MINING AND MINERALS SECTOR SECTOR SKILLS PLAN 1 APRIL 2010 – 31 MARCH 2011

1. MINING AND MINERALS SECTOR SECTOR SKILLS PLAN 1 APRIL 2010 – 31 MARCH 2011

2. CONTENTS • Profile of the sector • Profile of employers • Profile of employees • Factors influencing change • The demand for labour • The supply of labour • Scarce and critical skills • Skills development priorities

3. PROFILE OF THE SECTOR

4. PROFILE OF THE SECTOREMPLOYERS – PROVINCIAL DISTRIBUTION 2 123 OPERATIONS

5. PROFILE OF THE SECTOREMPLOYERS – SUBSECTOR

6. PROFILE OF THE SECTOREMPLOYEES – SUBSECTOR556 000 EMPLOYEES

7. PROFILE OF THE SECTOREMPLOYEES – ORGANISATION SIZE556 000 EMPLOYEES

8. PROFILE OF THE SECTOREMPLOYEES – PROVINCIAL DISTRIBUTION556 000 EMPLOYEES

9. PROFILE OF THE SECTOREMPLOYEES – POPULATION GROUP556 000 EMPLOYEES

10. PROFILE OF THE SECTOREMPLOYEES – GENDER556 000 EMPLOYEES

11. ECONOMIC TRENDSCHANGE IN OUTPUT -1994 TO 2008

12. FACTORS INFLUENCING CHANGE IN THE SECTOR Policy and legislation Mineral rights and ownership of mining operations Black economic empowerment and employment equity Occupational health and safety Environmental conservation and rehabilitation The availability of mineral resources Commodity markets and the exchange rate Industry structure, work organisation and technology Infrastructure and electricity supply Social factors HIV/Aids Occupational diseases and injuries Migrant labour Local community involvement Changes in the education and skills development environment

13. THE DEMAND FOR SKILLS

14. CURRENT EMPLOYMENT OCCUPATIONS

15. CURRENT EMPLOYMENTOCCUPATIONS Only 9 % of the total workforce is employed in occupations that require tertiary education Professionals and Technicians are employed in the following technical skills areas: Mining Engineering Metallurgy Chemical Engineering Geology Electrical Engineering Mechanical Engineering Analytical Chemistry Mine Surveying Jewellery Design and Manufacturing Craft and related trades workers (including artisans) form 10% of the workforce Diesel Mechanics Electricians Fitters Fitters and Turners Instrument Mechanicians Millwrights Plater/Boilermakers Plater/Welders Rigging Ropesmans 37 % of workforce work as Plant and Machine Operators and Assemblers – need industry specific training 35% of workforce are labourers and related occupation – most need industry specific training

16. CURRENT EMPLOYMENTEDUCATIONAL LEVELS

17. EMPLOYMENT TRENDS IN MINING1980 - 2009

18. EMPLOYMENT TRENDS PER SUBSECTOR1980 - 2009

19. EMPLOYMENT TRENDS VACANCIES

20. CURRENT ECONOMIC RECESSION • Effects only starting to come through in employment data • Study commissioned by MQA found that 48 000 jobs were at risk • Diamond mining and platinum mining affected • Provinces mostly affected – Limpopo and North West

21. CRITICAL SKILLS

22. THE SUPPLY OF SKILLS

23. UNEMPLOYED MINE WORKERS

24. PROVINCIAL DISTRIBUTION OF UNEMPLOYED MINE WORKERS

25. HIGHER EDUCATIONENTRY-LEVEL QUALIFICATIONS AWARDED 1999 - 2006

26. HIGHER EDUCATIONPOPULATION GROUP OF NEW GRADUATES 2006

27. HIGHER EDUCATIONGENDER OF NEW GRADUATES 2006

28. HIGHER EDUCATIONBURSARIES AWARDED BY THE MQA 2002 - 2009

29. LEARNERSHIPS • More than 90 learnerships registered with the DoL – NQF Levels 1 to 4 • In the 2006/2007 financial year the MQA awarded 1 365 qualifications through learnerships • In 2007/2008 year 4 284

30. SKILLS DEVELOPMENT OF THE EXISTING WORKFORCE • 35 qualifications developed and registered with SAQA • Management and supervisory development – various courses accessed by industry • Skills programmes • MQA has registered 66 skills programmes • In 2006/2007 the MQA awarded 38 196 skills certificates • In 2007/2008 the MQA awarded 41 639 skills certificates • ABET • In 2006/2007 employers reported that more than 14 000 workers had completed ABET programmes (6.7% of workers with educational qualifications below NQF level 1) • In-service training • Companies spend between 3.6% and 3.8% of payroll on training

31. SCARCE SKILLS

32. VACANCIES DUE TO SCARCITY • Marked decline between 2008/2009 and 2009/2010 • From 8 300 (1.4% of total employment) to 1 200 (0.3% of total employment) • Only 26% of scarcity ascribed to “absolute scarcity” while 60% were ascribed to “relative scarcity • Relative: geographical location of jobs • Race or gender preference of employer

33. SCARCE SKILLS OCCUPATIONS • Professionals (267 vacant positions) • Geologists • Mining Engineers • Mechanical Engineers • Electrical Engineers • Metallurgists • Surveyors • Technicians and trade workers (665 vacant positions) • Mining Technicians • Fitters • Electricians • Jewellers • Millwrights • Diesel Motor Mechanics • Fitters and Turners • Precision Instrument Makers and Repairers • Welders • Machine Operators and Drivers (227 vacant positions) • Miners • Drillers • Engineering Production Systems Workers • Stone Processing Machine Operators

34. OTHER SKILLS DEVELOPMENT PRIORITIES • Mine health and safety • Development of mining communities and communities in labour sending areas • Beneficiation in local areas • Training and development of retrenched employees