Paid how much?

The ongoing public sector strike has raised several interesting points. Not least of which is what teachers actually earn. A full-page advert in newspapers last weekend gave some very respectable figures¬† for teacher salaries.¬† A teacher just starting out, with a 4 year qualification has a total cost to employer of around R229,000 per year. […]

Income, Outgo, and the NHI

What about the NHI sounds like a bad idea? Free, universal, comprehensive medical care – it’s a great ideal. What about our current healthcare setup sounds good? A small proportion of the population have access to excellent healthcare, but the vast majority have “access” to public health comprising long queues (often after long walks) to […]

Make A Million competition encourages financial meltdown

[There is an additional post for the 2010 competition on how to not lose money in the make a million competition.] The Make a Million competition is in its fourth year. The aim? Take a personal investment of R10,000 and compete with other “investors” to earn the highest return over a short period of a […]

Don’t use Altman’s Z-score for managing a turnaround

I attended workshop presented by the famous credit analyst and model builder, Professor Edward Altman. He is probably most famous for the invention of the seemingly immortal Z score, which is still in use 40 years after its creation in 1968. During the workshop, Professor Altman recounted a story about how a company managed themselves […]

The first of many BEE deals drowning

Moneyweb’s article on Barlow’s re-striking of BEE options echos my earlier post on the trouble of underwater incentive options. The sense of the article is that this sets a bad precedent. Of course, the precedent has been set years ago – I’ve personally calculated the additional costs under IFRS2 for BEE deals in danger of […]

When you’re underwater, what’s the incentive?

Employee Share Options became popular during the tech boom of the last millenium. They were used before, but the explosion across more companies, across more levels of employees and as an expected part of executive remuneration was a product of the Silicon Valley boom. There are pros and cons for share options. Used correctly, they […]