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At the heart of the issue lies the lack of suitably qualified candidates with the necessary entry skills, particularly in science and mathematics. These subjects are the basis of many trades. The situation is compounded by emigration, significantly reduced corporate training because of the government’s SETA learnership programme, and the fact that almost half our existing artisan population is over the age of 50.
South Africa is currently producing around 5 600 qualified artisans each year - well below the target of 12 500 set by the Department of Higher Education and Training. Estimates of the country’s requirement range from 50 000 to 80 000 artisans - our current artisan workforce is estimated at 1 340.
In 2010, Exxaro had 379 people at different stages of their artisan qualifications. To put this contribution into perspective, Exxaro alone accounts for a sizeable portion of all engineering learnerships registered with the MQA. This training will lead to full artisan status in trades such as electrician, fitter, plater, diesel mechanic and millwright. All these trades appear on South Africa’s scarce skills list.
Exxaro’s human resources development professionals also contribute significantly to the national and sectoral transformation process by participating in bodies such as Business Unity South Africa, Chamber of Mines’ education advisory committee, and the MQA’s sector skills planning committee and standards-generating bodies.
At Exxaro, we believe that empowering all staff with the knowledge and skills they need to develop personally will also help us grow the company. In 2010, 7 013 Exxaro employees successfully completed some form of relevant development training. Exxaro’s policy is to invest an appropriate amount of total payroll each year on human resource development. In 2010, this was 5,1% or an investment of R140 million (2009: 5% or R126 million).
In 2010, the group continued its broader focus on skills development, moving from engineering learnerships to include other learnerships and skills programmes. During the year, Exxaro enrolled 166 new engineering learners, 17 mining learners, 12 operator learners, seven administrative learners and 18 plant learners for the Grootegeluk Medupi expansion project.
The ratio of learnerships in the pipeline to the number of artisans employed in various trades is monitored as part of our artisan retention strategy. This ratio is currently 1:3.
E-learning is an integral part of our training delivery approach and implemented across the organisation.
Portable skills training is provided to assist employees in managing career termination as part of the social and labour plan for each mine.
To preserve technical and engineering competence in the group, aggressive retention and succession-planning strategies are in place for technical and other categories. Comprehensive training and growth opportunities provide continual rotation and exposure of talent to multi-disciplinary teams.
Across the group, training and development is based on a comprehensive needs analysis, incorporating business strategy, identified skills deficiencies via the performance management process, succession-planning requirements, employee career progress and employment equity plans.
All employees outside bargaining units receive formal performance and career development reviews bi-annually. Management members are assessed throughout the year as the basis for individual succession plans and talent management. These assessments are also linked to reward and remuneration.
New management and specialist-category employees undergo training on the performance management process to reinforce the concept that reward is driven by performance. Performance management is also included in a web-based induction programme.
Employees in the bargaining unit are not part of Exxaro’s formal performance management system. Their development is guided by individual development plans based on the job profile, formal career path and individual preference.
We encourage our people to accept joint responsibility in managing their career growth. Exxaro financially assists permanent employees with potential to continue their education through part-time studies of recognised, approved courses and programmes. Employees nominated by the company to attend courses or programmes are fully sponsored for tuition, examinations, travel, accommodation costs and study leave.
Specific strategies to ensure the accelerated learning and development of black people, women and people with disabilities include:| Spent | ||
| Description | 2010* Rm |
2009 Rm |
| Total leviable amount (payroll) | 2 736 | 2 045 |
| Total training spend | 140 | 126 |
| Total training spend on black people | 115 | 89 |
| Total training spend on black women | 21 | 11 |
| Total training spend on white women | 11 | 9 |
| * Numbers as per skills development plan submitted to Department of Labour on 31 March 2010 |
Exxaro’s strategy is to ensure 75% of all new appointments are made internally. Our integrated process is therefore aligned with both our strategy and industry needs to provide a steady flow of qualified talent for our growth and expansion projects.
In 2010, there were 221 participants on programmes supporting internal advancement. The overarching objective is to ensure that trainees entering the group are empowered, challenged and appropriately rewarded:The Exxaro programme, developed by a manager in the engineering field at Matla, prepares qualifying employees by building on the practical engineering exposure and training they have received in the years prior to registering for the GCC examination.
Since the introduction of the course, Exxaro’s pass rate has risen from 20% to 50%.
The launch of the assessment centre follows a series of improvements over the past four years, in which Grovos has increased the intake of new learners by 56%, while setting a record with an 89% qualification rate in 2009. In 2010, the qualification rate dropped slightly to 85%.
The centre is now equipped to train 180 learners per year, many of whom will be placed at Grootegeluk to support its expansion plans.
The professionals-in-training programme supports the success of critical skills in the management and specialist categories. The programme also assists in achieving the group’s employment equity targets.