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South African Business 2018 edition

  • Text
  • Aerotropolis
  • Industry
  • Urban
  • Densification
  • Water
  • Sustainable
  • Development
  • Regional
  • Interview
  • Africa
  • Investment
  • Business
  • African
  • Economic
  • Sector
  • Province
  • Projects
  • Manufacturing
  • Infrastructure
  • Coastal
Welcome to the sixth edition of the South African Business journal. First published in 2011, the publication has established itself as the premier business and investment guide to South Africa, supported by an e-book edition at www.southafricanbusiness.co.za. Regular pages cover all the main economic sectors of the South African economy and give a snapshot of each of the country’s provincial economies. Feature articles on topical issues such as sustainability and African trade provide unique insights, together with an interview with the newly elected chairman of the African Association of Automotive Manufacturers, Mr Thomas Schaefer. Another special feature focusses on an exciting project to transform South Africa’s small harbours and coastal properties. South African Business is complemented by nine regional publications covering the business and investment environment in each of South Africa’s provinces. The e-book editions can be viewed online at www.globalafricanetwork.com. First published in 2011, the publication has established itself as the premier business and investment guide to South Africa, supported by an e-book edition at www.southafricanbusiness.co.za Regular pages cover all the main economic sectors of the South African economy and give a snapshot of each of the country’s provincial economies. Feature articles on topical issues such as sustainability and African trade provide unique insights, together with an interview with the newly elected chairman of the African Association of Automotive Manufacturers, Mr Thomas Schaefer. Another special feature focusses on an exciting project to transform South Africa’s small harbours and coastal properties. South African Business is complemented by nine regional publications covering the business and investment environment in each of South Africa’s provinces. Visit www.globalafricanetwork.com for more business and investment news, opportunities and events.

Skills development

Skills development Job-relevant training is key to economic growth. Twenty-two South Africans headed to Abu Dhabi in October 2017 for the WorldSkills International competition. The South Africans were selected from 20 skills areas which forms part of the WorldSkills South Africa project and The Decade of the Artisan campaign, both supported by the National Department of Higher Education and Training (DHET). Participation in the WorldSkills International (WSI) competition showcases talented young South Africans, but also highlights the need to get young people enthused by the idea of becoming artisans and technicians. The National Development Plan (NDP) envisages South Africa producing 30 000 artisans per year by the year 2030. The current figure is about 13 000 per year. WSI participants from South Africa included skilled young people in the fields of water technology, mechatronics, IT networks, graphic design, plumbing and heating, welding, bricklaying, cooking, refrigeration, spray painting, hairdressing and mobile robotics. South Africa has one engineer to every 3 166 citizens, compared to Malaysia where the figure is 543 citizens per engineer. The Skills Development Amendment Act is intended to improve the situation, and not only in engineering. Several institutions have been created to help guide policy in skills and training, and to guide the actions of training institutions. Sector Education and Training Authorities (SETAs) collect dues from companies in a particular industry (Wholesale and Retail, Banking, Construction, Chemical Industries, for example) to promote training in that industry. A percentage of this money is returned to the company if that company can show that they have a workplace training plan. The rest of the money is used by the SETA to offer skills training. In the Eastern Cape the Manufacturing, Engineering and Related Services Authority SOUTH AFRICAN BUSINESS 2018 34

SPECIAL FEATURE (MerSETA) plays an important role in supporting skills development in the automotive and automotive parts sector. The authority is involved in the National Tooling Initiative and artisan training, especially with regard to creating a skilled workforce for the Coega Industrial Development Zone. MerSETA helped establish the Centre of Excellence for Welding at the Eastcape Midlands TVET College in Uitenhage. A national programme of the Local Government SETA (LGSETA) offers learnerships in auditing to municipal employees. The National Skills Authority (NSA) works with SETAs in carrying out the National Skills Development Strategy (NSDS). The Human Resource Development Council of South Africa (HRDCSA) is an over-arching body that aims to give guidance to the many institutions working on skills development and training. It is managed by the DHET. A key element in delivering skills training are Technical and Vocational Education and Training (TVET) colleges, which are tasked with bridging the skills gap in South Africa. TVET colleges are concentrating on 13 trade areas, including bricklayers, millwrights, boilermakers and riggers. Large amounts of money are spent on basic education at schools, but there has also been a big increase in spending on TVET colleges, reflecting the state’s concern to develop the skills of the country’s workforce. R16.5-billion has been allocated by national government to skills development and infrastructure over the medium term. The HRDCSA has identified five key areas where the skills pipeline must be improved: access to TVET colleges; intermediate skills (artisans in particular) and professionals; production of academics; collaboration between industry and educational institutions in research and development; worker education; foundational learning. In KwaZulu-Natal, the Maritime School of Excellence trains students for the Sharks Board, Transnet Port Terminals (TPT), Transnet National Ports Authority (TNPA) and for the wider field of maritime and logistics employers. More than 250 students graduated in 2016 as cargo coordinators, marine pilots, tug masters and operators of lifting equipment. The South African Maritime Safety Authority (SAMSA) is investigating the feasibility of establishing specialist maritime schools in South Africa’s coastal provinces, including the Eastern Cape and Western Cape. Industry Creative interventions from industry bodies such as the Engineering Council of South Africa (ECSA) are also creating new pathways for training. The ECSA has started a programme whereby trainees can earn certificates in specific disciplines from a broader range of institutions. The qualifications will be in line with the council’s Exit Level outcomes. Six of South Africa’s biggest construction companies have established a R1.25-billion skills fund which will be deployed to fund programmes that will teach relevant skills. The Jobs Fund (run by National Treasury) supports several initiatives around the country. Among them is a programme to put 135 unemployed engineers to work, in partnership with the Automotive Industry Development Centre Eastern Cape (AIDC EC) and its members. Among the companies supporting the programme are Lumotech, Benteler, G.U.D Holdings and Johnson Contols. In-house training is a vital component of the sector. Training at Work is a consultancy that specialises in offering exactly that: programmes can be customised to suit the employer’s and the employees’ needs. DaySeven Training is another company that offers courses that include Business Skills, Leadership and Workplace Readiness. 35 SOUTH AFRICAN BUSINESS 2018

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