SA Coal Mining Industry Scarce Skills Shortage. Paul Schutte Jan Hanekom Jack Mashibini
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1 SA Coal Mining Industry Scarce Skills Shortage Paul Schutte Jan Hanekom Jack Mashibini
2 Job Applicants
3 Contents Request for study Research methodology Situation within the coal mining industry The future Recommendations
4 Request for Study SACMA and SACHRA initiative Current situation The flow of personnel Assessment of future requirements Potential gap Feedback
5 Contents The problem statement Research methodology Situation within the coal mining industry The future Recommendations
6 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
7 About the questionnaire The questionnaire had 5 categories General data Skills categories Growth Resignations and appointments Training
8 Company Feedback received 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
9 Feedback received (Cont ) permanent employees and 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%
10 Contents The problem statement Research methodology Situation within the coal mining industry The future Recommendations
11 Situation within the coal mining industry Scarce skills make up 28% of the permanent labour force Machine operators and miners not covered
12 Scarce skills categories Management and Production 9.6% Geologists 0.7% Environmental Management Specialists 0.3% Surveyors 1.1% Certificated and Senior Engineers 7.3% Engineers and Technicians 11.1% Draught Persons 0.4% Artisans 69.6%
13 Artisan Disciplines Electronic (Control and Instrumentation) 0.7% Boilermakers 7.2% Other 12.4% Chief Foremen 3.6% Foreman - Maintenance 9.9% Technical Planner 0.3% Diesel Mechanic / Diesel Fitter 7.8% Fitters / Fitter and Turners 14.3% Electricians 19.7% Electro Mechanical Artisans 24.0%
14 Engineering disciplines Other 21% Manager Engineering Services 3% Section Engineer 5% Technician / Chief Technician 4% Mining 23% Planning/Project Engineer 27% Industrial 1% Metallurgical 1% Mechanical 6% Civil Electrical 0% 8% Electronic (Control and Instrumentation) 1%
15 Situation in Sept 2007 ± 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
16 Main reasons for resignations Limited scope for career growth 31% Unsatisfactory relationship with supervisor 3% Remuneration Package 66%
17 Black slide
18 Contents The problem statement Research methodology Current situation within the coal mining industry The future Recommendations
19 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
20 Portions of 14% per year to be appointed from training 105% Demand Vacancies 100% 92% 3% 3% 3% to close gap (in 4 years) 5% growth 6% 14% per year to be appointed from training Retirements Currently employed Loss to other companies 0 1 Year
21 Future demand for Scarce Skills % of Demand in Year % Demand Projected with current training Wanted Year
22 Supply and demand of trainees Industry Demand 9.3 Training (Industry) % Trainees per Year Engineers and Technicians Draught Persons Artisans Geologists Surveyors Environmental Management Specialists
23 Supply and demand of engineering skills Demand Training % Bursars per Year Mining Metallurgical Mechanical Electrical Electronic (Control and Instrumentation) Industrial
24 Supply and demand of artisan skills Demand Training % Trainees per Year Diesel Mechanic / Diesel Fitter Electricians Electro Mechanical Artisans Fitters / Fitter and Turners Boilermakers Electronic (Control and Instrumentation)
25 Contents The problem statement Research methodology Situation within the coal mining industry The future Recommendations
26 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
27 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!
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