PPC, South Africa’s largest cement product manufacturer, has launched an employee share ownership trust that will give its South African staff a 10% shareholding, paid via dividends. This scheme differs from previous empowerment schemes at PPC because it relies on the firm’s dividends for its sustainability rather than the share price, which can fluctuate. In the past financial year, PPC declared a dividend of R200 million ($13.8 million), and members of the new scheme will receive a dividend from this payout. The scheme is expected to improve PPC’s B-BBEE status and increase its black empowerment shareholding to around 20%.
