Presentation to Chemicals Imbizo, 28 July 2016 Ayesha Itzkin, Chemical Industries Education & Training Authority, CHIETA 1
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability OUTLINE OF PRESENTATION The purpose of Training and CHIETA Partnerships CHIETA’s modus operandi and performance to date Partnerships Partnerships Support to SMMEs 2
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability WHO IS CHIETA? CHIETA is a SETA (Sector Education and Training Authority) set up to support its member companies and South Africa, with manufacturing, engineering and operations related training interventions EXAMPLES OF LEARNING PROGRAMS THAT CHIETA FUNDS: Fitting, Turning, Welding, Boilermaking, Electrical, Instrument Mechanician, Rigging, Motor Mechanic, Diesel Mechanic, Glass Forming, Automated Packaging, Chemical Operations, Gas installations, Pharmaceutical Sales Reps, Gas practitioners, Engineering, bursaries, internships, WIL, etc CHIETA accredits companies and approves workplace based training, issues learnerships & skills program certificates and recommends certification of artisans. CHIETA evaluates grant applications and allocates grants in line with all legislative imperatives 3
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability KEY ROLE PLAYERS • Employer and industry organisations – Employer organisations (collective bargaining) – Industry organisations (marketing and promotion of industry ) • Employee organisations – Professional bodies – 5 Trade unions • 4 Government departments relevant to the sector • 4 Government departments relevant to the sector – The Department of Trade and Industry (the dti) – Department of Energy (DoE) – Department of Science and Technology (DST) – Department of Environmental Affairs (DEA) 4
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability B UILDING A VALUE - CHAIN DRIVEN OFO CODING BASED C REDIBLE M ECHANISM FOR S KILLS P LANNING Purpose of developing the online system: To obtain credible , valid and auditable information on all employees at member companies, their competencies, training needs, demographics, company training spend, and how to optimally allocate CHIETA funding, monitor progress, etc. Online system must be used to access CHIETA funding. Another solution available for small companies. Therefore we needed to have available: Source Data Collection from the HR desks at companies to obtain: • • Occupation Profiles Occupation Profiles • Employee Job Profiles • Business Unit Matrices • Skills Audit information for future planning • Career Guide • Individual worker development and Organisation Development Plans for growth pathways To get a full understanding of who is being trained for what, by who, where, when and what more is needed for the company and its employees to create a skilled and capable workforce for the South African economy. CHIETA in 2015/16 has individual employee information of approx 165,000 workers biographical details, qualification information, occupation, gaps in occupation, etc. 5
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability CHIETA WSP/ART ANALYSIS, INDUSTRY ECONOMIC PERFORMANCE The Chemicals Industry’s contribution to the South African economy: 2014 Gross Gross Fixed Subsector Value Imports Exports Capital Employment Added Formation Coke & refined petroleum products petroleum products 1.3% 1.3% 3.9% 3.9% 3.3% 3.3% 2.6% 2.6% 0.2% 0.2% Basic chemicals 0.6% 3.7% 5.7% 1.2% 0.2% Other chemicals & man-made fibres 1.0% 4.6% 2.3% 0.1% 0.4% Non-metallic minerals 0.5% 0.8% 0.4% 0.2% 0.4% Glass & glass products 0.1% 0.2% 0.2% 0.5% 0.1% Total petroleum, chemicals & glass 3.5% 13.2% 11.9% 4.6% 1.3% Source: Quantec
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability EMPLOYER PROFILE Levy-paying companies: 2015/2016 2,500 Number of organisations Number of organisations 2,000 1,500 1,000 500 0 2011/2012 2012/2013 2013/2014 2014/2015 2015/2016 N 1,542 1,785 1,921 2,010 2180 Source: CHIETA data system, extracted June 2016
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability Employer Profile Subsector distribution of levy-paying organisations and levy-amounts paid: 2015/2016 45 40 40 35 31 OM1 Percentage 30 25 18 20 15 12 12 15 11 10 8 8 8 8 7 7 10 10 5 5 4 4 4 4 3 3 3 5 1 1 0 0 % of levy-paying organisations % of total levies paid Source: CHIETA data system, extracted June 2016
Slide 8 OM1 Due to rounding numbers and percentages do not necessarily add up to totals or 100 Osborne Mkhize; 8/7/2016
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability LABOUR MARKET PROFILE Estimate of total employment in the Chemicals Industry: 2012-16 160,000 150,000 Number of employees Number of employees 140,000 130,000 120,000 110,000 100,000 2012 2013 2014 2015 2016 Number of employees 156,078 156,548 157,992 160,309 165,782 Source: CHIETA data system, June 2016
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability LABOUR MARKET PROFILE Subsector distribution of employees in the Chemicals Industry: 2012-16 30 25 20 Percentage Percentage 15 10 5 0 Base Explosives FMCG Fertilisers Glass Petroleum Pharmaceutic Speciality Surface Other Chemicals als Chemicals Coatings 2012 14 3 15 4 5 28 14 10 5 1 2013 13 2 10 5 7 29 15 13 6 0 2014 13 3 10 5 7 29 15 14 6 0 2015 16 2 8 4 6 29 15 15 5 0 2016 18 2 10 4 7 23 16 14 6 0 Source: CHIETA data system, June 2016
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability LABOUR MARKET PROFILE Provincial distribution of employment in the Chemicals Industry: 2012-16 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 2012 2013 2014 2015 2,016 Western Cape 11 12 12 12 12 Northern Cape 0 0 0 0 0 North West 1 2 2 2 2 Mpumalanga 9 13 13 12 11 Limpopo 1 1 1 1 1 KwaZulu-Natal 19 16 17 19 17 Gauteng 45 42 41 41 44 Free State 6 6 7 6 6 Eastern Cape 8 7 7 7 6 Source: CHIETA data system, June 2016
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability LABOUR MARKET PROFILE NQF Level distribution of employment in the Chemical Industry, 2012–16 100 90 80 Percentage Percentage 70 60 50 40 40 30 20 10 0 2012 2013 2014 2015 2016 Level 5 and above 46 42 43 38 38 Level 4 36 40 40 46 44 Level 3 5 5 5 6 5 Level 2 8 7 6 6 7 Level 1 2 2 3 2 5 Below Level 1 4 4 3 2 0 Source: CHIETA data system, June 2016
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability EXTENT AND NATURE DEMAND Hard-to-fill vacancies Number of vacancies Vacancies as % of positions Occupational category 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 Managers 166 251 491 148 296 0.8 1.3 2.6 0.7 1.4 Professionals 699 691 868 280 601 3.2 2.9 3.6 1.3 2.6 Technicians and associate Technicians and associate 182 182 412 412 380 380 557 557 305 305 0.6 0.6 1.3 1.3 1.2 1.2 1.7 1.7 1.0 1.0 professionals Clerical support workers 76 52 103 381 97 0.5 0.3 0.6 2.4 0.6 Service and sales workers 17 37 30 84 160 0.5 1.0 0.8 1.4 3.0 Skilled related trades workers 358 441 1 000 723 964 3.4 4.7 8.9 5.4 8.1 Plant and machine operators 99 149 182 697 326 0.3 0.5 0.6 2.6 1.0 and assemblers Elementary occupations 61 16 77 47 238 0.3 0.1 0.4 0.2 1.0 Total 1 658 2 049 3 131 2 917 2 987 1.1 1.3 1.9 1.8 1.8
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability LABOUR MARKET PROFILE Estimate of total employment in the Chemicals Industry: 2012-2016 160,000 150,000 Number of employees Number of employees 140,000 140,000 130,000 120,000 110,000 100,000 2012 2013 2014 2015 2016 Number of employees 156,078 156,548 157,992 160,309 165,782 Source: CHIETA data system, June 2016
CHIETA, The Catalyst for Enhanced Skills, Economic Growth and Employability Demand driven partnerships model UNESCO (2012) provided clarification by defining human capital TVET provisioning as follows: • ‘demand-driven’, and its curriculum as ‘competency-based’. It is further emphasised that: • “Competency-based training pays more attention to learners and their ability to • • master practical tasks and to acquire competences than to the level or type of master practical tasks and to acquire competences than to the level or type of • certification, or the length of training….It is developed in accordance with identified skills needs derived from the workplace” (UNESCO, 2012:16). • To orient TVET towards skills demands of the economy and the society at large, there should be strong partnerships and collaborations with sectoral organizations, business associations and chambers of commerce, employer associations, and other government departments • (UNESCO, 2012 and Maclean and Pavlova, 2013). 15
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