Mining charter table
In South Africa, the Broad-Based Socio-economic Empowerment Charter for the Mining Industry (the Mining Charter) was formally published in August 2004. Gold Fields’ response to the Mining Charter is summarised in the annual report.
The table below reports on activities undertaken at Gold Fields’ South African operations during F2007 pursuant to the 2009 Mining Charter targets.
Human resources development
| Has every employee been offered the opportunity to be functionally literate and numerate by 2005 and are employees being trained? |
4,200 employees participated in ABET in F2007 while maintaining a teacher:student ratio of 1:15. Total cost of ABET R18.3 million for the year under review. |
5,911 learners targeted for ABET per annum. |
| Have career paths and skills development plans been implemented for HDSA employees? |
Workplace skills plans covering all HDSA employees were submitted individually by each operation to Mining Qualification Authority (MQA). |
Continue providing a workplace skills plan and annual training report covering all HDSA employees as required by the MQA as well as alignment to any new legislative requirements as they come into force. |
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Budgeted expenditure for skills programmes, bursaries, learnerships and in-service training R18.3 million:
- 66 bursaries were provided:
55 HDSA and 11 white males
- 235 learnerships were provided
- 100 in-service training beneficiaries – graduates and skills programmes – 76 HDSA and 24 white males.
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Continue providing bursaries, learnerships and scholarships at current budget levels in real terms. Bursaries will continue to be managed centrally through GFBLA. Individual operations will continue to manage study loans and study grants. |
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Overall expenditure on skills development and training amounted to R154.3 million or 4 per cent of South African payroll. Direct expenditure on skills development and training for F2007, R108.3 million with a further R46.0 million provided for additional discretionary investment in special skills programmes and the team, management and leadership mobilisation project under the Gold Fields Operational Excellence programme. |
Expenditure on skills development and training will be maintained at current levels in real terms. |
| Has the Group developed mentorship systems for empowerment groups? |
Mentorship philosophy upgraded to take account of global best practice thinking, and a more formalised approach to mentor selection, mentor-protégé matching, mentoring methodology, measurement and administration. Ready for full rollout in F2008. It will be further embedded in the redesign of individual development plans as well as in the newly adopted Technical Assistant contract which is an accelerated empowerment programme. |
All employees on succession plan and HDSA talent pools to be mentored. Succession plans and individual development plans available for all HDSA employees identified in talent pools as per workplace to be mentored. |
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Employment equity
| Has the employment equity plan been published and has annual progress in meeting this plan been reported? |
The 2007 employment equity plan has been submitted to the Department of Labour. The Transformation Steering Committee continues to monitor its implementation across all South African operations. |
The employment equity plan will continue to be revised and updated to ensure that it is in line with existing legislation. The transformation committees at operational and corporate level will continue to guide the implementation of employment equity. |
| Has a plan been established to achieve HDSA participation in management of 40 per cent within five years and is the plan being implemented? |
A plan to increase HDSA participation in management is in place and its implementation is overseen by the Transformation Steering Committee. |
A strategy is in place to achieve 40 per cent HDSA participation in management by 2009. |
| Has the company identified a pool of talent and is this being fasttracked? |
Succession plans and individual development plans are available for those HDSA employees identified in talent pools. |
Talent pool identification and fasttracking programmes have supported meeting the labour plan to next level targets. |
| Has a plan been devised to achieve 10 per cent participation by women by 2009 and is this plan being implemented? |
A women-in-mining steering committee has been established to guide the achievement of this target. Current levels have improved from 3.2 to 5.1 per cent with the inclusion of South Deep. A Women-in-Gold Fields committee has been established to especially address issues of women in leadership positions. |
A strategy is in place and continues to aspire to the Mining Charter target for 2009. |
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Migrant and foreign labour
| Has the Group subscribed to government and industry agreements to ensure nondiscrimination against foreign migrant labour? |
Group policy remains not to discriminate against foreign/migrant labour but to recruit locally where possible. |
Increase of local labour portion of South African workforce. |
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Mine community and development
| Has the Group co-operated in the formulation of integrated development plans and is it cooperating with government in implementing these plans in communities where mining takes place and in labour-sending areas? |
Gold Fields Foundation budgeted as per established formula for allocation to four key categories: Education, Community Development, Environment and Health. This allocated budget was R15 million. |
Maintain capacity to develop projects through multi-stakeholder consultation and align them with the integrated development plans of the concerned communities. |
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Maintain GF Foundation funding according to existing productionbased formula of 0.5 per cent of pre-tax profits and R1.00 for every ounce of gold produced in South Africa. |
| Has the Group engaged with local mining communities and those in labour-sending areas? |
Ongoing engagement with public and private sector stakeholders for both its mine host communities and labour source communities. Training on AA 1000 standard completed at the Beatrix and Driefontein operations.
All approved social and labour plans are being implemented at the operations in consultation with the appropriate stakeholders. |
Gold Fields will maintain ongoing engagement with public and private sector stakeholders for its communities and labour source communities. This engagement will be in accordance with the AA 1000 standard.
The contributions of the Gold Fields Foundation to the communities and labour source communities will be maintained according to the formula. However, actual funding will depend on project sustainability. |
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Housing and living conditions
| Regarding Group-provided housing, has the mine, in consultation with stakeholders, established measures for improving housing, including the upgrading of hostels, conversions of hostels to family units and promotion of home ownership options among employees? |
Continue to provide a broader spectrum of accommodation options to a growing percentage of the workforce. Total spend on hostel upgrade and conversion for F2007 R38.7 million.
Development of Gold Fields home ownership scheme which will support home ownership for employees in municipalities surrounding the mines as well as in the labour-sending areas from which our workforce comes. |
Agreements with organised labour entail that 50 per cent of the workforce will have a choice with regard to accommodation options (either accommodation or housing allowance) by 2009. Due to the time requirements of hostel conversion this will apply to 100 per cent only by 2013. |
| Have measures been established to improve the nutrition of mine employees? What has been done to improve nutrition? Show plan to progress this over time and demonstrate that plan is being implemented. |
Ongoing monitoring and reporting by a full-time dietician to ensure compliance with national nutritional standards. Menu content has been formally linked to the employee wellness programme. |
Ongoing reports from dietician to be submitted with recommendations for improvement in nutrition and cooking staff training requirements. Menu content to remain linked to employee wellness programme. |
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Procurement
| Have current levels of procurement from HDSA companies in terms of capital goods, consumables and services been identified? |
By the end of F2007, HDSA spend accounted for R1.4 billion, 43 per cent of total working cost and capital materials spend. We have thus exceeded our Mining Charter target of having more than 40 per cent of our working cost and capital materials spend provided by accredited HDSA suppliers. |
Achieve a more than 40 per cent HDSA procurement spend by 2009. Target has already been exceeded. |
| Has commitment been made to a progression of procurement from HDSA companies over a three to five-year time frame in terms of capital goods, consumables and services, and to what extent has this been implemented? |
The spend has increased to 43 per cent which is above target, up from 9.7 per cent in 2003. |
Maintain a more than 40 per cent HDSA procurement spend by 2009. HDSA supplier screening and accreditation system to remain in place. |
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Ownership and joint ventures
| What is being done to ensure the Group achieves 15 per cent HDSA participation in terms of ownership of equity or attributable units of production by 2009 and 26 per cent by 2014? |
Gold Fields complied with the 2005 target by completing a transaction with Mvelaphanda Resources Limited, effective 1 May 2004, in terms of which Mvela Resources, through its wholly-owned subsidiary, Mvela Gold will acquire a 15 per cent interest in, Gold Fields’ South African gold mining assets within five years for a cash consideration of R 4.1 billion. |
Plan for 2014 target through various initiatives. |
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Beneficiation
| Has the current level of beneficiation been identified? |
Gold Fields, together with AngloGold Ashanti, SARB and Standard Bank, operates a gold advance scheme in order to facilitate the provision of secured and cost effective advances of gold to the South African jewellery manufacturing industry. |
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| Has the baseline level of beneficiation been identified and has the company noted the extent by which this will have to increase to qualify for an offset? |
Gold Fields, together with AngloGold Ashanti, SAAB and Standard Bank operates a gold advance scheme to facilitate the provision of advances of gold to the South African jewellery manufacturing industry. This involves facilitating advances of gold by advancing collateral support in the form of guarantees. A Beneficiation Act has not yet been promulgated. Gold Fields continues to engage the DME to determine the criteria to qualify for an offset. |
Growth in this sector can only be achieved through additional development of the South African jewellery design and manufacturing industry and the development of additional industrial applications for gold. |
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Reporting
| Does the company report annually on progress made in meeting its commitments? |
To report, as part of its annual report, on progress made in terms of the guidelines set out by the Mining Charter Scorecard and to continue using the evolving Global Reporting Initiative guidelines in the compilation of our report. |
To report as part of its annual report on progress made in terms of the guidelines set out by the Mining Charter Scorecard and to continue using the evolving Global Reporting Initiative guidelines in the compilation of our report. |
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