Job creation in SA gets big tick from the UK

Merchants, a Dimension Data company, and leading international supplier of customer contact centres, was recognised yesterday for its South African youth development initiatives and community investment initiatives at the Business in the Community`s (BITC`s) prestigious Awards for Excellence.

Merchants was awarded the BITC`s Big Tick Award, run in association with the Financial Times, at a UK gala dinner held at Cambridge University yesterday evening, 28 June 2005.

`Big Ticks` are awarded to companies that are able to demonstrate excellence in the way they organise and integrate responsible business practices, and can show a positive impact on the communities in which they operate and on their own business.

Merchants received a `Big Tick` for its strong youth development programme, which it developed in conjunction with the South African Government and AOL.

The programme, developed to address the Millennium Development Goals in Africa and the goals of the group`s global community investment strategy, is an initiative that generates employment opportunities and contributes to sustainable community upliftment.

Key to the initiative is sustainable community upliftment that aids the long-term economic and social development of SA.

Merchants has invested in excess of 500 000 hours at cost of more than lb3.25 million in the initiative that created immediate employment for 950 young people (95% from disadvantaged backgrounds, 30% with no previous formal work experience and 45% females) in SA`s growing contact centre industry.

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In just 18 months the 2 062 young Africans that have been employed in this project have answered 10 million calls from US consumers with service levels that have matched or exceeded those of a network of other offshore call centres including India and Mexico. Many of the agents have been able to use their training to move into other service industry roles.

"South Africa faces dual challenges of unemployment and poverty, with roughly 56% of its unemployed aged between 15 and 30," commented Rob Taylor, Chairman of Merchants. "Merchants believes the international offshoring industry will be a key driver for economic development and employment creation. This is supported by a recent McKinsey report that indicates that the South African offshore industry has the potential to provide more than 150 000 employment opportunities over the next three years [1]."

Taylor continues: "As a company operating in SA, it is our responsibility to play a role in advancing the country`s economic and social development. The initiatives that we are implementing include equipping some of SA`s youth with technology and customer service skills that are transferable to other service sectors. In addition, we have developed a management fast-track programme to provide employees with the necessary knowledge and skills to progress into leadership roles. We believe such programmes will help address SA`s critical shortage of operational management skills and help realise the potential talent of many young Africans."

As `Big Tick` finalists, Merchants has also been entered into the Oracle International Award. One UK winner who has best been able to demonstrate the impact of an international corporate social responsibility programme or partnership will be announced at a gala dinner on 5 July 2005, at London`s Royal Albert Hall.

Now in their eighth year, the Awards for Excellence are the most prestigious UK awards recognising companies that integrate responsible business practice into their mainstream operations resulting in a positive impact in the workplace, the marketplace, the environment or the community. The awards are the primary means by which Business in the Community identifies, celebrates and communicates good practice in corporate responsibility.

[1] The 2005 McKinsey report on the South African BPO Industry.