Business Leadership South Africa (BLSA), which represents the largest 84 domestic and foreign companies operating in the country, has released a ‘code of good corporate citizenship’, which, if breached by a member, could lead to expulsion, or a public reprimand.

Chairperson Bobby Godsell said that the code was drafted as part of big businesses response to growing concerns over the level of corruption and anticompetitive behaviour in South Africa and was an acknowledgement that business had a critical role to play in curbing such practices.

The two-page document covers what is expected of BLSA members – some of which have already been found in breach of South Africa’s competition laws, or still face investigation by the Competition Commission – in relation to customers, competitors and employees.

On competitive conduct, the code states that members will not engage in any form of price fixing, market rigging or other anticompetitive practices.

It also includes a commitment to “neither to offer, nor to accept bribes, inducements or facilitations of any kind within the private sector, or to or from public officials and public institutions”.

Outgoing CEO Michael Spicer, who will be replaced by Thero Setiloane in September, insisted that the code sought to complement rather than compete with existing enforcement agencies, and said that a mechanism would be established to deal with allegations of lack of adherence.

It was even possible that hearings would be held to ensure all sides were heard. Any sanction would probably follow on from the formal findings against a company either by the competition authorities, the consumer commission or the courts.

Godsell said that the enforcement aspect had been heavily debated, but that it was felt that the “fine set of words” should be made “enforceable”.

“The unanimous view of our members was that there was no point in espousing values unless we were prepared to live them, and you wouldn’t know if you were living them, unless there was an enforcement mechanism,” he explained.