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Learning for Jobs and Entrepreneurship:
Opportunities in Mining
Presented By: CFO: Rofhiwa Irene Singo
Date: 08 September 2017
VTSD Skills Development Lekgotla
1. Legislative Framework
2. Skills in the Mining Sector
3. Opportunities in Mining
• Local Economic Development and Social and Labour Plans
• Small Scale Mining
• Beneficiation
4. Skills Development and Opportunities in the sector going forward
• The Revised Mining Charter: Transformation of the Mining Sectorthrough Skills Development and Encouraging Black Entrepreneurship
• The Junior Miners Strategy
5. Conclusion and Way Forward
2
PRESENTATION OUTLINE
3
LEGISLATIVE FRAMEWORK FOR MINING SKILLS
Department of Mineral Resources
(MPRDA) of 2002: Mining Charter and SLPs
Mine Health and Safety Act
Department of Higher Education
and Training
South African Qualifications Authority Act
Skills Development Act
South African Revenue Services/
Treasury
Skills Development Levies
Learnership Allowances
In line with Department of Labour codes, mining and mineral skills interventions and programmes made available in the “DMR family” are grouped as below:
• Coal Mining
• Gold Mining
• Platinum Group Metals (PGMs) Mining
• Diamond Mining
• Other Mining
• Cement, Lime, Aggregates and Sand (CLAS)
• Services Incidental to Mining
• Diamond Processing and
• Jewellery Manufacturing
4
SKILLS IN THE MINING SECTOR
PROGRAMME OBJECTIVES SAMPLE OFFERINGS IN 2015/16
Youth and Learner
Development
• Ensuring the development of
skills required for SA’s mining
future
• Addressing the challenges of
youth unemployment and skills
mis-match in the work place
13 971 youth engaged in career guidance workshops
1 010 learners in grades 10, 11 and 12 were supported
with extra curricula tuition in mathematics and physical
science
723 undergraduate learners placed with host
employers for work place experience training
25 young learners, to participate in a two-year
jewellery and watch-making internship programme in
partnership with the IL Tari Design School in Italy.
1 310 learners with financial assistance through the
MQA Bursary Scheme.
5
SKILLS IN THE MINING SECTOR
PROGRAMME OBJECTIVES SAMPLE OFFERINGS IN 2015/16
Support for
Literacy
Ensuring there are continued
learning opportunities for employees
in the mining sector
2 364 learners in Adult Education
and Training (AET)
Occupational
Health and Safety
Skills
Interventions
• Ensuring Zero-Harm in the mining
industry
• Providing Occupational Health and
Safety Skills to mineworkers
4,519 trained and empowered in
OHS
6
SKILLS IN THE MINING SECTOR
PROGRAMME OBJECTIVES SAMPLE OFFERINGS IN 2015/16
Artisan Development 2014-2024 is the “Decade of the Artisan”
Youth employment opportunities
Portable Skills development, for mineworker
futures
414 artisan
aides were supported through the
Recognition of Prior
Learning (RPL) process.
TVET College
Support
Partnership to accelerate skills development
and training in the sector
Work exposure
opportunities to TVET college lecturers;
and National Certificate Vocational (NCV)
learners placed with host employers
7
SKILLS IN THE MINING SECTOR
8
OPPORTUNITIES IN MINING_SOCIAL AND LABOUR PLANS
Through Mining Qualification Authority (MQA) 600 unemployedyouth were trained in enterprise development and variousportable skills in the North West in 2016,
In partnership with Bakgatla ba Kgafela, a further 180 weretrained in construction skills, 80 were absorbed in the Bakgatlatraditional house to work on local construction projects and therest are now working as contractors inside and outside theprovince
9
SKILLS IN THE MINING SECTOR
10
OPPORTUNITIES IN MINING_SMALL SCALE MINING
11
OPPORTUNITIES IN MINING_BENEFICIATION
Ownership - New Mining Rights
All new mining rights must have a minimum of 30% black person’s ownership per mining right or in the mining company which holds the mining right/s.
The BBBEE empowerment transaction shall include workers at a non-transferable 8% (in the
form of ESOPS), mine communities (in the form of a community trust) at a non-transferable
8% and black entrepreneurs at 14%.
BENEFICIATION
The only offsetting permissible under the ownership element is against the value of
beneficiation and such offsetting shall account for a maximum of 11% offset against the
ownership target.
12
FURTHER OPPORTUNITIES GOING FORWARD
MINING CHARTER
PROCUREMENT:
• Capital goods and consumables are combined into one category of “Mining Goods” with a target of
70% of total procurement budget on locally manufactured goods.
• All locally manufactured goods must be independently validated by an entity such as SABS.
EMPLOYMENT EQUITY
• The reviewed Charter proposes increased percentages across all the various employment levels.
• These increased targets are for both black employees and black females across all levels of
management which must be reflective of national and/or provincial demographics.
• There’s a new introduction of 3% for employees with disabilities and employee representation at
Board level.
13
FURTHER OPPORTUNITIES GOING FORWARD
MINING CHARTER
Human Resource Development:
The Mining Charter retains the 5% leviable amount for skills development including research and
development, 2 percentage points of which must be contributed towards the Mining Transformation
and Development Agency (MTDA).
MTDA to invest in communities, and driving skills development and entrepreneurship beyond mine
borders.
14
FURTHER OPPORTUNITIES GOING FORWARD
MINING CHARTER
Mineral fields of the North West Province
15
16
FURTHER OPPORTUNITIES GOING FORWARD
Junior Minors strategy
• Strategy to identify and address bottlenecks throughout mining lifecycle
• Mining Toolkit for New Entrants
• Direct Project Support (financial and non-financial)
Intended outcome
• Increased Investment and Job Creation
• Vibrant Small and Medium Scale Enterprises
• Rural Development and Improved Spatial Distribution of Wealth
• Diversification of Economic Activities
• Youth and Woman Economic Empowerment
17
FURTHER OPPORTUNITIES GOING FORWARD
Junior Minors strategy
Critical Success Factors
Access to Finance
Skills
Availability of
Geological Information
Compliance
R&D, and technology
Access to Markets
• The Department will continue to partner with the province tosupport VTSD as agreed with Minister Mosebenzi Zwane
• Use partnerships for skills development including Canada,Russia and Japan
• Continue to persue proposals for skills development in Mining asproposed in the Mining Charter
• Work with Mining Companies to link new entrants to jobs andbusiness opportunities in the Mining sector using availableinstruments of legislation.
18
CONCLUSION