sa coal mining industry scarce skills shortage paul schutte jan hanekom jack mashibini
TRANSCRIPT
SA Coal Mining Industry Scarce Skills Shortage
Paul Schutte
Jan Hanekom
Jack Mashibini
Black slide
Job Applicants
Black slide
Contents
• Request for study• Research methodology• Situation within the coal mining industry• The future• Recommendations
Request for Study
• SACMA and SACHRA initiative– Current situation– The flow of personnel– Assessment of future requirements– Potential gap– Feedback
Contents
• The problem statement• Research methodology• Situation within the coal mining industry• The future• Recommendations
Research Methodology
• Existing literature• Focus on South African Coal Mining Industry• Survey by means of questionnaire• Presentation to SACHRA• Pilot questionnaire• Confidentiality was guaranteed to all participants
About the questionnaire
• The questionnaire had 5 categories – General data– Skills categories– Growth– Resignations and appointments– Training
Feedback receivedCompany No. of
Mines participated
Total no. of employees for
the group
Provided group training
Sasol Mining 5 / 5 Yes Yes
Exxaro 3 / 7 Yes Yes
Anglo Coal 2 / 9 Yes Yes
Xstrata Coal 4 / 13 Yes Yes
BHP Billiton 0 / 5 Yes Yes
• 30 679 permanent employees and 23 891 temporary workers and full time contractors
• Data represented 42% of the total labour force• 50% of sample was from Sasol Mining• 42% was linearly extrapolated to 100%
Feedback received (Cont…)
Contents
• The problem statement• Research methodology• Situation within the coal mining industry• The future• Recommendations
Situation within the coal mining industry
• Scarce skills make up 28% of the permanent labour force
• Machine operators and miners not covered
Scarce skills categories
Certificated and Senior Engineers
7.3%
Engineers and Technicians
11.1%
Draught Persons0.4%
Artisans69.6%
Management and Production
9.6%
Geologists0.7%
Surveyors1.1%
Environmental Management Specialists
0.3%
Scarce Skills
Chief Foremen3.6% Foreman -
Maintenance9.9%
Technical Planner0.3%
Diesel Mechanic / Diesel Fitter
7.8%
Electricians19.7%
Electro Mechanical
Artisans24.0%
Fitters / Fitter and Turners14.3%
Boilermakers7.2%
Electronic (Control and
Instrumentation)0.7%
Other12.4%
Artisan Disciplines
Engineering disciplinesManager
Engineering Services
3% Section Engineer5%
Mining23%
Metallurgical1%
Mechanical6%
Civil0%Electrical
8%Electronic (Control
and Instrumentation)
1%
Industrial 1%
Planning/Project Engineer
27%
Technician / Chief Technician
4%
Other21%
• ± 8% positions were vacant in the scarce skills categories
• 15,1% of the employees in the scarce skills categories resigned during the previous 12 months
• 17,2% new appointments were made• The movement was mainly within the coal
mining industry
Situation in Sept 2007
Main reasons for resignations
Remuneration Package
66%
Limited scope for career growth
31%
Unsatisfactory relationship with
supervisor3%
Black slide
• The problem statement• Research methodology• Current situation within the coal mining industry• The future• Recommendations
Contents
The future…
• SA economy grows by approximately 4 - 6% per year
• 50% of employees are 45 yrs and older (estimation)
• Smaller companies do not have training programs – estimated 3% loss
• The coal mining industry will need to appoint 14% more of its current workforce per annum
Portions of 14% per year to be appointed from training
105%
0 1
92%
100%Vacancies
Year
14% per year to be appointed from training
Retirements
Loss to other companies
3%
5% growth3% to close gap (in 4 years)
Demand
Currently employed
3%6%
Future demand for Scarce Skills
0.0
20.0
40.0
60.0
80.0
100.0
120.0
140.0
160.0
180.0
1 2 3 4 5 6 7 8 9 10 11
Year
% o
f D
em
an
d in
Ye
ar
1
Demand
Projected with currenttraining
Wanted
17%
Supply and demand of trainees
14 14 14 14 14 14
6.6
3
9.3
6.6
3.24.1
0
2
4
6
8
10
12
14
16
Eng
inee
rsan
dT
echn
icia
ns
Dra
ught
Per
sons
Art
isan
s
Geo
logi
sts
Sur
veyo
rs
Env
ironm
enta
lM
anag
emen
tS
peci
alis
ts
% T
rain
ees
per
Yea
r
IndustryDemand
Training(Industry)
Supply and demand of engineering skills
0
10
20
30
40
50
60M
inin
g
Meta
llurg
ical
Mechanic
al
Ele
ctr
ical
Ele
ctr
onic
(Contr
ol and
Instr
um
enta
tion)
Industr
ial
% B
urs
ars
per
Year Demand
Training
Supply and demand of artisan skills
0
5
10
15
20
25
30
35D
iese
l M
ech
an
ic
/ D
iese
l F
itte
r
Ele
ctr
icia
ns
Ele
ctr
o
Me
ch
an
ica
l
Art
isa
ns
Fitte
rs / F
itte
r
an
d T
urn
ers
Bo
ile
rma
ke
rs
Ele
ctr
on
ic
(Co
ntr
ol a
nd
Instr
um
en
tatio
n)
% T
rain
ee
s p
er
Ye
ar
Demand
Training
• The problem statement• Research methodology• Situation within the coal mining industry• The future• Recommendations
Contents
Recommendations
• All mining houses must investigate their future need vs. growth
• Train existing employees for scarce skills categories where potential exists
• More serious mentorship• Recruit previous employees who resigned• Coal Mining industry training forum • Retired employees be contracted• Other factors affecting scarce skills problem to
be addressed in further studies
Conclusion
• There is a growing demand for coal!• Scarce skills make up 28% permanent labour
force• Approximately 8% vacancies are difficult to fill• The Coal Mining Industry must cooperate to
ensure that training programmes will provide in their future needs
• Not enough training is done!