a one-stop mobile business centre for commuters
and entrepreneurs, Nashua has set up a pilot project offering office automation facilities
from a caravan at a taxi rank. This concept will be available to entrepreneurs who, with
the help of Nashua, can set up their own business caravans in local communities.
We salute the achievements of Nashua Kopano, an autonomous
franchise operation that markets photocopiers, facsimile machines, personal computers and
laser printers and supplies related consumables. Major clients include Telkom, Eskom
Transmission Division and Gauteng Province.
CBI has outsourced its industrial nursing to AFROHC which
will provide a similar service to the three manufacturing plants in Qwa Qwa. Kagiso
Khulani Supervision runs the company's canteen service.
Education and training
Reunert is represented on the training committees of several business chambers as well as
the Interim ABET Advisory Board which advises the Minister of Education on adult
education. Reunert participates actively in setting National Qualification Framework
standards for the industry as well as the formulation of necessary structures determined
by legislation.
ATC has established an adult basic education programme
which has been well supported. The company provides all educational material and employees
are rewarded with up to 50% of their monthly wage on passing the year-end examinations.
After developing a basic electronic induction course to
upgrade the skills of its internal workforce, RDI has adapted the programme to train
unemployed youngsters from neighbouring townships.
Nashua has established a project to assess the technical
aptitude of some of its unskilled labourers. Successful applicants will receive
after-hours training, equipping them to enter technical fields.
In the previous financial year 45 senior managers were
assessed and enrichment programmes developed. Although no new assessments were carried out
this year, the candidates continued to participate in training programmes and one attended
the Harvard Business School. The assessment programmes will resume in the next financial
year.
Industrial relations
The past year has seen a myriad of changes within the group. The move away from pure
manufacturing businesses to those offering value-adding services has seen intense
restructuring and several disposals.
The restructuring included some retrenchments, which were
concluded on an equitable and consultative basis.
The sale of Alstom at year-end will reduce the staff
complement by another 3 400 as this transaction is effective only from the new financial
year.
Once again the group enjoyed a low incidence of industrial
action. We believe this is a positive result of our sound structures and healthy
relationships with all 24 recognised unions, as well as the ability of our managers to
manage these issues professionally.
Employment equity
The first phase of the Employment Equity Act was implemented during the financial year
after all Reunert companies undertook thorough assessments of possible discriminatory
practices. Employees were consulted and their suggestions were welcomed to find a workable
means to remove existing discriminatory practises. All group companies undertook a
specially prepared audit against a specific checklist. Structures have been established to
enable the group to implement the second phase of the legislation.
The company is committed to the ideals of the new South
Africa and intends meeting the statutory requirements. Policies are in place to ensure the
group reflects the diversity of the country.
Pension fund
The restructuring of our pension funds was high on the agenda. Investment choice will be
introduced in the Reunert Retirement Fund from 1 December 1999. In future members will
have the opportunity to plan their retirement investments to suit individual needs.
The investment strategy for our existing pensioners was
changed to make it easier to complete the proposed restructuring. The fund will probably
be able to offer individual annuities to pensioners soon, which will make them independent
of the fund.
Enviromental commitment
Although the Reunert group does not have a formalised environmental policy, some of the
subsidiary companies are using environmental management systems. Reunert will be taking
active measures to increase its environmental activities in the next financial year.
