SOCIAL AND LABOUR PLAN

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SOCIAL AND LABOUR PLAN
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Overview of the Presentation

• DME Community Development Perspective
• Best Practice
• Procurement
• Housing and Living Conditions
• Conclusion

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MINING AND COMMUNITY DEVELOPMENTDME PERSPECTIVE
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OBJECTIVES

• Foster constructive working relationships and
  alliance among communities, companies and
  Government
• Build Capacity to address sustainable development
• Improve opportunities for the sustainable
  development of the mining communities and regions
  during all phases of the mining cycle
• Promote value adding potential of mine
  development in support of local and regional
  social and economic sustainable development
  efforts on funded priority projects in an area of
  operation.

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RELATIONSHIP BETWEEN MINING AND COMMUNITY
DEVELOPMENT

• Community Development is the process of
• increasing the strength and effectiveness of
  communities
• Improve the peoples quality of life
• To enable people to participate in decision
  making in order to achieve greater long-term
  control over their lives
• Sustainable community development programmes are
  those
• that contribute to the long-term strengthening
  of the communitys viability
• The essential element is for the communities to
  survive beyond the orebody depletion
• During the lifespan of the mine, the community
  can be supported by mining practices, spin offs
  that can convert one local asset to another local
  asset extraction of a natural resource capital
  to sustainable human and social capital

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ROLE OF THE MINING INDUSTRY

• Mining industry can act as a catalyst for
  positive change in areas where there could be
  little opportunities for economic and social
  development
• Adopt a strategy approach- development activities
  linked to long-term strategic objectives for the
  company and aligned with existing and future
  community development plans
• Ensure consultation and participation
• Work in partnership- private, government,
  community and other stakeholders bring different
  skills, resources shared interests and
  objectives to achieve intended goals

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STRATEGY TO SUPPORT COMMUNITY DEVELOPMENT

• Mining companies should focus on
• building expertise, share skills in trade,
  administration, management, finance, operating
  and maintaining mobile and fixed machinery
• Promoting local supplier and contractor
  capability
• Facilitate growth of all activities which are
  required for mining
• The building of equipment , machinery and supply
  of good and services should be localised
  Creation of jobs
• Local agriculture development is also a key area
  for sustainable community development
• Support and participate in infrastructure
  development and basic services housing etc

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COMMUNITY DEVELOPMENT IS GOOD FOR BUSINESS

• If communities benefit greatly from a mining
  operation, they will have a significant role in
  seeing the mine operate succesfully and help the
  company to overcome obstacles that could
  adversely affect the mining operation
• If the company contributes to the well-being and
  development of the community, the company will
  benefit in terms of the following
• Continuity of operation
• Reputation
• Resources
• Reduced closure costs and rehabilitation
• Productivity and local support
• Local workforce
• SUCCESS SUCCESS SUCCESS

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Local Economic Development (LED) Approach

• Requirements
• Provide the social and economic background
• of the area of operation / sending area
• Provide the activities of the area
• Provide the needs of the area
• Provide the key priority areas to be addressed
• Provide the LED plan in line with the targeted
• areas of need
• The projects should address and be aligned to
• the needs

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Local Economic Development

• Purpose
• Address an identified need within a community
• Ultimate beneficiaries should be community and
• not an individual
• Project should be sustainable
• Project should have clear measurable
• deliverables
• Project should have clear timeframes
• Improve quality of life of people
• Eradication of poverty
• Reduction of unemployment
• Sustainable job creation

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Procurement Progression Plan

• Requirements
• Give HDSA preferred supplier status
• Identification of current level of procurement
  i.t.o.
• capital goods, consumables and services
  (Form T)
• Commitment to a progression of procurement
• from HDSA over 3-5 Years i.t.o. capital
  goods,
• consumables and services (Plan)
• Acceptable or Credible Procurement
• Credible level and type of procurement
• Good mix / no bias towards the easy to do
• Meaningful at local level
• Non availability of local suppliers -
  Intervention

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Housing and Living Conditions

• Employees
• Current status of employees housing
• Current status of hostels
• Communities
• Current status of houses within the community
• Municipalitys strategy to address housing
• Plan
• Plan to promote homeownership to employees
• Plan to upgrade hostels
• Plans should integrate with the municipalitys
  plan

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BEST PRACTICE

• New Mining Right
• Company identified the needs
• Amongst other needs, the following were
  identified as priority
• - housing
• - access to water
• - Electricity
• In response
• Company built better houses for community
  members
• Water was made available to the communities
• Plans underway to supply electricity

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OLD HOUSES
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ROLE OF DME

• In line with the objectives
• Ensure participation of mining companies in IDP
  and related developmental forums
• Participate in IDP Forums
• Ensure mines and municipalities and communities
  work together
• Ensure mines contribute to local economic
  development by addressing the set objectives
• Assess LED projects to be implemented in line
  with the set standards
• Liaise with both municipalities and mines in the
  acceptance of LED project where necessary
• Where relevant, assist in the identification of
  LED projects
• Monitor progress on identified projects

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Conclusion

• The MPRDA is a better piece of legislation than
  Minerals Act, 1991,
• The MPRDA has rejuvenated the mining industry,
• There is still a long way to go.
• SA belongs to all who live in it.

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THANK YOU