Legal Sector Code of Good Practice Gazetted to Transform South Africa's Legal Industry

In a landmark step towards transforming South Africa’s legal industry, Minister of Justice and Constitutional Development, Thembi Simelane, has wholeheartedly welcomed the official gazetting of the Legal Sector Code of Good Practice. The announcement came after Minister Mpho Parks Tau, in charge of Trade, Industry and Competition, gazetted the code on 20 September 2024, in accordance with Section 9(1) of the Broad-Based Black Economic Empowerment (B-BBEE) Act, No. 53 of 2003.

The newly implemented Legal Sector Code is designed to facilitate targeted interventions within the legal sector to rectify gross disparities in ownership of productive assets, possession of advanced skills, and senior positions in the profession that disproportionately exclude a majority of black individuals.

Profoundly aware of criticisms that label the B-BBEE Act as racially biased, proponents of the Code argue that its measures are imperative to leveling the playing field that has historically been skewed against black professionals due to systemic barriers related to race.

The Legal Sector Code sets out ambitious transformation goals to be achieved over the next five years, such as ensuring at least 50% black ownership of legal practices, of which a quarter should be owned by black women. It also establishes management targets, stipulating that 50% of executive board and partnership positions must be represented by black practitioners, with 25% being black women. Furthermore, the Code mandates an investment of 3.5% of expenditure on skills development for black candidates, while procurement practices will require the private sector to achieve a 60% target, escalating to an 80% target within the public sector using specialized scorecards.

To oversee the sweeping changes the Code intends to bring about, it announces the formation of the Legal Sector Charter Council. This governing body will monitor adherence, provide guidelines, clarify operational queries, and assist stakeholders in applying the Code effectively.

On 02 October 2024, Minister Simelane called upon the legal profession to nominate candidates for the Charter Council, emphasizing the significance of active and diverse participation in this decisive phase of transformation.