IT IS less than three weeks before Julius Malema and his Economic Freedom Fighters (EFF) begin knocking on the same doors their 30,000-strong Johannesburg march delivered ultimatums to on October 27.

In the case of the Reserve Bank, discussed here last week, it is at least a part of the Constitution, its role and place is defined. The state will have to defend it. In the case of the JSE, however, it is a voluntary organisation in which companies go to exchange shares in themselves for capital from investors.

If the JSE didn’t exist, companies would have to borrow from banks. That would be so expensive the profits to pay taxes and create jobs would simply vanish.

Nonetheless, JSE CEO Nicky Newton-King thanked the October 27 EFF marchers for visiting and promised to study their demands. They are (mostly) impossible, which promises a potentially hot December for all listed companies. And, no doubt, the authorities.

“The demands to the JSE are directed to all companies listed on the JSE,” reads the memorandum Newton-King signed for, “and we expect responses from each … and their failure will lead to a directed action against the identified companies. All the companies should submit their detailed response and plan on each of our demands within the 30 days.”

Malema has already jumped his own gun by threatening direct action against Absa. And even here, the state is threatened. The Public Investment Corporation, which invests the pensions of millions of public servants, is the biggest local investor in the JSE and potentially the biggest loser if Malema carries out his threat.

And the Industrial Development Corporation, the state’s big industrial investor, funds itself via JSE investment dividends.

But, as I said last week, the demands, however wild, are there and Malema has muscle. Listed companies should be prepared. Here’s a list, edited for length, with my inadequate comments:

• All companies on the JSE should move towards socialisation of their ownership … A minimum of 51% of all JSE companies should be owned and controlled by workers. If a listing means surrendering control, companies will simply delist. But workers should own shares in the companies they work for.

• All JSE companies must introduce a minimum wage of R4,500 for all workers, taking into consideration the sectoral minimum wages contained in the EFF elections manifesto: mine workers: R12,500pm, farm workers: R5,000pm … The state has pledged to introduce a national minimum wage. Companies cannot second-guess national policy.

• All JSE companies should ban labour brokers and permanently employ their workers with proper medical aid and retirement benefits. Many big companies on the JSE are either “labour brokers” or provide outsourced services. What do they do?

• All JSE firms and all companies in SA should implement the principle of equal work for equal pay for all workers irrespective of race, class and background. And gender? And is 20 years’ experience paid the same as six months’ experience?

• All companies and corporations that (do the) majority of (their) business in SA should have their primary listing in the JSE and their head offices in SA. I can’t think of any that don’t already. As for the ones with offshore listings, most of their business is offshore by now.

• All companies on the JSE must procure the upstream and downstream goods and services from township-and rural-based economic role players owned by historically disadvantaged individuals. Point 3 says employ all workers. This says outsource. Choose.

• All retailers on the JSE should source a minimum of 70% of their goods and services from South African producers … Most food stores would already be close to 70%. Do you ban imports of clothes? Watches?

• Urgent action plans and programmes from all JSE companies to increase and sustain the labour-absorptive capacity of their companies. Thoroughly drafted human resources, skills transfer, and training and education provision with sustainable care programmes should accompany this. Difficult, though they would all have jobs plans of some kind. You can’t fly full in the face of new technologies.

• Each JSE company should adopt a minimum of five schools in townships and rural areas and ensure that each adopted school has access to quality services, including computer labs, laboratories, libraries and access to high-speed internet. Agreed, though even poor schools do well with good principals. Help them.

• Each listed company with a turnover higher than R1bn should adopt one of the technical, vocational education and training (TVET) colleges and assist with all the basic necessities of a TVET college. Why save Blade Nzimande from himself? Bring back apprenticeships. Real training. Set all companies apprenticeship targets.

• Each company on the JSE should adopt a minimum of 100 students and assist with higher education and training programmes (and) bursaries … for said students. Okay, but why 100? Does a rich bank have no more to do than a struggling coal miner?

• All JSE companies should make massive investments in all parts of SA to decentralise economic activity. Good in principle. Investment should go to where the poor live, not the other way around. Incentives would help.

• Urgent plans to decentralise SA’s economic development from the existing centres …. See above.

• Urgent implementation of corporate social investment plans to bring real value and benefits to communities where business operations happen. You’d be amazed what’s already there.

• All JSE companies should have all their bank accounts with South African banks and should be willing to be subjected to scrutiny on illicit financial flows, transfer pricing and profit shifting. They already do, and are. Foreign banks help us do business and raise money abroad.

• End to expatriation of profits to developed countries, and mandate all companies and corporations to declare publicly transactions between subsidiaries in detail for the tax authorities to access necessary information to collect maximum tax due to public purse. SARS already has all the rights it needs to pursue illicit transfers. If you want to stop payments of dividends offshore, then outlaw foreign investment.

• All JSE companies should commit to usage of South African-based professional services, such as those for auditing, accounting, legal, marketing and all other basic services. Mostly they already do use South African-based professional services.

Exhausting, isn’t it? But, again, I’m struck by the fact that, however hostile these demands may be, they are about joining the system, not breaking it. In his inimitable way, Julius may be creating an opportunity to engage business about making our economy more secure by way of making wealth creation more inclusive.

Do we have the business leaders to match him?