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FOODBEV SETA

FOODBEV SETA. Labour Portfolio Committee 30 August 2005 Ravin Deonarain. Introduction and Appreciation. Thanks and Appreciation: Hon Minister of Labour, Hon Chairperson of Labour Portfolio Committee Hon Committee Members Representatives of FoodBev Seta

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FOODBEV SETA

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  1. FOODBEV SETA Labour Portfolio Committee 30 August 2005 Ravin Deonarain

  2. Introduction and Appreciation • Thanks and Appreciation: • Hon Minister of Labour, • Hon Chairperson of Labour Portfolio Committee • Hon Committee Members • Representatives of FoodBev Seta • Past Chair: Mr Tommy Van der Walt • Past Vice Chair: Mr Zola Nkomo • Acting Chair: Ms Sylvia Hammond • CEO: Mr Ravin Deonarain

  3. Presentation Outline • FoodBev Sector • Highlights and Lowlights • Funds received and disbursement • Contribution to National Objectives of Growth, Employment and Poverty Alleviation • Opportunities and challenges in implementing NSDS 2005 - 2010 • Questions and Answers

  4. The Food and Beverages Manufacturing Sector Some economic characteristics

  5. Background and Sub Sectors • Background • Historically not organised as a sector • Formation of Foodbev Seta • 5 Sub Sectors • Beverages • Food Preparation Products • Baking Cereals Confectionary Snacks • Dairy • Processed Preserved Meat Fish fruit Vegetables

  6. Economic Characteristics • Diverse sector • Price sensitive products • High production volumes – costs driven • Capital intensive and technology driven • Intense brand competitiveness • Dominated - few large corporations and multinationals • Large number small food manufacturers • Mergers and acquisitions (brands)

  7. Economic Characteristics • Companies and Products: SA Breweries, Kellogg's, Nestle, Frito-Lay Simba, ABI, Coke Cola, Tiger Brands, Unilever Foods, Clover, Oceana Fishing, Enterprize Meats, Nabisco, McCain's Foods, Beacon, Cadbury’s Bokomo • Contribution to GDP : R83.2 b for Food R30 b for Beverages • Total employment : +-176 000 • Levy Income at 80% : R 96 Million

  8. Labour Market • 1994: Macro Economic Stabilisation and Trade Liberalisation • Growth in demand for skilled labour • Growth in supply of unskilled and semi skilled • Production - 18 % of manufacturing sector output • Employment - 13,5% of manufacturing sector • Wages - 9,5% of manufacturing sector • Employment – 2 % of total economy (DTI, 2003)

  9. FoodBev Seta The Organisation

  10. VISION To have sufficient and appropriate knowledge and skills available in the food and beverages manufacturing sector in order to contribute to: • the growth and development of the sector; • a safe, healthy, productive and competitive industry; • the promotion of access to quality education and training for all to participate in work and life, and • the redress of past inequalities in education and training.

  11. MISSION The stakeholders of the food and beverages manufacturing sector are committed to ensuring that: • relevant and quality learning standards and qualifications are available in this sector; • a high quality of learning provision is maintained in this sector, and • access to knowledge and skills is improved for all in the sector.

  12. BUSINESS OBJECTIVES • TO ACHIEVE AND EXCEED THE NATIONAL SKILLS DEVELOPMENT TARGETS FOR THE SECTOR • TO MANAGE EFFECTIVE OPERATIONS WITHIN 10% OF TOTAL LEVY INCOME. • TO ACHIEVE HIGH LEVELS OF SERVICE DELIVERY AND EXCELLENCE

  13. GOVERNANCE • Structure • FoodBev Seta Council • 20 members • 10 business • 10 labour • Chambers • 5 x Committees – sub sectors • Max 16 members per chamber committee

  14. HOW IT WORKS

  15. Organisation Profile • ADMINISTRATION BUDGET • R 10.7 m • STAFFING • 25 permanent staff • +- 5 temps and contract • ORGANISATION PERFORMANCE • FINANCIAL • NSDS TARGETS • CUSTOMER SERVICE

  16. ORGANISATION STRUCTURE

  17. EMPLOYMENT EQUITY

  18. ADMINISTRATION BUDGET

  19. FoodBev Seta HIGHLIGHTS AND LOW LIGHTS

  20. NSDS Objective 1: Developing a culture of high quality life-long learning

  21. NSDS Objective 2: Fostering skills development in the formal economy for productivity and employment growth • 2005 Targets based on 3056 levy paying companies

  22. Success Indicator NSDS Target FoodBev Performance Percentage Achievement 3.1 SMME’s supported in SD 20% • 52% • 259% NSDS Objective 3: Stimulating and supporting skills development in small businesses Employed on Learnerships only, 560 on SMME interventions, 200 on Skills Programmes; additional 350 SMME companies applying for Mandatory grants.

  23. Project Outputs NSDS Target FoodBev Performance Percentage Achievement % age of NSF funds deployed R 32 m • 100% • 100% 4.1 ABET 1000 • 1292 • 129% 4.2 Learnerships/programme 1000 • 1024 • 102% 4.3 Bursaries 20 • 47 • 235% 4.4 Unemployed on Learnerships/programmes 200 • 213 • 107% 4.5 SMME’s 300 • 507 • 169% 4.6 HET student SMME support 50 • 60 • 120% NSDS Objective 4: 100% NSF Fund spent on viable development projects

  24. Success Indicator NSDS Target FoodBev Performance Percentage Achievement 5.1 Unemployed on Learnerships 2400 • 3914 • 163% 5.1 Placement & employment 50% • 68% • 136% Average Performance • 154% NSDS Objective 5: Assisting new entrants into employment

  25. EQUITY STATS

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