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PRESENTATION TO THE PORTFOLIO COMMITTEE ON PUBLIC ENTERPRISES

WOMEN EMPOWERMENT

24 AUGUST 2005

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Table of Contents

• Introduction• Guiding principles and legislative imperatives• Strategic objectives• Women empowerment in DPE• DPE’s oversight responsibility• Women in SOE boards• Trends in women empowerment• Gender equity at Senior management• Procurement• Skills development and training• Corporate Social Investments• SOEs Three year Plans for Women Empowerment • Challenges and summary

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Introduction

DPE’s vision is “To play a leadership role within the economy in the areas of corporate governance and national policy implementation”

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Guiding policies & legislative imperatives

• Constitution in respect of promotion of gender equity

• Employment Equity of 1998

• Preferential Procurement Policy Framework of 2000

• Broad-based Black Economic Empowerment of 2003

• Triple bottom line reporting in line with the King II Report on Corporate Governance

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Strategic Objectives

DPE Core Programmes

Strategic objective Planned Action Target

Increased level of investments in Public Infrastructure

Leverage the investments spend to promote SMMEs, BEE & women empowerment

Review procurement policies of SOEs’s to ensure leverage is maximized

Review annually

Increased levels of Investments in the first economy

Increased participation of women owned enterprises

Review the Disposal Guidelines and advise on the levels of women participation

Review as and when Disposal Guidelines are submitted

Enhance Economic Inclusion

Ensure that SOEs are compliant with their respective charters

Monitor compliance with respective sector charters

Annually

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DPE’s oversight responsibility

• Directing the strategic direction of SOEs on Transformation

• Board Appointment• Signing of annual Shareholder Compacts• Monitoring implementation of national policy of

gender equity and BEE• Setting of KPIs through Corporate Plans • Quarterly and annual reporting

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DPE’s oversight responsibilityLegislation

Public sector Preferential Procurement ActBlack Economic Empowerment act 0f 2003

Skills Development ActEmployment Equity Act

LeverShareholder CompactsCorporate PlansKPIs and TargetsSOEs PoliciesQuarterly and Annual

ReportingSocial Responsibility ( CSI)

DriversEskomDenel

TransnetArivia.kom

AlexkorAlexkor

Social Empowerment Economic Empowerment  

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Women Empowerment in DPE

GENDER

56%

44%

MALE FEMALE

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Women Empowerment in DPE

Gender Distribution at Senior Management Levels: June 05

Salary Level Total Posts Filled

Males Females

DG 1

DDG 3 2 1

Chief Director 10 7 2

Director 28 13 15

Total SMS 41 23 19

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Women in SOE Boards 2002 - 2004

4

6

2

1

0

4

7

2

1

00

1

2

3

4

5

6

7

8

Eskom Transnet Denel Arivia.kom Alexkor

SOE

Mem

ber

ship

2002

2004

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Trends in Women Empowerment Continued

• 13% of top companies(49 in total) have 25% or more as women directors- dominated by SOEs

• 70,6% of SOEs (12 out of 17) have 25% or more women as directors compared to 10,4% of JSE-listed companies

• Women’s representation in executive management : 19,8%, and about 31,3% of is in SOEs

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Trends in Women Empowerment Continued

• From about 54 top companies, only 14,5% have 25% or more women in the executive manager pool

• None of the biggest 25 companies have women constituting 255 or more of their executive managers

• As at September 2004 there were 8 women CEOs/MD, which translates to 2,2%: 1,1% in JSE listed companies and 23,5% SOEs

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Trends in Women Empowerment continued

Women as % of total SA population

Women as % of employed population

Women executive managers

Women Directors

WomenCEO/

Chairs

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Trends in Women Empowerment : Directors

50%

45%

40%

38%

38%

38%

36%

36%

33%

33%

33%

30%

0%5%

10%15%20%25%30%35%40%45%50%

Women as % of SOE Directors

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Trends in Women Empowerment : Chairpersons

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Gender Equity at Senior Management

All Levels – Eskom Female Staff

0%

5%

10%

15%

20%

25%

YTD 2003 2001 1999 1997

Year

African Female

Asian Female

Coloured Female

White Female

Eskom Total

14 %9 % 1 %1 %4 %1997

23 % 8 %2 %1 %12 %2005

TotalWhitesColoured

AsianAfricanYear

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Gender Equity at Senior Management continued

0

10

20

30

40

50

60

70

80

90

%

Female 19 20 18 57 15 12 47 23

Male 81 80 82 43 85 88 53 77

Top Mgt Snr Mgt Mid Mgt Superv.Semi

skilledUnskilled Learners Total

Eskom Gender Statistics July 2005

Total

Female 22609

Male 6724

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Gender Equity at Senior Management continued

05

1015202530354045

Per

cent

age

Sr/

Exe

cM

anag

emen

t

Man

agem

ent

Eng

inee

rs

Sci

entis

ts

Tec

hnic

al

Sup

port

Tot

al F

emal

eS

tren

gth

2002/2003 2003/2004 2004/2005*

Denel Gender Statistics January 2005

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Employment equity continued

012345

6789

Per

cent

age

Afr

ican

Fem

ale

Col

oure

dF

emal

e

Indi

anF

emal

e

Whi

teF

emal

e

2002/2003 2003/2004 2004/2005*

Denel :Senior/Executive Management

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Employment equity continued

0%

10%

20%

30%

40%

50%

60%

1999- 2000 2000-2001 2001-2002 2002-2003 2003-2004

102-103 104-106 109-610 102-103 104-106 109-610

Transnet Women Statistics

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Procurement

Eskom Procurement from WBE

197

517

814

0

100

200

300

400

500

600

700

800

900

2002 2003 2004

Actu

al S

pen

d (

Rm

)

Actual Spend

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Procurement continued

Denel: Spend on Women Organisation

18 40 34 75127 138 183 219

497

1160

422

11831285

1396

1854

2219

0

500

1000

1500

2000

2500

Fin-03-04 Fin-04-05 April-to-Jul-05/06

Target-05-06 Target-06-07 Target-07-08 Target-08-09 Target-09-10

Time period

Am

ou

nt

in R

m

Total Women Spend

Total Not Women Spend

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Procurement continued

Transnet Procurement

Women-owned Enterprise Nature of work Contract value

Ego Specialised Services c.c. Onboard services R3 109 000

Mama Africa Projects c.c. Onboard services R3 289 000

Elmaakketsi Agency c.c. Cleaning services R3 130 000

Sahar Security c.c. Security services R5 786 000

Ukutula Shalom Impact Security

Security services R5 470 000

Isidingo Trading Supply of ration packs R2 879 000

Westmead Engineering Manufacture and supply of balance weights, various R3 194 600

Powertrans Repair of transmissions R3 500 000

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Skills development and training in Denel EXTERNAL BURSARIES 2004/2005

FIELD OF STUDY TOTAL GENDER

MALE FEMALE

Chemical Engineering 12 10 2

Aeronautical Engineering 10 6 4

Mechanical Engineering

17 14 3

Electrical Engineering 12 11 1

Industrial Engineering 5 3 2

Technical Software Systems 3 3 0

Electronic Engineering 66 54 12

Computer Engineering 16 9 7

Marketing 9 6 3

B Tech 4 3 1

Commerce 10 6 4

GRAND TOTAL 164 125 39

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Skills development and training in Denel

Centre for Learning and Development:

•The School of Business Leadership

•The School of Aerospace

•The School of Land Systems

•The Denel Youth Foundation Training Programme

Skills Development Projects:

•Through eight sector education and training authorities

•Focus on Engineers, Scientists and Technicians

•External training within South Africa & Abroad

•External training in Nepad countries

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Skills development & training in Transnet

Transnet Executive Women Development Programme & leadership programmes at three levels namely;

• Transnet Executive Development Programme

• Transnet Business Driven Action Learning programme (GIBS)

• Transnet Management Development Programme (Wits )

• Transnet Emerging Leadership Programme (through Esselenpark & UNISA)

• 43 % Forty of women at all management levels have participated in the leadership programmes over the last 18 months.

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Skills development and training in Transnet

• Women participation ranges from 37% in 2003 to 71% in 2004

• 34% beneficiaries are internal female bursars, and 39,4% external bursars

• Women who have undergone technical training in Transnet declining:

• 2000/1 - 7,2%• 2001/2 - 9,2%• 2002/3 - 3,2%• 2003/4 - 2,6%

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Skills development and training in EskomOccupation  Eskom Training 2004-2005

  African Coloureds Indians Whites Total

  M F D M F D m F d m f d m f d

Senior officials and managers/owner managers

484 205 0 89 65 0 192 74 0 667 156 1 1432 500 1

Professionals 609 509 2 154 81 0 297 106 0 992 155 3 2052 851 5

Technicians 2915 1976 2 652 235 0 568 217 0 3026 797 6 7161 3225 8

Clerical/administrative workers

2879 1187 3 485 352 0 230 269 0 1401 1245 0 4995 3053 3

Agricultural workers

5 0 0 0 0 0 0 0 0 1 0 0 6 0 0

Skilled workers

5306 862 2 1065 264 0 83 57 0 2873 753 0 9327 1936 2

Plant/machine operators and assemblers

1194 83 5 89 22 0 11 0 0 204 22 4 1498 127 9

Labourers 5668 155 4 412 46 0 117 37 0 635 117 0 6832 355 4

Apprentices and Section 18 (2) learners

1263 962 0 533 128 0 55 21 0 219 34 0 2070 1145 0

Total 20323 5939 18 3479 1193

0 1553 781 0 10018 3279 14 35373

11192

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Skills development & training in Eskom continued

ESKOM BURSARIES AND SCHOLARSHIPS

  FEMALE Total MALE Total Grand Total

  B A C W   B A C W    

EMPLOYEE SUBGROUP DESCRIPTION                      

Bridging 23   2 2 27 9   1   10 37

Eskom Univ. Bursar 290 44 20 110 464 546 74 46 244 910 1374

Merit Tech. Bursar 19 1 2   22 45 1 3 1 50 72

Merit Univ. Bursar 18 1 1 5 25 22     2 24 49

Straszacher 133   8 199 340 183   10 205 398 738

Tech.College Bursar 97   10 7 114 116 6 19 37 178 292

Technikon Bursar 108 4 6 9 127 43 5 3 18 69 196

Van Der Bijl 130 2 15 358 505 154 3 15 267 439 944

Grand Total 817 52 64 690 1624 1118 89 97 774 2078 3702

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Corporate Social Investments

Portfolios that most benefit women:

• Health

• Education

• Business Development

• Rural / Community development

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Corporate Social Investments continued

Achievements

• Roundabout play pump water project, are at rural primary schools in the Eastern Cape (10), KwaZulu –Natal (15) & limpopo(15) Eskom women Development programme committed a budget of R1.8 M the project to provide clean drinking water ( Improved well being)

• Alone in 2003 R 7 million was spend on women’s development programme

• R 2.4 million was spent on 209 women farmers.

• Community/ Rural development .eg in terms of skills development and entrepreneurial training , 325 business people were trained in Gauteng , with majority coming from women (2001) and in 2003 a total of 3 3000 women benefited from various projects

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Corporate Social Investments continued

Achievements

• Transnet and Eskom rated amongst the biggest CIS spenders in SA, ( The CSI Handbook, Trialogue)

• Eskom has a dedicated Women’s development programme, which is targeted at projects that are carried by out by women

• In 2004/05 Eskom Women Development programme assisted a mattress- manufacturing in Mpumalanga by purchasing equipment & also ensured that project members were trained and they supply hospital and, hospices & correctional services and employ seven women

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The Next Three Years

• Denel has just started a restructuring of its business and at this stage no future projections are possible.

• The restructuring may result in the closure of on employment and black economic empowerment.

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Denel Targets for 2005 - 2006

CATEGORY OF TRAINING/DEVELOPMENT GROWTH % TARGET

Technical Training 60%

Management and Leadership 30%

SHE 20%

Apprentices and Learnerships 10%

Marketing 30%

Skills Technology Transfer 30%

DYFTP 50%

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The Next Three Years

• Eskom is planning to achievement 40% women representation at senior management and professional level

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Eskom’s Gender Equity Targets

0

5

10

15

20

25

30

35

40

%

2003 2004 2005 2006 2007 2008

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The Next Three Years

In view of the restructuring process within Transnet, the employment equity targets are currently being reviewed.

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Summary and Challenges

• Need to create a standard framework for SOEs reporting

• SOEs should communicate their successes on women empowerment

• Shareholder Compact to be used as an instrument for future planning on women empowerment

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Challenges and Summary continued

• DPE will continue continue to work with the office on the status of women in the Presidency on women empowerment in SOEs

• There is a need to address the shortage of women with requisite technical skills

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Challenges and Summary continued

• The aim is to break the 25% ceiling in the short term and to reach 50% women empowerment in 2009

• Training and mentoring of women is crucial to prepare women for management and technical roles in the workplace

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The end

Thank you.