This Integrated Report aims to provide a balanced, understandable and comprehensive review of the business by reporting on the financial and non-financial performance of the Group. It deals with the material issues, risks and opportunities faced by the Group in the normal course of business as well as the Group's governance, social and environmental responsibilities to create value for each of its identified stakeholders and the communities in which we operate.
There are no material changes to the content of this report compared to the 2016 Integrated Report. Cashbuild continues to enhance the report and follows the guidelines provided by the International Integrated Reporting Framework in terms of reporting according to the Six Capitals. This reflects on the Group's current and anticipated financial performance in line with its strategic objectives. The Company has also published its application of the Principles, in terms of the JSE Listings Requirements, on its website.
Cashbuild has a Broad-Based Black Economic Empowerment Rating of a Level 8 Contributor and an Enterprise Development score of 100%.
Cashbuild has an approved employment equity plan.
Through a process of consultation, the Employment Equity Committee (EEC), consisting of employees and managers; developed the Employment Equity Plan. We continue to reach and exceed our goals.
The philosophy of having all staff share in the success of the Group, and in so doing create a sense of belonging and ownership, is embodied in the Cashbuild Empowerment Trust to which all permanent staff, irrespective of seniority or length of service, belong. Additionally, it aligns the goals of staff with those of the shareholders. This Trust owns 1 764 999 shares, 7.06% of the issued share capital at 30 June 2019. Dividends are paid twice per year to all members of the Trust on an equal basis. In the last financial year, a total of R11.0 million (2018: R12.4 million) was paid and shared between all permanent members of staff. Since inception in 2005, the Trust has disbursed a total of R256 million to staff.
As part of Cashbuild’s commitment to making a positive contribution to every community in which it trades, Cashbuild embarks on various local community initiatives in order to support local development and foster relationships within each store’s community.
Some the initiatives are Glass Cutting and Delivery Services, whereby Cashbuild makes use of local delivery drivers and glass cutters which are all either 100% black owned or black individuals.
Local Glass Cutters are given the opportunity to “set up shop” at each Cashbuild store. Whilst they are not directly employed by Cashbuild, Cashbuild advertises their services and allows them to operate from the Cashbuild premises, benefit from Cashbuild’s customers without incurring any costs or rental. Not other does this improve individuals within the local community but also provides a convenience for customers as they can purchase glass and then have it measured and cut to size at Cashbuild.
Cashbuild provides our customers with free local delivery. Delivery in excess of certain demographics are charged at competitive rates. Cashbuild does not have its own fleet of vehicles, but makes use of local delivery contractors who either reside or operate within the local community. This provides not only a service to customers but also employment opportunities for the local community.
Cashbuild manages the deliveries on behalf of the customers and customers pay Cashbuild directly. Cashbuild negotiates with the local delivery contractors in terms of pricing, servicing and to ensure the customer’s expectations are met.
Each store determines its own unique catchment areas and requirements, based on local market knowledge.
Cashbuild assumes responsibility for the success of the delivery system and also advertises this extensively in all advertising media.
It is in line with the above that Cashbuild manages to ensure a Broad Based Black Economic Empowerment Rating of a Level 8 Contributor and maintaining an Enterprise Development score> of 100%.