Mr Tshimane Montoedi - Mining Lekgotla 2013

Presented by: Tshimane Montoedi, Deputy General Secretary
National Union of Mineworkers
Transformation in Mining
Challenges with SLP
Human Resource Development
Local Economic Development
Housing and Living Conditions
Downscaling and
Employment Equity
Mine Community Development
Mining Charter Assessment
Way Forward
Call to Action
Transformation in Mining
The mining industry has the necessary legislative frameworks to achieve greater
transformation and ensure the development of its employees, mine host
communities and labour sending areas.
The biggest impediment to achieving the above mentioned objectives, is the
industry’s lack of commitment towards transformation.
Industry leaders need to spearhead this process with executive decisions,
backed by the necessary financial support
SLP implementation should result in skills development for employees,
developed mine host communities, mining operations significantly contributing
towards local economic development through procurement , enterprise
development and beneficiation.
Challenges with SLP Implementation
There is no direct link between the Mine Works Programme, SLP
commitments and Municipal IDP’s
Non compliance is not linked to heavy penalties (Section 93 not always
followed by Sec 47)
Lack of Coordinated Monitoring and Evaluation Programme (as per the
stakeholder declaration)
Section 101 not adhered in the appointment of contractors
The mining industry has a collective responsibility to ensure that mining
companies comply with the Mining Charter, the MPRDA 2002, Skills
Development Act, Social and Labour Plans
Human Resource Development
Updated Form Q that determines employees educational needs
Full implementation of Employee and Community ABET program
Eradicating Barriers linked to ABET, these include loss of bonuses and
salaries for employee’s who attend such programmes
Mining Companies should stop relying on MQA grants in order to implement
skills development initiatives
Learnerships & Bursaries should be utilised to empower workers and create
community talent pool
Currently our NUM JB Marks Bursary scheme has produced more than 800
graduates in various fields, ranging from Medical Doctors to Mining
Engineers over the years
Local Economic Development
Stakeholder involvement in the implementation process
Compulsory Host Community and Labour Sending Areas Socio Economic
Survey should be conducted in order to understand their needs
Mining Companies project managing all LED projects to ensure
sustainability of the project
This section should be linked to both Local and District Municipalities
Integrated Development Plans
Housing and Living Conditions
Conversion of all hostels into single and family units as per the charter
targets (this must include all contractor employees)
Mining Companies should not only facilitate, but provide employees with
houses as benefits of the minerals they mine.
Mining Companies should ensure all new developments house prices are
affordable for mine workers.
Housing Policies should allow employees to own houses in Labour
Sending Areas and Villages
Downscaling and Retrenchments
All mining right holders must have compulsory monthly SLP forums with
Labour Represented and quarterly Future Forums with other stakeholders
The industry should implement Section 52 and Regulation 46 (e) before
LRA’s Section 189.
Companies should cut management salaries and bonuses as an initiative
to avoid Job losses.
DMR Regional Offices should be actively involved in the approval or
rejection of all downscaling processes.
Achieve a minimum of 26% HDSA ownership by 2014 (including
10% Should be owned by Employees
10% Should be owned by host communities
This ownership should translate into executive decision making
The funding for these initiatives should not be linked to any debt
It should also enjoy the equal shareholder benefits, including dividends and
participating in AGM’s or board meetings.
• Coordination between DMR, DTI and Economic Development Departments
(on the implementation of the Beneficiation Strategy)
• The Beneficiation strategy should outline both upstream and downstream
beneficiation process
• The strategy should be linked to the Skills Development Accord with specific
focus on how SETA’s can ensure alignment with the required skills
• Establishment of a Mineral Beneficiation Committee
• Developing an industry wide strategy for local procurement and
enterprise/SMME development
• The regulator’s monitoring and evaluation process should include forensic
audits of company financial statements and submitted reports
• Established Suppliers must form mandatory Joint Venture partnerships with
local suppliers
• Enterprise Development should be accompanied with the relevant support
Employment Equity
• Industry should eradicate the “Irish Coffee Syndrome”
• Income disparities should be addressed (especially if race and gender is the
only differentiator between two employees)
• HDSA’s in Management should have executive authority
• HDSA’s should represent the country’s population demographics, currently
the biggest benefactor of this policy are white women
Mine Community Development
• Host communities and labour sending areas should benefit from the mineral
wealth of this country
• The Community is a critical stakeholder in the mining industry, hence it’s
imperative for companies to include them in their HRD programme (ABET,
Learnerships, etc.)
• Enterprise Development with the relevant business support
• Preferential Procurement Policies should specifically target the Economic
Development of host communities
Call To Action
• Recent events bring to light painful disconnect between industry and workers
• NUM has for years been calling for more rigorous mechanisms to penalise those
that are not compliant with transformation legislation
• The NUM’s recent Central Committee expressed grave concern regarding the levels
of non compliance in the industry, hence it called for a mass action against the over
paid captains of industry
• Pontificating of definitions and policy will not settle the rumbling storm in
communities in search of economic and social justice
• Over the past 32 years the NUM has spearheaded worker and
community emancipation within the industry surroundings, hence we
have adopted the mass mobilisation of our members in all NUM
branches and host mining communities to fight against this non
compliance in the Mining Industry.