Abstract
This dissertation explores the representation of Black women on audit and risk committee within the top 40 Johannesburg Stock Exchange (JSE) listed companies. The study is rooted in the context of gender diversity, corporate governance, and legislative frameworks in South Africa. Utilising a qualitative approach, the research examined secondary data from the annual integrated reports of the selected companies for the year 2023, analysing the composition of their audit and risk committees with emphasis on racial and gender diversity.
The methodology involved a comprehensive review of the annual integrated reports to identify the racial and gender composition of audit committee members. The data were categorised into four racial groups, namely African, White, Coloured, and Asian. An Excel spreadsheet was used to systematically record and analyse the data. The presentation of results ensures the anonymity of the companies involved in the study.
Key findings reveal that certain companies, notably Company J and Company W, demonstrated a significant commitment to diversity with high representations of Black females on their audit committees. Company J led, with four African females accounting for 67% of its audit committee, while Company W followed with three Black females, representing 60% of its committee. Companies N, Q, and R also showed notable inclusivity, with two African females each. Conversely, several companies, such as Companies A, B, C, and D, lack African female representation entirely on their audit committees.
The analysis highlights industry-specific trends, with the telecommunications and resources sectors showing better representation of Black females. In addition, larger companies with explicit diversity policies tend to have higher representation, underscoring the impact of corporate size and proactive diversity initiatives.
The study concludes that while progress has been made in some areas, significant disparities in Black female representation on audit committees persist. It emphasises the need for broader and more consistent efforts across all industries to enhance diversity in corporate governance. The findings suggest that legislative and regulatory frameworks, along with an inclusive corporate culture, are crucial in shaping diversity outcomes. Companies that prioritise diversity as a core value and integrate it into their governance practices are more likely to achieve higher levels of inclusivity.