The Social and Ethics Committee (SEC) plays a pivotal role in ensuring that a company’s ethical and social responsibilities align with its corporate objectives. However, one of its most crucial, yet often overlooked, areas of influence lies in Human Capital. In today’s competitive and socially conscious environment, companies must ensure that their Human Capital strategies reflect a commitment to ethical behaviour and staff development.
The Link Between the Social and Ethics Committee and Human Capital
According to Ginen Moodley from Moodley Attorneys, the Social and Ethics Committee is mandated by law to oversee the company’s social, economic, and environmental responsibilities. In his article, Moodley outlines that the SEC plays an integral role in creating policies that impact the organization’s workforce and overall workplace culture.
One of the SEC’s key mandates, as highlighted in the SAIPA Handbook, is to ensure the company considers its social impact on the workplace. This includes taking care of employees’ health, safety, and development. The committee’s involvement in shaping workplace culture is essential, but the responsibility doesn’t lie solely with them.
Human Capital Development: A Core Responsibility
Human Capital development extends beyond compliance—it’s about investing in people. By aligning with the SEC’s mandates, companies can focus on comprehensive staff development initiatives, such as Skills Development and Broad-based Black Economic Empowerment (B-BBEE).
At its core, Human Capital is about fostering an environment where employees feel valued, safe, and empowered. The SEC can ensure that the company’s Human Capital strategy aligns with broader goals of diversity and inclusion, essential for B-BBEE compliance and the long-term success of the business.
Ethics and Organisational Culture
Ethics in the workplace, however, is not solely the responsibility of the SEC. As Prof. Cynthia Schoeman, an ethics expert, points out:
“Organisations should guard against the social and ethics committee assuming the role of the sole custodian of ethics in the workplace. While the committee provides a formal ‘home’ for ethics… it cannot take on the employee’s ethical responsibilities, and it should not take on the moral responsibility of others.“
(Read more in her article)
This underscores the importance of ethics buy-in from all members of the organization, particularly when it comes to shaping a strong Human Capital framework.
A collaborative approach between Human Resources and the SEC ensures that every member of the workforce understands and embodies the company’s ethical and developmental standards.
Skills Development and B-BBEE
For companies in South Africa, compliance with B-BBEE codes is essential, and the SEC can guide the ethical implementation of these initiatives. By working with Human Capital departments, the SEC ensures that Skills Development programs are not just tick-box exercises, but rather authentic commitments to employee growth and empowerment.
Ensuring that your company’s Skills Development initiatives and B-BBEE strategy reflect the SEC’s broader objectives creates a more inclusive and progressive workplace. Staff development, supported by ethical oversight, fosters a culture where employees are not only trained and developed but also motivated to contribute to the company’s long-term success.
Conclusion: Empower Your People with Ethical Leadership
The relationship between your Social and Ethics Committee and Human Capital development is vital for fostering a work environment built on ethics, inclusivity, and continuous development. By bridging these two essential elements, companies can achieve not only compliance but also create a culture of empowerment and growth.