Social and relationship capital

We contribute to helping the communities in which we operate and recognise that this is an integral part of our business sustainability. We also focus on building partnerships with trade unions and other structured engagement forums to effectively manage the risks associated with industrial action.

Our relationships with our suppliers, customers, industry and government bodies, and regulatory bodies are equally important to our success. Our business activities have an impact on many aspects of society and we have strategies and systems in place that ensure that our relationships are managed effectively.



Inputs
2016 2015
Long-term agreements with key customers
Economic value-added R billion 6.73 5.65
Corporate social investment R billion 8.5 10.7
B-BBEE contributor status level In progress 3
No strike action
Black management % 55 59
Successfully concluded wage negotiations at Glass and Liquid Paper in 2016
14 years of our school partnering programme, invested R3.3 million in 2016

Inputs
  • Beneficial management and employee
  • Constructive relationships with trade unions
  • Ongoing interactions with government and tax authorities
  • Good relationships with our customers and
  • Informed communications with our shareholders and the investment community
  • A focused corporate social investment strategy


How we achieved our outcomes
  • Engaged with affected employees regarding post-retirement medical aid funding
  • Held joint consultative discussions with all trade unions
  • Participated with industry partners on waste management and recycling initiatives
  • Responded to government call for comment on proposed waste management legislation
  • Kept the investment community informed on performance and progress on strategy
  • Continued with our social investment programme including rebuilding a school in Ibadan, Nigeria investing R680 000

Trade-offs in our use of social and relationship capital

Our ongoing investment in social and relationship capital reduces our financial capital in the short term. However, over the long term our business will benefit from these investments which will then have a positive impact on our financial capital.