1 Employment Equity as an imperative to Skills supply and demand. Presentation to Bankseta 25/10/07 Jimmy Manyi

2 Snippets of 7 TH CEE ANNUAL REPORT 2006/2007 Snippets of 7 TH CEE ANNUAL REPORT 2006/2007

3 CONSTITUTION of RSA Chapter 2 Bill of Rights Section 9(2) “ Equality includes the full and equal enjoyment of all rights and freedom. To promote the achievement of equality, legislative and other measures designed to protect or advance persons, or categories of persons disadvantaged by unfair discrimination may be taken”

4 PURPOSE OF EE ACT To achieve equity in the workplace by-   Promoting equal opportunity and fair treatment in employment through elimination of unfair discrimination; and   implementing affirmative action measures to redress the disadvantages in employment experienced by designated groups to ensure their equitable representation in the workplace

5 DISTRIBUTION OF REPORTS RECEIVED AND ANALYZED FROM 2000 TO reports were received and 8250 reports were analyzed in 2000; reports were received and 8250 reports were analyzed in 2000; 6990 reports were received and 6990 reports were analyzed in 2002; 6990 reports were received and 6990 reports were analyzed in 2002; 9389 reports were received and 5554 reports were analyzed in 2004; and 9389 reports were received and 5554 reports were analyzed in 2004; and 6879 reports were received and 4394 reports were analyzed in reports were received and 4394 reports were analyzed in 2006.

6 KEY REASONS FOR EXCLUDING REPORTS FROM THE ANALYSES Data in vital tables were not tallying; Data in vital tables were not tallying; Reports not signed by the CEO; Reports not signed by the CEO; Missing pages and inaccurate completion of certain sections; and Missing pages and inaccurate completion of certain sections; and Reports containing in-house categories and levels that do not correlate with the regulations. Reports containing in-house categories and levels that do not correlate with the regulations.

7 DG REVIEW –Sec 43  No consultation with Employees.  Arbitrary reports not based on any plan.  Consultants employed to help tic the box that report has been submitted.  No EE forums, just management.  Inability to find suitable blacks

8 Employer Attitude or Mindset Transformation  Wireless Racism  Race-consciousness vs Racism  Merit and AA  Marginalisation---Co-opted Black apologists- 37% drop in blk training  Psychological testing  Unrepresentative and intimidating panels  Uncustomised competency based interviews for new entrants

9 POPULATION DISTRIBUTION IN TERMS OF RACE & GENDER IN SA (CENSUS 2001) A total population of 44,819,777 was reported with the following distribution: 90.4 % Blacks (43.2% male & 47.2% women) 90.4 % Blacks (43.2% male & 47.2% women) 9.6% Whites (4.6% male & 5.0% women); and 9.6% Whites (4.6% male & 5.0% women); and 47.8% male & 52.2% women. 47.8% male & 52.2% women.

10 ECONOMICALLY ACTIVE POPULATION (EAP) DISTRIBUTION IN TERMS OF RACE & GENDER

11 EAP IN TERMS OF RACE & GENDER (LFS SEPTEMBER 2006) 87.2 % Blacks (46.9% male & 40.3% women) 87.2 % Blacks (46.9% male & 40.3% women) 12.8% Whites (7.3% male & 5.5% women); and 12.8% Whites (7.3% male & 5.5% women); and 54.2% male & 45.8% women. 54.2% male & 45.8% women.

12 EAP of total population 100% (female 45.7%, male 54.3%) EAP of total population 100% (female 45.7%, male 54.3%) EAP of Blacks 87.5% (female 40.2% & male 47.3%) EAP of Blacks 87.5% (female 40.2% & male 47.3%) EAP of Africans 74.1% (female 34.3% & male 39.8) EAP of Africans 74.1% (female 34.3% & male 39.8) EAP of Coloureds 10.3% (female 4.7% & male 5.6) EAP of Coloureds 10.3% (female 4.7% & male 5.6) EAP of Indians 3.1% (female 1.2% &. Male 1.9%) EAP of Indians 3.1% (female 1.2% &. Male 1.9%) EAP of Whites 12.6% (female 5.6% &. Male 7.0%) EAP of Whites 12.6% (female 5.6% &. Male 7.0%) ECONOMICALLY ACTIVE POPULATION

13 Suitably qualified person (Starting Point- EE Act )  Formal qualification  Prior Learning (Formal or experience gained elsewhere)  Previous experience  Capacity to acquire competence in a reasonable time

14 Smokes and Mirrors  Matric pass rate, maths and science  Starting point – Institute of Race Relations  Others start in 2006 instead of early 70’s  Setas are not training enough people (FSC)  Mismatch of black graduates v/s required skills (AAC)  No soft skills

15 EE TRENDS FROM 2000 TO 2006

16 PRESENTATION FOCUS – 1 ST THREE OCCUPATIONAL LEVELS Presentation focuses on trends involving the first three upper occupational levels. Presentation focuses on trends involving the first three upper occupational levels. The three occupational levels are Top Management, Senior Management and Professionally Qualified & Middle Management. The three occupational levels are Top Management, Senior Management and Professionally Qualified & Middle Management. This is where designated groups are most under- represented. This is where designated groups are most under- represented.

17 TOP MANAGEMENT – TOTAL % CHANGE FOR RACE FROM 2000 TO 2006  Blacks increased by 9.5%  Africans increased by 5.1% to 11.3= need 6.5*  Coloureds increased by 2.0% to 4.7= need 2.2*  Indians increased by 2.4% to 6.2 = 2*EAP  White women incrsd by 4.5% to 14,7 = ~3*EAP

18 TOP MANAGEMENT – TOTAL % CHANGE FOR WOMEN FROM 2000 TO 2006  Women increased by 9.2%  African women representation increased by 1.7%  Coloured women representation increased by 1.3%  Indian women representation increased by 1.2%  White women increased by 4.5%

19 SENIOR MANAGEMENT – TOTAL % CHANGE FOR RACE FROM 2000 TO 2006  Blacks increased by 8.4%  Africans increased by 4.7% to 13.4 %  Coloureds increased by 0.9% to 5.8%  Indians increased by 2.8% to 7.0%  White women increased by 2.3% to 19% and are more three times their EAP

20 SENIOR MANAGEMENT – TOTAL % CHANGE FOR WOMEN FROM 2000 TO 2006  Women increased by 6.4%  African women increased by 1.6% to 3.6%  Coloured women increased by 0.7% to 2.1%  Indian women increased by 1.4% to 2.3%  White women increased by 2.3% to 19%

21 PROFESSIONALLY QUALIFIED – TOTAL % CHANGE FOR RACE FROM 2000 TO 2006  Blacks decreased by 7.6% to 36.5%  Africans decreased by 12.6% to 20.2%  Coloureds increased by 2.5% to 8%  Indians increased by 2.5% to 8.3%  Whites increased by 6.1%, to 62.2% White males increased by 26.2% and are almost twelve times their EAP

22 PROFESSIONALLY QUALIFIED – TOTAL % CHANGE FOR WOMEN FROM 2000 TO 2006  Women decreased by 6.9% to 36,3%  African women decreased by 13.3% to 7.2%  Coloured women decreased by 1.2% to 3.4%  Indian women increased by 1.0% to 3.2%  White women increased by 3.8% to 22.1%

23 WORKFORCE PROFILE OF PEOPLE WITH DISABILITIES (PWD’S) (EE REPORTS 2006 – OCCUPATIONAL LEVELS)

24 % CHANGE FOR PWD’S IN EMPLOYMENT FROM 2000 TO 2006 PWD’s workforce representation was 0.9% in PWD’s workforce representation was 0.9% in PWD’s workforce representation was 1% in PWD’s workforce representation was 1% in PWD’s workforce representation was 1% in PWD’s workforce representation was 1% in PWD’s workforce representation was 0.7% in PWD’s workforce representation was 0.7% in 2006.

25 RECRUITMENT

26 TOP MANAGEMENT (EE REPORTS 2006 – RECRUITMENTS) Of all recruitments at this level : 38.9% were Black & 53.5% were White: and 38.9% were Black & 53.5% were White: and 72.2% were male & 22.2% were women 72.2% were male & 22.2% were women 7.6% were foreign nationals 7.6% were foreign nationals

27 SENIOR MANAGEMENT (EE REPORTS 2006 – RECRUITMENTS) Of all recruitments at this level: 32.8% were Black & 63.4% were White 32.8% were Black & 63.4% were White 68.5% were male & 27.7% were women 68.5% were male & 27.7% were women 3.4% foreign national 3.4% foreign national

28 PROFESSIONALLY QUALIFIED MANAGEMENT (EE REPORTS 2006 – RECRUITMENTS ) 40.8% were Black & 57.0% were White 40.8% were Black & 57.0% were White 59.9% were male & 37.1% were women 59.9% were male & 37.1% were women 2.3% foreign national 2.3% foreign national

29 RECRUITMENT (PWD’S) (EE REPORTS 2006 – OCCUPATIONAL LEVELS) Approximately 1% of all recruits were people with disabilities (PWD’S)

30 PROMOTIONS

31 TOP MANAGEMENT (EE REPORTS 2006 – PROMOTION) Of all promotions at this level: 31.3% were Black & 65.7% were White 31.3% were Black & 65.7% were White 71.7% were male & 25.3% were women 71.7% were male & 25.3% were women 3.0% were foreign national 3.0% were foreign national

32 SENIOR MANAGEMENT (EE REPORTS 2006 – PROMOTIONS) Of all promotions at this level: 39.7% were Black & 58.8% were White 39.7% were Black & 58.8% were White 66.8% were male & 31.7% were women 66.8% were male & 31.7% were women 1.7% foreign national 1.7% foreign national

33 PROFESSIONALLY QUALIFIED (EE REPORTS 2006 – PROMOTIONS) Of all promotions at this level: 60.8% were Black & 38.8% were White 60.8% were Black & 38.8% were White 65.1% were male & 34.5% were women 65.1% were male & 34.5% were women 0.4% foreign national 0.4% foreign national

34 PROMOTIONS (PWD’S) (EE REPORTS 2006 ) Approximately 0.2% of all promotions were people with disabilities (PWD’s).

35 CONCLUDING OBSERVATIONS & REMARKS

36 Black involvement in the economy  Management of the Economy predominantly in White hands  Both line and support functions dominated by Whites  Black people are largely in support functions  Even in those support functions, Black people remain largely without authority  Pace of transformation painfully slow

37 TRAINING  Whites dominate in the middle to upper levels when it comes to receiving training  Generally no purposeful training  Those Blacks who receive training appear to be on perpetual training with no graduation into meaningful career paths.

38 ENFORCEMENT MECHANISMS  Quantum of fines is meaningless and need to be revised upwards  Remedial action to kick in sooner  Specific proposals in the 2 nd half of 2007  Inspectorate has been advised to particularly focus on the Top 100 JSE

39 SHOULD WHITE WOMEN continue to BE DESIGNATED ? Whereas EAP of White women is 5.5%: Whereas EAP of White women is 5.5%:  14.7% of all Top Management positions  19% of all Senior Management positions  22.1% of all Professionally Qualified & Middle Management positions

40 THANK YOU