Human capital

Employment equity

Foskor is committed to transforming itself into a fully representative company and regards meeting the requirements of the Employment Equity Act (No. 55 of 1998) as a business imperative. Foskor has formally implemented programmes to develop and promote staff in designated groups, such as expatriate skills transfer programmes, mentoring programmes and graduate recruitment and development programmes.

Foskor successfully complies with the Department of Labour’s recommendations and submits employment equity reports as required by the Employment Equity Act. Employment equity forums at both operations ensure that appropriate plans are developed, executed, monitored and communicated to employees. The group experiences challenges in attracting suitably qualified women in the mining discipline, and thus makes attracting women to work in the group’s core business a focal point.

The Mining Division established a Women in Mining forum to:

• Evaluate, promote, support and encourage the women’s forum initiatives;
• Vet and implement these initiatives;
• Monitor and evaluate trends and recommend changes to procedures;
• Disseminate information on matters relating to women in mining; and
• Strengthen networking with relevant stakeholders.

Employment relations

Interactions governing the relationship between Foskor and its staff remained stable over the period under review. Ongoing consultations, to gauge areas of conflict, allow for joint problem solving and have resulted in the following:

• Substantive negotiations around conditions of employment were successfully concluded with the three recognised trade unions, namely, Solidarity, NUM and CEPPWAWU. Employees in the bargaining unit will receive an effective increase of 12.3% on basic wages;
• The resolution of pending matters culminated in a job evaluation settlement being signed between management, NUM and Solidarity in Phalaborwa. Negotiations for this agreement commenced in 2003; and
• A memorandum of understanding was entered into between Foskor (Pty) Ltd, Foskor Zirconia (Pty) Ltd and NUM to govern the working relationship between the parties.

Employee benefits

Foskor aspires to provide affordable, effective and sustainable health care, as well as death or disability benefits, to all employees and their dependants. Foskor retains a healthy workforce by offering staff access to well managed medical care and insurance. Employees have freedom of choice with regard to the medical aid service provider and the level of health care cover. The company subsidises a portion of medical aid contributions. Death and disability benefits from a reputable provider cover own death; permanent or temporary disability; and the death of a spouse or partner of an employee. Foskor also offers staff funeral cover and mortgage protection through a recognised financial services provider.

It is compulsory that all permanent employees be members of the company’s retirement fund, which is registered with the Financial Services Board and the South African Revenue Service. Foskor contributes monthly to the fund on behalf of the employees, and individuals can choose the percentage contribution that they wish to invest.

Employee well-being

Foskor remains devoted to the welfare of its employees. The company’s employee assistance programmes offer free professional services, to enhance the quality of life and to help staff improve performance and productivity.

The Foskor employee assistance programmes focus on:

• HIV/AIDS and other illnesses;
• Disabilities;
• Addiction (alcohol and other substances, gambling etc.);
• Stress management;
• Trauma and bereavement counselling;
• Financial life skills management; and
• Case work dealing with family matters.

HIV/AIDS ravages communities throughout Africa. Foskor acknowledges the seriousness of the pandemic and offers support to employees and their families to manage the disease. The interventions conducted during the period under review include the following:

• Focusing on prevention against infection through ongoing training and awareness sessions;
• Voluntary counselling and testing;
• Provision of nutrition supplements; and
• Provision of antiretroviral treatment to infected employees.

During the period under review, both Foskor operations retained the SANS 16001 certification for the HIV/AIDS management system.

Human resources development

In the year under review Foskor embarked on a talent management project, using cutting edge methodologies and techniques to benchmark and position the company’s most critical and influential people. The company has a strong succession pipeline, cultivates talent and has measures in place to retain and transfer skills.

The Human Capital Division commits to the following:

• Further aligning the talent management strategy to the business strategy and goals;
• Convincing talent to stay in the organisation;
• Sharing accountability with stakeholders;
• Narrowing the gap between talent supply and demand;
• Enriching performance management and leadership;
• Fully understanding the talent supply management process; and
• Maintaining Foskor’s status as employer of choice.

The Human Capital Division focuses on building competencies and enhancing the leadership capabilities needed to achieve business excellence, while building skills pipelines for the future. When recruiting, the division considers both employment equity criteria and succession management needs.

The Human Capital Division coordinates a range of development programmes to equip employees with the skills necessary to compete successfully in a demanding and challenging environment.

These programmes are in the following areas:

• Portable skills;
• Bursaries and study assistance;
• Graduates-in-training;
• Learnerships and mentorships; and
• Technical assistance.

Human resources development

In the year under review Foskor embarked on a talent management project, using cutting edge methodologies and techniques to benchmark and position the company’s most critical and influential people. The company has a strong succession pipeline, cultivates talent and has measures in place to retain and transfer skills.

The Human Capital Division commits to the following:

• Further aligning the talent management strategy to the business strategy and goals;
• Convincing talent to stay in the organisation;
• Sharing accountability with stakeholders;
• Narrowing the gap between talent supply and demand;
• Enriching performance management and leadership;
• Fully understanding the talent supply management process; and
• Maintaining Foskor’s status as employer of choice.

The Human Capital Division focuses on building competencies and enhancing the leadership capabilities needed to achieve business excellence, while building skills pipelines for the future. When recruiting, the division considers both employment equity criteria and succession management needs.

The Human Capital Division coordinates a range of development programmes to equip employees with the skills necessary to compete successfully in a demanding and challenging environment.

These programmes are in the following areas:

• Portable skills;
• Bursaries and study assistance;
• Graduates-in-training;
• Learnerships and mentorships; and
• Technical assistance.

Succession management makes provision for the smooth continuation of functions performed by staff in critical positions. The Human Capital Division sets the criteria for development plans aligned to Foskor’s strategy. Foskor keeps a watchful eye on staff movements in the financial, technical and engineering fields and tries to minimise the impact on the company of labour turnover. An outgoing executive may be shadowed by a successor for up to 18 months to facilitate a smooth handover.

All training and development is based on thorough needs analysis, taking cognisance of the business strategy. As part of the company’s initiative to develop expertise, a National Certificate: Chemical Operations, an NQF Level 2 qualification that is accredited by the Chemical Industries Education and Training Authority, is offered in-house. A total of 25 employees were trained during the period under review. Foskor’s artisan and chemical operations learnership programme had 62 learners. To retain artisan competence in the group, the company embarked on an aggressive artisan competency assessment drive, through which all artisans were assessed and re-trained where necessary.

Foskor offers bursaries to school-leavers interested in mining and chemical engineering related disciplines, such as engineering, geology, metallurgy and chemical engineering. Foskor has a learning culture that complements education and competency with study aid, for the mutual benefit of both the individual and the organisation. For the period under review, 48 employees received study assistance.

Foskor currently has nine participants in the three-year Graduate-in-Training Programme. This programme bridges the gap between academic theory and the practical working environment. Every graduate-in-training has a mentor, who facilitates training and development, pinpoints opportunities and develops leadership.

Foskor also offered adult basic education and training to 93 learners for the period reviewed.

Foskor, in partnership with external faculties such as Mopani FET College, runs a talent management programme to develop competencies. A similar partnership exists in Richards Bay, with the Joint Training Committee forming part of Zululand’s Chamber of Commerce and Industry.

To enhance management’s performance, participation in a senior management development programme at any of South Africa’s leading higher education institutions is encouraged.

Foskor emphasises formal leadership development initiatives, mentorship programmes and talent review sessions involving senior managers. Building and retaining a pool of current and future leaders is a priority for Foskor, and interventions to this effect, such as executive coaching and comprehensive talent reviews, are ongoing.