Europ Assistance SA empowers employees through a broad based trust

Christelle Colman, CEO of EASA.

South Africa is a country rooted in diversity and it is therefore imperative that all South African businesses embrace transformation in order to allow everyone to be represented equally in the businesses sector. This is according to Christelle Colman, CEO of Europ Assistance South Africa (EASA), who states that transformation is not only a moral and human rights initiative, but it is also critical for the achievement of sustainable and equal development of the country’s economic growth.

“Every business’ contribution towards transformation should be constructed as a good gesture and not as an auxiliary replacement of business obligations to comply with mandatory legislative requirements around Broad-Based Black Economic Empowerment (B-BBEE). Businesses that do not have high B-BBEE representation in leadership positions should look for innovative ways to improve their contribution toward transformation,” she says.

EASA has always embraced transformation and decided to invest and empower employees from previously disadvantaged backgrounds by means of establishing the Europ Assistance Broad-Based Trust (the Trust). According to Colman, “A shareholders’ decision has been taken to empower previously disadvantaged employees who actively contribute towards the success and growth of the company on a daily basis.”

Colman explains that the Trust is a tool that will align employee rewards with business success while at the same time address the requirements of B-BBEE compliance. “It will provide a vehicle for greater employee commitment and engagement as these employees will be increasingly committed to the company’s goals and values.”

She explains that the Trust has been established and will hold 12.5% of the issued shares in Europ Assistance Worldwide Services (South Africa) (Pty) Ltd. “The beneficiaries of the Trust will be all the permanent employees at the company (and its South African subsidiaries), who are South African citizens from previously disadvantaged groups – as defined by the B-BBEE Act. When the company declares its profits, the proportional dividends will flow to the Trust after the notional loan has been settled. The income received by the Trust will then be distributed to the beneficiaries after any Trust expenditure and costs have been paid.” she stated.

Colman noted that it is not compulsory for these employees to become a beneficiary, but all qualifying employees are invited and given the opportunity to participate. “These employees will then become part of the ownership structure of the EASA Group without having to pay for it, thus there is no financial outlay for these employees.”

“We are extremely excited that our South African employees from previously disadvantaged groups will get the opportunity to receive economic benefit from the Trust. The Trust will be administered by seven trustees who will ensure proper functioning,” concludes Colman.