The PPS Group Social and Ethics Committee (‘SEC’) is a statutory committee of the PPS Insurance Board established by the Board in terms of section 72(4) of the Companies Act (71 of 2008) (‘Companies Act’) and has the functions set out in Regulation 43(5) of the Companies Act.
The SEC is tasked to monitor specific activities of the PPS Insurance Group as set out below and to advise the PPS Insurance Group boards in relation to such matters and meets at least twice a year. The SEC is supported in discharging its duties by the Group Remuneration Committee, the Group Risk Committee and the Group Audit Committee.
Mr N G Payne (Chairman), Independent Non-Executive Director
Mrs T Boesch, Executive Director
Mr C K de Klerk, Executive Director
Mr C Erasmus, Independent Non-Executive Director
The SEC performs all the functions as are necessary to fulfil the following statutory duties:
Monitoring the PPS Insurance Group’s activities, having regard to any relevant legislation, other legal requirements or prevailing codes of best practice, with regard to matters relating to:
Reporting, through one of its members, to the members of PPS Insurance at its annual general meeting on the matters within its mandate.
The SEC meetings held during the year and attendance thereat were as follows:
|Group Social and Ethics Committee||12 March 2015||9 November 2015|
|Mr N G Payne (Chairman)|
|Mrs T Boesch|
|Mr C K de Klerk|
|Mr C Erasmus|
Report to PPS Insurance members by the SEC
During 2015 the committee focused on optimising the appropriate reporting structures to the SEC to enable it to discharge its statutory duties. The committee considered reports from the various contributors regarding the relevant functions and the following items were specifically noted:
|Social and economic development||The United Nations Global Compact Principles are not legislation but reflect international best practice. PPS conducts its business in accordance with the principles regarding human rights, labour standards, the environment and anti-corruption.|
|Compliance with the Employment Equity Act is managed in accordance with a report and a plan submitted to the Department of Labour, which are frequently tracked at executive management and Board level.|
|Various action plans are in place to address the requirements of the sectoral Broad-based Black Economic Empowerment Act and Financial Services Charter.|
|Good corporate citizenship||PPS promotes equality and prevents unfair discrimination against both employees and members.|
|Various corporate social investment initiatives are in place to develop the professional community and students studying towards qualifying degrees.|
|Various sponsorships, donations and charitable initiatives are undertaken and are regularly reviewed.|
|Assessment of the ethical risk profile||Corruption and fraud management is a priority for PPS and a Fraud Management Policy and Whistle-Blowing Policy are in place, and have been appropriately communicated to staff.|
|Consumer relationships||PPS continues to make significant progress on the implementation of TCF and achieved a high score using the self-assessment tool provided by the FSB for this purpose. Refer to additional reporting on this in the Integrated Report.|
|Industry-specific consumer protection legislation is in place (FAIS, Long-term Insurance Act, etc.) and compliance therewith is actively managed and high levels of compliance have been achieved.|
|The environment, health and public safety, labour and employment||The impact of the activities of the various companies on the environment is considered and projects are under way to minimise the environmental impact of the operations of the organisation.|
|The occupational health and safety of employees and clients in buildings occupied by PPS are monitored and a high level of compliance is achieved.|
|Excellent working conditions are in place for all employees.|
|Employment relationships are valued at PPS, which is evidenced by the seal of excellence awarded to PPS from 2011 to 2015 by Deloitte in the ‘Best company to work for’ survey.|
|Educational development of employees is achieved through various initiatives including internal and external training, induction programmes and bursary schemes.|
The committee is satisfied with the reporting and governance framework to ensure compliance with its statutory responsibilities in terms of the Companies Act.
Based on the above monitoring reports, the SEC concluded that there were no specific issues under its purview during the year ended 31 December 2015 which required reporting to the Board or members of PPS Insurance.
On behalf of the PPS Group Social and Ethics Committee
|Mr N G Payne|
|Chairman of SEC|
|6 April 2016|