Human and intellectual capital

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OUR PEOPLE

Our workforce consisted of 2 039 employees at December 2018 (2017: 2 020) on whose skills, education and experience we rely to deliver our strategic objectives. Core and specialist skills required throughout our operations include, among others, metallurgical engineering, rolling, roll-grinding, surface treatments and casting.

Employment equity

Hulamin believes in the development of all its employees, regardless of race and gender, but with more emphasis on people from designated groups. Hulamin regards employment equity as a special intervention required to address the past in providing equal opportunity to previously disadvantaged citizens of South Africa.

Employment equity is an integral component of Hulamin’s strategy with a particular focus on:

Employment equity targets

  Target 
2019 
% 
Status 
2018 
>% 
Number of 
people 
2018 
Black representation at senior management  58  46  34 
Black representation at middle management  85  81  156 
Black representation at skilled and supervisory level  91  95  1 005 
Women at senior management  12  11  83 
Women at middle management  23  19  36 
Women at skilled and supervisory level  15  19  197 

To this effect Hulamin has developed a formal Employment Equity Plan and designated the Chief Executive Officer as the custodian of ensuring the achievement of our five-year employment equity objectives. The Human Capital Executive is the senior employment equity manager appointed to drive its implementation. For more information on our Employment Equity Plan please refer to our sustainability report available electronically at www.hulamin.co.za.

In 2018, we continued to make progress against our representation goals in all management structures in the business.

Management control

We recognise that active participation of previously disadvantaged people in positions that influence the direction of the business is critical to real transformation.

As part of our employment equity process, a key objective includes transforming the representation on strategic decision-making bodies at all levels of the organisation. During the period in review, four employees were appointed to the executive management committee (EXCO), of which three are black.

Persons with disability

Efforts remain focused on providing reasonable accommodation for individuals with disabilities in our workplaces. Progress has been made in investing in developmental programmes to improve people with disabilities skills sets, as well their employability prospects.

INVESTING IN OUR PEOPLE

Skills development

Hulamin strives to develop skilled and motivated employees through an outcomes based approach to development that endorses personal growth, individual responsibility and a culture of lifelong learning. Training and development initiatives draw on the technological, operational and process knowledge that exists within the business, and uses this to guide employees into developing innovative solutions for real business challenges.

Hulamin believes that it is important to continue to develop organisational capabilities for future sustainability, and to contribute to reducing the skills shortage, thus boosting growth within the South African manufacturing context.

A Training Committee has been established which functions in accordance with requirements the Skills Development Act and the MERSETA. For further information on the terms of reference of the Training Committee please refer to our sustainability report which is available electronically at www.hulamin.co.za.

Talent management and development

Hulamin has implemented a talent management strategy to ensure that Hulamin has the appropriate plans and interventions in place that enable the organisation to have the right skills in place as cost-effectively as possible to meet future needs.

Hulamin’s Talent Universe Programme aims to develop, retain and unleash talent capability for current and future business. This initiative focuses on supporting and coaching leaders to redefine and shift their approach to talent by actively engaging in building and developing human capabilities at the same time challenging and holding people accountable.

To-date, 48 managers attended the On-Boarding programme, which is 87,3% of the targeted audience, the rollout process is due to be completed by the first quarter of 2019.

Performance management remains the key driver in our talent management approach. Key performance indicators and performance reviews are calibrated to ensure alignment to the business’s critical drivers. All employees are subject to biannual performance reviews and six career conversations with line managers.

Hulamin’s talent pipeline management programme is an important tool in building capability. Hulamin’s approach is to focus on bursars, engineers-in-training, in-service trainees, apprentices and learners on the learnership programme. Each year the intake for the respective programmes is reviewed in accordance with business needs.

More information of the components of our talent management and pipeline development programme is available in our Sustainability Report available on our website at www.hulamin.co.za.

EMPLOYEE WELLNESS

Safety

Hulamin is committed to the wellbeing of employees and to providing a safe working environment that ensures that the business continues to function effectively and retains and attracts skilled people in future.

Hulamin has embedded a culture of safety in the organisation to ensure that its plants are operated safely and that employees are protected from injury or from harm due to incidents or exposure. To achieve this, employees and the teams in which they work are guided and supported in taking responsibility for their own safety. Hulamin seeks to continuously improve its safety performance by measuring and monitoring both leading and lagging indicators that are aligned to industry best practice. The Hulamin Executive Team is ultimately accountable for safety.

A successful surveillance audit was conducted during June 2018 in terms of OHSAS 18001 (Occupational Health and Safety) management standard.

The number of lost time injuries (LTIs) decreased from eight in 2017 to two in 2018 with human behaviour being the biggest contributor to these injuries. Hulamin continues to monitor high-potential hazards and incidents that caused injuries to learn from them and improve safety behaviour and conditions.

The Total Recordable Case Frequency Rate (TRCFR) and the Lost Time Injuries Frequency Rate (LTIFR) is the number of recordable injuries divided by the number of hours worked, multiplied by 200 000. Targets for 2018 were LTIFR 0.05 and TRCFR 0.5.

Health

Hulamin believes that the good health of employees is essential for motivation, capability and productivity. To this end, we offer benefits for employees and their families. Hulamin has adopted a “shared responsibility” approach to the wellbeing of its employees. In this regard, the company equips employees with the appropriate education and healthcare facilities in order for employees to best manage their own health.

Hulamin is audited for verification and compliance in line with the OHSAS 18001 management standard.

Further information on our various health initiatives are provided in our Sustainability Report available on our website at www.hulamin.co.za

Employee participation

Employees are key to all aspects of Hulamin’s performance and future success. Hulamin’s employee engagement strategy is based on an open communication and consultation with its employees and their representatives.

Relationships with the unions remain that of mutual respect and progressive. In 2018, the company experienced its first industrial action since 2004. The incident affected only one of the three divisions in our Rolled Products operation in Pietermaritzburg. The incident was resolved within 48 hours.

The year in review, marked the end of Hulamin’s three-year wage agreement that was concluded with the unions in 2015. Of the issues referred to work group deliberation outside the wage agreement, 80% have been finalised.