Deputy Chairperson, it is envisaged that a small enterprise ombud service will be established in the 2020-21 financial year, as soon as the amended legislation is promulgated and proclaimed.
The department, with the support of The Office of the Chief State Law Advisor, has completed the drafting of the Amendment Bill for the establishment of the small enterprise ombud service. At this point, the draft Bill is undergoing the socioeconomic impact assessment process.
The main function of the ombudsman is to resolve disputes between small businesses and other parties which could be other businesses that are private, and the state, including state-owned entities, SOEs, and municipalities. The proposed functions for the purpose of achieving the objective is to be ... [Inaudible.] It will be set for the ...
The ombud will be competent to investigate, among others, any alleged unfairness in relation to contractual arrangements or other legal relationships between the complainant and any other party to the complaint; abuse or unjustifiable exercise of power or unfair or other improper conduct or undue delay in performing in terms of a contractual arrangement or other legal relationship between the complainant and any other party to the complaint, including one of late payment of an SMME; an act of omission which results in an unlawful and improper prejudice to small enterprises.
The ombud must in any case where a matter was not settled or a recommendation was not accepted by all parties concerned, make a final determination.
Further details will be made available when the draft Bill has been considered by Cabinet for both public comment and parliamentary processes. Thank you.