Thami Mbanjeni | Manager | YES Implementation | The BEE Chamber | mail me |
For many companies, transformation requirements such as Broad-Based Black Economic Empowerment (B-BBEE), compliance still feel like an administrative burden. However, the Youth Employment Service (YES) initiative challenges that perception.
It goes beyond compliance by offering a practical and cost-efficient tool for business growth and flexibility.
The talent advantage
From our experience, correct implementation of YES can deliver up to a two-level boost on a company’s B-BBEE scorecard. Yet, the true value lies in the structured and low-risk pathway it provides.
Companies gain a way to build talent and achieve compliance simultaneously. Embracing youth employment as a business strategy strengthens both talent pipelines and compliance outcomes.
At its essence, YES allows organisations to place unemployed youth into 12-month work experience programmes. This opportunity provides something no other compliance element offers. Businesses can observe candidates in a real working environment for an extended period without contractual risk.
In traditional hiring, a three-month probation often results in a permanent contract. That makes it difficult and costly to release underperformers. With YES, companies can assess participants for a full year. At the programme’s end, they may absorb the best candidates into permanent roles while letting go of those who fall short. In this way, YES becomes a 12-month “test run” for future talent. It offers flexibility and risk mitigation that standard recruitment cannot match.
Compliance and cost savings
The compliance advantage is just as compelling. Companies at Level 8 or Level 7 often struggle to climb the scorecard. YES provides a cost-effective way to move upward compared with traditional elements like enterprise development, supplier development, bursaries, or socio-economic initiatives.
For instance, bridging the gap between Level 8 and Level 6 can secure around 20 points. Achieving those points through fragmented interventions usually requires significant spending. By contrast, YES consolidates the effort into one initiative at lower cost, creating a streamlined pathway to compliance.
We regularly works with businesses to run calculations and comparisons. This ensures companies fully understand the ROI of a YES programme before implementation. Here again, youth employment as a business strategy proves financially viable while delivering measurable compliance benefits.
Beyond compliance, YES also aligns with Employment Equity (EE) targets and Workplace Skills Plans (WSPs). This alignment ensures that compliance spend supports workforce planning as well.
By hosting youth participants, companies gain visibility into a broader pool of candidates. Many of these individuals may otherwise have been overlooked. This exposure helps build a pipeline of entry-level talent already familiar with the company’s systems, culture, and expectations. As a result, recruitment costs drop and retention improves when candidates move into full-time roles.
Beyond the scorecard
YES also strengthens a company’s position with key stakeholders. In procurement-driven environments, B-BBEE levels influence access to contracts and partnerships. Here, YES provides a direct and cost-efficient route to improve competitiveness. Moving from Level 8 to Level 6 or Level 5 can decide eligibility for lucrative opportunities.
Importantly, companies should not view YES simply as a social-impact exercise. While it contributes to reducing South Africa’s youth unemployment crisis, its business value is more tangible. It lowers compliance costs, increases workforce flexibility, builds stronger pipelines of talent, and enhances competitiveness in the marketplace.
In today’s economic climate, resources are tight. Every compliance rand must count. YES offers a win-win scenario by consolidating spend at a fraction of the cost of other interventions. It also delivers a practical and risk-free mechanism to test and secure future employees.
Companies that embrace youth employment as a business strategy, rather than treating it as another hurdle, benefit long after scorecard points are awarded. They build stronger operations and a more agile workforce for the future.
