TRANSPORT SETA SECTOR SKILLS PLAN · 2014-11-14 · TRANSPORT SETA SECTOR SKILLS PLAN Update 2014/2015 September 2014. Page 1 of 102 ... 3.3.4 Skills Development Facilitator (SDF)

TRANSPORT SETA SECTOR SKILLS PLAN

Update 2014/2015

September 2014

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SYNOPSIS

The Sector Skills Plan has been prepared in accordance with the guidelines of the National Skills Development Strategy (NSDS III) and the DHET Guide to the Process and Timeframes.

The principal aim of this Sector Skills Plan is to guide and inform skills development initiatives in the designated sector.

It is the outcome of a thorough research process and extensive stakeholder consultation and engagement. The Sector Skills Plan informs the strategic and annual plans of the SETA and serves as a signpost for policy-making by Council.

We have adopted an evidence-led research approach for identifying and anticipating scarce and critical skills. This has been achieved by devising a customised methodology to identify scarce skills in the sector. This is explained clearly in Chapter Two of the document. In the future we intend refining the research methodology to serve as an early warning system for anticipating skills shortages in the transport sector. We want to be in a position to justify our choices.

We have given consideration to national policy issues outlined in the New Growth Path, HRDSA, National Development Plan, IPAP, National Skills Development Strategy and the Skills Accord in the SSP. These priorities inform skills development projects in the SETA.

We have advised our research team to produce an SSP that is easy-to-read. The primary target audience is employers and labour unions. The secondary audience is public entities, NGOs, public entities, CBOs, investors, training providers and other interest groups. Our SSP is not written in a thesis or peer-reviewed academic journal style, but rather as a document which is in the public domain for all to read. We want employers and trade unions to engage with the document.

The SSP is concise; visual and graphic; uses simple language; and easy to understand. All this is achieved without compromising the integrity, accuracy and thoroughness of the research. The SSP is analytical, incisive and insightful, not purely descriptive in nature. This enables a deeper understanding of occupational and skills needs. We have balanced quantitative research with qualitative insights.

We are conducting 8 sector committee workshops representing the 8 chambers of TETA with industry stakeholders to discuss critical and scarce skills. The outcome of these workshops ensures that TETA has up to date information on skills needs in the sector.

Each chamber is required to conduct a minimum of 10 interviews with CEOs or senior managers in their subsector with a view to acquire a strategic perspective of skill development from a qualitative vantage point.

We are administering a mapping tool to determine occupational demand and supply in the sector. This mapping tool enables users of labour market information to access up-to date occupational supply and demand information that is linked to Google mapping technology.

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We have considered the DHET feedback on the previous SSP (2013) and the Continuous Improvement Plan and responded accordingly. The Sector Skills Plan is submitted to the Minister of Higher Education and Training in partial compliance with the requirements of the Skills Development Act 1998 and the National Skills Development Strategy (NSDS III). The Sector Skills Plan is endorsed by duly authorised representatives.

CHAIRPERSON: TETA BOARD CHIEF EXECUTIVE OFFICER _________________________ _______________________ Mr June Dube Mrs Maphefo Anno-Frempong

Date: 14 November 2014 Date: 14 November 2014

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CONTENTS

SYNOPSIS 1

EXECUTIVE SUMMARY 7

CONTINOUS IMPROVEMENT PLAN 10

CHAPTER ONE: SECTOR PROFILE 12

1.1 INTRODUCTION ......................................................................................... 12

1.2 STAKEHOLDER ENGAGEMENT ....................................................................... 12

1.3 SCOPE OF COVERAGE (SIC CODES) ................................................................ 13

1.4 PROFILE OF THE TRANSPORT SECTOR ........................................................... 14

1.4.1 Key Features of the Transport Sector ..................................................... 15

1.5 LABOUR MARKET CONTEXT ........................................................................... 16

1.5.1 Employment by Industry and Sector ...................................................... 17

1.5.2 Transport Sector Employment ............................................................... 18

1.5.3 Employment by Sub-Sector in Transport ............................................... 19

1.5.4 Employment by Province ........................................................................ 20

1.5.5 Transport Sector Enterprises by size and province ................................ 21

1.5.6 Transport Sector Enterprises by size and chamber ................................ 22

1.5.7 Employment by Race and Gender .......................................................... 23

1.5.8 Employment Equity ................................................................................ 28

1.5.9 Terms of Employment ............................................................................ 29

1.6 ALIGNMENT WITH NATIONAL STRATEGIES ................................................... 31

1.7 DRIVERS OF CHANGE ..................................................................................... 31

1.7.1 Decent Work ........................................................................................... 32

1.7.2 Greening the Transport Sector ............................................................... 33

1.7.3 Small Enterprise Development ............................................................... 34

1.7.4 Strategic Integrated Project (SIP) ........................................................... 35

1.7.5 Southern African Rail Network ............................................................... 36

1.7.6 HIV/AIDS ................................................................................................. 37

1.8 CONCLUSION ................................................................................................. 38

CHAPTER TWO: RESEARCH DESIGN AND METHODOLOGY 40

2.1 INTRODUCTION ............................................................................................. 40

2.2 LABOUR MARKET INTELLIGENCE SYSTEM ..................................................... 40

2.3 RESEARCH DESIGN ......................................................................................... 41

2.4 RESEARCH METHODS .................................................................................... 42

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2.4.1 Interviews with Key Informants ............................................................. 43

2.4.2 Expert Workshop .................................................................................... 43

2.4.3 WSP/ATR ................................................................................................. 43

2.4.4 Literature Review ................................................................................... 43

2.4.5 Regional Workshops ............................................................................... 43

2.4.6 Employer Bodies and Trade Unions ....................................................... 43

2.4.7 Career Junction Index ............................................................................. 44

2.5 CRITERIA FOR DETERMINING SCARCE SKILLS ................................................ 44

2.6 CONCLUSION ................................................................................................. 46

CHAPTER THREE: SUPPLY OF SKILLS 48

3.1 ANALYSING LABOUR SUPPLY-DEMAND ........................................................ 48

3.1.1 CareerJunction Index .............................................................................. 48

3.2 SUPPLY OF SKILLS........................................................................................... 49

3.2.1 Employment by Occupation and Industry .............................................. 49

3.2.2 Education Levels ..................................................................................... 50

3.3 WSP and ATR 2013/2014 ............................................................................... 52

3.3.1 Race Profile by Occupational Levels ....................................................... 52

3.3.2 Training by Race, Age and Region .......................................................... 53

3.3.3 Planned Training ..................................................................................... 56

3.3.4 Skills Development Facilitator (SDF) Composition ................................. 58

3.4 FET, HET and SETA Partnerships .................................................................... 61

3.5 Quality Council for Trade & Occupations [QCTO] ......................................... 63

CHAPTER FOUR: DEMAND FOR SKILLS 65

4.1 SKILLS DEMAND ............................................................................................. 65

4.2 INDUSTRIES DISPLAYING MAJOR DEMAND ................................................... 67

4.3 INDUSTRY TRENDS ......................................................................................... 68

4.4 DEMAND FOR SPECIFIC OCCUPATIONAL FIELDS ........................................... 69

4.5 RPL AND WIL .................................................................................................. 70

CHAPTER FIVE: SCARCE AND CRITICAL SKILLS 71

5.1 WSP Submissions ........................................................................................... 71

5.2 Overall state of paying levy per province ...................................................... 72

5.3 SCARCE SKILLS................................................................................................ 72

5.4 CRITICAL SKILLS .............................................................................................. 82

5.5 CONCLUDING REMARKS ................................................................................ 84

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CHAPTER SIX: STRATEGIC FRAMEWORK 86

6.1 PERFORMANCE MONITORING AND EVALUATION ........................................ 86

6.2 STRATEGIC FRAMEWORK .............................................................................. 87

REFERENCES 100

LIST OF FIGURES Figure 1: High and Low Skilled Workforce by Age ................................................... 25

Figure 2: High and Low-Skilled Workforce by Gender and Disability...................... 27

Figure 3: High and Low-Skilled Workers by Race .................................................... 28

Figure 4: Research Design to determine Skills in Demand ...................................... 41

Figure 5: Education Levels in Transport Sector ....................................................... 51

Figure 6: Occupation-Race Transport Sector .......................................................... 52

Figure 7: Training by Race ....................................................................................... 54

Figure 8: Completed Training by Age ...................................................................... 54

Figure 9: Planned Training by Province and Race ................................................... 56

Figure 10: Planned Training by Occupation and Race ............................................. 57

Figure 11: Industries in terms of major demands ................................................... 67

LIST OF TABLES

Table 1: Demarcation of Standard Industry Classification Codes ........................... 13

Table 2: Modal Classification of TETA Chambers .................................................... 14

Table 3: Employment by Industry and Sector (2013/2014) .................................... 17

Table 4: Employment in Transport Industry and Total Employment 2001-2014... 18

Table 5: Employment by Sub-Sectors in Transport Industry, 2014 ......................... 19

Table 6: Employment in Transport Industry by Province, 2014 .............................. 20

Table 7: Number of Enterprises in Transport Sector by Size and Province ............ 21

Table 8: Number of Enterprises in the Transport Sector by Size and Chamber ..... 22

Table 9: Employment by Race and Gender, 2013-2014 .......................................... 23

Table 10: Employment in Transport Industry by Gender, 2008-2014 (000’) .......... 24

Table 11: Employment in the Transport Sector by Age and Gender ...................... 24

Table 12: Terms of Employment ............................................................................. 29

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Table 13: Employment by Occupation and Industry ............................................... 49

Table 14: Education Levels in Transport Industry ................................................... 50

Table 15: Training according to Occupation Class for the Employed and Unemployed ............................................................................................................ 55

Table 16: Companies indicating Employees in specific Occupations to be trained 61

Table 17: Supply and demand trends in the Industry ............................................. 68

Table 18: Recruitment conditions in the Transport Industry .................................. 69

ABBREVIATIONS

Abbreviations Description

ABET Adult Basic Education and Training

ATR Annual Training Report

DBSA Development Bank of Southern Africa

DHET Department of Higher Education and Training

ETQA Education and Training Quality Assurance

FET Further Education and Training

HET Higher Education Training

HRDSA Human Resource Development Strategy for South Africa

HSRC Human Sciences Research Council

IPAP Industrial Policy Action Plan

MOU Memorandum of Understanding

NDP National Development Plan

NGP New Growth Path

NQF National Qualifications Framework

NVC National Certificate Vocational

NSDS National Skills Development Strategy

OFO Organising Framework for Occupations

PFMA Public Finance Management Act

PIVOTAL Professional, Vocational, Technical and Academic Learning

QCTO Quality Council for Trades and Occupations

QES Quarterly Employment Survey

QLFS Quarterly Labour Force Survey

RPL Recognition of Prior Learning

SAQA South African Qualifications Framework

SETA Sector Education and Training Authority

SIC Standard Industrial Classification

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SIPs Strategic Integrated Projects

SMME Small, Medium and Micro Enterprises

SDF Skills Development Facilitator

SSP Sector Skills Plan

STATS SA Statistics South Africa

WSP Workplace Skills Plan

EXECUTIVE SUMMARY

The transport sector plays a central role in the South African economy. It contributed 2% to Gross Domestic Product in 2011. The sector presently employs approximately 895 000 people which represents 6% of the national workforce. Between 2001 and the second quarter of 2013 employment in the transport sector grew by 17.9%, whilst total labour force employment increased by 9%. This means the transport sector is an important generator of employment in the SA economy. From 2001 to 2008 employment in the transport sector grew steadily from 683 000 to 774 000. This represents an increase of 11.75% in employment. As the global economic crisis unfolded in 2008, the economy lost 344 000 jobs between 2008 and 2009, whilst the transport sector lost 47 000 jobs. Employment levels in the transport sector rebounded in the second quarter of 2010, 2011, 2012 and the second quarter of 2013. The economy gained 916 000 jobs, whilst the gains for the transport sector was 63 299 jobs. There is a high density of employees in Gauteng, KwaZulu-Natal and Western Cape. Collectively, they comprise 78.7% of total employment in the transport sector.

The government has prioritised the development of the sector for job creation, social and economic development and the competitiveness of the economy as a whole. In the first quarter of 2014, the racial composition of the sector was as follows: Africans (64.4%), Coloureds (11.6%), Indians (4.9%) and Whites (17.2%). These percentages are broadly reflective of national demographics. About 76.1% of employed in the sector are male compared to 23.9% females. There is a need to achieve gender equality in the sector. After 20 years of democracy, it is evident that minimal progress has been made in transforming the racial profile of the workforce in the designated sector. Approximately 44.8% of Managers are Whites in contrast to 32.4% Blacks. In the Professional and Technician category there has been a slight improvement in favour of Blacks. The above inequalities in the demographic composition of the

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sector signals the urgent need for policy-makers to do considerably more to redress workforce imbalances. Demographic imbalances also exist between males and females in the workforce which is characterised by male over-representation in the upper echelons of the workforce. There are a number of factors driving change in the transport sector. Some of these factors are sector-specific, whilst others are non-sector specific.

Reducing emissions is a major challenge to transport companies over the next 20 years. By 2030 systems will be in place to ensure that the cost of carbon is allocated to the causer. Whether or not they see it as a business opportunity, logistics providers will most likely need to reduce, track, document and disclose their caused CO2 emissions in the future.

Greater numbers of consumers are likely to live in environments which more fully integrate work, leisure and everyday activities, reducing some of their need for transport on a day-to-day basis. Business and leisure travel may also decline, as communication technologies improve and the population ages. Some companies may take a close look at their business models and consider how they position the company for the long-term.

The way products get from the assembly line to the consumer is also likely to change. Logistics service providers will need to cope with different transport architecture, as transportation networks need to change in response to these ultra-large transport modes. More bundling efforts will be required, and the modal split may also be altered. Collaboration is also critical to maintaining flexibility. Transport operators may profit from developing research projects along the supply chain, or sharing resources with competitors.

Technological advances will underpin developments in the supply chain. Supply chains are expected to become more efficient through continuous real-time control of the flow of goods. Real-time control systems enable logistics service providers and their customers to monitor and control many business processes through internet interfaces.

The Public Transport Strategy aims to accelerate the improvement in public transport by establishing integrated rapid public transport networks (IRPTNs), which will introduce priority rail corridors and Bus Rapid Transport (BRT) systems in cities. The essential feature of the Public Transport Strategy is the phased extension of mode-based vehicle recapitalisation into IRPTNs. Government’s policy is underpinned by a strong desire to have an integrated public-transport system.

The demand for crude oil in the coming years is expected to grow at around 10% per year. With oil from the Mexican Gulf expected to dry up in a decade and Russian in two decades, it is expected that the oil price will escalate in the future. This will have a negative impact on the South African economy which imports a large proportion of its oil.

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The occupational composition of the sector is as follows: Managers (15.4%); Professionals (2.9%); Technicians (6.6%); Clerks (15.5%); Sales and Service (2.4%); Crafts and Trades (2.4%); Plant and Machinery (39.6%); Elementary (13.6%). High skills occupations (Managers/Professionals/Technicians) constitute 24.9%; intermediate skills (Clerks/Sales and Service/Crafts and Trades) make up 21.9% and low level skills; (Plant and Machinery/Elementary) comprise 53.2%. A high percentage of people are in the low skills category (53.2%). There is an opportunity to move people with low level skills into the intermediate category. Likewise there are opportunities for those with intermediate skills to move into the high skills category with meaningful education and training interventions.

Just 12.7% of people in the sector have a tertiary education; 36.8% have a secondary education; 13.2% have not completed secondary education; 1.6% have not completed primary education and 0.6 % with no schooling. It is necessary for the sector to improve the proportion of people with tertiary education from 12.7% to potentially about 25% over the next few years.

Africans are in the majority at elementary, operator, sales, clerical and service levels which range from low level to intermediate level occupations. Whites are in the majority of technicians, professionals and managers which comprise advanced level occupations. This is a characteristic feature of the SA labour market – Whites mostly dominate the upper end of the occupational spectrum, whilst Blacks (Indians, Coloureds and Africans located at intermediate and lower levels). For example, Whites take up 3.4% of technical posts compared with Africans with 2.6%. In March 2011 Whites took up 32% of managerial posts compared with Africans with 7%.However, in March 2012 Africans took up 7.1% of managerial posts compared with Whites with 5%. Affirmative Action should be a very high priority of the skills agenda for the transport industry.

The strategic interventions required in the sector over the next 5 years are as follows:

Promote a Decent Work Agenda for employees in the Transport Sector; Participation in Strategic Integrated Projects (SIPs) Information and career guidance to encourage new entrants to the

Transport Sector; Promote and implement Recognition of Prior Learning (RPL) in the

Transport Sector; Occupational learning programmes to facilitate access, success and

progression to address scarce skills shortages in the Transport Sector; Skills programmes and other non-accredited short courses for the

employed and unemployed; Widening access to HET and FET for people who do meet entry

requirements; Establish Institutional Sectors of Excellence (ISOE) to deliver learning

programmes;

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Promote corporate environmental sustainability in the Transport Sector; Re-curriculating legacy qualifications and development of new

qualifications mapped to scarce skills; Addressing youth unemployment and employability; Promoting the sector to women; Fostering the development of green skills and occupations; Developing an SMME strategy for skills development; Setting a new skills research agenda; Supporting rural development; and HIV/Aids interventions.

CONTINOUS IMPROVEMENT PLAN

The sector skills plan (SSP) is updated annually and TETA in collaboration with

DHET have agreed on the use of the Continuous Improvement Plan (CIP) in the

development of the SSP. The purpose of this plan is to promote quality in the

development of the SSP together with the use of strategic documents to guide

sector skills planning. It is against this backdrop that the CIP is developed and

updated annually in line with improvements implemented by TETA on enhancing

the quality and credibility of the SSP. In an attempt to achieve this continuous SSP

improvement, TETA has undertaken the following actions prior and during the

update of the SSP:

Subject matter experts within the sector (representative of the state, state-

owned enterprises, research agencies, higher education institutions,

private providers and employers) were interviewed with the purpose of

defining the scope of the sector, key issues and relevant core strategic

drivers.

Experts have been identified and will be evaluating the SSP update draft to

ensure that it accurately reflects the national government priorities and

sector needs.

TETA will engage the SSP update with all relevant Government

Departments in order for the Director-General and Skills

Development/Capacity Building units to ensure that their strategic plans

and strategies are adequately reflected in the SSP.

TETA and the University of Western Cape (UWC) are working towards

achieving the following objectives:

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o To improve the state of the labour market information provided in the

SSP;

o To establish a repository for skills development research in the

Transport sector which can enhance the quality of the SSP; and

o Utilise a mapping tool to determine occupational supply and demand.

TETA staff will work with the Data Mining team to ensure that the data

modelling being conducted is what is required in order to construct a

relevant Scarce and Critical Skills List which can be incorporated into the

SSP.

A stakeholder engagement plan has been developed with the objective of

presenting the SSP Update Draft as broadly as possible. This incorporates a

Provincial Focus Group SSP Roadshow, which will afford TETA the

opportunity to present findings, strategic priorities and interventions to a

cross-section of stakeholders for their input and validation. Main

stakeholder target groups include Local Government, Community

Leadership, Civil Society and labour.

The Strategic Plan will constantly be evaluated against the SSP update, as

the SSP is being updated up until the final submission on 30 September

2014.

Through the Service provider, TETA staff members involved in the SSP

development process will be capacitated in, among other areas, Policy

Analysis, ETQA / WSP / ATR Analysis and stakeholder engagement. This is

an integral part of the project plan and takes place through job shadowing

throughout the project and through a specific capacity building course as

developed by the service provider.

Staff PDPs will be evaluated and research development and skills training

encouraged for those staff involved with the SSP development process.

Finally, TETA is committed to ensure that the SSP is professionally-researched and

that it provides a sound analysis of the sector.

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CHAPTER ONE: SECTOR PROFILE

1.1 INTRODUCTION

Chapter One profiles the Transport Sector within the context of the South African economy. It provides an overview of the size and shape of the sector for the purpose of determining skills supply and demand. It further outlines the scope of coverage of the Transport Education and Training Authority (TETA) using Standard Industrial Classification codes (SIC codes). Factors driving change in the sector are identified and their implications for skills development discussed. This chapter also examines the economic performance and labour market profile of the transport sector.

1.2 STAKEHOLDER ENGAGEMENT

Stakeholder participation is integral to the compilation of the Sector Skills Plan. Widespread consultations were therefore held with key stakeholders in the sector. Exceptional value was added through the incorporation of focus group workshops with stakeholder representatives in all 8 sub-sectors, namely, aerospace, maritime, rail, road passenger, taxi, forwarding & clearing, freight handling and road freight.

The major steps in the research process are the following:

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1.3 SCOPE OF COVERAGE (SIC CODES)

The scope of coverage of TETA in terms of the Skills Development Act 97 of 1998 is as follows:

Table 1: Demarcation of Standard Industry Classification Codes

SIC CODE INDUSTRY NAME

13100 Ocean and Coastal Fishing

71112 Railway Commuter and Freight Services

71200 Other Land Transport

71211 Urban; Suburban and Inter-urban Bus and Coach Passenger Lines

71212 School Buses

71221 Taxis

71230 Freight Transport by Road

71232 Freight Forwarding and Clearing

71300 Transport via Pipelines

72000 Water Transport

72111 Coastal Shipping

72112 Ocean Shipping

72200 Inland Water Transport

73000 Air Transport

73001 Civil Aviation

74100 Supporting and Auxiliary Activities Air Transport

74110 Cargo Handling

74120 Storage and Warehousing

74134 Operation of Airports, Flying Fields & Air Navigation Facilities

Review of existing data sources

Literature search of studies in the sector

Analysis of industry market reports

Review of workplace skills plans and annual training reports

Annual Reports of employer associations, trade unions and bargaining councils

Meeting with Board members, SETA Managers and Projects Committee

Interviews with key informants in the sector

Group discussions with stakeholder representatives

Regional workshops with stakeholders

Revision of the Sector Skills Plan

Presentation of SSP to SETA stakeholders

Approval of SSP with Board

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94004 Waste Management

Source: TETA Annual Report 2013/14

The transport sector consists of at least four broad sub-divisions. A sub-division is defined by modes of transport and encompasses:

The following table classifies the 8 TETA chambers to the different modes of transport or main activities:

Table 2: Modal Classification of TETA Chambers

Air Sea Land

Aerospace Maritime Rail; Road Freight Road Passenger; Taxi

Intermodal/Multimodal

Forwarding & Clearing; Freight Handling

Logistics Supply Chain Management

Aerospace; Forwarding & Clearing; Freight Handling; Maritime Rail; Road Freight; Road Passenger; Taxi

Forwarding & Clearing Freight Handling

Passenger Freight

Aerospace; Maritime; Rail; Road Passenger; Taxi

Aerospace Forwarding & Clearing Freight Handling; Maritime; Rail; Road Freight

Source: TETA Annual Report 2013/2014

1.4 PROFILE OF THE TRANSPORT SECTOR

South Africa has a modern and well-developed transport infrastructure. The air and rail networks are the largest on the continent, and the roads in good condition. The country's ports provide a natural stopover for shipping to and from Europe, the Americas, Asia, Australasia and both coasts of Africa.

Inter & multi-modal (passengers, feight, forwarding and clearing)

land (road, rail, pipelines)

Air

Sea

(Maritime & Coastal)

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The transport sector has been highlighted by the government as a key contributor to South Africa's competitiveness in global markets. It is regarded as a crucial engine for economic growth and social development, and the government has unveiled plans to spend billions of rands to improve the country's roads, railways and ports.

1.4.1 Key Features of the Transport Sector

The transport sector is experiencing robust infrastructure investments to meet the needs of a growing economy. There are considerable public investments in the transport sector which is taking place through TRANSNET and SANRAL. Government is also in support of public-private sector partnerships to raise capital for expansion of the transportation system.

Since transport is a fundamental pillar of a modern economy, the sector requires workers who have the requisite skills to create value in their work. In order to succeed in a highly competitive global market, it requires a high level of education and skills development.

Some of the key features of the sector are the following:

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It is estimated that the transport sector for the period 2010-2014, will expand on par with the economy as a whole at an annual average rate of 3.3%.

South Africa’s major ports in Cape Town, Port Elizabeth, East London, Durban, Saldanah Bay and Richards Bay are positioning themselves to become oil and gas hubs. Richards Bay was originally devised as a coal terminal, but is developing into a multi-modal transhipment port with a dry dock and container facilities.

Combining all factors, freight volume across the different modes, measured in million tonnes-km, will rise by an annual average of 4.1% in the 2010-2014 forecast periods (Business Monitor International, 2012).

1.5 LABOUR MARKET CONTEXT This section analyses the particular labour market context for the sector. It is important to note that data on the size and shape of the labour market in the transport sector is scarce. First, a significant number of employers such as the taxi industry are operating in the informal sector and therefore not captured in national accounts. The taxi

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industry accounts for 65% of all public transport, while buses and trains account for 21% and 14% respectively. This industry provides the main form of public transport in the country. The largest group of workers is drivers. In addition to drivers, there are queue marshals, car washers and administrative workers. In some parts of the country there are also fare collectors. About 95% of workers in the taxi industry are African. Less than 2% are women. Many of the women do administrative work for the taxi associations. Very few drivers are self-employed. Most work for a taxi owner and are paid wages. However, very few taxi owners have a formal written contract of employment (International Labour Organization 2003, second impression 2004). Second, a large number of employees are working in the formal sector in atypical forms of employment and go unrecorded. Third, a number of employers are not registered with the South African Revenue Services (SARS) or the National Bargaining Councils. Fourth, a number of employers are not registered to pay skills levies because they are exempted or simply do not pay levies. And fifth, in some sub-sectors employers may be operating illegally. In addition, employer bodies and trade unions are not compiling reliable employment and employee data in the form of reports. The TETA database is afflicted by poor participation rates in the levy grant system by employers and incorrect information on the SARS database. Therefore the most reliable statistics on the transport sector as a whole is contained in the Quarterly Labour Force Survey (QLFS) and Quarterly Employment Survey (QES) published by Statistics SA.

1.5.1 Employment by Industry and Sector

The table below situates the transport sector within the broader South African economy. It provides formal and informal employment data across 10 sectors. Table 3 reveals the following:

There are 15 055 000 people employed in SA;

The transport sector employs 895 000 people comprising 5.9% of the total labour force;

10 780 000 are employed in the formal sector, whilst 2 336 000 are employed in the informal sector;

Agricultural employment makes up 709 000 and private households 1 231 000.

Table 3: Employment by Industry and Sector (2013/2014)

Industry 2013 2014

Agriculture 711 910 709 000

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Mining 373 640 424 000

Manufacturing 1 735 151 1 804 000

Utilities 114 534 30 000

Construction 1 082 626 1 199 000

Trade 2 905 509 1 386 000

Transport 831 701 895 000

Finance 1 818 059 2 045 000

Community and Social Services

3 049 777 3 428 000

Private Households 1 092 948 1 231 000

Other 3 475 3 000

Total 13 719 330 15 550 000

Source: Stats SA Quarterly Labour Force Survey, Quarter 2, 2013.Quarter 2, 2014.

The size of the SA labour force grew from 13 719 330 to 15 550 000 between 2013 and 2014. The transport sector added 63 299 jobs in this period making up about 5.9% of employment, down from 6% in the previous year. One of the key challenges facing the South African economy is to create sufficient jobs on a sustained basis for a growing labour force. The performance of the transport sector in terms of employment remains steady.

1.5.2 Transport Sector Employment

The table below provides employment figures for the transport sector as a proportion of total employment in the economy between 2001 and 2nd quarter of 2014.

Table 4: Employment in Transport Industry and Total Employment 2001-2014

Year Transport Industry Total Employment

2001 683 000 12 494 000

2005 705 000 12 769 000

2008 774 000 13 713 000

2009 727 000 13 369 000

2010 767 000 12 803 000

2011 776 000 13 123 000

2012 783 000 13 421 000

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2013 832 000 17 719 000

2014 895 000 15 550 000

Stats SA, Labour Force Survey, Historical Revision March Series 2001 to 2007

Stats SA, Labour Market Dynamics in SA 2008

Stats SA, Quarterly Labour Force Survey, Quarter 2, 2010





The following can be deduced from table 4 above,

Between 2001 and 2012 employment in the transport sector grew by 12.7%, whilst total labour force employment increased by 6.9%. This implies that the transport sector is an important generator of employment in the SA economy;

From 2001 to 2008 employment in the transport sector grew steadily from 683 000 to 774 000. This represents an increase of 11.75% in employment. As the global economic crisis unfolded in 2008, the economy lost 344 000 jobs between 2008 and 2009, whilst the transport sector lost 47 000 jobs;

In 2010, employment levels in the economy declined by 566 000 jobs while the transport sector gained 40 000 jobs;

Employment rebounded from the second quarter of 2011 to the second quarter of 2013. The economy gained 4 596 000 jobs, whilst the gains for the transport sector was 56 000 jobs in 2013; and

The labour market added 63 299 jobs between 2013 and 2014.

The transport sector is sensitive to economic gyrations since it is linked with the performance of other sectors, but it has the propensity to reverse job losses quickly. TETA should therefore explore job creation opportunities in the sector, particularly for semi-skilled and unskilled people.

1.5.3 Employment by Sub-Sector in Transport

The table below provides information on sub-sectors within the transport industry in terms of formal and informal employment.

Table 5: Employment by Sub-Sectors in Transport Industry, 2014

Transport Formal Informal Totals Percent

Railway transport 84 959 0 84 959 9%

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Other land transport (Road) 332 045 186 672 518 718 58%

Sea and coastal water transport 2 244 0 2 244 0%

Air transport 32 359 1 168 33 527 4%

Supporting and auxiliary transport activities (travel agencies) 99 748 583 100 331 11%

Postal and related courier activities 63 639 6 176 69 815 8%

Telecommunication 80 656 4 747 85 404 10%

Total 695 651 199 348 894 999 100%

Source: Stats SA, Quarterly Labour Force Survey, Quarter 1, 2014. The above figures are rounded off.

According to the table above:

Railway transport employment comprises 9% of the sector;

Road transport 58%;

Sea transport 0%;

Air transport 4%; and

Supporting and auxiliary activities (Cargo handling, storage and warehousing, other supporting transport activities, travel agency and related activities, and activities of other transport agencies) 29%.

1.5.4 Employment by Province

The table below provides employment figures in the transport sector by province:

Table 6: Employment in Transport Industry by Province, 2014

Province Employees 2013 Employees 2014

Western Cape 117 045 141 504

Eastern Cape 70 204 85 230

Northern Cape 14 663 9 509

Free State 34 115 36 301

KwaZulu-Natal 190 076 178 265

North West 23 423 30 470

Gauteng 310 705 318 276

Mpumalanga 39 207 52 348

Limpopo 32 264 43 096

Total 831 701 895 000

Source: Stats SA, Quarterly Labour Force Survey, Quarter 2, 2013 and Quarter 1, 2014. The above figures are rounded off.

The table above reveals the following:

There is a high density of employees in Gauteng, KwaZulu-Natal and

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Western Cape. Collectively, they comprise 71.2% of total employment in the transport sector;

Although KwaZulu-Natal has a high density of employees, there has been a slight decline from 2012;

It is evident that considerable attention should be given to employers and employers in these high density provinces;

While Northern Cape, Eastern Cape and Free State have lower employment numbers, due to being considered as rural provinces with relatively limited economic activity than the urban provinces, there has been an increase in employment from 2012. Although the increase is gradual, it is beneficial to the provinces and the economy on the whole;

Mpumalanga, Limpopo and North West province have seen a decline in employment from 2012.

It is essential that adequate skills provision exists for provinces with low employment numbers. There is a need for TETA to align skills development interventions to local economic development needs of particular provinces. This requires TETA to analyse and understand the provincial labour markets and economies. Training interventions may vary from province to province based on local needs.

1.5.5 Transport Sector Enterprises by size and province

The table below provides figures on the number of enterprises in the transport sector by size and province.

Table 7: Number of Enterprises in Transport Sector by Size and Province

REGION 0-49 50-149 150+ Grand Total

Eastern Cape 769 20 14 803

Free State 462 15 8 485

Gauteng 5396 205 203 5804

KwaZulu Natal 2578 91 62 2731

Limpopo 13 2

15

Mpumalanga 1032 23 11 1066

North West 333 5 7 345

Northern Cape 175 5

180

Western Cape 2951 83 66 3100

Northern Province 193 6 3 202

Other 67

67

GRAND TOTAL 14747 455 374 15576

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Source: TETA WSP 2014


In the category 0-49 employees, Gauteng has the largest number of enterprises, followed by Western Cape, KwaZulu Natal and Mpumalanga.

The same is for the category 50-149 employees. Gauteng has the largest number, followed by KwaZulu Natal and Western Cape. However, in comparison, the number of enterprises in these provinces is much lower.

In total, Gauteng has the largest concentration of transport enterprises, followed by Western Cape and KwaZulu Natal. This is due to the high concentration of business activities and employees in Gauteng.

The other provinces have fewer enterprises due to being considered as rural provinces with relatively limited economic activity.

1.5.6 Transport Sector Enterprises by size and chamber

The table below provides figures on the number of enterprises in the transport sector by size and chamber.

Table 8: Number of Enterprises in the Transport Sector by Size and Chamber

CHAMBER 0-49 50-149 150+ Grand Total

Aerospace 40 16 28 84

Freight forwarding and clearing

79 39 34 152

Freight handling 144 26 46 216

Maritime 66 27 13 106

Rail 18 2 16 36

Road Freight 255 144 105 504

Road Passenger 45 13 27 85

Taxi 66 2 1 69

Unknown 14

1 15

(Blank) 14020 186 103 14309

GRAND TOTAL 14747 455 374 15576



The road freight chamber has the highest number of enterprises in all three categories. This is due to considerable movement of freight on South African roads.

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The transport sector is in the process of planning movement of road freight to rail for purposes of limiting road damage and ensuring safe and quick transport of freight.

The freight handling chamber has the second highest enterprises in the 0-49 category.

Forwarding and clearing, maritime and road passenger and aerospace chambers have a spread of enterprises across all three categories.

The taxi and rail chambers have a very limited number of enterprises.

1.5.7 Employment by Race and Gender

The table below provides a breakdown of employment in the transport sector by race group and gender between 2013 and 2014.

Table 9: Employment by Race and Gender, 2013-2014

Population group Gender 2nd Quarter 2013 1st Quarter 2014 % change

African/Black Male 502 770 561 244 10.4%

Female 95 159 103 209 7.8%

Total 597 929 664 454 10.0%

Coloured Male 66 101 64 860 -1.9%

Female 26 791 24 719 -8.4%

Total 92 892 89 579 -3.7%

Indian/Asian Male 26 856 25 320 -6.1%

Female 9 129 11 721 22.1%

Total 35 984 37 041 2.9%

White Male 66 312 67 814 2.2%

Female 38 582 36 113 -6.8%

Total 104 895 103 926 -0.9%

GRAND TOTAL 831 700 895 000 7.1%

Source: Stats SA, Nesstar, QLFS, 2nd Quarter, 2013 & 1st Quarter 2014 The above figures are rounded off.

In terms of racial and gender breakdown in the transport sector, the following can be deduced from table 9:

In 2014, the racial composition of the sector was as follows: Africans (74.2%), Coloureds (10%), Indians (4.1%) and Whites (11.6%). These percentages are broadly reflective of national demographics;

About 80% of employed in the sector are male compared to 20% females. There is a need to achieve gender equality in the sector. TETA should encourage more females into the sector by encouraging and supporting

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skills development, particularly in areas where females are lacking in terms of representivity;

Employment for Blacks and Indians actually increased between 2013 and 2014 (1st quarter), whilst employment for Coloured and Whites declined;

There was a 22.1% increase in employment for Indian/Asian females, followed 7.8% for Black females, and a decline of 8.4% for Coloured females and 0.9% for White females between 2013 and 2014. There was an overall increase in employment for females between 2013 and 2014; and

African males made up 62.7% of the labour force in 2014(1st quarter), whilst the percentage for African females was 11.5%. The under-representation of African females should be addressed by TETA through skills development.

The table below gives a 7 year comparison of gender in the transport sector. It provides information on whether the sector is making progression in redressing gender imbalances. There are 176 000 females and 719 000 males employed in the transport sector in 2014 representing 20% females and 80% males.

Table 10: Employment in Transport Industry by Gender, 2008-2014 (000’)

Gender 2008 2009 2010 2011 2012 2013 2014

Male 602 569 593 621 621 662 719

Female 172 156 173 167 162 170 176

Total 774 757 767 788 783 832 895

Stats SA, Labour Force Survey, Historical Revision March Series 2001 to 2007; Stats SA, Labour Market Dynamics in SA 2008; Stats SA, QLFS, 2010; Stats SA, QLFS,

4th

Quarter, 2011; Stats SA, QLFS, 1st

Quarter 2012 and Stats SA 2nd

Quarter 2013.The above figures are rounded off

The table reveals the following:

Females comprised 22% of the labour force in 2008, 21% in 2009, 22.5% in 2010, 19% in 2011, 20.5% in 2012 and 20.4% in 2013 and 20% in 2014;

Males comprised 78% of the labour force in 2008, 79% in 2009, 77.5% in 2010, 81% in 2011, 79% in 2012 and 79.5% in 2013 and 80% in 2014;

In essence, the gender composition of the labour force is static;

There has been very little progress with improving female participation in the sector; and

TETA needs to craft interventions to encourage females to enter professions in the sector, particular for African females whom are under-represented.

The table below provides employment information on the transport industry by age and gender for 2014.

Table 11: Employment in the Transport Sector by Age and Gender

Age Group 15-24 yrs 25-34 yrs 35-44 yrs 45-54 yrs 55-64 yrs Total

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Male 57 240 232 763 213 585 146 077 69 573 719 238

Female 22 371 59 173 58 498 27 148 8 572 175 762

Total 79 612 291 936 272 082 173 225 78 145 895 000

Source: Stats SA, Nesstar, QLFS, Quarter 1, 2014

The above table reveals the following:

Youth aged between 15 and 34 comprise 41.5% of employees in the sector;

Most employees, 291 936, are in the 25 and 34 years age bracket old;

Given that the majority of the employees are younger than 40 years, it becomes more feasible to invest in education and training;

There is also an opportunity for continuity in the sector;

TETA needs to focus on youth development in the form of coaching, mentoring, succession planning training in order to prepare young people for better position in the sector; and

It is also evident there is an under-representation of females in the sector with only 19.6% comprising females.

The discussion below will focus on age, disability and gender breakdown for high and low skilled employees in the transport sector.

The figure below provides data on the transport industry’s high and low-skilled workforce by age for 2014:

Figure 1: High and Low Skilled Workforce by Age

Source: TETA WSP: 2014

The above figure reveals the following for:

High skilled workforce by age

0%10%20%30%40%50%60%70%80%90%

100%

>55

35-55

<35

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Most high-skilled employees are in the 35-55 age category. Managers make up 64.5%, Professionals 47.2% and Technicians 49.6%.

The U35 category makes up 33.1% of employees in the high-skilled workforce. Managers make up 22.9%, Professionals 43.2% and Technicians 38.5%; and

Given that a relatively large number of employees are O35, it becomes more feasible to invest in education and training for this age group with a view of creating an opportunity for continuity in the sector.

Low skilled workforce by age

Most low-skilled employees are in the U35 and 35-45 age group;

In the U35 group, Clerical makes up 46.9%, Elementary 49.5%, Plant 35.6% and Service 44.2%;

In the 35-55 group there was a higher percentage in the Plant occupational class, 51.6% compared to the 35.6% for the U35;

There is a very small percentage of employees in all 4 categories for the O55. Clerical makes up 7.8%, Elementary 9.7%, Plant 12.8% and Service 9.5%;

Given that a relatively large number of low-skilled employees are U35 and 35-55 age group, it becomes feasible to invest in education and training so as to create an opportunity for progression amongst this age group; and

There is also an opportunity for continuity in the sector.

Further, TETA needs to focus on youth development in the form of coaching, mentoring and succession planning.

The figure below provides data on the transport industry high and low-skilled workforce by gender and disability for 2014:

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Figure 2: High and Low-Skilled Workforce by Gender and Disability

Source: TETA WSP: 2014 High skilled workforce by gender and disability

From the figure above, it is evident that demographic imbalances exist between males and females in the workforce which is characterised by male over-representation in the upper echelons of the workforce. It must however be borne in mind that the transport sector by its nature will be dominated by males;

Males make up 71.5% of managers, 63.4% of professionals and 61.9% of technicians;

In contrast, females make up 28.5% of managers, 36.6% of professionals and 38.1% of technicians and

The disabled group also has representivity in the highly-skilled workforce. Managers make up (0.6%), professionals (0.8%) and technicians (1.6%).

Low skilled workforce by gender and disability

As in the high-skilled workforce, demographic imbalances also exist between males and females in the low-skilled workforce, where there is

51.5%

85.5%

71.5%

90.3%

63.4% 58.0%

89.5%

61.9%

76.1%

48.5%

14.5%

28.5%

9.7%

36.6% 42.0%

10.5%

38.1%

23.9%

2.0% 0.2% 0.6% 0.2% 0.8% 0.3% 0.6% 1.6% 0.7%

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

120.0%

Male Female Disabled

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over-representation of males. It must however be borne in mind that the transport sector by its nature will be dominated by males;

Males make up 51.5% of Clerical, 85.5% of Elementary, 90.3% of Plant and 58.0% of Service;

In contrast females make up 49% of Clerical, 14.5% of Elementary, 9.7% of Plant and 42.0% of Service,

There is only a fair gender distribution in the clerical occupation, which by its nature is largely female dominated in many sectors and

The disabled group are also represented the low-skilled occupations. Clericals make up (2.0%), elementary occupations (0.2%), plant operators (0.2%), services and sales (0.3%) and skilled trade workers (0.6%).

1.5.8 Employment Equity

The figure below provides data on the transport industry high and low-skilled workforce by race for 2014:

Figure 3: High and Low-Skilled Workers by Race


High skilled workforce by race

After 20 years of democracy, it is evident that minimal progress has been made in transforming the racial profile of the workforce in the designated sector;

Approximately 44.8% of Managers are Whites in contrast to 32.4% Blacks;

In the Professional and Technician category there has been a slight improvement in favour of Blacks;

0%10%20%30%40%50%60%70%80%90%

100%

White

Indian

Coloured

African

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The above inequalities in the racial composition especially in the management category signals the urgent need for policy-makers and role-players to do considerably more to redress workforce imbalances; and

TETA also needs to play a far more active role in supporting Blacks (Africans, Coloureds and Indians) acquire high level skills to take up positions in the upper band of the occupational structure.

In addition, succession planning, mentorship and coaching should be given top priority by TETA to support Blacks in the industry.

Low skilled workforce by race

Insufficient progress has been made in transforming the racial profile of the low-skilled workforce in the designated sector;

Approximately 55.4% of Clerical, 83.9% of Elementary, 79.6% Plant and 72.5% of Service positions are occupied by Blacks in the sector;

In contrast, approximately 21.2% of clerical, 2.6% of elementary, 8.1% plant and 10.2% of Service positions are occupied by Whites in the sector; and

The above inequalities in the racial composition of the industry signal the urgent need for policy-makers and role-players to do considerably more to redress workforce imbalances.

1.5.9 Terms of Employment

The table below provides an indication of the terms of employment in the transport sector compared to total employment for all sectors in the labour market. Table 12: Terms of Employment

Industry Not applicable Limited duration Permanent Unspecified duration

Total

Transport, storage and communication

140 224 60 677 426 749 204 050 831 701

Totals 2 051 707 1 640 592 7 348 432 2 680 193 13 720 924

Source: Stats SA, Quarterly Labour Force Survey, Nesstar, Quarter 2, 2013

The above table suggests the following:

Roughly 51.3% of the transport sector are in permanent employment compared to the national figure of 53.5%;

About 7.3% of the transport sector are in limited duration (fixed term contracts) compared to 12% for all sectors; and

About 24.5% of the transport sector are in unspecified duration (casual employment) compared to 19.5% for all sectors.

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Although these figures suggest a strong degree of formalization, there has been an increasing trend towards informalisation and atypical forms of employment in the sector and in this respect, TETA needs to encourage Decent Work for all in the sector. This could be achieved by supporting the Decent Work Programme of the International Labour Organisation.

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1.6 ALIGNMENT WITH NATIONAL STRATEGIES

The skills development imperatives of the Transport SETA are derived from, and incorporated into, national skills development strategies and plans from national government departments. The strategic framework of TETA addresses these priorities in chapter five of this document.

The following activities contained in national strategies and plans relate directly to the transport sector:

NATIONAL SKILLS ACCORD

Commitment 1:

To expand the level of training using existing facilities

more fully

Commitment 2:

To make internship and placement opportunities

available within workplaces

Commitment 3:

To set guidelines of ratios of trainees: artisans as well as

across the technical vocations, in order to improve the level of

training

IPAP 2

2011/12 will focus on

continuity and implementation of strategies and KAPs identified in IPAP 2 2010/11

Stronger alignment between

IPAP sector strategies and skills

development system required

There must be engagement with DHET to introduce

sector specific programmes derived from

strategies

STRATEGIC INTEGRATED

PROJECTS (SIP)

SIP 2:

Durban, Free State and Gauteng logistics and

industrial corridor

SIP 3:

South Eastern node and corridor development

SIP 4:

Unlocking the economic

opportunities in North West Province

SIP 5:

Saldanah-Northern Cape corridor development

NEW GROWTH PATH

Emphasis on decent work

Skills enhancement

Small enterprise development

Measures to address HIV/AIDs

Expansion of rail transport

Address shortfalls in artisanal and

technical skills

SETA co-finance training for 10% of

the workforce annually

HRDSA

Ensure that skills development

programmes are demand-led

through

Substantive and systematic input

from employers in the determination of skills demands for the country

NSDS III

1.7 DRIVERS OF CHANGE

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There are numerous forces driving change in the transport sector. This chapter highlights major job-drivers impacting on the sector and causing it to change in a particular way. Job- drivers have direct implications for TETA.

1.7.1 Decent Work

The Department of Economic Development has placed the creation of Decent Work at the centre of economic and social policies. According to the New Growth Path Framework (2010) there is growing consensus that creating decent work, reducing inequality and defeating poverty can only happen through a new growth path founded on a restructuring of the South African economy.

Facts Issues Skills Development Priorities

SA has a very high

unemployment rate is around 25%.

4 in 10 adults are employed and 5 people depend on the income of every worker.

Only 12.7 million people have jobs, 5 million pay taxes and 13.8 million are on welfare grants.

2/3s of working people earn less than R1 000 per month.

Share of wages dropped from 50% in 1994 to 45% in 2009, whilst profits increased from 40% to 45%.

40% of national income goes to10% of richest households.

5 million jobs needed by 2020 to halve unemployment from 25% to 15%.

Creating Decent

Work is at the heart economic policy to fight poverty, inequalities and rural underdevelopment.

Promoting international labour standards, social security, worker rights, training opportunities, social dialogue and tripartism in the workplace.

Protecting vulnerable workers, supporting employment equity, ensuring health and safety on the job and assisting workers in finding employment and training opportunities.

Training programmes to

promote Decent Work outcomes, particularly in the Taxi Industry.

Awareness campaigns and capacity-building initiatives for social partners.

Toolbox for enterprises. Transport Sector Programme

for Decent Work aligned to country programme.

Monitoring, measuring and evaluation of Decent Work.

Strengthening and involving social partners and social dialogue.

Source: Stats SA, Quarterly Labour Force Survey, Quarter 2, 2013 and Quarter 1, 2014

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1.7.2 Greening the Transport Sector

Businesses are striving to be more conscious when it comes to the environment. Increased legislation is driving the demand for eco-compliance. Businesses now have to show that they are environmentally friendly in their business processes and in the products they offer.


SA produces 1% of the world’s emissions, yet its emissions intensity is second to China.

South Africa pledged to cut carbon emissions by 34% by 2020.

Climate Change management is a ‘key driver’ of business sustainability.

Effective governance, management and execution of Corporate Climate Change.

The New Growth Path for South Africa targets 300 000 additional direct jobs by 2020 to green the economy.

The advantages of cheap energy – coal – have become a competitive disadvantage.

The New Growth Path targets 300 000 additional direct jobs by 2020 to green the economy

Emerging green economy has created skills needs in response to climate change and the issue of sustainable resource usage.

Sustainable use and management of natural resources is a national priority outlined in the Medium Term Strategic Framework.

Develop green skills and jobs to response to changing market needs.

Pro-environmental measures in all sectors of the economy.

Stronger programmes, institutions and systems to diffuse new technologies to SMEs and households.

Promoting Decent Work in a sustainable, low carbon world.

Involving social partners in greening the labour market.

Promoting a business case for greening the transport sector.

Greening of all enterprises and funding of new emerging of jobs.

Skills programmes to green existing jobs.

Toolkit for greening enterprises.

Funding programmes to encourage businesses go green.

Code of conduct and benchmarks for environmentally sustainable practices.

Learnerships, bursaries and skills programmes for green occupations.

Source: Stats SA, Quarterly Labour Force Survey, Quarter 2, 2013 and Quarter 1, 2014

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1.7.3 Small Enterprise Development

The promotion of entrepreneurship and small business remains an important priority of the government of South Africa. The New Growth Path Document (2010) and the Department of Trade & Industry’s Integrated Strategy on the Promotion of Entrepreneurship and Small Enterprises (1998) explore ways to ensure that SMMEs progressively increase their contribution growth and performance of the South African economy in critical areas such as job creation, equity and access to markets.

Facts Issues

Skills Development Priorities

Small businesses have been identified as key in driving South Africa’s economic growth.

32% of small business owners provide between 1 and 10 employment opportunities per small business.

Service-related small businesses are more likely to provide employment opportunities than other small businesses.

5.6 million small businesses provide an additional estimated 6 million employment opportunities.

76% of small business owners were unable to name any organisation that advises small businesses.

94% small business owners have never used any support organisations.

SANRAL spent R2.5 billion on SMMEs, of which R1.8 billion went to black-owned businesses.

Improving regulatory environment for ease of doing business.

Small enterprise business development.

Advocacy and a voice for small business on national platforms.

Employer organisations for small business.

Decent Work for employees in small businesses.

Skills training for small business owners and employees.

More effective support measures for small businesses.

Integrating small business into formal supply chains.

Creating demand for small enterprise products and services.

Fostering entrepreneurship culture.

Skills training, learnerships and bursaries for small business employees.

Strengthening enterprise networks.

Providing necessary support incentives.

Improving small enterprise competencies and delivery capacity.

Coaching and mentoring of business owners.

Providing training in entrepreneurship, skills and management.

Improving industrial relations and the labour environment.

Facilitating access to appropriate technology

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1.7.4 Strategic Integrated Project (SIP)

Strategic Integrated Project (SIP) is a twenty year planning framework to co-ordinate a myriad of state infrastructure projects in 17 integrated projects to prevent stop-start patterns of development.


New Growth Path (NGP)

targets the creation of 20

million jobs by 2020;

identifies structural

problems in the economy

and points to

opportunities in specific

sectors and markets.

The first driver is

infrastructure – laying the

basis for job creation,

economic growth and

inclusivity.

SIP is aligned to skills

development and human

settlement planning as

cross-cutters.

The Transport Sector is a

cross-cutter, but there will

be a focus on road, rail,

ports and logistics.

All SIP have implications

for the Transport Sector.

There is an acute need for

large-scale skills training

in the taxi industry.

Transport provides the good opportunities for job creation.

There is a need for TETA to work with SIP co-ordinators closely.

There is a need to identify skills supply and demand for SIP and determine skills gaps.

TETA should scale up its internal operations to focus on SIP.

Discretionary projects should “talk” to SIP.

Special measures should be taken by TETA to draw youth into SIP.

Strategic Plan and SSP should incorporate SIP priorities.

Bigger focus on learnerships and apprenticeships for youth.

Focus on high end skills development programmes.

Management training and development is vital because of weak implementation by state.

TETA should identify SIP projects to participate.

There should be a focus on RPL, ESDAs and bursary schemes.

Dialogue with SIP partners.

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1.7.5 Southern African Rail Network

A heavy haul network stretching from Botswana through Zimbabwe and into Mozambique and Malawi could prove a game changer in regional logistics and exports for SADC. The proposed 1100km southern African rail network, which has many links to it, will have huge downstream spin-offs for the region.


The project is to begin in

2012 at an expected

cost of $7 billion and will

take 10 years.

The main funders are

the World Bank, IMF, IFC

and mining companies.

Transnet is under fire

from the private sector

for its operational

inefficiencies of its rail

network and bottlenecks

at ports

Growth is the mining

sector is being stymied

by unreliable rail

networks.

Mining companies can

move 90 million tons of

coal through Richards

Bay but Transnet can

only support 60 million

tons on its rail network.

This project provides the good opportunities for job creation.

The mega rail and port is likely to reduce the reliance on freight and road networks.

The project has the potential to inject economic growth in rural regions of SADC.

There will be a need for all levels of skills – low, middle and high – for this project.

There will be spin-offs for other industries in the economy.

TETA needs to position itself for this project.

Better strategies for skill development will assist in developing more creative career pathways.

Increasing use of new technologies is a primary driver of the need for training of all categories of employees.

Management training and development is vital for employers as most enterprises in the transport sector are micro and small.

TETA should encourage employees and enterprises to move up the value chain.

Higher order skilling is key to the future of transport.

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1.7.6 HIV/AIDS

The impact of HIV/AIDS remains a core underlying focus area of the majority of government initiatives as it has direct impact on the productivity, morale and skills of the people in the country. It is imperative for the transport sector to assess the impact of HIV/AIDS on the sector in order to determine the skills development needs and initiatives of the sector.


South Africa’s population of 50 million has an estimated HIV prevalence rate of 10.6% - which is 5.2 million people who are HIV positive.

The highest prevalence rates among 15-49 year olds in KwaZulu Natal is (25.8%), Mpumalanga (23.1%), Free State (18.5%) North West (17.1%) and Gauteng 15.2%.

The prevalence rates amongst Africans is 13.6%, 0.3% for Whites, 1.7% for Coloureds, and 0.3% for Indians.

The most at risk population has a prevalence rate of African females (20-34 years) 32.7% and African males (25-49 years) 23.7%.

Risk factors include ‘living in informal settlements, urbanizing areas of rural districts and transport corridors

The diversity of the

transport sector must be

remembered when

planning skills

development initiatives.

Due to the high degree of

mobility the focus on

HIV/AIDS needs to include

not only the direct

workforce but also the

communities which they

come in contact with.

Due to the industry being

very male dominated,

interventions do not often

take into account the

gender component of

HIV/AIDS.

HIV positive workers still

face high levels of stigma

and discrimination at

work.

Making ARVs available at

the workplace or

providing time to access it

will see increased

attendance at work.

Develop a regional

transportation policy

framework which would

provide the basis on

which workplace

programmes and

initiatives could be based.

Workplace specific

policies need to be put in

place.

Develop, implement,

monitor and evaluate

workplace programmes.

Create a holistic service

provision where possible

– this includes a wellness

focus, behaviour change,

peer education, and

prevention strategies.

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1.8 CONCLUSION From the above chapter the following conclusions can be drawn with direct implications for skills development for TETA: The quality of labour market data for most modes of transport is inadequate. With the exception of Statistics SA and Datamonitor, there are no authoritative data sources for the sector. Without proper data sources, the quality of labour market information is problematic. This exposes TETA to the inevitable risk of over and under investments in skills development. There is a need to improve the state of labour market intelligence in the sector. At least a quarter of employees in the sector are in informal employment. These employees are employed as casual, temporary and fixed-term employment without social benefits or the full protection of the law. There is a growing trend towards informalisation in the sector with negative consequences for labour peace, worker morale and productivity and investments in skills development. There is a need for TETA to actively support the concept of Decent Work and implement a sector programme to improve conditions of employment. Average monthly wages in the sector is relatively low in comparison to other sectors. About 56% of employees in the sector are involved in road transport. TETA should ideally skew interventions proportionately to this sector. Due to the high degree of mobility the focus on HIV/AIDS needs to include not

only the direct workforce but also the communities which they come in contact

with. TETA should become more actively involved in creating awareness on

fighting the disease.

A large number of transport companies are either exempted from paying skills levies or operate informally. There is a need to find alternative sources of funding to widen participation in the levy grant system. Women are under-represented in the transport sector. There should be an active campaign to reduce gender inequalities and training opportunities for women. The transport sector is particularly sensitive to economic gyrations in the wider economy. Fuel prices also have direct impact of the fortunes of the sector. The economic outlook for the sector between 2010 and 2014 is positive. The sector is expected to grow increasing the demand for skilled labour. Therefore TETA should make training investment in scarce and critical skills to meet the demand-side needs of the sector. The sector contributes 8.2% of GDP and 5.9% of national employment. There are job creation opportunities in the sector ranging from low level to advanced skills. The transport sector requires workers who have the skills to create value through

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their work. It also requires high levels of training and skills in order to succeed in an increasingly competitive global market. TETA should play a more active role in supporting job creation and skills development efforts. In recent years government has made significant infrastructural investments to improve the road, rail, air and sea networks. This necessitates a high skill workforce in the transport sector. TETA is a key player in supporting infrastructural investments through the provisioning of skills development. There is likely to be an increasing awareness to reduce carbon emissions in the sector. Consumer patterns are expected to shift with consumers depending eco-friendly products and sustainable supply chains. Supply chains in the sector will continue to become more efficient through the development of continuous real-time control of the flow of goods. This has direct implications for improving skills development in the sector. Government has produced a number of policy outlines for the sector. TETA should align its activities to the goals in these policies.

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CHAPTER TWO: RESEARCH DESIGN AND METHODOLOGY

2.1 INTRODUCTION

The application of a well-considered research design and methodological approach is necessary to identify and anticipate skills needs in the designated sector. Moreover, a systematic research process ensures the credibility and legitimacy of the Sector Skills Plan. Such a plan can thus be defended based on evidence acquired during the research.

One of the major problems currently in the South African skills development environment is that the identification of scarce skills does not appear to be supported by a factual, evidence-led enquiry. Thus the nature of skills needs and the quantum of skills imbalances in the labour market are often misdiagnosed, misunderstood and mistreated.

The major problem facing users of labour market information in South Africa is the lack of a national labour market information system. There is no occupational modelling system currently in South Africa. It is therefore difficult to make projections about occupational needs. As a result, skills planners and policy-makers are severely restricted when making public investment decisions around skills development.

The first goal of the National Skills Development Strategy lll “is to develop an institutional mechanism for skills planning”. Therefore researchers are compelled to identify skills shortages using other methods such as labour market information analysis, a method advocated by the International Labour Organisation (ILO).

Since no coherent occupational modelling is conducted, online job analysis is used to determine occupational supply and demand trends.

2.2 LABOUR MARKET INTELLIGENCE SYSTEM

The Department of Higher Education and Training (DHET) has commissioned the Human Sciences Research Council (HSRC) to lead a national research consortium supporting it in creating a strategic labour market intelligence system. The objective is to build a culture of collaborative partnership to co-ordinate efforts.

South Africa urgently needs a strong foundation for skills measurement – credible datasets across the post-school system and labour markets, down to sector, occupational and regional levels of analysis. Accurate, complete and compatible information systems are absolutely necessary, but this is not sufficient. There is a strong need for labour market intelligence research that analyses dynamics, capabilities and constraints. The current global state of uncertainty over finance, trade and employment makes a labour market intelligence system even more essential.

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2.3 RESEARCH DESIGN

The research design is based on mixed method studies which attempt to bring together methods from different paradigms. In a mixed method study there is an integration, of qualitative with quantitative methods, is also referred to sometimes as multi-strategy research.

The chosen design is intended to supplement one information source with another, or ‘triangulate’ on an issue by using different data sources to identify scarce skills.

The research design to determine skills in demand is as follows:

Figure 4: Research Design to determine Skills in Demand

By adopting a holistic approach, it is envisaged that the various methods would be able to corroborate the research findings and conclusions.

Experts

Workshop

TETA Sector Scarce Skills

List

Chapter 5

WSP/ATR

Analysis

Vacancy

Analysis

Key Informants Interview

Literature

Review

Employer / Trade

Unions Skills List

Regional Stakeholder

Workshops

Meet 3 of 6 criteria

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2.4 RESEARCH METHODS

Multiple research methods were employed to update the SSP. These methods include the following:

The use of multiple research methods enables triangulation of findings and corroboration of research evidence. Through a process of data analysis from workplace skills plans, existing figures and graphs on the industry profile, skills demand and supply and other industry parameters, the SSP was updated.

To add further value to a substantial quantitative database, qualitative research methods were used. Various focus groups were held in the provinces, where stakeholders were consulted. The drivers of change were discussed with focus group participants. Participants offered various solutions to address the development of skills needs.

The following research methods are employed to make a determination on occupational demand for skills:

Review of existing data and information sources

Literature search of studies in the sector

Analysis of industry market reports

Review of workplace skills plans and annual training reports

Annual Reports of employer associations, trade unions and bargaining councils

Meeting with Board members, SETA Managers and Projects Committee

Interviews with key informants in the sector

Group discussions with stakeholders

Regional workshops with stakeholders

Revision of the Sector Skills Plan

Presentation of SSP to SETA stakeholders

Approval of SSP with Board

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2.4.1 Interviews with Key Informants

Interviews were conducted with key informants in the transport sector. These individuals were assumed to possess deep knowledge, understandings and insights of skills development in the sector.

The interviews were conducted using a semi-structured interview schedule. This kind of interview is partially structured with open-ended questions to elicit information that would not be obtained by closed questions. The interviewer is free to deviate from the questions so long as the issues are covered by the conclusion of the interview.

2.4.2 Expert Workshop

An expert workshop was held with a larger group of key informants to validate the findings on scarce skills from the other research methods employed.

A set of criteria was established to determine eligibility of occupations to the Scarce Skills List. Informants rated occupations based on the criteria to systematically identify which occupations are scarce in the sector.

2.4.3 WSP/ATR

The workplace skills plans and annual training reports of submitting companies were analysed to identify scarce and critical skills in the sector. The WSP/ATR represents a significant sample of companies that make up the majority of the sector in terms of employer and employee coverage.

2.4.4 Literature Review

A review of literature was conducted in the sector. Industry publications such as company annual reports, research studies, employer and trade union newsletters, economic reports, sector studies and risk analysis reports were examined to establish evolving trends in the sector.

2.4.5 Regional Workshops

Regional workshops were held with stakeholders in the sector. The purpose the workshops were to enable stakeholders at grassroots level to articulate their skills needs in the sector. This ensures that the principles of inclusivity and transparency are applied in the research.

2.4.6 Employer Bodies and Trade Unions

Employer bodies and trade unions in the sector were invited to send a list of occupations they deemed scarce in the sector. Since these bodies are at the

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“coalface” of developments in the sector, their respective inputs are valuable to the research process.

2.4.7 Career Junction Index

Career Junction is a web service through which recruiters and career seekers interact in a secure and completely confidential environment. Over 1 000 of the country’s top recruiters (both agencies and corporate companies) advertise their vacant positions to more than 2.5 million career seekers on Career Junction and make use of the variety of services that are offered over and above the normal job board service.

The data is captured online by Career Seekers as well as employers and recruiters which allow us to extract high quality, relevant, accurate data which provides a detailed view of the labour market. It is the only data of its kind available in the South African market.

The set up for the transport sector labour market analysis report requires the following steps:

Job cluster definition; Initial query set-up for all data extractions; Restoration of historical databases; Data extraction & clustering; Data capturing & formatting; Data analysis; and Accuracy analysis & quality assurance.

The analysis covers the following aspects:

Labour Demand – job adverts posted on the Career Junction website per

region, employment level, job type (permanent, temporary or contract); Job Applications – per region; and Supply – potential candidates who match the skill set region, employment

level, job type (permanent, temporary or contract).

The Career Junction Index (CJI) is the first index of its kind that directly monitors the online labour market in South Africa by examining supply and demand trends across all industries.

2.5 CRITERIA FOR DETERMINING SCARCE SKILLS

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The objective of this chapter is to develop a methodology or tool that can be used

to form an assessment of skills in demand.

The methodology developed in this plan is intended to be highly transparent, open

to replication and simple to calculate. Furthermore, the methodology is designed

in such a way that enables new information (through new and better data) to be

incorporated without the need to redesign the process.

By establishing a user-friendly framework for identification and anticipation of

skills needs, it is envisaged that all constituents right down to micro-enterprises

can participate in the research.

The methodology developed is set out below:

All occupations considered for the Scarce Skills List are evaluated by

stakeholders according to 6 criteria as shown above.

Entry to the occupation requires a long lead

time of formal education and training – 3 years

Skills which people acquire are being

deployed for the uses intended

Shortage of skills causes a significant cost to the company

Hard-to-fill vacancies – more than 3 months

to find suitable candidate

There is plausible evidence to identify an occupation as a scarce

skills

Recommendation from a professional body,

trade union or employer body in the sector

W&R SETA Scarce

Skills List

Meet at least 3 out of 6 criteria for

Scarce Skills List

TETA Scarce

Skills List 2013

Identified as scarce skill

in interviews or experts workshop

Identified as scarce skill

in WSP/ATR

Online vacancy analysis

1

2

3

4

5

6

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For an occupation to be eligible for inclusion on the Scarce Skills List at

least 3 out of the 6 criteria should be met.

In addition, the occupation should be identifed as a scarce skill in the

Workplace Skills Plan/Annual Training Report; online vacancy analysis and

either the interviews or experts workshop to make the final Scarce Skills

List.

The above point will also be used to establish a Critical Skills List with the

WSP/ATR becoming the primary source of evidence.

A draft list will then be produced based on the above criteria for

consideration by the SSP Task team of the SETA.

A final list will be developed with supporting evidence.

2.6 CONCLUSION

The purpose of this chapter was to conceptualise and implement a research method for the identification and anticipation of scarce and critical skills in the sector.

One of the major problems currently in the South African skills

development environment is that the identification of scarce skills does not appear to be supported by a factual, evidence-led enquiry. Thus the nature of skills needs and the quantum skills imbalances in the labour market are often misdiagnosed, misunderstood and mistreated.

The Department of Higher Education and Training (DHET) has

commissioned the Human Sciences Research Council (HSRC) to lead a national research consortium supporting it in creating a strategic labour market intelligence system. The objective is to build a culture of collaborative partnership to co-ordinate efforts.

Multiple research methods were employed to update the SSP. These

include: interviews, workshops, literature review, usage of administrative data, online vacancies, professional lists and WSP/ATR Analysis.

In this way, majority coverage of the sector was achieved in terms of

employment coverage and annual financial turnover.

The method employed to devise a Scarce Skills List involved the following

steps:

o Identifying an occupation for inclusion;

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o Rating the occupation in terms of 6 criteria to establish eligibility; o Determining whether the occupation has been identified by online

vacancy sources, WSP/ATR analysis and interview/ workshops as, indeed, scarce or in demand;

o Subjecting the eligible occupation to an expert’s analysis discussion; and

o Making a final determination.

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CHAPTER THREE: SUPPLY OF SKILLS

This chapter highlights supply of skills in the sector. It analyses Workplace Skills Plans and Annual Training Reports to determine supply of skills.

3.1 ANALYSING LABOUR SUPPLY-DEMAND

CareersJunction, an online career website, conducts supply-demand analysis on a quarterly. It is the only organisation that does so. It determines supply-demand according to occupational categories instead of specific occupations, which is what is ideally needed.

CareersJunction includes job vacancies advertised in the Sunday Times Careers section. This supplement is a nation-wide advertising medium for jobs and is the most widely used in South Africa.

3.1.1 CareerJunction Index

CareerJunction is a web service through which Recruiters and Career Seekers interact in a secure and completely confidential environment. Over 1,000 companies advertise their jobs on CareerJunction.

The CareerJunction Index (CJI) has been established due to a lack of updated and accurate online labour market information in South Africa. The CJI is the first index of its kind that directly monitors the online labour market in South Africa by examining supply and demand trends across all industries.

The CJI data is sourced from the CareerJunction website, where over 1,000 of the country’s top recruiters (both agencies and corporate companies) advertise their vacant positions to more than 1 million career seekers. With the Internet becoming an increasingly popular method of finding a job and sourcing candidates for positions, the CareerJunction Index provides HR professionals and recruitment agencies with valuable insights into online labour trends in South Africa. In addition, it provides a basis for recruitment agencies and businesses to focus on specific and relevant occupations when developing their retention strategies (CareerJunction Index, 2013, p 1).

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3.2 SUPPLY OF SKILLS

This section deals with the supply of skills in the transport sector. It gives an indication of supply-side dynamics in the sector.

3.2.1 Employment by Occupation and Industry

The table below provides information on the stock of skills in the sector by occupational level per sub-sector.


The composition in percentages of sub-sectors are as follows: Railway (9.5%); Road (58%); Sea (0.3%); Air (3.7%); support and auxiliary (11.2%); Postal and courier (7.8%); Telecommunications (9.5%);

TETA should align skills development support in terms of the size of sub-sectors;

The occupational composition of the sector is as follows: Managers (15.4%); Professionals (2.9%); Technicians (6.6%); Clerks (15.5%); Sales and Service (4%); Crafts and Trades (2.4%); Plant and Machinery (39.6%); Elementary (13.6%);

Table 13: Employment by Occupation and Industry

TRANSPORT Sen

ior

off

icia

ls &

man

ager

s

Pro

fess

ion

als

Tech

nic

ian

Cle

rks

Serv

ice

, sh

op

& s

ale

s w

ork

ers

Cra

ft &

re

late

d t

rad

es

wo

rke

rs

Pla

nt,

mac

hin

e o

per

ato

rs

Ele

me

nta

ry O

ccu

pat

ion

Tota

l

Railway transport 1 175 4 259 11 300 18 769 2 753 7 357 20 631 18 715 84 959

Other land transport 92 716 436 6 488 35 103 8 693 8 407 299 273 67 603 518 718

Sea and coastal water transport 832 0 917 0 0 0 0 495 2 244

Air Transport 2 379 0 7 281 6 370 7 361 2 698 1 601 5 836 33 527

Supporting and auxiliary transport activities; activities of travel agencies 12 704 8 174 12 453 28 979 8 429 1 294 14 994 13 306 100 332

Postal and related courier activities 8 011 0 0 29 615 2 148 0 17 411 12 631 69 816

Telecommunication 19 935 12 874 21 078 19 835 6 764 1 510 707 2 701 85 404

Totals 137 752 25 743 59 516 138 670 36 148 21 264 354 616 121 287 895 000

Source: Stats SA Quarterly Labour Force Survey, Nesstar, Quarter 1, 2014

Page 50 of 102

High skills occupations (Managers/Professionals/ Technicians) constitute 24.9%; intermediate skills (Clerks/Sales and Service/Crafts and Trades) make up 21.9% and low level skills; (Plant and Machinery/Elementary) comprise 53.2%; and

A high percentage of people are in the low skills category (53.2%);

There is an opportunity to move people with low level skills into the intermediate category; and

Likewise there are opportunities for those with intermediate skills to move into the high skills category with meaningful education and training interventions.

3.2.2 Education Levels

The table below gives information on education levels in the transport industry:

Table 14: Education Levels in Transport Industry

No schooling 5 397 NTC 3 2317

Grade R 1 079 NTC 4 3768

Grade 1 3813.7 NTC 5 679

Grade 2 1 537 NTC 6 6300

Grade 3 4 067 Certificate < Grade 12 864

Grade 4 7 502 Diploma < Grade 12 5590

Grade 5 10 081 Certificate & Grade 12 24373

Grade 6 14 451 Diploma & Grade 12 52621

Grade 7 36 062 Higher Diploma 6951

Grade 8 44 372 Post Higher Dip (Masters; Doctoral Diploma) 5568

Grade 9 47 974 Bachelors Degree 24426

Grade 10 96 616 Bachelors Degree & Diploma 7186

Grade 11 118 877

Honours Degree 11215

Grade 12 330 102

Higher Degree (M, Phd) 5820

NTC 1 451 Other 6654

NTC 2 1245 Do not know 7044

Total 895 000

Source: STATSSA QLFS 1st

Quarter 2014

(The above figures are rounded off)

Page 51 of 102

Table 14 above reveals the following:

12.7% of people in the sector have a tertiary education; 36.8% have a secondary education; 13.2% have not completed secondary education; 1.6% have not completed primary education and 0.6% with no schooling;

It is necessary for the sector to improve the proportion of people with tertiary education from 12.7% to potentially about 25% over the next few years;

It is strongly suggested that TETA should invest in RPL to improve education levels in the sector;

There is potential to move 13.2% and 1.6% of people who have not completed secondary and primary schooling respectively up a band based on work experience where appropriate.

TETA should focus on FET qualifications since a large number of workers (118 877 - below Grade 12 and 330 102 – Grade 12) need to access education and training in this band. This effectively makes up 50% of the workforce;

Sectors such as sea, air, support and auxiliary and postal and courier require people with a secondary education;

Land transport has a high proportion of people with primary schooling or less. There is a need for upskilling this sub-sector and creating opportunities for unskilled workers to enter formal employment.

Transportation is seldom a career of choice amongst students. The sector is not

characterised by high levels of education.

Figure 5: Education Levels in Transport Sector

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

Stats SA QLFS Q1 2014

Page 52 of 102

It can be seen from the figure above that 29.4% of people employed in the

transport sector have a below-grade 12 qualification. This has significant

implications for skills development in the sector.

3.3 WSP and ATR 2013/2014

The Workplace Skills Plan/ Annual Training Report 2013/2014 offer valuable information on planned training and training already undertaken. The composite WSP/ATR findings serve as a sample for training in the transport sector since only a limited number of organisations make mandatory grant applications to the TETA.

3.3.1 Race Profile by Occupational Levels

The figure below provides information on the ethnic profile of the sector by occupational class for the 2013/2014 period.

Figure 6: Occupation-Race Transport Sector

Figure 6 above reveals the following:

Africans are in the majority at elementary, operator, craft & related trade works, clerical and service levels which range from low level to intermediate level occupations;

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

Stats SA QLFS Q1 2014

African/Black

Coloured

Indian/Asian

White

Page 53 of 102

In 2011, Whites took up 50.9% of managerial posts compared with Africans with 11.2%;

In 2012, Blacks took up 47.9% of managerial posts compared with Whites with 33.6%.

In 2013, Blacks took up 60.3% and whites 26.3%. This progress is positive as it indicates progress into an advanced level occupation. In 2014, Blacks took up 56% and whites 23.5%, both a decrease since 2013.

A characteristic feature of the SA labour market – Whites mostly dominate the upper end of the occupational spectrum, whilst Blacks, Indians and Coloureds are located at intermediate and lower levels;

In 2012, 47% of Whites are professionals and 43.5% are technicians, whilst the figures for Africans are 46.7% and 33% respectively;

In 2013, 44.1% of Blacks are professionals and 47.7% are technicians, while the figures for Whites are 35.5% and 27.7% respectively.

In 2014, the figures have been reversed for professionals, 38.1% of Blacks are professionals while 48.8% are white professionals, and 46.8% of Blacks are technicians up from 33% in 2013, while the figures for White technicians decreased from 43.5% to 36.1%.

87.9% of Africans are operators and 87.2% are elementary workers. The corresponding figures for Whites are 3.3% and 1.6%;

There is clearly a need for TETA to become more active in supporting

Blacks in most of the occupations, through skills development so that they

could occupy more senior and higher level occupations in transport; and

Affirmative Action should be a very high priority of the skills agenda for the

transport industry.

3.3.2 Training by Race, Age and Region

The figure below provides information on the number of workers in the transport industry that was actually trained for the 2012/2013 period.

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Figure 7: Training by Race


The figure above reveals the following:

There are 895 000 workers in the transport industry of which 81 648 received training.

In terms of race, 52 269 Africans, 9543 Coloureds, 5150 Indians and 14 686 Whites were trained.

As evident most training was received by the Africans. This is significant considering they are in the majority and were previously disadvantaged.

Figure 8: Completed Training by Age


52269

9543

14686

5150

0

10000

20000

30000

40000

50000

60000

African Coloured White Indian

0

5000

10000

15000

20000

25000

30000

35000

40000

U35 U55 O55

Page 55 of 102

The figure above reveals the following:

A total of 70 000 workers spanning a range from under 35 years to over 55 years received training.

Most training was in the under 55 age group (38 000), followed by the under 35 group (28 000) and the over 55 group (4000).

Minimal training was done in the over 55 age group as this group was near retirement, hence major investment in this group would not be of long term benefit to the transport industry.

While the under 55 age group received most of the training, the under 35 age group should have received more as they have longer years of service to offer.

Table 15: Training according to Occupation Class for the Employed and Unemployed

Number of Actual Beneficiaries Employed Unemployed

Clerical support workers 13697 572

Elementary occupations 11460 594

Managers 9237 1

Plant and machine operators and assemblers 36374 1037

Professionals 4087 51

Service and sales workers 8587 749

Skilled agricultural, forestry, fishery, craft and related trades workers

6579 1082

Technicians and associate professionals 12513 502

Grand total 102534 4588

Source: TETA ATR: 2014

From the above table, the following is evident:

Most of the training was allocated to employed workers, 96.7% whilst 4.3% was allocated to the unemployed;

Training for the employed was largely in the following occupational categories, plant, clerical, technician, and elementary; and

Training of the employed also indicates that considerable skills development is taking place in the work environment.

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3.3.3 Planned Training

Figure 9: Planned Training by Province and Race


In terms of planned training by region, the following is revealed:

Planned training is skewed heavily in favour of Gauteng. This is understandable because the region is the heart of the SA economy comprising the most numbers of employers and employees;

Western Cape and KwaZulu also have increased levels of training due to the high number of organisations in these provinces;

However, the above figure also implies the need for TETA to pay attention to the other provinces;

Apart from the Northern Cape, most of the training in all provinces goes to Blacks;

This represents a concerted effort by stakeholders in the transport industry to address past employment inequalities through increased training opportunities;

TETA should continue to take leadership in becoming an agent of national transformation for the industry.

0

10000

20000

30000

40000

50000

60000

70000

80000

Sum of White

Sum of Indian

Sum of Coloured

Sum of African

Page 57 of 102

Figure 10: Planned Training by Occupation and Race


In terms of planned training by occupation and race, the following is revealed:

Apart from training for technicians and associate professionals, Africans are allocated the highest percentage of training across all the other occupations, a positive stride on the part of stakeholders to get correct the inequalities of the past;

Whites have the highest percentage of training for technicians and associate professionals, 45.8% compared to 35.3% for Africans;

Although there are training needs in a number of specialisations, the table above indicates the firms ranking according to their needs;

The need for training freight operators is the highest at 13863. As many as 331 firms have ranked freight drivers as their number one need; and

In many instances, although the number of firms requiring training for certain specialisations is low, the actual number per firm is very high such as: o Passenger coach driver: 53 firms and 6091 trainees; o Sheet metal production/Process worker: 38 firms and 5498 trainees; o Minibus Drivers: 20 firms and 3974 trainees; o Aircraft Loaders: 10 firms and 1796 trainees; and o Airplane Captain: 10 firms and 1435 trainees.

05000

10000150002000025000300003500040000

White

Indian

Coloured

African

Page 58 of 102

3.3.4 Skills Development Facilitator (SDF) Composition

Appointment of SDF

The Skills Development Act of 1998 as amended requires each company to appoint an SDF who will act as a link between TETA and the company for the submission of WSP (Department of Labour, 1998). The SDFs appointment varies greatly between provinces, with Gauteng being the highest at 49% followed by Western Cape and KZN at 18% respectively. The lowest provinces are Limpompo and Northern Cape at just 1%.

Figure 11: Appointment of SDFs by province

Source: TETA WSP, 2014

We can see the SDF distribution closely resembles the employment ratios.

Employment SDF

Distribution

Eastern Cape 7% 4%

Freestate 3% 3%

Gauteng 41% 49%

KwaZulu-Natal 23% 18%

Limpopo 1% 1%

Mpumalanga 4% 4%

Northern Cape 3% 1%

North West 2% 2%

Western Cape 17% 18%

Eastern Cape 4%

Free State 3%

Gauteng 49%

Kwa- Zulu Natal 18%

Limpompo 1%

Mpumalanga 4%

North West 2%

Northen Cape 1%

Western Cape 18%

SDF Appointment by Province

Page 59 of 102

Figure 12: SDF Gender by province


Figure 13: Employment Gender by Province


The transport sector is a male dominated sector as shown in figure 13. However the SDF are female dominated.

0

50

100

150

200

250

SDF Gender by Province

Female

Male

0

5000

10000

15000

20000

25000

30000Employment Gender by Province

Female

Male

Page 60 of 102

Figure 13: SDF ethnic group by province


Figure 14: Employment by Race and Province

Source: Teta WSP 2014

From the above two figures there appears to be a distortion between the provincial and racial makeup of the SDFs and the distribution of the employees in the sector.

The percentage of white SDF is high in Gauteng and Western Cape in relation to the racial makeup of employment.

0

50

100

150

200

250

SDF Racial Profile by Province

African

Coloured

Indian

White

0

5000

10000

15000

20000

25000

30000

Employment - Racial Profile by Province

African

Coloured

Indian

White

Page 61 of 102

3.4 FET, HET and SETA Partnerships

The SETA is committed to working with FET and HET institutions to roll out skills training country-wide.

Table 16: Companies indicating Employees in specific Occupations to be trained

OFO

Specialisation

Firm

s

Re

po

rtin

g

Nu

mb

er

to

be

Tra

ine

d

Ran

kin

g

733201 Freight Operator 331 13863 1

733201 Lorry Driver 280 8643 2

733103 Passenger Coach Driver 53 6091 3

411101 Administration Clerk / Officer 562 5983 4

718905 Sheet Metal Production / Process Worker 38 5498 5

733101

Minibus Driver 20 3974 6

811201 Cleaner (Non-domestic) 162 3667 7

441501 Documentation Clerk / Officer 46 3355 8

833301 Freight Loader 175 3179 9

734402 Forklift Operator 290 3116 10

733204 Petrol Tanker Driver 52 2894 11

334102 Office Coordinator 303 2795 12

432102 Dispatch Clerk / Officer / Operator / Assistant / Worker 273 2714 13

833301 Checker and Loader Transport Vehicle 146 2453 14

862202 Handy Person 113 2398 15

121901 Business Operations Manager 516 2130 16

541401 Security Guard 103 2114 17

732101 Van Driver 111 2061 18

511101 Cabin Steward / Attendant (Aircraft) 8 1856 19

511101 Airport Attendants 16 1834 20

833304 Aircraft Loader 10 1796 21

732101 Driver-messenger 234 1656 22

422206 Call or Contact Centre Agent 157 1656 23

833302 Furniture Removalist hand 105 1594 24

734301 Crane Driver 46 1589 25

335402 Export Agent / Clerk 140 1503 26

315303 Airline Captain 10 1435 27

312201 Production Plant Supervisor 103 1410 28

431101 Accounting Clerk 277 1377 29

733101 School Bus Driver 27 1371 30

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TETA is committed to forging partnerships with FET Colleges and Universities to upskill the transport sector. We have rolled out a number of projects with FET Colleges country wide ranging from training of assessors to the development of quality management systems. The FET Colleges have the advantage of providing training in rural areas at an affordable cost. Their occupationally driven curricula fit in well with developing semi-skilled and unskilled workers in the sector.

The University of Western Cape is a strategic research partner for the SETA. Its objective is to provide credible research for sector skills planning and build research capacity within the organisation. The universities of Cape Town and KwaZulu Natal are Centres of Excellence for the transport sector. These institutions are funded by the Department of Transport with the primary objective of increasing the supply of engineering skills in the sector. The following partnerships have been established:

PARTNERSHIPS WITH FET & HET INSTITUTIONS

Province College Deliverables

KZN

Gauteng

Limpopo

Free State

Western Cape

Umfolozi FET, eThekwini

Victory FET, Ekhuruleni FET

Lephalale FET, Capricon FET

Motheo FET, Goldfield FET

College of Cape Town, False Bay, Northlink

Training for assessors, moderator facilitators in line with ETD unit standards

Mpumalanga

Northern Cape

Western Cape

Mpumalanga

Northern Cape

Gert Sibande FET

Northern Cape Urban FET

College of Cape town, False Bay, Northlink

Ehlanzeni FET

Northern Cape Rural FET

TETA to provide QMS toolkit for programme approval

Mpumalanga

Gauteng

Northern Cape

Western Cape

Eastern Cape

Gert Sibande FET, Ehlanzeni FET


Northern Cape Urban FET

College of Cape town, False Bay, Northlink, Boland, West Coast College

Ingwe FET

Development & delivery of the learning materials within TETA mandate

North West

Gauteng

Eastern Cape

Western Cape

Taletso College

Ekhuruleni FET

Ingwe FET

False Bay, Northlink, College of Cape Town

Assist 30 learners per FET to obtain driver licenses

North West

Gauteng

Eastern Cape

Western Cape

North West

Orbit FET


Ikhala FET, Ingwe FET

College of Cape Town, False Bay, Northlink, South Cape College,

Taletso College

Support & moderate the assessment in line with SAQA criteria to meet learner

endorsements on the NLRD

Western Cape

KZN

University of Cape Town

University of Western Cape

University of KZN

University of Western Cape

Centres of Excellence (funded by Dept of Transport). Research Partner Centres of Excellence (funded by Dept of Transport)

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Memorandums of Understanding (MoU) were also signed between TETA and other organisations, including SETAs. The following are some of the partnerships:

PARTNERSHIPS BETWEEN TETA AND OTHER ORGANISATIONS

ORGANISATIONS Deliverables

FOODBEV 2009: Advance cooperation between SETAs in terms of Artisan Training.

Apek/Antwerp/Flanders Port Training Center 2007: T establish an agreed framework for cooperation and collaboration in order to advance the objectives of International Standards through the SA National Qualifications Framework.

The South African Civil Aviation Authority 2006: Support the development of aviation qualifications, skills programmes and unit standards

CETA 2006: To promote a coherent and effective Quality Assurance System for education and training.

ECSA 2006: To participate and fund the activities of the Engineering Standard Generating Body.

3.5 Quality Council for Trade & Occupations [QCTO]

The SETA has also established a working relationship with the Quality Council for Trades and Occupations (QCTO) and is actively working with the QCTO to register occupationally directed qualifications for the sector.

The following deliverables were outlined:

Accredit providers for the qualifications or part qualifications in terms of QCTO criteria;

Monitor provision by providers of learning programmes leading to qualifications;

Evaluate learner assessment and the facilitation of moderation of learner assessment by providers;

Register assessors to undertake assessment for specified qualifications in terms of OCTO criteria;

Certify qualified learners in accordance with the policy determined by Minister in terms of section 26F of the SDA;

Maintain a comprehensive learner information management system; and

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Upload learner data to the NLRD according to NLRD specifications.

A research partnership has been established with the University of Western Cape for the development of the Sector Skills Plan.

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CHAPTER FOUR: DEMAND FOR SKILLS

This section gives an indication of the demand for skills in the sector. It gives an indication of supply-side dynamics in the sector.

4.1 SKILLS DEMAND

Below is a visual illustration of the current online labour market situation, taking into account the amount of active career seekers and the amount of advertised jobs on the Career Junction website. Please note that this is not an indication of how many career seekers have applied to positions, but rather the number of potential career seekers who have been active on the Career Junction website in the previous 6 months (Career Junction Index 2014). The diagrams below indicate the number of work-seekers who have applied for jobs per advert on the CareersJunction website. It gives an indication of skills demand. The diagrams below indicate the number of work-seekers who have applied for jobs per advert on the Career Junction website. It gives an indication of skills demand.

Information Technology 6.14

CJI Executive Summary Report, April 2014

Finance 19.22 Travel & Tourism 11.92


Page 66 of 102

Building & Construction 22.59 Sales 28.13

Medical 23.03 Business & Management

28.42


Hospitality & Restaurant 31.68 Distribution, Warehousing & Freight

63.81

Motor 34.32 Property 65.12

Arts & Entertainment 35.86 Marketing 68.16

Telecommunication 39.61 Sport & Fitness 75.63

Design 41.21 Beauty 89.74

FMCG, Retail & Wholesale 47.22 Safety, Security & Defence 94.43

Legal 47.23 Media 97.44

Transport & Aviation 48.67 Petrochemical 98.87

Maritime 49.03 Government & Local Government

102.7

Engineering 49.74 Social & Community 133.55

Agriculture 52.06 Education 140.51

Human Resources & Recruitment 54.63 Mining 144.8

Science & Technology 63.12 Botanical 153.36

Manufacturing, Production & Trades 63.43 Admin, Office & Support 157.27

Commercial Services 282.42


The analysis of online labour supply and demand provides the positioning of each industry sector, based on the average amount of potential career seekers available per job advert. Integrating the number of job adverts and the number of potential career seekers per job advert for each industry sector, reflects the online labour supply versus demand per industry sector (Career Junction Index 2014).

Recruiters currently face difficult to moderate recruitment conditions across most industries in the South African online labour market. A steady decrease of active

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career seekers as well as an increase in labour demand is further aggravating recruitment conditions and placement is becoming challenging across more industries. Recruiters currently face moderate recruitment conditions in Transport & Aviation, Engineering and Distribution, Warehousing and Freight sectors. The supply pool of talent within these sectors is between 10 and 20 potential career seekers per job vacancy.

Retaining valuable staff is an advisable strategy for employers who seek talent in these sectors, especially in regions where recruitment activity is particularly high, for example Gauteng, the Western Cape and KwaZulu-Natal.

The above table indicates the difficulty of recruiting labour by economic sector. It is evident from the table that to recruit in the transport sector is moderate. There are roughly between 10 and 20 potential career seekers per job advert. The potential career seekers per job advert in the transport and aviation sector is about 27.40. This is high (Career Junction Index 2014).

4.2 INDUSTRIES DISPLAYING MAJOR DEMAND

The figure below indicates industries in terms of major demand (jobs being advertised within specific industry sectors).

Figure 11: Industries in terms of major demands

Source: CJI Executive Summary Report, April 2014

An overview of vacancy levels across various industries provides a good indication of where the majority of employment takes place. The IT; Finance; Engineering; FMCG, Retail & Wholesale; and Manufacturing, Production and Trades industries, amongst others listed are most sought after (CareerJunction Index 2014).

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4.3 INDUSTRY TRENDS

The table below illustrates supply and demand trends experienced by all industry sectors over a 6 month period, where the first 3 months’ data are compared to the next 3 months’ data.

Table 17: Supply and demand trends in the Industry

Source: CJI Executive Summary Report, June 2014

Page 69 of 102

Labour demand remains strong in the South African online job market. Following a sharp drop in employment from mid-2012 to mid-2013, demand has increased steadily and seems to have settled during 2014.

In Transport and Aviation the supply of labour is 9% and demand is 0%. There are 48.67 career seekers per job advert. The figures for Maritime are 8% for labour supply, 11% for labour demand and 49.03 career seekers per job advert (Career Junction, 2014).

4.4 DEMAND FOR SPECIFIC OCCUPATIONAL FIELDS

The following occupational fields have been analysed by CareerJunction to obtain information on supply and demand dynamics.

Table 18: Recruitment conditions in the Transport Industry

Recruitment Conditions for Scarce Skills on Transport Industry List

Occupational Fields Career seekers per Advert

Comment

Client Services 7.02 Difficult

Sales 12.25 Moderate

General Management 11.40 Moderate

Procurement, Supply Chain & Logistics 14.70 Moderate

Operations (Control & Planning) 16.53 Moderate

Financial Management 6.68 Difficult

Electrical & Electronic Engineering 10.03 Moderate

Mechanical Engineering 22.25 Easy

Automotive Engineering 302.79 Very Easy

Training & Development 53.26 Very Easy

Artisanship 10.47 Moderate

Trades & Commerce 18.76 Moderate

Fitting & Machining 22.25 Easy

Metallurgy 28.33 Easy

Quality Control & Assurance 36.56 Very Easy

Draughtsmanship 27.50 Easy

Fabrication & Production 25.60 Easy

Source: CareerJunction, Job Report, 2nd Quarter, 2014

There are various occupational fields found within the transport industry. When examining these, it is advantageous to analyse the levels of demand in order to distinguish which skills are most required.

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4.5 RPL AND WIL

Recent years have seen an increased demand for a skilled technologically advanced labour force in both the private and public sub-sectors. Success in skills development initiatives in each of the transport sub-sectors depends substantially on the involvement of the stakeholders some of whom have realised the importance of Recognition or Prior Learning and Work-Integrated Learning (WIL).

TETA is currently developing RPL systems to:

Strengthen the implementation of RPL and WIL in the sector; Ensure all routes of learning allow for RPL and WIL; RPL and WIL policies, processes and procedures that meet the

requirements of relevant ETQA bodies; RPL and WIL provision in all learning programmes; Number of learners granted RPL for full qualifications given access to

higher learning via RPL route; Development and implementation of good practice (models, procedures

and guidelines) for RPL and WIL consistent with their National Standards and Guidelines in the context of lifelong learning;

All new occupational learning qualifications should contain processes to facilitate RPL and WIL; and

Ensure utilisation of RPL among training providers in the sector.

TETA has targeted the development of 10 RPL assessment centres. To date the following 3 centres have been established:

SAFMA – marine operations - KZN Global Marine Legal Solutions – freight, forwarding and customs

operations – WC SN Pool Transport – professional driving – Gauteng

Seven centres are in the process of being established.

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CHAPTER FIVE: SCARCE AND CRITICAL SKILLS

Chapter Five focuses on scarce and critical skills. Scarce skills are actually occupations in demand while critical skills refer to skills gap within occupations.

In order to determine the scarce skills in the transport sector, TETA administrated a survey to all member companies on the SETA database to establish which occupations are in high demand.

In addition, interviews were conducted with key informants in the sector to corroborate the findings of the skills survey.

5.1 WSP Submissions

As far as WSP Submissions are concerned, the percentage of active employers is below 50% which shows that the majority of workers are not being trained by way of such submissions. According to the figure below 82% of levy paying companies do not participate in skills development.

Figure 14: WSP Submissions

Source: TETA WSP, 2014 and DHET Status Report, 2014

Levy Paying Companies

82%

WSP Submissions

18%

Paying levy and WSP Submission

Page 72 of 102

5.2 Overall state of paying levy per province Figure 15: Overall state of paying levy per province

Source: TETA WSP, 2014 and DHET Status Report, 2014

The above figure shows that the distribution of levy paying companies closely resemble employment in the sector.

5.3 SCARCE SKILLS

The Scarce Skills List 2012/2013 is drawn from the skills survey, interviews, workplace skills plan/ annual training reports, careers guide, literature review and workshops with stakeholders in the designated sector. The following tables catalogue the scarce skills as per the 8 chambers in the transport sector.

The following scarce skills derived from the WSP/ATR, key informants and experts workshops have been classified as follows:

Absolutely Scarce Takes longer than 6 months to find a suitable candidate

Relatively Scarce Takes between 3 and 6 months to find a suitable candidate

Somewhat Scarce Takes 1 to 3 months to find a suitable candidate

Eastern Cape 6%

Free State 2%

Gauteng 38%

Kwa- Zulu Natal 19% Limpompo

2%

Mpumalanga 7%

North West 2%

Northen Cape 2%

Western Cape 22%

Levy Paying Companies by Province

Page 73 of 102

1. AEROSPACE

NO UNIT GROUP OFO CODE OCCUPATION/ SPECIALISATION NQF

1 No code Accident Investigators 5

2 Mechanical Engineers 214403 Aeronautical Engineers 7

214401 Mechanical Engineer 7

3 No code Air Traffic Assistant trainer 5

4 Air Traffic Controllers 315401 Air Traffic Controller 6

5 Electronics Mechanics and Servicers

672101 Avionics Technician 5

672101 Aircraft Electronician

672105 Aircraft Instrument Mechanic

672102 Aircraft Radartrician

6 Aircraft Engine Mechanics and Repairers

653202 Aircraft Composite Structures Worker 5

653201 Aircraft Engine Fitter 5

653201 Aircraft Mechanic

653203 Aircraft Trimmer

7 Electrical Mechanics and Fitters 671208 Aircraft Electrician 5

8 No code

Aircraft Performance analysis/ weight& balance analysis

5

9 Welders and Flame Cutters 651202 Aircraft Welder 5

10 Spray Painters and Varnishers 643202 Aircraft Spray Painter

11 No code Airport Maintenance Electricians 5

12 No code CAA Inspectors 5

13 Travel Attendants and Travel Stewards 511101 ATPL Pilots

7

14 Electronics Engineers 215201 Electronic engineer 7

15 Mechanical Engineering Technicians

311503 Engineering Technician ATNS

6

16 Industrial and Production Engineers 214101 Industrial Engineer 7

17 Transport Clerks 432301 Load Controller 5

18 No code Aircraft Tow Tractor Driver 4

19 Meteorologists 211210

Meteorologist (research, climate & Casting)

7

20 No code Air quality scientist 7

21 Mining and Metallurgical Technicians 311702

Non Destructive Testing Technician

5

22 No code Passenger Handling 4

23 No code Aircraft Loading Supervisors 5

24 No code Flight Controller 6

25 Sheet Metal Workers 651301 Aircraft Sheet Metal Structure Worker 5

26 No code Ramp Handling 4

27 Software Developers 251201 Aviation Software Engineer 7

28 Metal Working Machine Tool Setters and Operators

652301

Turner Machinist

6

29 No code Airport Manager 6

30 No code Baggage Handling Manager 5

31 No code Airports Commercial Manager 6

32 No code Airport Planning 6

33 No code Aviation Security Management 5

Page 74 of 102

2. FREIGHT HANDLING

NO UNIT GROUP OFO CODE OCCUPATION /SPECIALISATION NQF

1 Supply, Distribution and Related Managers

132402 Logistics Manager 6

132401 Freight Manager

132403 Cargo Manager

2 Business Services and Administration Managers not Elsewhere Classified

121905 Project Manager 7

121901 Business Operations Manager

3 Finance Managers 121101 Finance Manager 7

4 Industrial & Production Engineers 214101 Manufacturing Logistics Engineer 8

5 Elementary Workers not Elsewhere Classified

862918 Artisan Aide Electrical 3

6 Physical and Engineering Science Technicians not Elsewhere Classified

311905 Industrial Engineering Technicians 6

7 Electrical Mechanics and Fitters 671202 Millwright (Electromechanician) 4


132401 Supply and Distribution Manager 6

9 Heavy Truck and Lorry Drivers 733201 Freight Operator 5


132404 Warehouse Manager 5

11 Advertising and Marketing Professionals

243103 Marketing Practitioner 5

12 Plumbers and Pipe Fitters 642607 Pipe Fitter 4

13 Database and Network Professionals not Elsewhere Classified

252902 Technical (ICT) Support Services Manager

6

14 Human Resource Managers 121202 Business Training Manager 7

15 Crane, Hoist and Related Plant Operators

734301 Crane or Hoist Operator 4

16 Freight Handlers 833303 Stevedore 5

17 Stock Clerks 432102 Dispatching and Receiving Clerk / Officer

5

18 Air Conditioning and Refrigeration Mechanics

642702 Cold Storage Maintenance Serviceman 5

19 Lifting Truck Operators 734402 Forklift Operator 4

20 Environmental and Occupational Health and Hygiene Professionals

226302 Safety Manager 6

21 Professional Services Managers not Elsewhere Classified

134916 Stevedore Foreman 5

22 Nursing Professionals 222101 Occupational Health Nurse 7

23 Information and Communications Technology Service Managers

133105 Information Technology Service Manager

7

24 Clearing & Forwarding Agents 333101 Shipping Agents & Operators Clearing & Forwarding Agent/Specialist Clearing Agent/Customs

5

Page 75 of 102

3. ROAD FREIGHT

NO UNIT GROUP OFO CODE OCCUPATION /SPECIALISATION

NQF LEVEL

1 Motorcycle Drivers 732101 Delivery Drivers – Medium & Heavy drivers, Heavy duty drivers, Abnormal load

4

2 Heavy Truck and Lorry Drivers 733201 Truck Driver 4

733205 Tow Truck Driver, (medium & heavy)

4

733204 Tanker Driver 4

733203 Furniture Removalist ( heavy duty)

4

No code Driving Instructors, (heavy duty)

4

3 Car, Taxi and Van Drivers 732203 Emergency Vehicle Drivers 4

4 Agricultural and Industrial Machinery Mechanics and Repairers

653306 Diesel & Petrol Mechanic

4

5 Motor Vehicle Mechanics and Repairers

653101 Motor Mechanic 4

Vehicle Service Technicians 4

6 Electrical Mechanics and Fitters

671208 Auto Electrician 4

671208 Autotronics Technician 4

7 Driving Instructor 516501 Driving Instructor Trainer 5

8 Policy Administration Professionals

242208 Risk manager/Officer 5

9 Police Officers 541201 Traffic Policing 5

10 Sales and Marketing Managers 122101 Marketing & Sales manager 6


132401 Supply Chain Manager 6

12 No code Vehicle tracking operator

13 Personnel and Careers Professionals

242304 Industrial relations officer 6

14 Data Entry Clerks 413201 Data Capturer 5

15 Employment Agents and Contractors

333301 Recruitment Officer 6

Page 76 of 102

4. FORWARDING AND CLEARING



121901 General Manager 6


2 Human Resource Managers 121201 Human Resource Manager 7

121202 Business Training Manager/Skills Development Facilitator

6

121206 Health and Safety 6


4 Bus and Tram Drivers 733101 Bus Driver 4



132403 Road Transport Manager 6

6 Sales and Marketing Managers 122105 Customer Service Manager 6


653306 Diesel Mechanic 6


653101 Automotive Motor Mechanic 6

9 Craft and Related Workers not Elsewhere Classified

684905 Vehicle Body Builder 6

10 Electrical Mechanics and Fitters 671208 Auto Electrician 5


684904 Panel Beater 5

12 Spray Painters and Varnishers 643201 Spray Painter 5


242203 Company Secretary 7

14 Town and Traffic Planners 216402 Transport Analyst 7

15 Management and Organization Analysts

242101 Business Analyst 7

16 Driving Instructors 516501 Driving Training Officer/Technical 5


242207 Compliance Officer 5


121908 Quality Systems Manager IT/Manager

7

19 No code Route Planning Manager 6

Personnel and Careers Professionals

242304 International Relations Manager/Officer

6


121902 Corporate Service Manager 6

21 Freight Handlers 833301 Freight Handlers 5

Page 77 of 102

5. ROAD PASSENGER



121901 General Manager 6


2 Human Resource Managers 121201 Human Resource Manager 7

121202 Business Training Manager/Skills Development Facilitator

6

121206 Health and Safety 6


4 Bus and Tram Drivers 733101 Bus Driver 4



132403 Road Transport Manager 6

6 Sales and Marketing Managers 122105 Customer Service Manager 6


653306 Diesel Mechanic 6


653101 Automotive Motor Mechanic 6


684905 Vehicle Body Builder 6

10 Electrical Mechanics and Fitters 671208 Auto Electrician 5


684904 Panel Beater 5

12 Spray Painters and Varnishers 643201 Spray Painter 5

13 Policy Administration Professionals 242203 Company Secretary 7

14 Town and Traffic Planners 216402 Transport Analyst 7

15 Management and Organization Analysts

242101 Business Analyst 7

16 Driving Instructors 516501 Driving Training Officer/Technical 5

17 Policy Administration Professionals 242207 Compliance Officer 5


121908 Quality Systems Manager

IT/Manager

7

19 No code Customs Entry Clerk

20 Police Officers 541202 Police Officers 5

21 Professional Services Managers not Elsewhere Classified Professional Services Managers not Elsewhere Classified

134903 Small Business Manager 5

22 Business Services Agents not Elsewhere Classified

333908 Marketing Coordinator 6

23 Personnel and Careers Professionals 242304 Industrial Relations Officer 6

Page 78 of 102

6. RAIL

NO UNIT GROUP OFO CODE OCCUPATION/ SPECIALISATION

NQF LEVEL

1 Locomotive Engine Drivers

731101 Train driver: Railway Engine Driver Electric and diesel Electric Train Driver Fireperson Locomotive Driver Locomotive Observer Mine and Quarry Engine Driver Rail Car Driver

6

2 Railway Brake, Signal and Switch Operators

731202 Train control officer Railways Yard Foreman

4

3 Railway Brake, Signal and Switch Operators

731201 Railway signal operator: Railway Shunter Railway Switching and Signalling Operator Railway Traffic Assistant / Operator Railway Yard Assistant

4

4 Elementary Workers not Elsewhere Classified

862920 Railways assistant: Railway Porter/guard Railway Surface man Railway Washout man Railway Traffic foreman Railway Yard master

4

6 Civil engineers 214201 Civil engineers (rail design; rail alignment) 8

7 Electrical engineers 215101 Civil engineers (rail design; rail alignment) 8

8 Electronics engineers 215201 Electronics engineer (railway signalling; testing & commissioning)

8


653304 Diesel Fitter 6

653306 Diesel mechanic 4

10

Welders & flame cutters

651201 Pressure Welder 4

651202 Welder 4

651203 Fitter-welder 4

651204 Gas Cutter 4


671207 Armature Winder 4

671202 Millwright 4

12 No Code Rail assessors 5

13 No Code Track technicians and training specialist 5

14 Draughtspersons 311801 Rail draughtsman 5

15 Industrial and Production Engineers

214101 Industrial engineer 8

16 Mechanical engineers

214401 Mechanical engineer 8

17 Civil engineers 214201 Civil engineer 8

Page 79 of 102

7. MARITIME

NO UNIT GROUP OFO CODE OCCUPATION/ SPECIALISATION

NQF

1 Ship’s Engineer 315101 Ship's Engineer Chief engineer (< 750kW port operations) Chief engineer (< 1500kW port operations) Chief engineer officer (port operations) Engineer officer Second engineer (< 3000kW) Chief engineer (< 3000kW) Second engineer Chief engineer Electro technical officer Chief engineer officer (special grade)

6

2 Ships’ Deck Officers and Pilots

315201 Ship's Master Master (< 200GT near-coastal) Master (< 200GT) Master (< 1600GT port operations) Master (port operations) Master (< 500GT near coastal) Master (< 500GT) Master (< 3000GT) Master Master (special grade)

6

3 Ships’ Deck Officers and Pilots

315202 Ship's Deck Officer Skipper (< 200GT port operations) Mate (< 500GT near-coastal) Mate (< 500GT) Deck officer (unlimited) Chief mate (< 3000GT) Chief mate

6

4 Skilled Inland and Coastal Waters Fishery Workers

622201 Skipper (Fishing) Skipper fishing (< 24m limited waters) Skipper fishing (< 24m unlimited waters) Skipper fishing (≥ 24m limited waters) Skipper fishing (≥ 24m unlimited waters) Deck officer fishing (< 24m) Deck officer fishing (≥ 24m)

4

5 Engineer-Fishing No code Engineer (Fishing) Marine motorman Grade 2 Marine motorman Grade 1 Marine motorman Higher Grade Second engineer (fishing) Chief engineer (< 3000kW fishing) Chief engineer (fishing) (unlimited)

4

6 Ships’ Deck Crews and Related workers

735101 Deck Hand Ordinary seafarer deck (including port operations & fishing) Able seafarer deck Ordinary seafarer engine Able seafarer engine (including port operations) Electro-technical rating General purpose rating (port operations)

4

7 Fishery and Aquaculture Labourers

821601 Fishing Hand Factory Hand

3

8 Supply, Distribution 132407 Harbour Manager 5

Page 80 of 102

and Related Managers Port Captain

9 Services Managers not Elsewhere Classified

143907 Dockmaster 7

10 Mechanical Engineers 214405 Naval Architect

8

11 Ships' Deck Officers and Pilots

315203 Ship's Surveyor 6

12 Cooks 512101 Cook 4


671202 Millwright (Electromechanician) 3

14 Human Resource Managers

121201 Personnel / Human Resource Manager: Crewing Manager

6

121202 Business Training Manager 6

Page 81 of 102

8. TAXI

NO UNIT GROUP OFO CODE OCCUPATION /SPECIALISATION

1 Customer Service manager 122105 Client Services Advisor

2 Psychologists 263404 Behaviour Management Consultant

3 Typists and Word Processing Operators

413101 Word Processing Clerk

4 Professional Services Managers not Elsewhere Classified

134903 Small business manager


333908 Marketing Coordinator

6 Personnel / Human Resource Manager

121201 Employee Relations Manager


121905 Programme or Project Manager


333905 Supply Chain Administrator

9 Environmental and Occupational Health and Hygiene Professionals

226302 Safety, Health, Environment and Quality (SHE&Q) Practitioner

10 Personal Care Workers in Health Services not Elsewhere Classified

532901 First Aid Attendant

11 Human Resource Managers 121205 Employee Wellness Consultant

12 Personnel and Careers Professionals 242304 Industrial Relations Officer /Conflict Resolution Practitioner

13 Finance Manager 121101 Finance Manager

14 Policy Administration Professionals 242210 Business Administrator

242207 Compliance Officer

242209 Accounting Officer


684905 Vehicle Bodybuilder


653101 Motor Mechanic

17 No Code Vehicle maintenance

Page 82 of 102

5.4 CRITICAL SKILLS

The table below lists the types of critical skills reflected in the WSP/ATR as per the 8 chambers.

Road Passenger Forwarding & Clearing

Road Freight Aerospace Maritime

Driver Qualification Management skills

-Generic -Supervisory

-Human Resource -Financial -Business

management Corporate

governance Tendering process

Marketing Communication

Compliance Human resources

Legislative development

Scheduling and planning Project

management Supply chain management

Customer Care Conflict

management First aid

Fire fighting Wellness/Employee

Assistance Health and Safety

Anger management New Venture

Creation Coaching and

Mentoring Basic IR Skills

Call Centre Management

Administrative & Clerical

Human Resource Transformation Management

Freight Forwarding Customs Clearing

Regulatory Training Supply Chain Management

Management Skills Communication

Sales Skills Information Technology

Customer care Project management

Material / Freight handling Logistics Customs

Dangerous goods Data Analysis

Driving Skills Dangerous Goods

Management -Generic

-Supervisory -Human Resource

-Financial -Key Accounts

Project Management Risk Management

Supply Chain management Procurement

Transport Logistics - Networks

- Route - Processes & Market

- Route Planning - Operations systems

- data analysis -Welding -Business

Administration -Sales Training

-Health & Safety -Operations

(scheduling / business principles / legislation) -Marketing (business

contracts) Enforcement (traffic

policing) Health (illness /

nutrition / general health) ABET

IT basic and advanced Customer Service (Contact Centre)

Logistics Warehousing

Refueling Mentor and

Coaching Sales

Training Skills Customer Liaison Negotiating client

contracts HR Skills

Computer literacy Health & Safety

Management Skills Communication

Financial Industry Legislation

Problem solving Accounting

Quality Assurance Management Fire Fighting

Supervisory skills Network

administration Situation awareness

training Sales clerks

Computer literacy Passenger handling

staff Fixed wing pilot

training, specifically the progression from

Commercial (CPL) level to Airline

Transport Pilot (ATP) level

Assessor training for flight instructors

Aircraft Maintenance Staff – Mechanical, electrical, structural

and avionics

Leadership Management

Navigation Skills (Watch

Officer) Fishing and Merchant

Marine Engineering Skills (Watch

Officer) Fishing & Merchant

Marine Fishing

Technologies Fish hunting

Pilotage

Page 83 of 102

Rail Freight Handling Taxi

Transport Management (Human Resources, equipment, drivers, dangerous goods for all modes of transport) Supply Chain Management (Production planning and logistics) General Management (Leadership and motivational skills) IT (handling, operations, administration and management) Train Driving Railway Engineering Train Management Tracking of information in real time E-commerce GPS positioning and signalling Wagon repairs and building Rail wheel interface management Track conditioning evaluation for maintenance evaluations Operational improvement Cost containment 4PL Joint Venture Management Developing of monitoring system in technical environment & operations eg. Train condition-monitoring system Heavy haul logistics Rail traffic management systems development and implementation Train and maintenance crew communication technology Design and manufacturing of railway wagons for specific types of freight Rail track maintenance

ABET / Transport Management Supply Chain Management / Logistics Management / General Management Supervisory / HR / Finance Administration / Key Account Management / Customer Services Safety Awareness / Technical Operator Skills / Port Management Business Development Management Performance Management / Computer skills Mentorship /coaching /delegation Discipline /IR skills / Planning and budget / Performance assessment Project management Problem-solving /conflict management Health and safety / Risk management Fire-fighting / First aid HIV/AIDS / Skills Development Marketing management / Strategic Analysis / Procurement Security (physical, information, people) Facility management / Workplace planning / Freight handling(materials) Inventory systems / Transport planning skills / Supply chain management Contract administration / Customer care Customs clearing / Machine operators Picking /packing /slaughtering skills Cargo coordinators / Cargo controller Tally clerks / Data capturing Coordinating skills / Literacy & Numeracy Food handling / Receiving & Dispatching / Variable temperature control / Professional driving / Truck Driver / SHERQ Practitioner / Steer operator HR Manager / Employee wellness Reefer handling / Skid steer Aerial Platform / Front end loader TLB Operator / Hatchman Freight Operator

Customer Services Safety Awareness Supervisory Administration Transport Management Driver Qualification Communication Compliance Management -Generic -Supervisory -Human Resource -Financial -Business management Customer Care Conflict management First aid Health and Safety Anger management New Venture Creation Basic IR Skills Entrepreneurship Small business management

Page 84 of 102

5.5 CONCLUDING REMARKS

A major problem impacting adversely on the skills development environment is the lack of a national labour market information system. As a consequence, users of labour market information are making policy choices and public investments in education and training without credible data. An additional problem facing SETAs is that no occupational forecasting is undertaken by research agencies or government departments. Therefore it is not possible to predict future skills demands within reliable parameters.

With these limitations, the only reliable sources of occupational supply-demand information are analysis of job adverts conducted by CareerJunction. CareerJunction is a web service through which Recruiters and Career Seekers interact in a secure and completely confidential environment. CareersJunction uses its website which includes job vacancies advertised in the Sunday Times Careers section.

Road transport, according to StatsSA (2011), makes up 62% of the total sector. TETA therefore should focus considerably on improving skills in this sector. High skills occupations (Managers/Professionals/ Technicians) constitute 26.1%; intermediate skills (Clerks/Sales and Service/Crafts and Trades) make up 20.6% and low level skills; (Plant and Machinery/Elementary) comprise 53.3%. A high percentage of people are in the low skills category (53%).1 There is an opportunity to move people with low level skills into the intermediate category. Likewise there are opportunities for those with intermediate skills to move into the high skills category with meaningful education and training interventions. TETA should focus on FET qualifications since a large number of workers (308 035 and 106 347)2 need to access education and training in this band. This effectively makes up 66% of the workforce. A strong feature of the transport sector is that Whites dominate the upper end of the occupational spectrum, whilst Blacks (Indians, Coloureds and Africans are located at intermediate and lower levels). There is clearly a need for TETA to become more active in supporting Blacks, especially Africans, through skills development to occupy senior and high level occupations in transport. Affirmative Action should be a very high priority of the skills agenda for the transport industry. The mandatory grant system is not been effectively utilised by firms in the transport sector. The very low penetration rate (the total number of workers by the number actually trained per occupational level) means that training interventions do not reach scale in the transport industry and are unlikely to have

1 Statistics South Africa, Nesstar, QLFS, 2

nd Quarter, 2011

2 Ibid

Page 85 of 102

a meaningful impact of improving the skills base of the industry. In short, more people need to receive training in the industry than is currently the case. The recession has weakened labour demand in the transport sector as a result of reduced trade activities. During tough economic times firms are reluctant to hire new staff. Recruitment currently in the sector is “easy” according to CareerJunction. On average there are 21.79 new career seekers per job advertised. There is a strong demand for engineering-type occupations in the sector. Mechanical, electrical and electronic engineering appear to be in very strong demand. At artisanal level, fitting and turning are popular. This is followed by procurement, supply chain and logistics occupations. The lack of training berths remains a major impediment to the training of seafarers in the maritime sector. In addition, changes in international protocol / legislative environment are also causing pressures on both the demand and supply of skills to this sector. Amendments to the standards of training, certification and watch-keeping (STCW) in Manila have resulted in various new licensing requirements for seafarer certification. The Manila Convention, which takes effect on 01 January 2016, will result in increased demand for training (especially re-validation of qualifications) as well as increased cost to the supply environment as providers align their training to the new requirements. The imminent promulgation of new standards for the fishing sector (STCW-Fishing), while broadly regarded as crucially important to skills development, will have similar consequences to the demand and supply of skills.

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CHAPTER SIX: STRATEGIC FRAMEWORK

Chapter Six recommends a set of skills development priorities for the transport sector in the form of a strategic framework. These priorities are drawn from the research findings of preceding chapters and take cognisance of government initiatives including, but not limited to, the Department of Higher Education and Training Guide to the Process and Time Frames for Developing Sector Skills Plans and the NSDS III, Framework for the National Skills Development Strategy 2011/12 – 2015/16 and President’s Priorities and the Medium-Term Strategic Framework.

The purpose of this chapter is to offer the stakeholders of the Transport Sector Education and Training Authority a strategic framework for skills development over the next 5 years.

Ten broad skills development priorities have been identified based on the research. These priorities lay the foundation for framing a service level agreement between TETA and the DHET.

6.1 PERFORMANCE MONITORING AND EVALUATION

The Strategic Framework incorporates the broad precepts of government-wide performance monitoring and evaluation framework for programmes where the high level strategic approach in the SSP is regarded as providing the broad impact, outcome and output indicators and measures for the annual strategic business plans and service level agreements that the SETA will adopt and sign-off with the Department.

Source: National Treasury, 2007, Framework for Managing Programme Performance Information

IMPACTS

OUTCOMES

OUTPUTS

INPUTS

ACTIVITIES

RELATIONSHIP INDICATORS

OPINION-BASED INDICATORS

Types of direct

indicators

Quantity

Quality

Cost / Price

Timeliness

Start and end times

Distribution

Adequacy

Accessibility

DIRECT INDICATORS

Economy

Efficiency

Effectiveness

Data gathered through surveys

Equity

Indicators

Indicators

Indicators

Indicators

IndicatorsData gathered mainly by

management information

systems

Calculated using a combination

of direct indicators and other

dataIMPACTS

OUTCOMES

OUTPUTS

INPUTS

ACTIVITIES

RELATIONSHIP INDICATORS

OPINION-BASED INDICATORS

Types of direct

indicators

Quantity

Quality

Cost / Price

Timeliness

Start and end times

Distribution

Adequacy

Accessibility

DIRECT INDICATORS

Economy

Efficiency

Effectiveness

Data gathered through surveys

Equity

Indicators

Indicators

Indicators

Indicators

IndicatorsData gathered mainly by

management information

systems

Calculated using a combination

of direct indicators and other

data

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6.2 STRATEGIC FRAMEWORK The strategic priorities for TETA over the next five years are as follows:

STRATEGIC PRIORITY 1: Establish a credible institutional mechanism for skills planning and build and sustain research capacity on labour markets within TETA

RATIONALE: TETA is committed to building institutional labour market research capacity. This involves strengthening the existing skills research and planning unit. There is a need to review the existing research strategy and offer multiple interventions to improve labour market intelligence. Staff development programmes should focus on analysis of labour markets; statistics for managers; alignment of industrial policy, skills strategies and labour markets; labour economics; theoretical understanding of skills shortages; labour market information systems and occupational supply and demand analysis.

Strategic Priority Indicator Success Factor

Implement research strategy

Number of activities undertaken

Number of milestones reached

Appointment of full- or part-time labour market researcher

Employment contract Researcher appointed

Support the development of emerging researchers

Internships Number of emerging researchers supported

Conduct training, coaching and mentoring interventions to improve staff research capacity

Number of activities undertaken

Training session conducted Coaching and mentoring

takes place

Develop an all year programme for SSP development

SSP Plan Number of activities undertaken

Research staff attend at least one conference on skills research

Number of conferences attended

Presentation by staff member to colleagues

Build a research repository for the sector

Membership with research institute

Number of memberships with research bodies.

Hold at least 2 in-house workshops on sectoral research

Number of workshops held Two workshops takes place

Conduct tracer study and skills audit

Appointment of service provider

Studies published

Establish an impact evaluation mechanism in the SETA

Number of graduates tracked

Report published

Research on supporting FET College and university partnerships

Approval of project Number of partnerships

Conduct skills audit, impact study and tracer study

Approval of project Research reports

FUNDING: Administration budget and Discretionary grants.

BUDGET: Refer to Strategic Plan

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STRATEGIC PRIORITY 2: Increase access to occupationally directed programmes to address critical and scarce skills shortages

RATIONALE: The establishment of the QCTO and the shift towards occupationally-directed qualifications has necessitated that TETA accelerate the re-curriculation of legacy qualifications to meet the QCTO requirements. In addition, new qualifications should be created to address scarce skills not covered by existing qualifications. New OFO codes should be created new occupations.


Develop a business plan and budget

Approval of plan and budget

Number of legacy and new programmes re-curriculated

Research study on usage and number of enrolments on TETA accredited qualifications, including Learnerships and apprenticeships

Criteria for eligibility of qualifications

Number of qualifications identified for development

Scoping study undertaken to determine the number and types of qualifications to be curriculated

Evidence of usage of existing qualifications

Report indicating the number and types of programmes to be curriculated

Mapping of qualifications to OFO Framework and NQF

Evidence of mapping of qualifications

All qualifications mapped

Training of staff and CEPs on new qualification requirements

Number of training interventions

Staff and CEPs trained

Development of occupationally directed qualifications

Number of qualifications Number of qualifications developed

Consultation sessions with stakeholders

Number of consultative sessions

Sessions held

FUNDING: Discretionary grants.


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STRATEGIC PRIORITY 3: Improve the competitiveness and job creation propensity of SMMEs by creating greater access to skills development

RATIONALE: Virtually all policy pronouncements of government, including NSDS lll accentuates the importance of supporting SMMEs for job creation. SETAs have generally found it challenging to convince SMMEs to participate in the levy- grant system. Many micro-enterprises have been excluded from compulsory skills levies due to the minimum thresholds set in the SDL Act. The criteria for accessing discretionary grants and the bureaucratic burdens associated with it have also meant that SMMEs are reluctant to participate in initiatives. Notwithstanding, the majority of companies on the TETA database are classified as SMMEs with fewer than 50 employees.


Conduct research on the skills development and enterprise development needs of SMMEs

Terms of Reference for study

Stakeholder engagement

Study published

Develop an SMME Skills Development Strategy for the Transport Sector

Terms of reference for strategy

Study published



Sessions held

Implementation of SMME strategy

Number of SMMEs participating in a range of TETA activities

Increased participation of SMMEs

Impact evaluation

Establish of a portal for SMME support

Specifications for portal Portal functional



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STRATEGIC PRIORITY 4: Skills planning for a green Transport Sector

RATIONALE: The challenge of transitioning from the current economy onto a green economy is a formidable one and requires a platform for engagement in the transport sector. A green Transport Sector will not be brought about by policies only: it must be taken up by stakeholders at large as a principle guiding the many choices each employer makes every day. Skills implications to achieve the green Transport Industry target are considerable, varied and encompass all sub-sector. Availability of skills for green jobs plays a crucial role in triggering change and facilitating just and timely interactions. There is a necessity to look at emerging, changing and rapidly growing industries, as well as occupations that are completely new (emerging) and /or require new knowledge, skills and abilities.


Conduct a comprehensive needs study on green skills and occupations for the sector

Identification of green skills, occupations and qualifications

Study published

Develop Green Skills Strategy for the Transport Sector


Strategy published



Sessions held

Implementation of Green Skills Strategy

Number of employers participating in a range of green activities

Increased participation Impact evaluation

Workshop/seminar on green skills in the transport sector

Number of participants Workshop/seminar held

Establish partnerships with DoT, CSIR and DEAT for promoting a green economy

Number of partnerships Participation of partners in TETA activities



Page 91 of 102

STRATEGIC PRIORITY 5: Increase the pool of artisans in the sector

RATIONALE: According to NSDS lll South Africa's pool of intermediate skills, especially artisanal skills, is too low to support national and sector development and growth. The workforce is not keeping up with the skills needed to remain competitive in an increasingly knowledge-based economy. The TETA should contribute to building the base of intermediate level skills by giving particular attention to occupations in this band. These occupations have been identified in the Priority and Scarce Skills Lists.


SETA identify priority occupations and scarce skills at middle level

Number of apprenticeships registered

Number of learners trained at middle level

Identify public FET Colleges and universities that that deliver learning leading to full qualifications on NQF

Number of grants given Partnerships with FETs and HETs

Number of graduates

Allocate grants for middle level training as part of project

Qualifications for grants should address previously disadvantaged youth – rural, race, gender, disability, family income

Number of FET Colleges and universities participating in this project



Page 92 of 102

STRATEGIC PRIORITY 6: Promoting the growth of a public FET college system that is responsive to sector, local, regional and national skills needs and priorities.

RATIONALE: NSDS III states the public FET college system is central to the government’s programme of skilling and re-skilling the youth and adults. Its transformation is key to the integration of education and training and responding to the skills needs in our country. In recent years, FET colleges have been striving to make the transition from their former status as technical colleges to being responsive and vibrant post-school institutions for vocational education.


Establish a capacity-building project for FET Colleges that would include the following: curriculum development; understanding the TETA Sector; labour market research to measure responsiveness; collaboration between colleges and industry; lecturer development; RPL and assessment.

Public FET Colleges Rural spread Capacity-building toolkit for

FET Colleges

Number of engagements 3 provincial workshops Dissemination of toolkit



Page 93 of 102

STRATEGIC PRIORITY 7: Addressing youth unemployment and employability

RATIONALE: NSDS lll states that a high proportion of young people who exit school before completing a senior secondary qualification stand little chance of participating productively in the economy. To illustrate the severity of the problem, there are approximately 3 million youths, aged between 18 and 24 years, who are not in employment, education or training, have a poor educational foundation and are poorly prepared to undertake further learning. If the age group is expanded to take into account the 16 to 18 year-olds who have dropped out of school and are not in training or employment as well as the 25 to 35 year-olds who have remained unemployed since leaving full time education, the number is much higher.


Establish a national internship and work placement project in partnership with local municipalities, FET Colleges and chambers of commerce

Budget approved ToR established Project assigned.

Number of work placements and internships

Number of jobs created

Two day workshop with FET Colleges on unemployment and employability

Employability and job creation

Workshop held



Page 94 of 102

STRATEGIC PRIORITY 8: Increasing submissions of WSP/ATRs, especially SMMEs.

RATIONALE: NSDS III mentions that South Africa is challenged by low productivity in the workplace, as well as slow transformation of the labour market and a lack of mobility of the workforce, largely as a result of inadequate training for those already in the labour market. The New Growth Path and National Development Plan adopted by government calls for increased workplace training of workers already in employment in order to improve productivity and the overall growth and development of our economy. To address this challenge, the NSDS III, through both the mandatory and discretionary grants of the SETAs, must support training of employed workers, and encourage employers to expand such training, in order to improve the overall productivity of the economy and address skills imbalances in our workforce in particular and the labour market in general. Accordingly, emphasis will be placed on the use of the levy-grant system with investment into our overall skills agenda.


Promote critical skills training by companies in the mandatory grant process

Number of WSP/ATR submissions

Measuring impact

Promote submission of WSP/ATRs

Number of WSP/ATR submissions

Measuring impact

Develop an RPL strategy and plan

Implementation of RPL

Number of RPL assessments



Page 95 of 102

STRATEGIC PRIORITY 9: Building career and vocational guidance especially to encourage females to enter the sector

RATIONALE: NSDS III states that our entire skills development system must dedicate the necessary resources to support career and vocational guidance, as this has proved to be a critical component in successful skills development initiatives world-wide. There is also a need to encourage females into the sector. The preceding research indicates that females, especially blacks, are under-represented in higher levels of the occupational structure.


Workshop in KZN, W Cape and Gauteng on the changing nature of work in the sector

Approval of workshop Workshops held

Updating career guide

Guide updated Dissemination of guide

Workshop with FET Colleges to discuss career prospects in sector

Approval of project 9 workshops (one per region)

Development and re-curriculation of qualifications aligned to QCTO requirements

Qualifications Management Body to develop, align and submit qualifications per year to QCTO

qualifications aligned

Development of career pathways in sector

Approval of project Number of pathways developed

Identify and profile the

key occupations in the

Transport Sector and

publish the results thereof

in a handbook of

occupations relevant to

the TETA.

Handbook Occupational profiling Job or post profiles

Handbook published

A workshop to encourage women in management

Workshop held Outcomes of the workshop identified

FUNDING: Discretionary grants

Refer to Strategic Plan

Page 96 of 102

STRATEGIC PRIORITY 10: Support rural development, including NGOS, CBOs and other organisations in rural areas

RATIONALE: There is a need for TETA to pay greater attention to support rural development in the sector. This is a key aspect of the national policy goals of government. Traditionally the focus of TETA has been urban development. There is a need for TETA to know more about rural development before embarking on a series of programmatic interventions.


Conduct research on the skills development and enterprise development needs in rural communities

Terms of Reference for study

Stakeholder engagement

Study published

Devise a Rural Development Strategy for the Transport Sector


Study published



Sessions held

Implementation of rural strategy

Number of rural organisations participating in a range of TETA activities

Increased participation of SMMEs

Impact evaluation

Establish partnership with organisations working in rural areas

Workshop Skills interventions

Number of interventions



Page 97 of 102

STRATEGIC PRIORITY 11: Make an active contribution to Strategic Integrated Projects (SIPs)

RATIONALE: 17 SIP projects have implications for the transport sector. SIPs will lay the basis for

job creation, economic growth and poverty alleviation. The downstream effect of SIPS will be

greater demand on the transport sector to offer services. This translates to higher skills demand.

SIPs will necessitate that TETA plays a catalytic role in skills development in all 17 SIPs spatial areas as demand in these areas is expected to pick up exponentially. TETA has been allocated SIPs projects 1, 2 and 7 wherein it is expected to play an active role.


Conduct an alignment of SIP projects 1, 2 and 7 to SETA Strategic Plan

List of interventions identified

Develop a response to implement interventions

Determine skills development priorities from SIPs project 1, 2 and 7 for TETA

Number of priorities and interventions

Priorities and interventions identified

Board approval of SIP interventions

Budget approved Implementation of interventions

Monitor implementation of SIPs

Number of activities Report published



Page 98 of 102

Annexure: Questionnaires

SCARCE SKILLS IN THE TRANSPORT SECTOR

GROUP TASK: The purpose of this activity is to identify SCARCE SKILLS IN YOUR RESPECTIVE CHAMBER IN THE TRANSPORT SECTOR.

REMEMBER: We want to identify scarce skills and not merely any occupation in chamber.

METHODOLOGY: The following methodology should be employed to identify SCARCE SKILLS:

NO

CRITERIA FOR OCCUPATIONS IN DEMAND MET REASON OR EVIDENCE

YES NO

1 Entry to the occupation requires education and training of at least 3 years.

2 There is a tendency for the person to work in the occupation for which they have studied at least in 60% of the cases.

3 Shortage of people in this occupation in the firm impacts significantly on the company

4 It is a hard-to-fill vacancy – more than 3 months to find suitable candidate.

5 There is plausible evidence in the sector to identify a particular occupation as a scarce skill.

6 A professional body or recognised employer body or trade union operating in the sector identifies a particular occupation as a scarce skill.

NOTE: REQUIREMENT TO BE PLACED ON THE W&R SETA SCARCE SKILLS

At least 3 out of the 6 criteria qualifies that are met for a particular occupation qualifies that occupation to be placed on the TETA Scarce Skills List.

Page 99 of 102

ACTIVITY: You are required to select a facilitator for the group work and presenter for the plenary feedback session.

OCCUPATIONS IN DEMAND LIST

# TITLE OF OCCUPATION

CRITERIA MET AT LEAST 3 CRITERIA

1 2 3 4 5 6 YES NO

1

2

3

4

5

6

7

9

10

11

12

13

14

15

16

17

18

19

20

22

23

24

25

26

27

28

29

30

Page 100 of 102

INTERVIEW/QUESTIONNAIRE SCHEDULE

Chamber EO Name

Company Name Region

No. of Employees Interview Date

Interviewer Interviewee

NO QUESTIONS

1 What factors are driving change and reshaping your industry?

2 What are some of the biggest risks facing your industry?

3 How do you make your firm more productive and competitive in the marketplace?

a. Education and training institutions:

b. Companies:

c. Government:

4 What impact is skills shortages having on your company?

5 How does your company cope with skills shortages?

6 What new emerging skills do you foresee are needed in the future in your industry?

7 What occupations are in high demand in your industry? You find it very difficult to recruit suitably qualified and experienced employees for these occupations?

Page 101 of 102

REFERENCES

Bird, A. DHET, SIPs Presentation, 2013 CareerJunction Index, (2013), CJI: Index (March). www.cji.co.za Development Bank of Southern Africa (DBSA). 2012. The state of South Africa’s infrastructure: opportunities and challenges. Department of Labour, 10th CEE Annual Report 2011-2012. www.labour.gov.co.za DHET (2012), National Skills Development Strategy lll. www.dhet.gov.za Department of Labour, 10th CEE Annual Report 2006-2007. www.labour.gov.co.za Department of Labour, 10th CEE Annual Report 2012-2013. www.labour.gov.co.za Economic Intelligence Unit (2013), International database of 187 countries. www.eiu.com Independent Development Corporation (4th Q 2012), Sectoral Trends: performance of the primary and secondary sectors of the South African economy, Sandton, South Africa. SAIRR (2013), National Survey (2011-12). www.sairr.org.za Statistics SA, Website, 2013, GDP figures. Statistics SA, South African QLFS, Quarter 2, 2013. Statistics SA, Labour Force Survey, Historical Revision, March, Series 2001 to 2010. Statistics SA, Labour Market Dynamics in South Africa, 2008. Statistics SA (2011), Labour Dynamics 2010. www.statssa.gov.za TETA Annual Report, 2012-2013. TETA Strategic Plan, 2012/13 – 2015/16

http://www.cji.co.za/

http://www.labour.gov.co.za/

http://www.dhet.gov.za/



http://www.sairr.org.za/

http://www.statssa.gov.za/

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TRANSPORT SETA SECTOR SKILLS PLAN · 2014-11-14 · TRANSPORT SETA SECTOR SKILLS PLAN Update 2014/2015 September 2014. Page 1 of 102 ... 3.3.4 Skills Development Facilitator (SDF)