Human Resources Portfolio Committee Briefing

1
Human Resources Portfolio Committee Briefing

• 24 August 2005
• Room G.26

2
Introduction and Background

• The Department of Water Affairs and Forestry
  must
• Firstly maintain its leadership role in the water
  and forest sectors in order to be an effective
  policy maker and regulator in order to achieve
  its public mandate
• Secondly maintain adequate technical capacity to
  manage the National Water Resources
  Infrastructure (the water equivalent of ESKOM)
• Thirdly maintain the respect of stakeholders and
  institutions established through relevant water
  and forest legislation by developing and
  retaining a very high level skills and competency
  base, and
• Fourthly visibly demonstrate a transformed
  Department in respect of skills and
  representivity

3
Introduction and Background

• The Department should be the employer of choice
  and develop and maintain the status of a
  learning institution
• The Department faces many constraints with regard
  to technical skill supply attributed to the
  inability of the Public Sector to retain and
  attract scarce skills as well as the general
  shortage of technically skilled human resources
  in South Africa
• The ability of the Department to achieve its key
  strategic objectives depends heavily on its
  management and technical skills base.
• Despite these constraints the Department will
  continue to strengthen its resolve to contribute
  to the Governments skills development strategy
  and implementation of the Human Resources
  Strategy

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Skills scarcity in the SA Labour Market

• Research has shown the following
• In 1999, only 11 of South Africans above the age
  of 20 held some form of post-matric
  qualification 12 have received no education at
  all. (Statistics SA).
• In 2001, 3 million of the 10 million economically
  active labour force were regarded as skilled or
  highly skilled 7 million were semi-skilled
  and unskilled (DOL, 2001).
• The biggest skills shortage is in the areas of
  technical and artisan skills. As a result,
  technical and professional occupations (e.g.
  nurses, teachers, doctors, engineers, IT workers)
  can command well paid posts in areas of their
  choice. At the more advanced skills levels, the
  problem is even more severe architects, doctors,
  engineers and scientists are very difficult to
  find and retain.
• (Extract from Feb 2005 DPSA Presentation to
  Portfolio Committee)

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Skills scarcity in the SA Public Service

• Both the private and public sectors in SA face
  major problems with regard to the availability of
  skilled human resources.
• The public service faces particularly serious and
  multi-dimensional skills constraints that cannot
  be addressed by improving skills levels alone.
• The context in which skills are used exacerbates
  shortages and focusing only on skills and
  technology transfer is a limiting perspective.
• Lower-skilled workers comprise half of public
  service employment, while semi-skilled workers
  make up 40.
• Managers and skilled personnel make up just 2
  and 8 respectively.
• As seen by DPSA, the skill profile is at odds
  with the skills required by a developmental state

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Business Report Online - 4 December 2003

• In its survey of June 2003, the SA Association of
  Consulting Engineers noted that 90 of its
  members reported increasing difficulties in
  recruiting good-quality engineering staff. New
  engineering entrants to the job market are at an
  all-time low.
• Graham Pirie, director of the Association, said
  Since there is already a shortage of young
  engineers, the industry could find itself in a
  crisis and the capacity to develop new
  infrastructure will be severely inhibited. For
  some time the Association has been highlighting
  the fact that there is a shortage of black
  engineers, but the survey has shown that firms
  are now also finding it equally hard to recruit
  white engineers. Promisingly, for the industrys
  efforts to transform, the survey showed that
  across all employment categories, African staff
  (excl. Asians Coloureds) have risen from 22 of
  total staff employed in 2002 to 25 in June
  2003.

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The main challenges for DWAF

• Profile of employees with technical/ professional
  scarce skills
• Scare skills profile/shortages in labour market
• Organisation of workplace to improve
  organisational culture
• Improvement of department and work environment to
  encourage employer of choice scenario
• Need to balance EE policies and AA measures with
  service delivery imperatives and scarce skills
• Stronger HRD focus on training, bursaries,
  mentoring, internships, learnerships
• (Extract from Feb 2005 DPSA Presentation to
  Portfolio Committee)

8
Personnel Expenditure vs PSP Expenditure (2004/05)

• Personnel Expenditure R 1 443 071 000
• PSP Expenditure R 198 280 000
• Comparison 13

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Areas of biggest Skills Shortage

• Engineering
• Information Technology
• Finance
• Science and
• General Technical

DWAF Competes with the Private Sector and other
Public Service Departments like
DEAT/DLA/AGRICULTURE/PUBLIC WORKS as well as with
Parastatals for the same skills
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Pillars of the DWAF HR Strategy

• Human Resources Planning
• Recruitment and Selection
• Retention Management
• Scarce Occupational Skills Initiative
• Skills Development and Workplace Skills Plan
  /Skills Audit

• Bursaries
• ABET
• Internship
• Learnerships
• Staff Development
• Mentorship/Coaching
• Employment Equity
• Utilisation of Consultants

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HR Planning

• Its ObjectivesTo identify critical/scarce skills
  and talent to better meet the departments
  objectives. It engenders proactive and timeous
  recruitment and forecasts the human resources
  needs of the departments against the availability
  in the labour market
• Addressing the HR needs of Dwaf The plan is
  predicated on the departments strategic plan and
  the current skills , competencies and capacities
  of the current staff. It is also an attempt to
  flush out risk areas and is driven by Affirmative
  Action , Skills Development and the impact of
  HIV/AIDS on sustainable human resources
• The HR Plan is underpinned by MTEF Budgetary
  provision / Planning of Recruitment / Planning
  for Retention and Planning development and
  deployment
• Consolidated HR Plan and Review The Departments
  consolidated HR Plan is under review in terms of
  a Manco decision of June 2005 and is due at the
  end of September. The methodology and project
  plan approved by Manco

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Recruitment and Selection

• Principles Recruitment is the prime instrument
  for obtaining skills necessary to meet the
  Departments strategic and operational Needs and
  for achieving employment equity goals - As
  compared with Skills Development. The stability
  of the Department largely depends on its human
  resources.
• Advertising Recruitment and Selection (including
  recruitment outside of RSA e.g Cuban Contract)
• Headhunting
• Secondments
• Internship/Learnership / Bursaries

13
Recruitment (reporting period 2004/05)
Note 634 appointments made
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Retention Management

• The Department of Water Affairs and Forestry is
  constantly looking to recruit and cultivate
  talent, not merely when a vacancy exists. This is
  the most effective strategy to attract the best
  available talent
• At strategic management level the Department
  actively supports the policy to attract and keep
  talent.
• Remuneration is not necessarily the only way in
  which Dwaf can retain staff, as a short term
  retention strategy it may work until a
  competitor outbid on salary alone.
• The Department seeks to ensure the existence of
  adequate motivators like career fulfilment and
  development, personal recognition, growth
  opportunities, flexibility, incentives, selective
  secondment, foreign travel

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Statistics of Retention in DWAF
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Scarce Skills Allowance - as a Retention
Intervention

• DWAF has identified a composite of scarce skills
  for submission to DPSA for purpose of scarce
  skills allowance
• A process to determine whether demand of these
  skills outweigh supply
• Determining the required advance knowledge ,
  studies And specialisation and years of service
• A comparative analysis of remuneration packages
  with Private Sector undertaken
• Note Once approval by DPSA a non pensionable
  SOC allowance will be paid

17
Turnover Rate by Salary Band (reporting period
2004/05)
18
Reasons why staff leave (reporting period 2004/05)
19
Exit Interviews

• 16 Exit Interviews were conducted 2004 (HO)
• 5 Resignation were of SOC Engineers
• Reasons advanced
• Better remuneration in the Private Sector
• Better career prospects in private companies
• Starting of own business
• No Longer interested in the Public Service

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DWAF HRD Strategy
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Skills Development

• Imperatives of Skills DevelopmentBy developing
  the skills of staff the Department places itself
  in a position to improve its efficacy relative to
  its business objectives
• Workplace Skills PlanCompiled and submit on an
  annual basis in terms of the Skills Development
  Act and provides a barometer of the composite
  skills in the Department - also a basis of
  overall HR interventions like PMDS / Retention
  Management/Succession Planning etc
• Skills Audit A dedicated process within the
  Department to obtain credible baseline
  information of the skills profile of employees of
  the department. In comparing the skills profile
  with the basket of skills and competencies
  required by the Department the gap for
  intervention is ascertained. This provides for
  targeted intervention and cost analysis.
• DWAF Initiatives Sector Collaboration (Setas and
  DOE) / Bursaries /Internship/Learnership/ABET/
  Awareness making through exhibitions (Nasrec)
  /Collaboration with SABC

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Workplace Skills Plan /Skills Audit

• Workplace Skills Plan for 1 July 2004 - 30 June
  2005 duly submitted to LGWSETA
• Current reporting years WSP in progress together
  with a Secondary Skills Audit
• Note Skills and qualification profile of
  DWAF Staff outlined
• Skills Audit for SMS due for completion
  end of September

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Training Needs Identified
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DWAF Bursary System

• Its Objectives DWAF Bursaries are aimed at
  addressing the skills backlog and as a vehicle
  for addressing representivity in the Department
  and encourage entry to scarce occupational
  classes.
• Feeder of Talent External and Internal bursaries
  is a means to acquire relevant scarce
  occupational skills in anticipation of future
  departmental needs and to develop current staff
  in line with their core functions in the
  department
• Statistical Information At the end of 2004 the
  Department took over 7 study loans (5 males and 2
  Females 1x white 6 x black)/ During 2004 21
  students qualified and were placed in the
  Department 15 Males and 6 Females 16 Blacks and 5
  Whites), 163 internal and 18 external bursaries
  where awarded for the 2005 academic year

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Adult Basic Education and Training

• Its Objectives Abet is a transversal
  intervention in government to address levels of
  illiteracy and semi illiteracy. The thrust of the
  Departments intervention is based on accelerated
  development. To develop the potential of
  employees and for optimal utilisation of these
  employees. Also for employees to become part of
  the mainstream socially , economically etc.
• Feeder of Talent The challenge now is for this
  initiative to go beyond numeracy and literacy and
  to accelerate development for career development
  as a incentive for passing ABET levels
• Statistical InformationCurrently there are 2359
  learners (1274 males and 1085 females) across
  levels 1 - 4 in the Department.

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Internships

• Its Objectives This is a direct response to
  address governments drive against unemployment
  and job creation. It addresses the need for
  graduates to obtain experience tial and work
  training to enhance their ability to enter the
  formal employment market.
• Feeder of Talent 66 Interns recruited for 2004
  / Currently (2005) there are 16 Interns employed
  in the DWAF system with a target of 100 / 5
  Interns have been able to secure permanent
  appointment ( 3 in DWAF and 2 in the Department
  of Minerals and Energy) Note 2 of the appointees
  in DWAF are black males appointed in Engineering
  related field and one a black female as a
  Forestry Scientist
• Statistical Information At the end of 2004 DWAF
  had 66 Interns ( 33 Females and 33 Males)
  Functions in Finance/Forestry/HR/Civil
  Design/Mechanical and Electrical
  Engineering/Resources Directed Measures/Resources
  Quality Services/Water Abstraction/Strategic
  Planning/Water Resource Information/Water
  Use/Administration

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Learnership

• Its objectives Government initiative under DOL
  to address imbalances of the past in areas of
  skills/competencies/educational
  qualifications.DWAFs learnership programme
  addresses the skills gap of DWAF employees in the
  lower occupational levels in the organisation
• Feeder of Talent The Departments identified
  learnership programmes in Water Purification
  Process Operations NQF Level 2/Waste Water
  Process Operations NQF Level 2/Water Reticulation
  Services NQF Level 2 (Note NQF Level 2 is equal
  to High School Grade 10)
• Statistical Information The NCWSTI is at present
  hosting 88 learners from Limpopo/Mpumalanga ( 76
  Males and 12 Females)

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Employment Equity

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Steps to address Employment Equity

• DWAF Employment Equity PlanUndertakings duly
  made to address this situation in the next
  reporting cycle. Recruitment and selection
  targeted - also through headhunting provisions of
  the recruitment and selection process
• Monitoring and Evaluation ( EECF)Departmental
  wide monitoring exist through the Directorate
  Transformation and the Employment Equity
  Consultative Forum. Unions also represented.
  Gender Focal Point establishment also imminent.
• Note Historically the jobs offered in the
  Department mostly attracted males e.g. Engineers
  , Geomatics etc.There is a move away from this
  stereotype. The Department encourages women to
  apply. Also its bursaries (internal and external)
  are focused on encouraging women.

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Employment of Women
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Steps Undertaken to accelerate Employment of Women

• Given that only 26 women occupy decision
  making positions
• Business Unit employment equity plans adjusted to
  address levels women representation in the
  Department
• Where formal recruitment and selection process
  do not succeed in appointing women , headhunting
  resorted to.

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Employment of People with Disabilities
33
Steps taken to accelerate the Employment of
People with Disabilities

• It is evident that most employees with
  disabilities are employed at the lower level of
  the Department
• A Gap of 1.76 has to be filled by DWAF
• Accelerated Recruitment
• Prioritising and preference for disabled
  candidates
• In-house development of disabled in the employ
• More vigorous interaction with relevant disabled
  peoples organisations

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Use of Consultants (1)

• Appointment of consultants in line functions
  where post exist is not encouraged
• However , where the labour market cannot supply
  such scarce skills consultant firms are appointed
  or alternatively arrangements are made for the
  secondment of identified staff with the intention
  of skills transfer
• Where projects require highly specialised skills
  which do not exist in the Department it is then
  expedient to appoint consultants, eg Special
  forensic audits, transaction advisors, specialist
  aquatic scientists, independent opinions such as
  technical reviews and legal opinions.
• Short term contractual appointment in terms of
  the Public Service Act are also possible. This
  with the proviso that the level approved are
  adequate to attract such short term talent.
  Provision for skills transfer also imperative in
  this instance

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Use of Consultants (2)

• The Department will not reach a stage where it no
  longer appoints consultants
• It would not be cost effective for the Department
  to retain all the skills it may require to
  execute its mandate
• Given the challenges facing the Department and
  other institutions in the sector in competing
  from the same pool of expertise the Department
  will have to ensure that it retains sufficient
  capacity remain an informed client in terms of
  the management of consultants
• The Department has also taken steps to review the
  current guidelines/policies for the appointment
  of professional service providers to ensure that
  skills transfer is more effectively managed.

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Use of Consultants (3)
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How does the HR Strategy Address the Skills
Shortage

• Sector Involvement
• WSP/Skills Audit
• Specific and Targeted Interventions
• Short Course/ Accelerated Development

• Mentoring and Coaching
• Collaboration with Institutions of Higher
  Learning
• Secondments and
• Deployment

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Employment and Vacancies (reporting period
2004/05)
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Vacancies by Critical Occupations (1)
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Vacancies by Critical Occupations (2)