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The Funeral Industry and business opportunities

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					South African Council of Churches funeral seminar towards regulation
of the industry – held at Parktonian Hotel – Johannesburg – 2nd o 3rd
November 2005.

Background:

This seminar was an attempt by the Council to implement the Conference resolution
number fifteen (Resolution No. 15) taken at the Triennial National Conference held
on 14th July 2004 in Johannesburg. Resolution number 15 complemented the
resolution taken in 2001 – Resolution Number 5 of 2001 (See the attached report
produced in 2002).

From 2001, discussions were held at various levels by churches and groups
including the South African Federation of the burial society (NCASA). The SACC
report was distributed at the official launch of NCASA. The federation endorsed
and supported the conference resolution passed in 2001 and the process towards
regulating the industry.

On opening session, the Rt. Reverend Zitha opened the seminar with devotions. He
made remarks from the death of Jesus Christ on the Cross. He reminded
participants that during burial of Christ there was no funeral undertaker to bury
Christ. Joseph took it upon himself to bury the body of Christ. We do not hear
anything relating to costs of burial but only hear about the humility of the burial of
the Lord. This is the example we should follow. The whole ceremony of burial
should affirm that as people as people we are created in the image of God, our
funeral services should affirm and be a reflection of this God-given dignity. Our
funeral services should extend our respect for life to those who have also passed on
and their families. Bishop Zitha emphasized that in respecting the dead, however,
we should not respect the burial, but the person as Joseph of Aramathia did when
removing the body of Christ from the Cross and burying it in a tomb.

                                    Ecclesiastes 7:2
  Tell us that death is the destiny of all human beings. We all need to prepare for
                          death. But how should we do that?


The devotions were followed by the reading of the two Council resolutions on
funeral taken at the 2001 and 2004 triennial national conference. Emphasis was
based on the 2004 resolution number five (Resolution No.5 of 2004 point 3 and
subsequent paragraph number 4). They read thus;

Conference further resolves to:

   3.     Lobby government to set up a statutory body involving all stakeholders to
          regulate the funeral industry; and


                                          1
   4.     Urge the SACC to oppose the privatization of cemeteries, as this is one of
          the major causes of high costs of burials

State of the funeral industry:

The funeral industry has become a fastest growing industry and accelerated by the
growing mortality rate caused by allegedly by AIDS. The role players rage from
(Pty) Ltd companies down to individually owned corporations. Statistics shows that
+- 942 000 deaths are registered annually and the number increasing at 11.3% since
the last surveys. More people are entering the industry seeing opportunities make
the living. The unfortunate part is that most of the imaging competitors entering the
industry have no basic professional skills or business background.

Operational threats:
The scenario above tells about the urgency to attend this industry. The urgency is
underlined by the threats identifies during the deliberations at the seminar. The
crisis facing the industry directly affects families who are the direct beneficiaries,
financial services and government especially at local level.

A research was conducted over forty eight months by UFASA; part of the findings
reveals that the Financial Services Board (FSB) is unable to control the financial
services relating to funerals. Among the discrepancies is that the insurers/insurance
companies do not receive some funds received from clientele.

Pre-paid funeral funds are not underwritten by societies. There was a concern that
funeral undertakers sell their product on monthly payments with no cash benefits
for clientele.

Insurers were urged not provide their products to illegitimate parlous of not
licensed by an appointed board. An idea was raised of a profit sharing scheme
where individuals will benefit. Brokers and body of administrators is needed for
pricing on admin fee for insurance products.

Part of the problem identified is the conduct by some undertakers touting
pensioners at pay points for burial schemes. They use B1 1663 documents without
proper control and are open to fraud. Process of death registration is delayed and
usually affecting burial for some remains.

Another discrepancy identified at the home affairs is the system applied for finger
printing.




                                          2
HOME AFFAIRS

   FINGERPRINTS CHANGE AFTER DEATH.IN MORGUE DUE TO
    MOISTURE
   BI 1663 DOCUMENTS – NOT WORTHWILE CURRENTLY FINGERPRINT
    FRAUD, GOVERNMENT CONTROLS
   PROCESS DELAYS – BETWEEN DEATH, REGISTERING & BURIAL

DEATH REGISTRATIONS

   WHOM CERTIFY REMAINS
   WHO CONTROL SUCH CERTIFICATIONS
   CAUSES OF DEATH AS NATURAL – NO HIV/AIDS
   PARLOURS DO NOT CERTIFY REMAINS – IF IT’S DONE WHERE &
    WHOM CONTROLS IT
   GOVERNMENT MORGUES & HOSPITALS DO NOT CERTIFY BODIES
   DELAY IN DEATH REGISTRATIONS, BURIALS WITHOUT DEATH SERT

MEDICAL RESEARCH COUNCILL(NCOH)

   CONTROLS MEASURES
   PAYMENTS TO MEMBERS AFFECTED WITH MINE TUBERCULOSES
   ODIMWA LAW NEEDS ADJUSTMENT


DR’S/ PATHOLOGISTS

   ISSUE SIGNED BLANK DEATH CERTIFICATES &CREMATION
    DOCUMENTS
   IDENTIFYING OF REMAINS NOT DONE TOGETHER WITH ID

MEDICAL EQUIPMENT

   STERILISED PACKS & EQUIPMENT USED NOT STRERILISED

CLERGY/ REVERANTS

   PAYMENTS UP TO R500 WHO CARRIES THE COSTS, VERGER &
    ORGANIST FEES, EXPLOITED BY PARLOURS AS A MARKETING TOOL

PAUPERS
   BURIALS TAKING PLACE OF MORE THAN 1 INTO THE SAME GRAVE,
    WHAT HAPPENS IN THE EVENT OF A EXHUMATION


                             3
   SEPARATE CEMETERIES
   AS THE SAME WAS DONE PRIOR TO 1994, IS IT POSSIBLE THAT
    PEOPLE LOOKED FOR COULD HAVE BEEN BURIED AS PAUPERS

CHEMICALS

   SABS STANDARDS
   IMPLEMENTATION

WASTE MANAGEMENT
   NO WASTE MANAGEMENT POLICIES INPLACE
   WASTE (HIV INFECTED) ON DUMPING SITES AND NOT INCINIRATED

AIR POLUTION

   EXTRACTOR FANS IN MORTUARIES / DECOMPOSED BODIES

MORTUARY AREA

     HOT & COLD WATER
     STAINLESS STEEL EQUIPMENT
     HAND WASHING FACILITIES
     SOAP DISPENSERS
     GLOVES
     PROTECTIVE CLOTHING
     PLASTIC THAT COVER REMAINS (THICKNESS)
     DRAINAGE SYSTEMS / OPEN DRAINAGE / DUMMY DRAINS
     BACK UP GENERATORS
     LIGHTS & AIR VENTILATION
     FLOORS AREAS, TILED, CONCRETE OR HOSPITAL THEATRE TYPE
     APOXCIED AND TREATED METALS
     AUTOCLAVE MACHNES
     FLUIDS GOES INTO EXISTING SEWERAGE SYSTEMS
     EPOXI COATED METAL (NO RUST PAINT USED)
     FLOOR, WALL COVERAGE

COFFIN STOCK / MANUFACTURERS

     WHERE AND HOW IS COFFINS STORED, PACKED & TRANSPORTED
     PURCHASE PRICE vs. SELLING PRICE
     NO STOCK TO NON LICENCED PARLOURS
     AUDIT STOCK vs. PRODUCTS STOCK NR, S
     QUALITY CONTROL & MONITORING
     NO COFFINS IS SABS APPROVED


                               4
   NO PATENT RIGHTS ON COFFINS
   BASE OF COFFINS IS MADE OF PRESS BOARD & NOT LEAK PROOF
   PRESS BOARD BASE ABSORB FLUID & REMAINS COULD COLLAPSE
    THROUGH THE COFFIN(MEDIA PROOF)
   70% OF A HUMAN IS FLUID, WHERE DOES THE FLUIDS SYPHEN –
    UNDERGROUND WATER (THREAT)



TRANSPORTATION OF HUMAN REMAINS


   LAWS TO BE PRESCRIBED, BORDER CONTROLS
   REPATRIATION WHOM CHECKS REMAINS, COFFINS
   EMBALMING CERTIFICATES, IS OFFICIALS TRAINED


DISASTER MANAGEMENT

   WHAT MORTUARIES IS COMPLYING IN THE EVENT OF A DISASTER
   AS GOVERNMENT FACILITIES IS NOT ABLE TO HANDLE THE
    VOLUMES CURRENTLY.

DRESSING ROOMS

   WASHING FACILITIES,   PUBLIC   PROTECTION      &   CUSTOMARY
    REQUIREMENTS

STAFF/ UNION

   HOW IS THE MORE THAN 30 000 STAFF & PART TIME STAFF PROTECTED?
   INFECTIOUS DESEASES HIV/AIDS, HIPATITUS B, MRSI
   BASIC SALARIES, OVERTIME, AFTER HOURS OVERNIGHTS AND
    LONG DISTANCE TRAVELLING
   TRAUMA COUNCILLING
   DAILY WASHING FACILITIES
   NO PROVIDENT, PENSION OR MEDICAL AIDS
   INADEQUATE TRAINING
   NOT ONLY THEORETICAL BUT “HANDS ON”
   TRAINING SCHOOL, SKILLS DEVELOPMENT

LOCAL GOVERNMENT

   TRAIN HEATH INSPECTORS



                              5
   INSPECTIONS,HEALTH,SARS,PDA       LICENCED   VEHICHLES,
    ASSOCIATION     STANDARDS,RECORDS        OF   MORTUARY
    BOOKS,GOVERNMENT FACILITIEAS IN RESPECT OF STORAGE FOR
    UNSCRUPOLOUS PARLOURS
   PARLOUR RENTALS TO NON LICENCED PARLOURS
   MORTUARY FACILITIES, EQUIPMENT, VEHICLES


DTI / IDC

   SUBSIDISE THE INDUSTRY THROUGH A FUND (RECAPITALISATION)

SERVICES SETA

   HANDS ON TRAINING FACILITIES, SOLVING THE FLIGH BY NIGHTS &
    ALSO A DISASTER MANAGEMENT FUNCTON

CREMATORIUMS

     MONITORING AND CONTROLS
     CREMATORIUM EMPLOYEES NOT TRAINED
     ACHES 25 % TO FAMILIES
     ASH HOLES
     OFFICIAL DOCUMENTS – CONTROL MEASURES
     ASH HOLDER SIZES vs. WALL OF REMEMBRANCE
     PACEMAKERS (RADIO ACTIVE MATERIAL)

REMAINS,ORGAN REMOVAL/ORGAN DONATION

   CONTROLS TO NCOH, AUTHORITY BY FAMILIES
   COURIER SERVICES – HUMAN REMAINS
   SAPS DOES SUCH ORGAN REMOVALS WITHOUT FAMILY CONSENT

RASICM

   SEPARATE FACILITIES
   WHITE DOING BLACK FUNERALS
   BLACKS    NOT   DOING   WHITES     BUT   THE   HAVE    THE
    INFRASTRUCTURES

CEMETERIES

   NOT SAFE, CLEAN OR PROTECTED – PARLOURS NOT TO BE
    ALLOWED IF NOT LICENCED


                              6
   EQUIPMENT STOLEN
   GRAVE COSTS
   SOLUTIONS NEEDED

MEDIA

   PUBLIC EDUCATION, INSURANCES OR FUNERAL COSTS


HEALTH DEPARTMENT

   LOW BARRIER ENTRY TO BECOME A FUNERAL PARLOUR
   CERTIFICATES, REGULAR INSPECTIONS AND TRAINED

SUPLLIERS

   TO BE ACCREDITED AND LICENCED, SABS APPROVED PRODUCTS

UIF/TAX/SARS/PAYE

   CERTIFICATES TO BE DISPLAYED

SAPS/HOSPITALS MORTUARIES

     POST MORTEMS IN CERTAIN CASES NOT DONE
     GOVERNMENT OFFICIALS FAMILIES EMPLOYED BY PARLOURS
     BRIBERY, STORAGE FOR UNLICENCED
     MORTUARY REGISTERS COULD GIVE AN INDICATION THEREOF
     ADMIN INSPECTIONS IRO PAYMENTS
     OPEN WOUNDS
     IDENTIFICATIONS
     REMOVAL OF NATURAL CAUSES
     AMBULANCE SERVICES vs. PARLOURS
     CLOSING OF WOUNDS
     SKULLS NOT INTACT
     ORGAN REMOVALS
     WHY IS PRIVATE COMPANIES USED AS GOVERNMENT MORGUES,
      WHAT COULD HAPPEN TO EVIDENCE, AS STAFF DOES POST
      MORTEMS?
     FUNERAL STAFF USED TO DO LEGAL POST MORTEMS
     PRIVATE GOVERNMENT MORGUES BENEFIT CERTAIN PARLOURS
     GOVERNMENT LOOSING INCOME & OUR PEOPLE THE PUBLIC IS
      EXPLOITED BY HIGH FUNERAL COSTS vs. DIRECT COSTS
     REMOVAL COSTS BETWEEN OPPOSITION PARLOURS



                             7
  HIV / AIDS, HIPATITUS B, MRSI VIRUSSES AND HIGHLY INFECTIOUS
   THREATS


CURRENT ASSOCIATIONS
    ACCREDITATION OF MEMBERSHIP
    NO SOLUTIONS, SUPPORT IS OFFERED
    NOT INDEPENDENT AND REPRESENTITIVE OF ALL
    BLACKLISTING OF PARLOURS & SUPPLIERS
    MUST TAKE RESPONSIBILITY OF ITS MEMBERS
    TAKING CARE OF THE MEMBERS INTERESTS
    GOVERNMENT MUST LISTEN TO THE CONCERNS
    MANAGEMENT & SUPPORT FUNCTIONS
    TRAINING ALL ASPECTS – OPERATIONS, ADMIN,
    BEE vs. MANAGEMENT AND % WHITE & BLACK BUSINESS
     GENERATED
    RECORDS OF MEETINGS
    STATISTICS
    DECISIONS TO BE PLACED ON WEBSITE FOR PUBLICCOMMENTS
    IMPORT & EXPORT (PROUDLY SOUTH AFRICAN)
    RAISE CONCERNS PUBLICLY
    MEMBERS FACILITIES AND STRUCTURES
    RECORDS OF COMPANIES AFFILIATED STORAGE, EQUIPMENT AND
     VEHICLE ASSET
    HIRED TRANSPORT
    NCOH CONTROLS (ODIMWA LAWS)
    AFTER HOUR REMOVAL COSTS
    ADMIN, LEGAL IMPLICATIONS
    NCOH CONTROLS & PAYMENT TO MEMBERS
    HEALTH DEPARTMENT TRAINING
    EMBALMING CERTIFICATES
    RECONSTRUTION & EMBALMING
    TENDERS LOCAL & NATIONAL
    EXHUMATIONS
    PRIVATE POST MORTEMS
    CONSUMER COMPLAINTS
    UFASA OPPERTUNITIES(15000)
    SKILLS TRANSFER
    EMPLOYMENT EQUITY
    CORRUPTION TO BE EXPOSED

UFASA SOLUTIONS & ROPOSALS OFFERED

  IMPLIMENT NEW HEALTH REGULATIONS ON ALL PARLOURS


                              8
   CUT OFF DATE ON REGULATION, FUNDING AND SUPPORT
   COMPANY REGISTRATIONS MUST BE HELD TILL PARLOURS
    COMPLY
   PARLOURS TO RE REGISTER TO NEW HEATH LAWS
   ANNUAL LICENCES TO BE PAID
   INDEPENDENT REGULATOR REQUIRED
   BARGAINING COUNCIL,
   INTERACTION BETWEEN INDUSTRIES, INSURERS &GOVERNMENT
   POLICIES / PROCEEDURES
   MEDIA / PUBLIC AWARENESS
   FSB / SARS / SETA / RSC LEVIES
   GOVERNMENT INCOME AND SAVINGS
   CURRENT ASSOCIATIONS INDEPENDANCE
   LICENCING BOARD
   GOVERNMENT PORTFOLIO COMMITTEE
   AMERICAN CORONER SYSTEM TO BE IMPLIMENTED
   LOBBY FINANCIAL SERVICES TO SUPPORT REGULATION
   UNLICENSED MUST NOT BE ALLOWED INTO CEMETERERIES,TO
    REGISTER DEATH’S,REMOVAL AT GOVERNMENT HOSPITALS & SAPS
    MORGUES
   QUALITY CONTROLS
   EFFECTIVE MONITORING


NETWORK & LOBBYING

   INFRASTRUCTURE & COSTS REGIONAL MONITORS AND OFFICES
   HUMAN RIGHT’S COMMISSION & CONSUMER COUNCIL

UFASA CENTRAL NATIONAL I.T. MANAGEMENT FUNCTION
   FUNERALS ONLY REFERRED TO ACCREDITED PARLOURS
   REFERRALS TO ACCREDITED NETWORK OF SUPPLIERS & SERVICE
    PROVIDERS
   BEE POLICY TO BE IN PLACE
   MARKETING OF SERVICES TO INSURERS / REFERRALS TO
   PARLOURS & MANUFACTURERS, SERVICE, PRICE AND PRODUCTS

TRUST FUND
   BENEFICIARIES
   TRUSTEES
   JOB CREATION, OWNERSHIP, EQUITY LSM1-5




                              9
South African Local Government Association presentation


   -   The presentation will focus on City parks of Johannesburg
   -   Investigating the possibility of uniformity in enforcing the by laws –
       application of legislation to be applied through out the country
   -   Before the funeral undertakers of parlors can operate need to have
       certificate of competency-

      need to be registered
      have own premises to work from
      premises to be registered
      must have business plan
      building or premises conducive to conduct such an operation/business
      need rooms for staff and families to change, wash or clean the corpses
      the premises need separate rooms for fridge and clients rooms
      acknowledge that the municipalities not enforcing the by laws
      before the funeral undertakers are to operate, need to be registered with City
       Parks
      regulation is taking place in the industry
      City parks documentation is computer generated and the necessary
       documentation before the burial are or needs to be processed 48hrs before
       the burial
      City parks acknowledged the disparity in terms of maintaining cemeteries in
       previously disadvantaged and the previously advantaged. The bone of
       contention being lack of enough funds to maintain the mostly black
       cemeteries.
      The so called “white” cemeteries were well resourced


Commissions report back
 Terms of reference for the commission: to identify insurance and operational
challenges and threats facing the industry.

Group one (1)
Challenges faced by the industry

Funeral operators
      non enforcement of regulation, rules and by laws governing the industry
      non compliance by role players in the industry
      lack of effective coordination, monitoring and evaluation by the state
       agencies d departments




                                          10
Tariff structure

      The structure is not sensitive, accommodative and flexible to recognize
       different financial background of the society.

Land shortages

      in adequate land for both operation of undertakers and families for burials

Insurance

      Difficulties in understanding risk profile of clients
      Loss of revenue due to high claims which results in complex cost implications
       for insurance

Communication

      disintegration of stakeholders in the industry

Skills development and training

      non existence of support mechanism for stakeholders
      no skills development strategy for the role players
      low level of technical, administrative and legal expertise among players in the
       industry

Group (2) two reports
1. Funeral undertakers

Problems:
Fraud in the industry, hospitals morgues, police and government morgues. Priests
causing bribery and taunting

Funeral undertakers bad mouth each other in order to get access to family who lost
their loved or corpse or access to policy. Issue of moral and ethics
Staff working for the funeral undertakers is involved in fraud, staff also experience
exploitation in the industry.
The industry lacks professionalism.
Need for training and the relevant SETA need to be involved

Burial Societies
No recourse – legal available for the undertakers, should they stop payments after
the burial?


                                         11
Undertakers not offering cash option but instead offer service options (need to give
consumers different options and is against the law
Manufactures selling direct to the public
Need land for new mortuaries
Exorbitant equipment cost
Insurance not covering cars: hearses, lower devices etc

Insurance
Short term insurers are writing funeral business which put them at risk by
discontinue or withdraw the short term insurance: the process is against the FSB
Misleading the public
    - contracts only valid for a year
    - maximum payout is R5000.00 –R10 000



Credit life products
The furniture, clothing retailers linking funeral products to credit. The consumers
not informed on the validity and activeness of the products. The policy existing only
when the consumer has credit with the retailer
Suicide

HIV/AIDS waiting period; why 2 years because the cover is for burial expenses
The cover does not cater for suicide cases

Commission one (1)
Funeral undertakers

Regulations, rules and by laws need to be strengthen and reviewed
Participation of relevant government agencies
Control of records

Tariff structure

Need to be accommodative
Affordable and to be same through out the country

Insurance
   -   Need to understand the risk
   -   Profile of the clients

Communications

                                         12
  -    Integration of all stakeholders( explore participation in NEDLAC)to afford
       equal debate
  -    Raise public awareness
  -    Organize and coordinate campaigns

Skills development/training
  -    Develop human resources to deal with challenges
  -    Involve SETA to support development in the sector


Commission

Challenges
  -    Insurance policies – the policies don’t observe and considerate to the culture
       of the clients
  -    FSB setting standard beyond our achievements

  -    Excluded in the policy making of the policies (don’t accommodate the need of
       clients and the challenges faced.



Service

  -    Need to fight for affordable minimum charge
  -    Competition among the service providers
  -    Lack of moral and ethics within the industry

COMMISSION

Threats

  1.   Regulation
  2.   market penetration
  3.   skills development
  4.   lack of land
  5.   mushrooming funeral undertakers
  6.   lack of information


Weaknesses


                                         13
   1.   greediness among the service providers
   2.   bargaining power
   3.   non conforming products
   4.   lack of respect towards one another

Opportunities
   1.   Business viable
   2.   putting in place : one organization ; bargaining council
   3.   Improve community interaction
   4.   Job creation



Commission 5
   1. cemetery pricing need to be reviewed
   2. funerals
   3. fraud of death certificates
   4. curb fraudulent insurance claims
   5. question on the depth of graves
   6. need government intervention < fly bi – night undertakers
                                     < Support by resources
   7. insurance intervention
   8. enforce the regulation by the department of health
   9. devise training programs for the industry

Group three
1. We acknowledge as an industry there are problems and challenges i.e. fraud, over
pricing and exploitation
2. There is a need to regulate the industry – if you can’t measure it you cannot
manage it. But there are funds to enforce it
3. No education taking place:

        lack of information
   -    train operators to be competent before they are disqualified
   -    contradiction between free enterprise and the law
   -    There are SETA funds; how are they spent on education?

   5. prices are correctly inflated to absorb costs of family cars; property, staff
      salaries
   - Families don’t have time or the knowledge to register deaths. This is done by
      undertakers, some of whom charge exorbitant fees.
   -



                                          14
   6. role of SACC is seen as rather trying to regulate the funeral industry, to be
      used as a tool to educate grassroots level by using funds from the relevant
      Seta’s and FSB

UNDERTAKERS
   -   Need to be educated and transparent in terms of funeral products
       (insurance)
   -   Need to have detailed and itemized invoices as it is “willing buyer willing
       seller”
   -   Need to own their premises (as per existing regulations)

Thursday 3rd November 2005
Summary of day one done by Mr. Gosiame Choabi


Mr. Eddie Makue, the South African Council of Churches Deputy General
Secretary was welcomed. He brought greetings from the SACC General Secretary,
Dr. Molefe Tsele, who was on study leave. Dr. Tsele hopes that the Indaba arrives at
and resolves challenges faced by the industry. The need for appropriate intervention
strategies and methods.
The UBUNTU principle says we respect a person even in their death and such
requires dignity and respect. In African culture a person does not die but pass on
and become ancestors.
The need to provide decent and affordable burials when the departed go their final
resting place

Presentation by NAFCOC
The closing of the so called ‘fly by night’ funeral undertakers will deny majority of
our people choice. They will be confined to limited product and services. The need to
acknowledge the balance
The question that need to be answered, what bench marks are available at which we
regulate the industry, if there are bench marks what are those and who was
responsible for them? The other question is who determines the cost and pricing in
the industry.
There is reluctance to term burial societies as business
The burial societies are saving instrument and what happens to the premiums after
money has been paid.
The burial societies have been to share responsibilities in communities when faced
with death.
There is a need to encourage funds in burial societies to recycle within black
communities, open up cooperatives for burial societies to purchase good and
services and to create jobs.



                                          15
The Funeral Industry and business opportunities:-

Striking a Balance - A Disconnect between or Alignment of social service needs and
business interests:-

1.    Burial Societies:-

-     As a form of co-operative enterprises by low-income communities/households
      to cope with the cost and shared responsibility of death – i.e. community-based
      risk pooling service and collective saving scheme.
-      There are between 80 000 to 100 000 burial societies in SA – to which 6.2
      million African members contributed an estimated R4.5 billion in 2003 (Fin
      Scope 2003)

1.1    Society membership ( in LSM 1-5)
1.2    Their purchasing power
1.3    Mobilizing shared purchasing power of Burial Societies – i.e. as the basis to
       distribute procurement opportunities
1.4    Localizing procurement spend – i.e. for the benefit of local businesses

2. Funeral Cover Insurance – generally targeted at low-income households

3. Funeral Parlor (Market) – Funeral Parlors are in the business of providing
funeral services
3.1      Funeral Support Services –
3.1.1 Allied industry sectors
4. Advancing Regulatory Framework
4.1 Multi-stakeholder Participation – diverse business interests
 - see item 1.4
Presentation by Johannesburg city- Mr. Edward Molapo

The Johannesburg City acknowledges challenges faced by the industry
Emphasized the existence of the legislation with particular reference to regulation
R237which is application through South Africa and supposed to be enforced by
environmental officials
Environmental health officials must and have to enforce the legislation and they are
not visible and are not seen to be effective. There needs to be regulation
The environment health officials are responsible for certification of premises which
are used as funeral undertakers/morgues
The Jo’burg city does enforce the by laws jointly with other departments
The environmental health officials need to be more visible on the ground
The City Parks has lunched a campaign to encourage people to cremate as there is a
challenge on the availability of land.
The City Parks conducts on site tours on the process and procedure of cremation
with special focus on religious leaders. The religious leaders are more at advantaged
point to promote cremation as the option to burials.


                                         16
Only one body is cremated at a time and it takes one hour to cremate a body.
People are encouraged to visit City Parks to get first hand information on cremation
The visitation to government mortuaries was raised as a concern b majority of the
participants

Proposed way forward
SACC to give press briefing and to disclaim personal allegations rose during the
sessions
SACC to be seen as correcting the previous issues rose
The presence of the Deputy General Secretary gives credibility to the unfolding
process. The process is not inclusive and is acknowledged
Write letter to service Seta and correct the past (SACC).
The process, in which the SACC has organized the indaba through Johan, has
resulted in the poor attendance and that has to be rectified through the SACC.
Health department and NAFOCO and SALGA to join SACC in addressing the
media briefing.
The terms of reference for the task team needs to be drafted and prepared. Concern
raised on the gender representation of women in the task team and youth.

Solutions

   -   Declaration of intent
   -   Include people who have been in the industry for a long for the sake of advice
   -    Collectively Look at insurance companies, packages bought from them do
       not accommodate (collectively put resources together and register as
       insurance companies the resources need to for licensing is R10million)
   -   Visit the service Seta and get unit standard- Can contact Treaty
       Moshoeshoe’ deputy CEO on units standard to regulate, (011) 276 9600, 0861
       101148
   -   Department of Trade and Industry, Jeffrey Ndou, Director BEE, at (012) 394
       1631, Fax (012) 394 2631
   -   UFASA solutions to be implemented and indorsed
   -   Financial service board
   -   Consult with the consumer education department- can contact Oliva Davids
       at (012) 428 8137
   -   Undertakers are main role players –
   -   Take care of health regulations and to be enforced
   -   SACC proposal task team – 12 people proposed – consider two people from
       funeral industry financial service civil groups business one from
       manufactures two people from business and on from SACC.
   -   CONCEN WITH CHALLLENGES FACED IN THE INDUTRY
   -   SHARE WITH MEDIA = ALLEGATIONS SHARED IN THE MEDIA
   -   RACISM IN THE INDUSTRY
   -   FREE MARKET ECONMONY WE NED SOARCE FOR UPCOMING
       ENTEPRENEURS


                                         17
      -   racial and the gender balance in the task team
      -   Who serve as the catalyst in the task team?
      -    task team can draw from the department of DTI,Treasury, Health and Seta
          and financial services board
      -   Purpose of having task team – have further education for the industry and
          the community
      -   Have a broader consultation in the next year June/July and the responsibility
          of the task team to coordinate and convene the meeting – the motion was
          proposed and adopted. Need person in the until the next meeting
      -   Funding the task team to work on funding
      -   SACC to play a role of facilitator
      -   Task team terms of reference
      -   base line research and discussion document to be discussed during the next
          indaba- the discussion document to be distributed widely before and during
          the INDABA
      -   Generate basic baseline research in the industry
      -   Development of consultative discussion document for the national indaba
      -   Draft proposal on transformation charter and reconfiguration of the
          industry
      -   Mobilization and lobbying on the establishment of national stakeholders
          forum for participation in the industry
      -   Role played by service Seta- the task team to broadly consult with all major
          stakeholders
      -   UNESCO intention to participate

Eddie Makue thanked all who participated and

TASK TEAM PROPOSED MEMBERS

(1)       K.S.M.P. Phukubjemahlo
          Head office: (015) 297 4813
          Call centre 086 1526825
          Cell. 083 252 6825
          Email phuti@wol.co.za

(2)       Gillian De Jongh
          Business development executive
          7 Fricker Road
          Illovo
          P.O. Box 55674
          Northland
          2116
          Email: gdejongh@novariskpartners.com
          Tel. (011) 268 6490
          Fax. (011) 268 6495
          Web site: www.novagroupholdings.com



                                           18
(3)   Skutu Mogafe
      Executive Operations Director
      Batho Batsho Bakopane insurance Brokers (Pty) Ltd
      Head office, 1 Main Reef Road
      Benoni
      1500
      Tel. (011) 421 7238
      Fax. (011) 421 7212
      Tel. (011) 747 5400
      Fax. (011) 422 3444
      Cell. 082 809 4018
      Email: skutum@b3funerals.co.za

(4)   Tsholo Tsotetsi
      J.D. Funerals
      Tel. (011) 986 1003
      Fax. (011) 984 4218
      Cell. 082 462 6591
      Email: tsholo@netactive.co.za
      Web site: jdonline.co.za

(5)   G.N.G. Pine Products cc
      Henry Niebuhr
      P.O. Box 278
      Paulpietersburg
      3180
      Cell. 083 230 9693
      Tel. (034) 995 1708
      Fax. (034) 995 1709

(6)   Precious Lehong
      Portfolio Manager
      Guardrisk
      Alexander Forbes Place
      P.O. Box 78601
      Sandton
      2146
      Tel. (011) 669 1079
      Fax. (011) 669 2659
      Cell. 082 292 7866
      Email: lehong@guardrisk.co.za
      Web site: www.guardrisk.co.za

(7)   Frank Thompson
      THOM@KIGHT COMPANY (Pty)Ltd



                                      19
       International Funeral Directors
       Head office
       Cnr Hull & 16th Streets
       P.O. Box 84539
       Greenside
       2034
       Tel. (011) 837 5531/12/3/4/5
       Fax/ (011) 839 4116

(8)    Edward Molapo
       Manager: Environment Health
       Department of Health, Johannesburg City
       Tel (011) 933 2422/5
       Cell. 082 467 9313

(9)    Motshegoa Motsoeneng Selemo Funerals
       Tel (016) 422 3630
       Cell. 083 963 3662

(10)   Agiseng Ramapulane
       Tshepong Funeral Parlour
       1981 Mashoko street
       Galeshewe
       KIMBERLY
       Tel/fax (053) 8741545
       Cell. 083 531 6421

(11)   UFASA
       Johan Rousseau
       Mobile: 072 852 5456
       Tel/Fax (043) 740 0302
        Email: ufasa1@telkomsa.net

(12)   Phineas Mohlala
       TEL. (011) 726 5300
       FAX. (011) 268 2800

(13)   Rev. Teboho Sehloho
       083 951 9904
       Email: teboho1100@union.org.za
       Civil society

(14)   Mr. Thulane Mabuza
       South African Federation of Burial Societies
       Tel + 27 11 339-8963
       Fax + 27 11 339-3053



                                         20
       E-mail safobs@webmail.co.za

Andre Bartlet conveyed the message of appreciation to all who heeded the call when
SACC convened a Funeral Indaba. SACC hopes the determination and commitment
in deliberation will go a long way to address challenges faced by the industry.


PRESS STATEMENT

SACC Media Statement on Ethics of Funerals

For Immediate Release 3rd November 2005

The South African Council of Churches, in conjunction with all role players in the
funeral industry including Metropolitan, Old Mutual, Bensure, Prosperity,
NAFCOC, suppliers of funeral industry products, re-insurers, funeral parlors,
government health department, and the South African Local Government
Association (SALGA), resolved at a two day seminar on the Ethics of funeral to call
a National Indaba during the first half of 2006 with the sole intention of regulating
the funeral industry.

The seminar, which took place at Parktonian hotel, Braamfontein, from Tuesday,
was facilitated by the SACC and mandated and researched by UFASA. This follows
the Council’s resolution taken at its Triennial Conference of 2004 expressing
concern about escalating funeral costs that were beginning to have negative impact
on the black consumers.

The National Indaba, delegates resolved at the seminar, would be as inclusive as
possible so that it is representative of all stakeholders including churches,
government, the insurance and re-insurance industries, civic society, social
movements, trade unions, independent funeral parlors, fly by night operators,
medical profession, business, and all interested parties.
Of great concern, and what was deliberated on extensively, was the cost of funerals,
and how the industry lend it’s self to practices of ‘inflating these costs’ so that they
are pitched far beyond the reach of many disadvantaged communities.

The seminar also resolved that if there were traces of racism and exploitation in the
industry, the few who are involved in these practices were inconsistent with the
ethos of our new democracy, and actually flouted the country’s Constitution which
is about equality, justice, respect, and fairness.

In so far as the regulation of the industry was concerned, the seminar resolved that
this must be the first priority and this must occupy both the mind of all stakeholders
as well as that of the SACC which has expressed concern that the lack of regulatory
frame work actually constituted a hindrance impact negatively on the industry.




                                          21
The seminar addressed itself to the question of Health regulation n the industry. It
argued that these should be strengthened so that workers in the industry will feel
that such regulations are protective of them, often exposed to real dangers of being
infected.

Other issues that were discussed including the corrupt practices that were rife in the
industry; the need for consumer education so that those who consume the products
and services are provided by the industry are well informed.

Gauteng chairperson closed with a prayer: Dr. Andre Bartlett




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