Group Social and Ethics Committee Report

The economic and social sustainability of Super Group is important to the Group and the Sustainability Report has been created which reports in more detail on its staff, environmental and Corporate Social Investment. The Group Social and Ethics Committee (“the Committee”) assists the Board in monitoring Super Group’s performance as a good and responsible corporate citizen and performs its duties in terms of regulation 43 under the Companies Act.

Group Social and Ethics Committee
Chairperson David Rose
Members Peter Mountford
Colin Brown
Exco members (by invitation)
Independence In terms of King IV, the majority of Committee members should consist of non-executive directors. Super Group has taken a decision that the duties of the Group Social and Ethics Committee overlaps with certain duties performed by Remco, the Group Audit Committee and the Group Risk Committee and are therefore satisfied that all of the independent non-executive directors not serving on the Group Social and Ethics Committee, are updated on all the social and ethics-related matters of the Group.
Secretary Nigel Redford
Role and function The Group Social and Ethics Committee has a Board-approved Social and Ethics Charter which incorporates the responsibilities of the Committee and its terms of reference, aligned to the guidelines and requirements provided by the Companies Act and King IV.
Responsibilities The Committee:

  • executes its statutory duties in terms of the requirements of the Companies Act and King IV;
  • regularly review the Social and Ethics Charter and update where necessary to ensure that its terms of reference comply with all regulatory and legislative guidelines and that the Committee performs its duties in terms of all the relevant regulatory requirements;
  • ensures that the highest ethical standards and integrity are maintained when dealing with external and internal stakeholders as outlined in the Group’s Code of Ethics, available on the Group’s website;
  • consults advisors and attend presentations on the various aspects of the duties and responsibilities relating to social and ethics issues;
  • creates a reporting structure for the Group’s business units in respect of the Committee’s requirements;
  • monitors the Group’s compliance with the United Nations Global Compact 10 Principles on Human Rights, Environment, Labour and Anti-Corruption;
  • monitors the Group’s compliance with the Organisation for Economic Co-operation and Development recommendations regarding corruption;
  • monitors the Group’s compliance with the International Labour Organisation’s definition of “Decent Work”;
  • monitors the Group’s Corporate Social Investment;
  • monitors the Group’s achievements against its Employment Equity Plan; and
  • monitors the B-BBEE Staff Empowerment Scheme.
Assurance The Committee hereby confirms that it has executed its duties in accordance with these terms of reference during the past financial year.

Activities undertaken by the Committee during the year

The activities undertaken by the Committee during the year are set out in detail in the Sustainability Report that can be found on the Group’s website www.supergroup.co.za.

Stakeholder engagement

As promoted by King IV, inclusive stakeholder engagement is encouraged whereby the Board considers the legitimate interests and expectations of stakeholders on the basis that is in the best interests of the company, and not merely as an instrument to serve the interests of the shareholders.

The Companies Act also requires a company to embrace engagement with its shareholders, employees, unions, communities and consumers. Super Group has an established Group Social and Ethics Committee that monitors and assists with stakeholder engagement.

Stakeholders are also considered when assessing the materiality of issues.

Super Group believes that open and transparent communication with stakeholders is important and uses many avenues to facilitate the engagement with its stakeholders on a regular and constructive manner. There are various internal functions within the Group to ensure that the needs and requirements of all stakeholders are addressed. Super Group has a dedicated Human Resources department, a Group Social and Ethics Committee and investor relations function to ensure that stakeholder engagement is executed.

For further details on the specific engagement with each of the stakeholder categories, as well as determining materiality when assessing the risks associated with Super Group’s business, see the Corporate Governance Report on the website.

Value-added statement

A measure of the wealth created by Super Group, for various stakeholders, is the amount spent on the cost of goods and services provided, the remuneration paid to its employees, money paid to providers of equity and debt, taxes paid to government and capital reinvested in the Group.

   Year ended
30 June 2018 
Year ended
30 June 2017 
   R’000  R’000 
Revenue  35 662 856     29 873 856    
Goods and services provided  (26 258 749)    (21 687 692)   
Total wealth created  9 404 107     8 186 164    
Allocated as follows:             
Wealth distributed  5 953 645  63.3  5 115 424  62.5 
Employees  3 765 375  40.0  3 286 394  40.1 
Provider of equity capital  340 612  3.6  339 987  4.2 
Providers of debt  334 206  3.6  288 673  3.5 
Government  1 513 452  16.1  1 200 370  14.7 
Reinvested in the Group  3 450 462  36.7  3 070 740  37.5 
Total wealth distributed  9 404 107  100.0  8 186 164  100.0 
Number of employees  11 930     10 797    
Wealth created per employee  788     758    
Wealth distributed per employee  316     304    
Revenue per employee  2 989     2 767    

Outlook for 2019

The Committee is satisfied with the Group’s progress in the different areas and with the plans for the 2019 financial year. The Committee is aware its function will continue to evolve as it addresses all the responsibilities within its mandate as well as bring it in line with the King IV requirements.

On behalf of the Group Social and Ethics Committee

David Rose
Group Social and Ethics Committee Chairman

27 September 2018