South Africa Mine Labour Study

SFA (Oxford) and its analysts have a wealth of experience working in South Africa, managing mines, working with mining companies, as well as in-depth, on-mine consulting in labour force availability, skills, health and demographics. Bringing this experience to account through demand from industry stakeholders to detail the challenges of securing mine labour in South Africa, SFA (Oxford) has put together a mining skills study to analyse, on a high-level basis, labour requirements and consequent wage and unit cost implications for the South African mining industry.

Who Should Read This Report

  • All mining, junior and associated contracting companies with exposure to South African assets.

The Report

SFA (Oxford)'s South Africa Mine Labour Study offers a short-term view of mining labour productivity, wages and unit costs, as well as longer-term trends and forecasting. The report focuses on the following core areas of analysis:

  • Key factors driving wages: Union negotiations, labour supply and demand etc.
  • Mining wage forecasts, including a methodology explanation.
  • Labour supply and demand forecasts: Analysis of supply and demand of labour based on expected mining projects in the country (graduates and labour pool available (for non-skilled workers)). 
  • Mining productivity analysis (tonnes of material moved per employee), including growth and improvement strategies.

With a view to providing a general skilled vs. unskilled forecast including commentary on supply and demand and wage determinants, SFA (Oxford) analyses:

  • Mine methods and mineral resources: The focus of the report will be wide-ranging, going beyond PGMs to South Africa’s mining industry as a whole. For this purpose, SFA (Oxford) offers a comparison of key extraction types present in South Africa – open-pit coal, iron ore, chromite, underground PGMs, underground gold etc. The comparison will lead to conclusions about likely productivity developments on individual mine and industry-wide bases.
  • Unions: The role of the unions and the level of unionisation are discussed, including analysis of labour arrangements for full-time employees vs. contractors. In particular, the issue of unions’ future wage requirements is considered.
  • Political impact: The likelihood and potential impact of political developments on labour policy and arrangements over the next five years are also investigated. 
  • Foreign skills: Filling the skills gap by way of hiring workers from abroad is considered against unions’ likely reaction.

In the report, SFA (Oxford) sets out its forecasting methodology and, where relevant, supporting data and explanations.

Analyses are presented in both ZAR nominal and real terms

Your Copy

For more information on our South Africa Mine Labour Study, or to obtain a copy of the report, please get in touch with us.