Sustainabilty report

RMI Holdings is committed to good corporate citizenship practices and organisational integrity in the direction, control and stewardship of the group’s affairs. To the extent that it is possible, the directors of RMI Holdings seek to ensure that this commitment is practised and reported on by all the company’s subsidiaries and associates. This commitment provides stakeholders with comfort that the group’s affairs are being managed in an ethical and disciplined manner.

This discussion is a limited overview from a group perspective. Each of the listed entities in the group publishes detailed sustainability reviews.

RMI Holdings subscribes to a philosophy of providing meaningful, timely and accurate communication to its key stakeholders, based on transparency, accountability and integrity.

The direct stakeholders of RMI Holdings are shareholders, customers, employees, suppliers, regulators, government and the communities in which group companies operate.


RMI Holdings’ communication practices are designed to allow investors to make decisions about the acquisition and ownership of shares. In future, the company will communicate formally with shareholders twice a year when it announces interim and year-end results. The maiden set of results was announced on 14 September 2011. Comprehensive reports are sent to all shareholders and are accessible on the company’s internet site. The chairman and chief executive officer meet with investors and investment analysts from time to time.

Significant shareholdings and an analysis of the RMI Holdings share price and trading data appears here.


The group companies provide a comprehensive range of financial products and services to South African corporates and individuals. In this regard, the integrity of its various brands, their image and reputation are paramount. To ensure the sustainability of their businesses, all companies in the group regularly engage with their customers to measure satisfaction levels and gain insight into their needs. All the group companies encourage innovation in order to ensure that customers’ needs are addressed.

In terms of the Financial Sector Charter, group companies are committed to providing financial products and services to previously disadvantaged communities.


RMI Holdings, together with all its subsidiaries and associates, believe that employees have an important role to play in sustaining the positive performance of the group. The human resource strategy is to attract, develop and retain the best industry talent from South Africa’s diverse population base. In particular, it seeks people with entrepreneurial attitude and encourages an owner-manager culture. People are empowered, held accountable for their actions and rewarded accordingly.

The group operates in a number of sectors within the broader financial services industry, each with its own distinct employment practices and unique human resource pressures. To recognise and address such divergent needs, the group follows a practice of devolving the design and implementation of appropriate remuneration structures through industry specific structures. Within this divisional framework, remuneration structures comprise:

• basic salary plus benefits (all employees are required to belong to a medical aid); and, where appropriate
• annual performance related rewards; as well as
• share incentive schemes.

Remuneration is based on individual and business unit performance. Annual remuneration reviews encompass all three elements.

Employment equity
In line with the business philosophy of empowerment, each business unit in the group is charged with meeting its targets in terms of plans submitted to the Department of Labour as required by the Employment Equity Act. In addition to setting affirmative action targets aimed at raising the number of designated groups as a percentage of the total staff complement, such plans commit group companies to the following in pursuit of the appropriate employment equity in the organisation:

• increasing the overall racial diversity of the workforce;
• increasing the number of black and female managers;
• creating awareness of the need for employment equity and diversity amongst employees;
• the establishment of representative diversity forums; and
• awareness of employment opportunities for people with disabilities.

Employee wellness
The group is committed to the health and safety of employees and has implemented measures to ensure optimal health and safety conditions for employees.

Of growing importance is the impact of HIV/Aids on the workforce and the South African economy in general. The group has adopted an HIV/Aids policy that is based on education, communication, counselling and confidentiality.


The group has established a set of procurement guidelines to assist group companies in meeting their commitment to place business with BEE suppliers. One of the main focus areas of the procurement function within the various group companies is ensuring that all suppliers are appropriately accredited.


The group is subject to the independent oversight of South African regulatory authorities. Group company representatives interact with a wide spectrum of regulatory bodies, including the Financial Services Board and the Johannesburg Stock Exchange. The relationship sought is one of compliance and constructive participation in committees with a view to ensuring that South African industry practice remains amongst the best in the world.


All group companies are committed to uplifting the societies in which they operate through following sound employment practices and meeting the real needs of the communities. At MMI, a decision was made to combine the work of the respective corporate social investment (“CSI”) initiatives of Metropolitan and Momentum in the Metropolitan Foundation, and to change the name of this CSI vehicle to the MMI Foundation. The new combined foundation will focus primarily on Aids, disability and education. Discovery uses its resources to help support and develop communities in the area of healthcare. It currently provides ongoing support to 32 community healthcare organisations, and provided grants and scholarships for medical specialist training to 143 healthcare professionals. The most notable community projects at OUTsurance are the “pointsmen project” and “staff helping South Africa OUT”.

Natural environment

The group is committed to reduce both the direct and indirect impacts its business activities have on the natural environment. Both direct and indirect impacts are regulated through application of relevant legislation, subscription to voluntary external regulations, and ongoing internal self regulation.

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