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The decision by Dis-Chem's CEO to call a moratorium on white managers was the right one. The memorandum though could have been couched differently, and a process of explanation would have been beneficial, writes Ian Fuhr.
Dis-Chem CEO's Ivan Saltzman's bravery has been lost amid the noise of an anti-transformation assault. I cannot be sure what motivated Saltzman to such bravery when he declared a moratorium on the employment of white managers.
Was it in response to Dis-Chem falling behind on its transformation targets and his concern about the possibility of some hefty penalties? If this is the case, then we must ask why Dis-Chem is only now playing catch-up. Where have they been all this time?
Or was the moratorium motivated by a sincere heartfelt belief that transformation is critical to the sustainable survival of this country?
Either way, I would like to offer my congratulations to Saltzman. He made a brave call, and he deserves our support. It's just a great pity that his board felt the heat and succumbed to the pressure.
Why Saltzman's call was the right one
Let me explain. I am a business culture and race relations consultant to several companies, so I am an eyewitness to the controversial dynamics around the issue of BEE in South Africa. Many white business leaders have committed to transformation purely because they need to be compliant with the law. It becomes a tick-box exercise, and it provides them with additional business opportunities. In their hearts, they feel that BEE is reverse racism, but they have no choice but to comply.
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On the other hand, there are a few who genuinely believe that BEE is not reverse racism. They understand that it is the only way to effectively redress one of the most inhuman and unjust systems in living memory.
Making way
While there is a big focus on developing black talent for future leadership roles, and rightly so, corporates have not sufficiently focused on those ageing white managers who now have to make way.
These managers are caught in a whirlpool of anxiety as they contemplate their uncertain futures. They need support.
- They need to understand why it's so important to make way.
- They need to have personal assistance and support to prepare themselves for a different future.
- They need to commit to mentoring and developing their black successors, not because they are being forced to, but because they know it's the right thing to do for our country.
- And they can possibly be incentivised to do all of the above so that they get a separation package on their departure, which is based on their efforts to successfully replace themselves.
- They could also perhaps be transferred, in a part-time capacity, to government institutions where they can share their skills and experience.
The future is not what it used to be
The South Africa of tomorrow is going to be a very different place, and unless we embrace that new reality, we will never be able to witness a prosperous and sustainable country that offers opportunities to all its people, not just the privileged few.
We are officially the most unequal society in the world. Less than 10% of the population controls over 80% of the wealth. How can that possibly be sustainable? The multitudes of have-nots are tired of poverty and despair. If nothing is done to reduce the inequality gap, unemployment, poverty, violence, and crime will just get increasingly worse. The uprisings and lootings of 2021 will become commonplace, and our country will literally go up in smoke.
It is critical that white business leaders come to terms with our future reality. BEE is not a numbers game. It is a business imperative and the only way to break out of the overwhelming sense of hopelessness that blows like a cold wind through our country.
A popular phrase among white South Africans is, "Why can't we just put the past behind us and move forward?" Easy to say when you are the beneficiary of that past. Sweeping the past under the carpet and hoping that it will rectify itself is naïve at best and irresponsible at worst. We will never be able to move forward until we have adequately understood how we got into this mess in the first place. We must address the root causes of racial polarisation, which, in my view, is the single biggest challenge we face in South Africa.
READ | OPINION: Terence Corrigan - The high price of cheap ideology
Race relations touch every aspect of our society, and it will continue to do so for as long as there is an unequal distribution of wealth. We must have uncomfortable and courageous conversations about race.
Back to Dischem
Saltzman's decision to call a moratorium on the employment of white managers was absolutely the right one. The memorandum could perhaps have been couched differently, and a process of explanation would have been beneficial, especially to those incumbent white managers who are going to be most affected.
Those people and organisations who have so vehemently opposed the decision and have threatened to boycott the stores should become fully aware of the issues that have been raised above. Their actions are blocking the road towards redressing the glaring imbalances in our society and are paving the way for a lawless and ungovernable country.
Who is going to do something about this?
The current status quo in terms of BEE progress is not coming close to a meaningful reversal of the inequality gap, the gap that threatens our viability as a country.
The government has failed miserably to create a more equal and balanced society. They squandered the massive opportunity that presented itself in 1994 to redress the huge imbalances of our past. "A better life for all" has turned out to be "A better life for a few family members, friends and cadres". We cannot rely on them, in the short term, to make meaningful reforms, as they have left their support base behind in the wake of unbridled greed and corruption.
So, it remains for business to make a difference. Business leaders must transform their mindsets and shift their paradigms as they embrace the new future of our country. It is the moral obligation of every business leader and manager in South Africa to help level the playing field. They must each declare, "if it's to be, it's up to me".
The alternatives are too ghastly to contemplate.
The ancient wisdom of Rumi stated, "Yesterday, I thought I was clever, so I tried to change others, but today I became wise, so I tried to change myself".
Now is not the time to change people to fit our business cultures. We must rather change our cultures to accommodate the rich diversity of its people.
The status quo is unsustainable. Change is inevitable. We can either embrace change and guide its path or we can wait until it consumes and destroys us all.
- Ian Fuhr is from the Hatch Institute.
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