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CHAMBER: FAST MOVING CONSUMER GOODS AND PHARMACEUTICALS SUBSECTOR: FAST MOVING CONSUMER GOODS i

Transcript of INTRODUCTION - chieta.org.za€¦  · Web viewNon-traditional health aids such as vitamin and...

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CHAMBER: FAST MOVING CONSUMER GOODS AND

PHARMACEUTICALS

SUBSECTOR: FAST MOVING CONSUMER

GOODS

MARCH 2014

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Please Note:

The CHIETA developed subsector skills plans for the first time in 2013/2014, to achieve the mandate of the Chambers in terms of schedule 9(a) of the SDA 97 of 1998; to consult with the 9 sub-sectors of the Chemical Sector in areas of skills development and planning. The objective of such consultation is to compile a SSP for the sector that takes into consideration areas of skills demand, and skills supply.

The CHIETA subsector skills plans are a great start but will continue to be strengthened going forward as work in progress with particular emphasis on detailed planning.

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TABLE OF CONTENTS

1 INTRODUCTION...................................................................................................................................1

1.1 BACKGROUND..............................................................................................................................1

1.2 SCOPE OF THE SUBSECTOR..........................................................................................................2

1.1 FORMAT OF THE SUBSECTOR SKILLS PLAN..................................................................................2

2 PROFILE OF THE SUBSECTOR...............................................................................................................4

2.1 INTRODUCTION............................................................................................................................4

2.2 ORGANISATIONS IN THE SUBSECTOR..........................................................................................4

2.2.1 EMPLOYERS..........................................................................................................................4

2.2.2 EMPLOYER ASSOCIATIONS...................................................................................................6

2.2.3 TRADE UNIONS....................................................................................................................6

2.3 EMPLOYEES IN THE SUBSECTOR..................................................................................................6

2.3.1 TOTAL EMPLOYMENT..........................................................................................................6

2.3.2 TYPE OF EMPLOYMENT........................................................................................................7

2.3.3 EQUITY PROFILE OF THE SUBSECTOR...................................................................................8

2.3.4 EDUCATIONAL QUALIFICATIONS..........................................................................................9

2.3.5 AGE....................................................................................................................................11

2.4 CONCLUSION.............................................................................................................................13

3 ECONOMIC GROWTH AND FACTORS IMPACTING ON THE SUBSECTOR............................................14

3.1 ECONOMIC GROWTH.................................................................................................................14

3.2 FACTORS THAT IMPACT ON THE SECTOR...................................................................................15

3.2.1 ECONOMIC GROWTH.........................................................................................................15

3.2.2 INCOME LEVELS AND INCOME DISTRIBUTION...................................................................16

3.2.3 EXCHANGE RATES..............................................................................................................16

3.2.4 EXPANSION OF EXTERNAL MARKETS.................................................................................17

3.2.5 LABOUR CHALLENGES........................................................................................................17

3.2.6 INTERNET DEVELOPMENT AND ON-LINE SHOPPING.........................................................17

3.2.7 GOVERNMENT POLICIES AND INTERVENTIONS.................................................................17

3.3 CONCLUSION.............................................................................................................................18

4 THE DEMAND FOR SKILLS IN THE SUBSECTOR...................................................................................19

4.1 TRENDS IN EMPLOYMENT..........................................................................................................19

4.2 CONCLUSION.............................................................................................................................25

5 THE SUPPLY OF SKILLS TO THE SUBSECTOR.......................................................................................26

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5.1 NEW ENTRANTS TO THE LABOUR MARKET................................................................................26

5.2 THE TRAINING AND DEVELOPMENT OF EMPLOYEES.................................................................26

5.3 CONCLUSION.............................................................................................................................28

6 SKILLS SHORTAGES............................................................................................................................29

6.1 SCARCE SKILLS IN THE SUBSECTOR............................................................................................29

6.2 CONCLUSION.............................................................................................................................30

7 SKILLS PLAN FOR THE SUBSECTOR.....................................................................................................31

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LIST OF TABLES

Table 1-1 Scope of the FMCG Subsector......................................................................................................2

Table 2-1 Levy-paying companies and WSP submissions according to subsector.......................................5

Table 2-2 Size of levy-paying companies and companies that submitted WSPs.........................................5

Table 2-3 Highest qualifications of employees in the FMCG Subsector....................................................10

Table 2-4 Unidentified qualifications of employees in the FMCG Subsector.............................................10

Table 2-5 Age distribution per occupation category of employees in the FMCG Subsector.....................12

Table 4-1 Managers in the FMCG Subsector.............................................................................................20

Table 4-2 Professionals in the FMCG Subsector........................................................................................21

Table 4-3 Technicians and associate professionals in the FMCG Subsector..............................................22

Table 4-4 Clerical support workers in the FMCG Subsector.......................................................................22

Table 4-5 Service and sales workers in the FMCG Subsector.....................................................................23

Table 4-6 Skilled agricultural, forestry, fishery, craft and related trades workers in the FMCG Subsector 23

Table 4-7 Plant and machine operators and assemblers in the FMCG Subsector......................................24

Table 4-8 Elementary occupations in the FMCG Subsector.......................................................................24

Table 5-1 Training opportunities for employees in the FMCG Subsector: March 2012.............................28

Table 6-1 Scarce skills in the FMCG Subsector...........................................................................................30

LIST OF FIGURES

Figure 2-1 Employment in the Chemical Sector according to subsector: 2012...........................................7

Figure 2-2 Employment in the FMCG Subsector according to employment type: 2012.............................7

Figure 2-3 Employment in the FMCG Subsector according to race: 2012...................................................8

Figure 2-4 Employment in the FMCG Subsector according to gender: 2012..............................................8

Figure 2-5 Percentage employees with disabilities per subsector: March 2012..........................................9

Figure 3-1 Average percentage change of Gross Value Added: 1970-2020: Other chemicals and man-made fibres................................................................................................................................................15

Figure 3-2 Changes in GDP at 2005 constant prices: 2002-2013 (first quarter).........................................16

Figure 4-1 Employment: Occupations........................................................................................................19

Figure 5-1 Proportion of employees who received training opportunities according to occupational category: March 2012...............................................................................................................................27

ANNEXURES

ANNEXURE 1 OCCUPATIONS BY RACE AND GENDER IN THE FMCG SUBSECTOR.......................................33

ANNEXURE 2 OCCUPATIONS AND SPECIALISATIONS OR ALTERNATIVE TITLES FOUND IN THE FMCG SUBSECTOR................................................................................................................................................35

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ACRONYMS AND ABBREVIATIONS

ABET Adult Basic Education and Training

BET Basic Education and Training

CAIA Chemical and Allied Industries’ Association

CEPPWAWU Chemical, Energy, Paper, Printing, Wood and Allied Workers Union

CHIETA Chemical Industries Education and Training Authority

FET Further Education and Training

FMCG Fast Moving Consumer Goods

GIWUSA General Industries Workers Union of South Africa

HET Higher Education and Training

IPAP Industrial Policy Action Plan

IT Information Technology

NIPF The National Industrial Policy Framework

OFO Organising Framework for Occupations

IPAP Industrial Policy Action Plan

SACWU South African Chemical Workers Union

SETA Sector Education and Training Authority

SHE&Q Safety, Health, Environment and Quality

UASA United Association of South Africa

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EXECUTIVE SUMMARY

INTRODUCTION

The Chemical Industry Education and Training Authority (CHIETA) consists of five chambers that represent the nine subsectors of the Chemical Sector. The five chambers are:

Petroleum and Base Chemicals Fast Moving Consumer Goods and Pharmaceuticals Explosives and Fertilisers Speciality Chemicals and Surface Coatings; and Glass.

The scope of the Fast Moving Consumer Goods (FMCG) Subsector includes the following: Chemically-based general household and personal care products; manufacture of soap and other cleaning compounds; and manufacture of beauty products. The subsector consists of all consumer chemicals such as soaps and cleaning chemicals, as well as cosmetics and toiletries. Industrial cleaning chemicals, which are regarded as speciality chemicals, are excluded. Pharmaceutical products are not part of FMCG.

PROFILE OF THE FMCG SUBSECTOR

In the 2011/2012 financial year there were 162 levy-paying companies in the FMCG Subsector, which formed 10.5% of levy-paying companies in the Chemical Sector as a whole. Only 72 of these companies submitted WSPs in 2011/2012. The levy contribution of the 162 companies was 3.5% of the total levies paid in the Chemical Sector. Companies categorised as large (employing 150 and more people) numbered 19, while 34 were categorised as medium (employing between 50 and 149 people), 38 as small (employing between 20 and 49 people) and 71 as micro (employing between 1 and 19 people). Thirteen of the 19 large companies submitted WSPs, 26 of the 34 medium, 20 of the 38 small, and only 13 of the 71 micro companies. The FMCG Subsector employed 23 794 people – 15.2% of the employees in the total Chemical Sector. Most (93.4%) employees in the FMCG Subsector were in permanent positions at the end of March 2012.

In terms of equity just more than half (54.4%) of the workers were African, 40.2% were female and 0.3% were living with a disability. Africans were well represented in all the occupational categories except for managers and professionals. The total proportion of Africans employed in management positions was 20.8% and professionals 23.7%. Females formed the majority of clerical support workers (61.7%) and sales and service workers (77.3%) in the subsector. In addition just more than half (55.8%) of professionals were female, about half (49.4%) of technicians and associate professionals, and 43.6% of elementary workers. Nearly a fifth (19.6%) of employees held a qualification at a NQF Level 4 and almost half (45.1%) held post-school qualifications. The average age of all workers in the subsector was 40. The data further showed that the oldest contingent of workers was craft and related trades workers. Their average age was 45 and just more than a tenth (12.6%) of workers in this category were close to retirement (between 55 and 60). The subsector needs to plan for the replacement of artisans sufficiently.

ECONOMIC PERFORMANCE AND FACTORS IMPACTING ON THE SUBSECTOR

In terms of economic data the FMCG Subsector falls within the Other Chemicals and Man-made Fibers Subsector. The average percentage change of Gross Value Added for the 1970-2020 period shows that the subsector outperformed the whole Chemical Sector and the total economy for large parts of the period. The projected figures show an average growth of 2.8% for the 2010-2015 period and 4.0% for

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the 2015-2020 period. Factors that impact on the sector relate inter alia to economic growth and income distribution, government interventions to boost the South African economy and to protect local industries and expansion into other African markets.

THE DEMAND FOR SKILLS IN THE SUBSECTOR

The demand for labour in absolute numbers in the Chemical Sector has been declining steadily over the last two decades, with investments in capital equipment being largely used to replace labour. The reduction in employment has mainly impacted on low-skilled and semi-skilled workers, resulting in the skills mix tending towards the higher level skills.

Due to the nature of the FMCG Subsector, more than a third of the workforce were plant and machine operators and assemblers. Another 15% worked in elementary occupations and just more than a tenth as technicians and associate professionals. The main activities of the subsector related to production and sales. Occupations in the production field that were in demand ranged from engineers and production supervisors to chemical plant controllers and chemical production machine operators. In the sales field, occupations such as marketing practitioners, sales representatives and sales clerks were in demand. Packaging manufacturing machine minders and packers were also key occupations.

THE SUPPLY OF SKILLS TO THE SUBSECTOR

The supply-side of the labour market consists of the stock of skills – the skills currently employed in or available for work in the subsector and the flow of skills – the flow of new entrants into the market. In the analysis of the flow of skills the following is considered: the output from the basic education system, the further education and training colleges, and higher education and training institutions. Work-based training such as apprenticeships and learnerships also plays an important role in the flow of new entrants to the market.

In respect of the supply of new skills to the subsector there has been substantial growth in the numbers of new graduates from universities and universities of technology in certain engineering fields. In terms of average annual output of national diplomas, growth is reported at 7% for diplomas in chemical engineering and technology and 6% for first degrees in the same field. Despite these positive growth trends, increases have not yet been sufficient to meet the needs of the national economy.

The output from the school system remains a concern in respect of the following: inadequate (in terms of quantity and quality) supply of school leavers with mathematics and physical science passes that can pursue studies to become engineers, technologists, technicians and artisans; and inadequate education levels of the general workforce that enters the Chemical Sector without previous training. The supply of new skills from the further education and training sector into the Chemical Sector has traditionally been very limited. However, Government’s recent focus on increasing both the quality and quantity of output from further education and training colleges may result in FET colleges playing a more important role in the supply of skills to the Chemical Sector.

The skills of current employees need to be augmented in the workplace in order to ensure that workers acquire the skills necessary for specific positions, that they can progress in career paths and that they remain abreast of new technologies and developments in their specific fields. Employers are to a large extent responsible to ensure that employees are afforded further education and training opportunities.

In 2011/2012 training opportunities were afforded to about two thirds (69.2%) of employees in the FMCG Subsector. More than a third (37.3%) of plant and machine operators and assemblers had access to training opportunities. About 16% of managers, 6.4% of professionals and 11.7% of workers in elementary occupations also received training. In total 36 497 training opportunities were afforded to

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employees (one employee can have access to more than one training opportunity). Forty per cent of these opportunities were short courses and about a fifth were skills programmes and induction training respectively. Fifteen per cent of the training were related to job specific development programmes.

SKILLS SHORTAGES IN THE SUBSECTOR

Of the 72 organisations who submitted WSPs to CHIETA, only 8 (11.1%) indicated that they experienced a scarcity of skills. The total number of people needed to fill the vacancies that existed at that time in these organisations is 95; this equates to 0.4% of total employment in the subsector. The data shows that trades workers such as maintenance fitters are hard to find. The skills of professionals such as IT information systems administrators and sales managers are also sought after. Employers indicated that they planned on using interventions such as job specific development programmes, skills programmes and mentorships to address the scarcity of skills.

The CHIETA is currently engaged in a range of partnerships, agreements and plans to contribute to both the development of new skills for the sector, as well as the development of skills within the existing workforce. These initiatives range from support for further and higher education institutions, and partnerships with Government and industry associations.

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1 INTRODUCTION

1.1 BACKGROUND

The Chemical Sector Education and Training Authority (CHIETA) consists of five chambers that represent the nine subsectors of the Chemical Sector. The five chambers are:

Petroleum and Base Chemicals Fast Moving Consumer Goods and Pharmaceuticals Explosives and Fertilisers Speciality Chemicals and Surface Coatings; and Glass.

Skills planning is a core function of all SETAs and according to CHIETA’s constitution, this function cascades down to its constituent chambers. According to the CHIETA constitution, the chambers are (among other things) responsible to consult with the nine subsectors in areas of skills development and planning. The ultimate objective of such consultation is to compile a SSP for the Chemical Sector that takes into consideration areas of skills demand, skills supply, and scarce and critical skills as they manifest in the respective subsectors and a strategic plan that addresses the needs of the total Chemical Sector and its subsectors.

In 2013 the CHIETA commissioned subsector skills plans for each of the nine subsectors. These documents provide detailed analyses of each of the subsectors and are meant to assist the respective chambers in skills planning and to reflect the skills needs of and skills planning for each of the subsectors.

In June 2013 nine workshops were held with representatives of each of the nine subsectors. The workshops were meant to inform the subsector skills plans and covered the following topics:

• The skills planning process and chambers’ responsibilities in this regard.• The profiles of the subsectors.• Economic growth of the subsectors and factors that influence the growth of the subsectors.• The demand for skills in the respective subsectors.• The supply of skills and supply-side challenges and constraints.• Skill shortages.• Key interventions taking place and needed in the respective subsectors.

Apart from the workshops, the subsector skills plans are also based on a detailed analysis of the workplace skills plans (WSPs) and annual training reports (ATRs) submitted to CHIETA by employers in the sector in June 2012. In 2012 employers for the first time submitted individual employee records to CHIETA. For the purpose of this report, the data were weighted to extrapolate it to subsectoral totals.

Further information was obtained from desktop research and national data sources such as national accounts data. (National accounts data series were obtained from Quantec.)

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1.2 SCOPE OF THE SUBSECTOR

The Standard Industrial Classification (SIC) codes that are applicable to the Fast Moving Consumer Goods (FMCG) Subsector are listed in the table below. The scope includes the following: Chemically-based general household and personal care products; manufacture of soap and other cleaning compounds; and manufacture of beauty products. The subsector consists of all consumer chemicals such as soaps and cleaning chemicals, as well as cosmetics and toiletries. Industrial cleaning chemicals, which are regarded as speciality chemicals, are excluded. Pharmaceutical products are not part of FMCG. Pharmaceuticals include all products in final application form for use in human and animal medicinal applications. Pharmaceutical products are highly regulated and therefore it forms a subsector on its own.

Table 1-1 Scope of the FMCG Subsector

SIC Code Scope of Coverage/Description

33501 Chemically-based general household and personal care products

33541 Manufacture of soap and other cleaning compounds

33543 Manufacture of beauty products

1.1 FORMAT OF THE SUBSECTOR SKILLS PLAN

In the rest of this first chapter, the scope of the subsector and the economic activities that comprise the subsector are described. Chapter 2 provides a profile of the subsector. This profile includes the most important organisations in the subsector, as well as the employees working in the subsector.

Chapter 3 deals with the economic performance of the subsector and the factors that influence its performance. These factors include Government interventions specifically aimed at stimulating the growth of the Chemical Sector.

Chapter 4 of this subsector skills plan focuses on the demand for labour. The demand for labour is analysed from the perspective of the occupations that make up the subsector. The occupational information in turn provides insight into the type and level of skills needed.

Chapter 5 describes the supply of skills. As the subsector shares in the broader supply of skills to the Chemical Sector as a whole and to the total South African labour market, it is not possible to give a detailed analysis of supply as it would meet the demand for skills in the subsector. Instead a broad overview of supply trends is given together with supply-side interventions and constraints as identified by subsector representatives in the workshops.

Chapter 6 hones in on the mismatches that exist between the demand and supply sides of the labour market. Typically, these mismatches manifest in skills shortages and in skills deficiencies in the current workforce.

The last chapter of the sector skills plan should include the strategic planning of skills interventions aimed specifically at this subsector. This chapter will be completed once the Fast Moving Consumer

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Goods (FMCG) and Pharmaceutical Chamber has engaged with the content of the report and has attended to its own strategic plan.

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2 PROFILE OF THE SUBSECTOR

2.1 INTRODUCTION

Fast Moving Consumer Goods (FMCGs) are defined as products that are sold quickly and at reasonably good prices. The term FMCG refers to retail goods that are commonly replaced or used up over a relatively short period. FMCG products are generally sold at supermarkets. FMCGs have a broad customer base as its products are used in most (if not all) households and by all people. The main products of the FMCG sector include personal care products (such as oral care, hair care, skin care, soaps, cosmetics and toiletries, deodorants, perfumes and shoe care), household care products (such as fabric cleaners, household cleaners, insecticides, metal polish and furniture polish), and food and beverage products (such as soft drinks, cereals, bakery products, snack food, tea, coffee, processed fruits, vegetables and meat, dairy products, bottled water, flour, sugar). 1 The FMCG subsector that falls within the Chemical Sector does not include all the products that are normally classified as FMCGs. The manufacturing of food and beverages fall within the domain of the Food and Beverage (FoodBev) SETA.

Cleaning and laundry products, over the counter medicines and personal care items make up the bulk of the goods in the FMCG arena. Non-traditional health aids such as vitamin and herbal supplements are also classified as FMCGs.

There are approximately 150 recognised household and cleaning product manufacturers and approximately 80 recognised cosmetics and toiletries manufacturers in the country. There is a large concentration of production in this subsector, particularly in the household and cleaning products group, by a few major companies. These operations are more demanding of capital than the rest of the operations in this subsector. 2

2.2 ORGANISATIONS IN THE SUBSECTOR

The major role-players in the FMCG Subsector are private companies (employers), industry associations, employer associations and trade unions.

2.2.1 EMPLOYERS

In 2011/2012 there were 162 levy-paying companies in the FMCG Subsector, which formed 10.5% of levy-paying companies in the Chemical Sector as a whole (see Table 2-1). Only 72 of these companies submitted WSPs in 2011/2012. The levy contribution of the 162 companies was 3.5% of the total levies paid in the Chemical Sector.

1 Online Catalogue, The FMCG Market, http://onlinecatalogue.co.za/tag/fast-moving-consumable-goods/. Accessed 28 May 2013.2 Van Zyl, R. (2008). South African Chemical Sector Report on Skills Development and the Government’s New EconomicPolicy Priorities, March 2008.https://www.labour.gov.za/downloads/documents/research-documents/Chemical%20Sector%20_DoL_Report.pdf. Accessed 29 May 2013.

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Table 2-2 Levy-paying companies and WSP submissions according to subsector

Subsector Number of

Levy-paying

companies

% WSP

submissions

% of total

companies

in sector

% of total

companies

in subsector

% of total

levies paid

Base Chemicals 314 20.4 127 8.2 40.4 13.2

Explosives 7 0.5 2 0.1 28.6 1.8

Fertilisers 89 5.8 23 1.5 25.8 8.2

FMCG 162 10.5 72 4.7 44.4 3.5

Glass 124 8.0 19 1.2 15.3 5.4

Petroleum 251 16.3 85 5.5 33.9 43.2

Pharmaceutical

s

131 8.5 64 4.2 48.9 12.9

Speciality

Chemicals

266 17.3 113 7.3 42.5 7.9

Surface

Coatings

118 7.7 60 3.9 50.8 3.5

Other 80 5.2 6 0.4 7.5 0.4

Total 1 542 100.0 571 37.0 100.0

Source: SARS Levy data, 2011/2012; WSP data, 2011/2012.

Companies categorised as large (employing 150 and more people) numbered 19, while 34 were categorised as medium (employing between 50 and 149 people), 38 as small (employing between 20 and 49 people) and 71 as micro (employing between 1 and 19 people) (Table 2-2).

Table 2-3 Size of levy-paying companies and companies that submitted WSPs

Size Levy-paying companies WSP submissions

N % N % of levy-paying companies

Large 19 11.7 13 68.4

Medium 34 21.0 26 76.6

Small 38 23.5 20 52.6

Micro 71 43.8 13 18.3

Total 162 100.0 72 44.4

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Source: WSP submissions, June 2012.

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2.2.2 EMPLOYER ASSOCIATIONS

Employers in the FMCG Subsector form part of the employers’ organisations in the Chemical Sector as a whole such as the Chemical and Allied Industries’ Association (CAIA). The CAIA has 172 members including chemical manufacturers, traders and industry service providers. Members are mainly large and medium size companies from base chemicals, fertilisers, plastics in primary form, pesticides and other agricultural products, explosives and speciality chemicals. CAIA’s primary goals are to promote responsible care, earn public trust for the chemical industry, and improve the efficiency of education initiatives in science, engineering and technology. The association interacts with a number of employer bodies, the CHIETA, various professional societies and other associations representing subsections of the industry.3

2.2.3 TRADE UNIONS

The following are the main trade unions active in the Chemical Sector:

Chemical, Energy, Paper, Printing, Wood and Allied Workers Union (CEPPWAWU) General Industries Workers Union of South Africa (GIWUSA) Solidarity South African Chemical Workers Union (SACWU) United Association of South Africa (UASA)

These trade unions are all active in the CHIETA structures and the first four are members of the National Bargaining Council for the chemical industry.

2.3 EMPLOYEES IN THE SUBSECTOR

2.3.1 TOTAL EMPLOYMENT

Figure 2-1 below shows the total employment in the Chemical Sector on 31 March 2012. The FMCG Subsector employed 23 794 people – 15.2% of the employees in the total Chemical Sector (Figure 2-1).

3 http://www.icca-chem.org/Home/About-us/Members-of-the-ICCA/?country=za. Accessed 3 June 2013.

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Base Chemicals 14.4% (22 466)

Explosives3.4% (5 287)

Fast Moving Consumer Goods15.2% (23 794)

Fertilisers3.6% (5 651)

Glass5.1% (8 002)

Petroleum28.4% (44 371)

Pharmaceuticals 14.2% (22 100)

Speciality Chemicals9.9% (15 381)

Surface Coatings5.3% (8 261)

Other0.5% (786)

Figure 2-1 Employment in the Chemical Sector according to subsector: 2012Source: WSP submissions, June 2012.

2.3.2 TYPE OF EMPLOYMENT

In 2011/2012 most employees in the FMCG Subsector (93.4%) were employed permanently, while 4.1% were temporary workers and 2.5% were working as contractors (Figure 2-2).

Contractor2.5% (605)

Permanent93.4% (22 213)

Temporary4.1% (976)

Figure 2-2 Employment in the FMCG Subsector according to employment type: 2012

Source: WSP submissions, June 2012.

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2.3.3 EQUITY PROFILE OF THE SUBSECTOR

Race and Gender

More than half (54.4%) of workers in the FMCG Subsector were African. In terms of gender, females constituted 40.2% of the workforce (Figure 2-4).

African54.4% (12 949)

Coloured9.5% (2 261)

Indian16.9% (4 012)

White19.2% (4 572)

Figure 2-3 Employment in the FMCG Subsector according to race: 2012

Source: WSP submissions, June 2012.

Female 40.2% (9 562)

Male59.8% (14 232)

Figure 2-4 Employment in the FMCG Subsector according to gender: 2012

Source: WSP submissions, June 2012.

Annexure 1 reports the race and gender distribution across the different occupational categories. Africans were well represented in all the occupational categories except for managers and professionals. The total proportion of Africans employed in management positions was 20.8% and professionals 23.7%. Females formed the majority of clerical support workers (61.7%) and sales and service workers (77.3%)

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in the subsector. In addition 55.8% of professionals were female, about half (49.4%) of technicians and associate professionals, and 43.6% of elementary workers.

Disability

In 2012 there were 892 employees with disabilities working in the Chemical Sector. This equates to 0.6% of all employees in the sector. Figure 2-5 below displays the proportion of disabled employees by subsector. The Glass Subsector has the highest proportion of disabled employees – 1.1% and the FMCG Subsector the lowest – 0.3%.

Stakeholders noted that it is difficult to employ disabled people (depending on their disability) in certain occupations due to health and safety requirements. It is particularly difficult in key production occupations. However, there was an acknowledgement that more effort needs to be made to identify those occupations in which people with disabilities can be employed and to recruit people with disabilities for these occupations. In addition, CHIETA will work with stakeholders on training around disability awareness. CHIETA is supporting projects aimed at people with disabilities through the discretionary grants.

Base Chem

icals

Explosiv

es

Fast M

oving C

onsumer Goods

Fertilise

rsGlas

s

Petroleu

m

Pharmace

uticals

Speci

ality

Chemica

ls

Surfa

ce Coati

ngsOther

0.0

0.2

0.4

0.6

0.8

1.0

1.2

0.7%

0.9%

0.3%

0.4%

1.1%

0.6%0.5%

0.6%

0.4%

0.3%

Figure 2-5 Percentage employees with disabilities per subsector: March 2012

Source: WSP submissions, June 2012.

2.3.4 EDUCATIONAL QUALIFICATIONS

In the 2011/2012 WSP submissions, employers provided information on the qualifications of the workers employed in the FMCG Subsector. Regrettably a total of 3 185 of employees’ qualification levels were not identified. However, based on the information that was available nearly a fifth (19.6%)

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of employees held a qualification at a NQF Level 4 and only 2.6% had very limited schooling and had not reached NQF Level 1. Forty-five percent held post-school qualifications (Table 2-3).

Table 2-4 Highest qualifications of employees in the FMCG Subsector

NQF Level N %Below NQF Level 1 538 2.6NQF Level 1 394 1.9NQF Level 2 2 519 12.2NQF Level 3 728 3.5NQF Level 4 4 044 19.6NQF Level 5 4 546 22.1NQF Level 6 2 140 10.4NQF Level 7 3 029 14.7NQF Level 8 1 949 9.5NQF Level 9 680 3.3NQF Level 10 41 0.2 Total 20 608 100.0 Undefined 3 185Source: WSP submissions, June 2012.

Of the workers with undefined educational attainment, 27.4% were in elementary occupations. A further 16.6% were technicians and associate professionals and 11.5% were in management positions (Table 2-4).

Table 2-5 Unidentified qualifications of employees in the FMCG Subsector

Occupation N %Managers 365 11.5Professionals 243 7.6Technicians and associate professionals 530 16.6Clerical support workers 414 13.0Service and sales workers 79 2.5Skilled agricultural, forestry, fishery, craft and related trades workers 135 4.2Plant and machine operators and assemblers 517 16.2Elementary occupations 873 27.4Learners 23 0.7Occupation not mentioned 5 0.2Total 3 184 100.0Source: WSP submissions, June 2012.

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2.3.5 AGE

The average age of employees in the FMCG Subsector was 40 (Table 2-5). Just more than a third (36%) were categorised as Youth (younger than 35), while 9.6% were between 55 and 64. The data also showed that the oldest contingent of workers was skilled agricultural, forestry, fishery, craft and related trades workers. Their average age was 45 and 12.6% of workers in this category were close to retirement. The subsector needs to plan for the replacement of artisans sufficiently. The average age of managers was 42, with 6.9% close to retirement.

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Table 2-6 Age distribution per occupation category of employees in the FMCG Subsector

Occupations

Age groups

Total Average age

Close to retirement

(55-60)15-24 25-34 35-44 45-54 55-64 65+

N % N % N % N % N % N % N % N %

Managers 27 0.8 912 26.1 1 283

36.7 823 23.6 363 10.4 87 2.5

3 495 100.0 42 241 6.9

Professionals 28 1.9 583 40.0 488 33.5 211 14.5 125 8.6 20 1.4

1 456 100.0 39 72 4.9

Technicians and associate professionals

37 1.3 1 010

34.6 926 31.7 663 22.7 227 7.8 55 1.9

2 918 100.0 40 154 5.3

Clerical support workers 78 3.4 708 31.0 809 35.4 423 18.5 253 11.1 17 0.7

2 287 100.0 39 172 7.5

Service and sales workers 9 2.2 151 37.2 117 28.7 79 19.4 46 11.2 5 1.3

407 100.0 40 39 9.7

Skilled related trades workers 10 1.3 119 14.5 271 33.0 285 34.7 126 15.3 10 1.2

822 100.0 45 104 12.6

Plant and machine operators and assemblers

123 1.5 2 662

32.1 2 345

28.3 2 223

26.8 867 10.5 62 0.7

8 282 100.0 41 664 8.0

Elementary occupations 312 8.6 1 400

38.7 1 028

28.4 577 16.0 271 7.5 25 0.7

3 613 100.0 37 200 5.5

Learners 99 26.8 225 61.0 32 8.7 13 3.5 0.0 0.0

368 100.0 28 0 0.0

TOTAL 723 3.1 7 770

32.9 7 299

30.9 5 297

22.4 2,278

9.6 281 1.2

23 648 100.0 40 1 646 7.0

Occupational category undefined 146

Subsector Total employment 23 794Source: WSP submissions, June 2012.

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2.4 CONCLUSION

CHIETA categorises FMCG on its own in order to include household chemicals that are manufactured for the retail industry. Although FMCG may include products that are not related to CHIETA’s classification, for the purpose of this overview the products included consumer chemicals such as soaps and cleaning chemicals, as well as cosmetics and toiletries.

The FMCG Subsector employed 15.2% of all workers in the Chemical Sector. In terms of equity the majority of workers were African, females constituted about 40.2% of the workforce, and 0.3% of employees lived with a disability. Africans were well represented in all the occupational categories except for managers and professionals. Females were also well represented in most of the occupational categories. The oldest contingent of workers was artisans and the subsector will need to plan for the replacement of these workers well.

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3 ECONOMIC GROWTH AND FACTORS IMPACTING ON THE SUBSECTOR

This section looks at the economic performance of the Chemical Sector as a whole, as well as the FMCG Subsector in particular. It also provides information on the factors that impact on the performance of the subsector.

3.1 ECONOMIC GROWTH

The global chemical industry has grown with output valued at USD171 billion in 1970 to USD4.12 trillion in 2010. Projections show that the industry will follow global GDP for the next couple of years. The expectation is that by 2020 developing countries will be responsible for almost a third (31%) of global chemical production. Annual chemical production growth rates for Africa and the Middle East are predicted to be just over 6% per year through 2013, and over 5% per year from 2014 to 2021.4

In Africa, the chemical industry is well established in northern African countries such as Algeria, Egypt, Libya, Morocco and Tunisia. Nigeria is the primary producer and user of chemicals in West Africa. Although the South African Chemical Sector (including Petrochemicals) produces only 1% of the total global market’s consumption, it is the largest of its kind in Africa. The Chemical Sector is of considerable significance to the South African economy and a key constituent of the country's industrial base. Locally it contributes to about 5% of GDP and employs approximately 156 000 people. In 2011 petroleum, chemical products, rubber and plastic products contributed R318 million to the GDP. This forms about a quarter (23%) of total manufacturing sales.5

In terms of economic data the FMCG Subsector falls within the Other Chemicals and Man-made Fibers Subsector. Figure 3-1 below shows the average percentage change in GDP over five-year periods from 1970 to 2010 in comparison with the total Petroleum, Chemical and Glass Sector/Subsectors, as well as the total economy. It also shows the projections up to 2020. Other Chemicals and Man-made Fibres showed positive growth in every five-year period since 1970. Although the growth percentages differ from one five-year period to the next, there has not been a period of negative growth. The period 1975-1980 shows the best growth at more than 10%. The period of smallest growth was 2005-2010. This may have been a result of the onset of the global recession. The onset of the global recession, which began in 2008, and the resulting decline in production led to the loss of more than a million jobs in South Africa, over 200 000 of which were in the manufacturing sector. The manufacturing sector came under increasing levels of stress and declined by almost 20% between 2008 and 2009 and then recovered slightly with growth of 5% in 2010 and 2,5% in 2011.6 The projected figures show an average growth of 2.8% for the 2010-2015 period and 4.0% for the 2015-2020 period. These figures are lower than the projections for the total economy. The 2010-2015 projection for the total Petroleum, Chemical and Glass Sector/Subsectors is also higher than the projection for the Other Chemicals and Man-made Fibers Subsector.

4 United Nations Environment Programme, (2013). Global Chemicals Outlook - Towards Sound Management of Chemicals. UNEP: www.unep.org. 5 Statistics SA, (2012).6 The Department of Trade and Industry of South Africa, The Industrial Policy Action Plan, 2012-2015.

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1970

-197

5

1975

-198

0

1980

-198

5

1985

-199

0

1990

-199

5

1995

-200

0

2000

-200

5

2005

-201

0

2010

-201

5

2015

-202

0

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

Other chemicals & man-made fibres Total petroleum, chemicals & glassTotal economy

Figure 3-6 Average percentage change of Gross Value Added: 1970-2020: Other chemicals and man-made fibres

Source: Quantec data, July 2013.

3.2 FACTORS THAT IMPACT ON THE SECTOR

The performance of the FMCG Subsector is influenced by a number of factors. The most pertinent ones that are discussed in this section are the overall economic growth situation of the country, income levels and income distribution, the expansion of markets, the exchange rate, production efficiency, on-line shopping and Government policies and interventions.

3.2.1 ECONOMIC GROWTH

The SA economy grew steadily until 2008, however went into recession between the third quarter of 2008 and the second quarter of 2009. Since then the economy has reverted to positive growth, although growth rates have remained at levels much that are lower than they were between 2004 and 2007. (Figure 3-2). At the same time the country is facing rising inflation levels. Both these trends stifle the growth of the FMCG Subsector.

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1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

-8

-6

-4

-2

0

2

4

6

8

10Pe

rcen

tage

gro

wth

Figure 3-7 Changes in GDP at 2005 constant prices: 2002-2013 (first quarter)7

Source: Stats SA, 2013, P0441

3.2.2 INCOME LEVELS AND INCOME DISTRIBUTION

South Africa is developing an increasingly large group of middle-class consumers. Consumption and spending by these consumers are supported by well-stocked modern malls in local cities. Developments like these stimulate the demand for FMCGs, including those that are produced in the Chemical Sector. As a result, the market for basic wares, such as soaps and cleaners, is forecast to expand at about 17% from 2012-16.8

However, the South African consumer market is still marked by its extreme income inequality, with the country’s Gini coefficient among the highest in the world. Underlying the inequal income distribution is the high unemployment rate in the country. Of the potential labour force of 31 million people, only 13 million are employed and only 5 million earn incomes above the tax threshold. Unemployment is the worst in rural areas and in areas on the periphery of the developed industrial areas of the country. In these parts trading tends to be informal and the demand for products is centred on basic foodstuffs.9

3.2.3 EXCHANGE RATES

Volatility of the SA Rand against major global currencies makes life hard for manufacturers needing a lengthy lead-time to order their raw materials from abroad. While a weakening Rand benefits exporters, it has a detrimental effect on producers who are dependent on imports for raw materials. In May 2011 the Rand recorded a high value of R6.59 against the US dollar. Since then there has been a sustained weakening of the Rand with a value of R10.33 recorded on 11 June 2013.10

3.2.4 EXPANSION OF EXTERNAL MARKETS

7 Annualised percentage change in seasonally adjusted quarterly value added at constant 2005 prices.8 PWC, Retail and Consumer Products Outlook 2012-2016. http://www.pwc.co.za/en/industries/retail-and-consumer. Accessed 27 May 2013.9 Ibid.10 X-rates.com (2013) http://www.x-rates.com/graph/?from=USD&to=ZAR, Accessed 11 June 2013.

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Many South African retailers and FMCG companies in South Africa have started to expand into the rest of Africa. The drive is being led by the South African food retail giant Shoprite, which already has outlets in 17 countries. Many FMCG manufacturers are expanding capacity by acquiring existing operations in other African countries and by developing and upgrading their technology.11

3.2.5 LABOUR CHALLENGES

One of the challenges facing South African manufacturers is high local wages, labour unrest, regular strikes and inflexible labour policies. During 2011, average wages rose at about twice the rate of inflation, which has hampered manufacturers’ competitiveness. In some sectors these factors have already lead to investment and jobs being relocated to other African countries with more stable labour environments. Some manufacturers tend to increase mechanization to avoid these labour-related challenges, but this increase their dependence on higher level skills which are in short supply.12

3.2.6 INTERNET DEVELOPMENT AND ON-LINE SHOPPING

Online retailing businesses are growing in South Africa. Entrepreneurs realise that using the internet as a primary sales channel offers multiple advantages. Building a website is cheaper than opening a store and shopping is easy and comfortable for customers. However, in South Africa only larger retailers are focusing on e-commerce at the moment, especially for non-food goods. On-line retailing is constrained by an ineffective postal system and currently online shopping is limited to online price comparison, booking and purchasing, followed by in-store collection.13

Although on-line shopping is still in its infancy in South Africa, the open sharing of information on products and critique of products by consumers becoming a major factor with which producers of FMCGs have to contend.

3.2.7 GOVERNMENT POLICIES AND INTERVENTIONS

The South African Government’s developmental strategy aims to promote and accelerate economic growth along a path that generates sustainable, decent jobs in order to reduce poverty and inequalities that characterise South African society and economy. The National Industrial Policy Framework (NIPF) is a central component of this strategy. The NIPF seeks to encourage value-added, labour-absorbing industrial production and diversify the economy away from its current over reliance on traditional commodities and non-tradable services, in order to conduce employment growth. Broader based industrialisation will assist in growing participation of people in the mainstream of the industrial economy.14 Similarly, the Government’s large-scale investment in infrastructure is posed to stimulate economic development and job creation. If these objectives are met, disposable incomes will rise, inequalities in income will be reduced and as a consequence the demand for FMCGs will rise.

A Government intervention that is already having an effect on the demand for FMCGs – especially in poor rural areas, is the social grant system. Social grants reached nearly R100bn in 2011, much of which is spent on FMCGs.15

11 PWC, Retail and Consumer Products Outlook 2012-2016. http://www.pwc.co.za/en/industries/retail-and-consumer. Accessed 27 May 2013.12 Ibid.13 Ibid.14 dti, (2010). A South African Trade Policy and Strategy Framework.15 PWC, Retail and Consumer Products Outlook 2012-2016. http://www.pwc.co.za/en/industries/retail-and-consumer. Accessed 27 May 2013.

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Although Government interventions mentioned above benefit or stand to benefit the FMCG Subsector, many local manufacturers complain about insufficient government backing to support local consumer goods manufacturing. This includes efforts to prevent the cutprice dumping of goods from other markets, along with tariffs to protect new local industries. Another cost factor for local consumer goods firms is increased regulation such as increasingly tough rules on product labelling and safety.

3.3 CONCLUSION

The economic data that is available showed that the FMCG Subsector performed well in comparison with the total economy and the total Petroleum, Chemical and Glass Sector/Subsectors for most of the 1970-2010 period. The performance of this subsector is strongly correlated with overall GDP growth and the dampened growth over the last few years had an effect on this subsector. However, a growing black middle class as well as the social grant system that stimulates demand at the lower end of the market have a positive effect on the sector. Government interventions aimed at job creation and reducing income inequality will have a further positive effect on the FMCG market. Another driver of growth is the expansion of businesses into the rest of Africa.

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4 THE DEMAND FOR SKILLS IN THE SUBSECTOR

This section looks at the demand for skills in the FMCG Subsector. It shows the trends in employment, as well as the occupational composition of demand in the subsector.

4.1 TRENDS IN EMPLOYMENT

In 2011/2012 35.6% people were employed as plant and machine operators and assemblers. Workers in elementary occupations and managers constituted about 15% each, while 12.5% of workers were technicians and associate professionals (Figure 4-1).

Managers15.0% (3 495)

Professionals6.3% (1 456)

Technicians and associate profes-sionals

12.5% (2 918)

Clerical support workers9.8% (2 287)

Service and sales workers

1.7% (407)

Skilled agricultural, trade workers, etc.3.5% (822)

Plant and machine op-erators and assemblers

35.6% (8 282)

Elementary occupations15.5% (3 613)

Figure 4-8 Employment: OccupationsSource: WSP submissions, June 2012.

Occupations in each of the eight main occupational groups in the FMCG Subsector with a count of 10 or higher are shown in the following tables (Table 4-1 to 4-8). Specialist titles used by employers for these occupations are provided in Annexure 2.

For managers, the occupation with the largest number of employees was small business managers (this is in line with the fact that about two thirds of the subsector consisted of enterprises categorised as micro or small at the end of March 2012). The sales function in the subsector is very important as can be seen by the number of sales related managers (sales and marketing managers, and sales managers). Production is also an important activity as reflected in the number of occupations such as production/ operations manager (manufacturing), quality systems managers, manufacturer, and engineering manager (Table 4-1).

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Table 4-7 Managers in the FMCG Subsector

OFO Code Managers N134903 Small Business Manager 654122101 Sales and Marketing Manager 341122102 Sales Manager 272121905 Programme or Project Manager 218121101 Finance Manager 210112101 Director (Enterprise/Organisation) 197121902 Corporate Services Manager 169132102 Production/Operations Manager (Manufacturing) 164121908 Quality Systems Manager 143122103 Director of Marketing 131132101 Manufacturer 117121901 Corporate General Manager 109132401 Supply and Distribution Manager 105122105 Customer Service Manager 89132404 Warehouse Manager 75122301 Research and Development Manager 48121201 Personnel/Human Resource Manager 45133105 Information Technology Manager 42121202 Business Training Manager 36143901 Facilities Manager 36132104 Engineering Manager 33132402 Logistics Manager 30134904 Office Manager 26121206 Health and Safety Manager 20122201 Advertising and Public Relations Manager 17134902 Laboratory Manager 17121103 Credit Manager 17134915 Operations Manager (Non Manufacturing) 15142103 Retail Manager (General) 15133101 Chief Information Officer 15142101 Importer or Exporter 14Source: WSP submissions, June 2012.

With sales playing a central role in the FMCG Subsector, marketing practitioners, sales representatives (medical and pharmaceutical products) and sales representatives/salespersons (industrial products) were in demand as professionals in 2011/2012. Engineers working in the subsector were mainly industrial and mechanical engineers. The subsector employed scientists such as food and beverage scientists, chemists, pharmacists and microbiologists (Table 4-2).

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Table 4-8 Professionals in the FMCG Subsector

OFO Code Professionals N243103 Marketing Practitioner 233243302 Sales Representative (Medical and Pharmaceutical Products) 217213205 Food and Beverage Scientist 101214101 Industrial Engineer 90243301 Sales Representative/Salesman (Industrial Products) 74242303 Human Resource Advisor 52241101 Accountant (General) 47241102 Management Accountant 46226302 Safety, Health, Environment and Quality (SHE&Q) Practitioner 45212103 Statistician 41211301 Chemist 41252201 Systems Administrator 37226201 Hospital Pharmacist 34243201 Communication Coordinator 33241107 Financial Accountant 27242401 Training and Development Professional 23216302 Industrial Designer 21226202 Industrial Pharmacist 18243102 Market Research Analyst 18213108 Microbiologist 18262101 Archivist 15226203 Retail Pharmacist 13243203 Corporate Communication Manager 13251202 Programmer Analyst 13252101 Database Designer and Administrator 13241301 Financial Investment Advisor 13214401 Mechanical Engineer 12242203 Company Secretary 10242101 Management Consultant 10

Source: WSP submissions, June 2012.

The largest number of employees in the technicians and associate professionals category were production/operations supervisors (manufacturing), followed by office administrators (Table 4-3). Other occupations in this category that were also in demand were inter alia chemical plant controllers, chemistry technicians, sales representatives (personal and household goods), chemical sales representatives, credit or loans officers, and purchasing officers. This clearly shows the production and sales focus of the subsector.

Table 4-9 Technicians and associate professionals in the FMCG Subsector

OFO Code Technicians and associate professionals N

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312201 Production/Operations Supervisor (Manufacturing) 576334102 Office Administrator 522313301 Chemical Plant Controller 334311101 Chemistry Technician 213332203 Sales Representative (Personal and Household Goods) 152331201 Credit or Loans Officer 143334302 Personal Assistant 135333905 Supply Chain Practitioner 128332302 Purchasing Officer 112332207 Chemical Sales Representative 89313901 Integrated Manufacturing Line Process Control Technician 64311102 Physical Science Technician 60333908 Marketing Coordinator 42332301 Retail Buyer 41335402 Import-export Administrator 40331301 Bookkeeper 40333903 Sales Representative (Business Services) 21311601 Chemical Engineering Technician 17312202 Maintenance Planner 17325301 Health Promotion Officer 15311501 Mechanical Engineering Technician 13321301 Pharmaceutical Technician 13311201 Civil Engineering Technician 10332208 Pharmacy Sales Assistant 10333201 Events Manager 10Source: WSP submissions, June 2012.

Among the clerical support workers category, the majority of employees were general clerks, accounts clerks and stock clerks/officers (Table 4-4). Other key occupations in the category were production coordinators, dispatching and receiving clerks/officers, receptionists (general), programme or project administrators, and data entry operators.

Table 4-10 Clerical support workers in the FMCG Subsector

OFO Code Clerical support workers N411101 General Clerk 429431101 Accounts Clerk 375432101 Stock Clerk/Officer 328432201 Production Coordinator 192432102 Dispatching and Receiving Clerk/Officer 188422601 Receptionist (General) 142441903 Programme or Project Administrators 124413201 Data Entry Operator 100432104 Warehouse Administrator/Clerk 92412101 Secretary (General) 85

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OFO Code Clerical support workers N422501 Enquiry Clerk 66431301 Payroll Clerk 28422206 Call or Contact Centre Agent 23422202 Outbound Contact Centre Consultant 18432103 Order Clerk/Officer 14441501 Filing or Registry Clerk 10431102 Cost Clerk 10Source: WSP submissions, June 2012.

In the service and sales workers category the majority of employees worked as sales clerks/officers and sales assistant (general), again showing the sales activity in the subsector (Table 4-5).

Table 4-11 Service and sales workers in the FMCG Subsector

OFO Code Service and sales workers N524903 Sales Clerk/Officer 144522301 Sales Assistant (General) 139514102 Hair or Beauty Salon Assistant 32515301 Caretaker 16522201 Retail Supervisor 14514101 Hairdresser 10541101 Fire Fighter 10542203 Special Forces Operator 10 Source: WSP submissions, June 2012.

Central to manufacturing is the component of craft and related trades workers. Millwrights were the most in demand in the FMCG Subsector. Some of the other typical trades workers were mechanical fitters, electricians, fitter and turners, and metal machinists (Table 4-6).

Table 4-12 Skilled agricultural, forestry, fishery, craft and related trades workers in the FMCG Subsector

OFO Code Skilled agricultural, forestry, fishery, craft and related trades workers N671202 Millwright 472681603 Tobacco Processing Machine Operator 83653303 Mechanical Fitter 76671101 Electrician 51652302 Fitter and Turner 35652301 Metal Machinist 31653101 Automotive Motor Mechanic 10653301 Industrial Machinery Mechanic 10672105 Instrument Mechanician 10Source: WSP submissions, June 2012.

Packaging manufacturing machine minders formed the majority of plant and machine operators and assemblers in the subsector. Chemical production machine operators were also in demand. Some of the other crucial occupations in this category were forklift drivers, filling line operators, truck drivers and delivery drivers (Table 4-7).

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Table 4-13 Plant and machine operators and assemblers in the FMCG Subsector

OFO Code Plant and machine operators and assemblers N718304 Packaging Manufacturing Machine Minder 5 306713101 Chemical Production Machine Operator 873734402 Forklift Driver 366718303 Filling Line Operator 305733201 Truck Driver (General) 281715701 Laundry Machine Operator 279732101 Delivery Driver 237717102 Paper and Pulp Mill Operator 157718906 Bulk Materials Handling Plant Operator 131718905 Engineering Production Systems Worker 124721901 Product Assembler 52714204 Plastics Production Machine Operator (General) 28714301 Paper Products Machine Operator 26714101 Rubber Production Machine Operator 21714208 Plastics Manufacturing Machine Minder 21718302 Packing Machine Operator 15734206 Loader Operator 15Source: WSP submissions, June 2012.

Due to the nature of the activities in this subsector the majority of workers in elementary occupations were packers (non-perishable products). They were followed by chemical plant workers, store persons, commercial cleaners and handy persons. (Table 4-8).

Table 4-14 Elementary occupations in the FMCG Subsector

OFO Code Elementary occupations N832101 Packer (Non Perishable Products) 1 168832907 Chemical Plant Worker 668833402 Store Person 443811201 Commercial Cleaner 434862202 Handyperson 354832102 Meat Packer 178862915 Chemical Mixer 133812101 Laundry Worker (General) 70811203 Tea Attendant 34833301 Freight Handler (Rail or Road) 29833401 Shelf Filler 26811101 Domestic Cleaner 18862918 Electrical or Telecommunications Trades Assistant 14831310 Surveyor's Assistant 13832901 Metal Engineering Process Worker 10 Source: WSP submissions, June 2012.

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4.2 CONCLUSION

Due to the nature of the FMCG Subsector, more than a third of the workforce were plant and machine operators and assemblers. Another 15% worked in elementary occupations and just more than a tenth as technicians and associate professionals. The main activities of the subsector relate to production and sales. Occupations in the production field that were in demand ranged from engineers and production supervisors to chemical plant controllers and chemical production machine operators. In the sales field, occupations such as marketing practitioners, sales representatives and sales clerks were in demand. Packaging manufacturing machine minders and packers were also key occupations.

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5 THE SUPPLY OF SKILLS TO THE SUBSECTOR

The supply of skills is viewed from different perspectives in this section. The supply of skills refers in the first instance to new entrants to the labour market from basic education, FET colleges and HET institutions (new skills). However, it is also important to consider the skills needs of the current workforce and the training initiatives aimed at developing their skills levels.

The first part of this chapter deals with new entrants to the labour market. Key trends and supply-side constraints are highlighted. The second part of the chapter describes the inputs of employers to train their current staff.

5.1 NEW ENTRANTS TO THE LABOUR MARKET

The output from the school system remains a concern in respect of the following: inadequate (in terms of quantity and quality) supply of school leavers with mathematics and physical science passes that can pursue studies to become engineers, technologists and technicians (at HET level) and artisans (at FET level); and inadequate education levels of the general workforce that enters the Chemical Sector without previous training. The supply of new skills from the FET sector into the Chemical Sector has traditionally been very limited. However, Government’s recent focus on increasing both the quality and quantity of output from FET colleges is an indication of the future role that these institutions can play in skills supply to the Chemical Sector.

The demand for labour in the Chemical Sector has been declining steadily over the last two decades, with investments in capital equipment being largely used to replace labour. This reduction in employment has mainly impacted on low-skilled and semi-skilled workers. The demand for high-level skills remains in the sector. In respect of the supply of new skills to the sector there has been substantial growth in the numbers of new graduates from universities and universities of technology in certain engineering fields. In terms of average annual output for national diplomas, growth is reported at 7% for diplomas in chemical engineering and technology and 6% for first degrees in the same field. Despite these positive growth trends, increases have not yet been sufficient to meet the needs of the national economy and the Chemical Sector in particular. In order to ensure future growth it will be necessary to support higher education institutions through a variety of initiatives. These include: bridging programmes to promote access and success; increased physical and teaching resources to engineering departments; and programmes that promote workplace-training opportunities for students from the universities of technology.

5.2 THE TRAINING AND DEVELOPMENT OF EMPLOYEES

There is little focus by academic institutions on consumer chemicals or on pure functional chemicals. Manufacturing is based on existing formulations, which generally requires a lower level of training. The major focus in training is related to application technology and customer problem-solving. Training is therefore mostly done in-house in the FMCG Subsector.16

Companies are involved in a range of training and development initiatives that focus on developing the skills of their employees. Such initiatives supplement, but also build on the training that supplies new

16 Van Zyl, R. (2008). South African Chemical Sector Report on Skills Development and the Government’s New Economic Policy Priorities, March 2008.

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skills to the sector. This training and development of the current workforce forms a critical source of skills supply.

In 2011/2012 training opportunities were afforded to 69.2% of employees in the FMCG Subsector. About 77% of Managers training opportunities while 74.5% of plant and machine operators and assemblers undertook training. Only 53.2% of employees in elementary occupations were afforded training opportunities in the FMCG Subsector. (Figure 5-1).

Manage

rs

Profes

sionals

Technicia

ns and as

sociate

professio

nals

Clerica

l support w

orkers

Servic

e and sa

les worke

rs

Skilled

and tr

ade w

orkers

Plant a

nd mach

ine opera

tors an

d assem

blers

Elemen

tary o

ccupati

ons0.0

10.0

20.0

30.0

40.0

50.0

60.0

70.0

80.0

Perc

enta

ge

Figure 5-9 Proportion of employees who received training opportunities according to occupational category: March 2012

In total 36 497 training opportunities were afforded to employees (one employee can have access to more than one training opportunity). The type of training opportunities is listed in the table below. Forty per cent of these opportunities were short courses and about a fifth were skills programmes and induction training respectively. Fifteen per cent of the training were related to job specific development programmes (Table 5-1).

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Table 5-15 Training opportunities for employees in the FMCG Subsector: March 2012

Qualification/learning type N %Short Courses 14 703 40.3Skills Programme 7 091 19.4Induction and other training 7 063 19.4Job Specific Development Programme 5 717 15.7CHIETA Learning Programme 681 1.9NQF Level 4 374 1.0NQF Level 7 270 0.7Below NQF Level 1 220 0.6NQF Level 6 99 0.3Learnership 93 0.3NQF Level 1 93 0.3Work Placement 63 0.2NQF Level 9 13 0.0NQF Level 5 9 0.0NQF Level 8 8 0.0Total 36 497 100.0Source: WSP submissions, June 2012.

5.3 CONCLUSION

This chapter provided a short overview of the most pertinent supply-side issues relevant to the FMCG Subsector. For any industry a constant and sufficient supply of suitably qualified people is of critical importance. For the FMCG Subsector, that is heavily reliant on plant and machine operators and assemblers, and technicians and associate professionals, it is important that employees obtain relevant qualifications and that their skills are continuously upgraded. This subsector is well known for the high levels of in-house training and as this chapter indicated, employers in the FMCG Subsector invested huge amounts of time and money in the training and development of their own staff. Despite the initiatives to build the skills base of the industry and to stimulate and support the supply-side of the labour market, certain skills deficiencies still remain. These are the subject of the next chapter.

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6 SKILLS SHORTAGES

There are various ways of identifying and monitoring skills shortages in a particular labour market. One of these is to ask employers about their experiences when recruiting people for positions in their organisations. Another way is by monitoring vacancy rates in that sector, because skills shortages are bound to lead to unusually high vacancy rates. Skills shortages will also drive up the costs of the skills that are in short supply and therefore the monitoring of remuneration trends can also shed light on trends in relation to skills shortages.

CHIETA attempts to glean an understanding of skills shortages in the Chemical Sector by asking employers to identify these shortages when they submit their mandatory grant applications to the SETA. This information was requested for the first time in June 2011 – i.e. in the WSPs submitted for the 2011/2012 financial year. The information submitted by employers in the FMCG Subsector is analysed in this chapter. In addition, the feedback of stakeholders during the subsector workshops is also reported.

It has become customary in South Africa to use the term “scarce skills” to refer to quantitative shortages in the labour market – in other words there are not enough people with the necessary qualifications available to be appointed in positions that become available in the market. This term is also used in this chapter. Another aspect of skills shortages has to do with the qualitative components of the labour market – there may be people available to appoint, but they do not have the appropriate skills, abilities or other attributes that employers are looking for. Skills deficiencies can also develop among the workers that are already employed, because of the introduction of new technologies, new legislative requirements, etc. These aspects are not discussed at this stage as they are generally taken care of by employers through in-service training.

6.1 SCARCE SKILLS IN THE SUBSECTOR

As mentioned above, the information on scarce skills was obtained by analysing the WSPs submitted in June 2012. This information reflects the situation as experienced by employers at the end of March 2012.

In the scarce-skills table that employers completed, they first had to name the occupation in which they experienced scarcity, and then had to select from two possible descriptions the one that best described the scarcity they experienced – i.e. “relative scarce skill” (referring to a situation where people are available in the labour market, but cannot easily be attracted to the sector); and “absolute scarce skill” (where people are generally in short supply in the labour market). For all the occupations in which scarcity was experienced, employers also had to indicate how many vacant positions were available at the time they completed the WSP. In addition, they were requested to identify what type of learning interventions they were planning to use to address the skills shortages.

Of the 72 organisations who submitted WSPs to CHIETA, only 8 (11.1%) indicated that they experienced a scarcity of skills. The number of people that employers said they would need can be seen in Table 6-1. The total number of people needed to fill the vacancies that existed at that time in these organisations is 95; this equates to 0.4% of total employment in the subsector. The data showed that trades workers such as maintenance fitters are hard to find. The skills of professionals such as IT information systems administrators and sales managers are also sought after. Employers indicated that they planned on using interventions such as job specific development programmes, skills programmes and mentorships to address the scarcity of skills.

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Table 6-16 Scarce skills in the FMCG Subsector

OFO Code Occupation Number of vacancies

653303 Maintenance Fitter 21252201 IT Information Systems Administrator 10714204 Plastics Production Machine Operator (General) 9122101 Sales and Marketing Manager 8122102 Sales Manager 8432201 Material and Production Planning Clerk 8653303 Mechanical Fitter 5671101 Electrician 5214501 Chemical Engineer 5243103 Brand Manager 5432101 Supply Clerk/Assistant/Officer/Scheduler 3211301 Analytical Chemist 1652302 Fitter and Turner 1132104 Engineering Maintenance Manager 1332302 Purchasing Agent/Assistant/Buyer/Clerk/Controller 1263101 Economic Forecaster 1122105 Customer Care Manager/Representative 1243103 Category Manager 1432101 Aisle Controller 1Total 95% of employment in subsector 0.4

Source: WSP submissions, June 2012.

6.2 CONCLUSION

In 2012, employers were for the first time required to provide information on scarce skills in their WSP submissions. A relatively small percentage of employers reported that they experienced skills shortages. This leaves the impression that the subsector is not severely affected by skills shortages. Nevertheless, some evidence of shortages of skills of trade workers, professionals, plant and machine operators and assemblers, and managers was received.

The CHIETA is engaged in a range of partnerships, agreements and plans to contribute to both the development of new skills for the sector, as well as the development of skills within the existing workforce. These initiatives may serve to keep the development of serious skills shortages at bay.

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7 SKILLS PLAN FOR THE SUBSECTOR

The last chapter of the sector skills plan should include the strategic planning of skills interventions aimed specifically at this subsector. This chapter will be completed once the Fast Moving Consumer Goods (FMCG) and Pharmaceutical Chamber has engaged with the content of the report and has attended to its own strategic plan.

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References

CHIETA, Five Year Sector Skills Plan For The Chemical Industries Sector Education and Training Authority, 2011 – 2016.

dti, (2010). A South African Trade Policy and Strategy Framework.

Government of South Africa, (2011). National Climate Change Response Paper. Pretoria: Government Printer.

http://www.acts.co.za. Accessed 24 May 2013.

http://www.icca-chem.org/Home/About-us/Members-of-the-ICCA/?country=za. Accessed 3 June 2013.

http://www.labour.gov.za/legislation/acts/skills-development/skills-development-act-and-amendments. Accessed 4 June 2013.

http://www.lexisnexis.co.za. Accessed 23 May 2013.

http://www.novas.co.za/index.php/employer-associations. Accessed 3 June 2013.

IPAP, (2013). Industrial Policy Action Plan: Economic Sectors and Economic Cluster. IPAP 2013/14 – 2015/16. Pretoria: dti.

Online Catalogue, The FMCG Market. http://onlinecatalogue.co.za/tag/fast-moving-consumable-goods/. Accessed 28 May 2013.

PWC, Retail and Consumer Products Outlook 2012-2016. http://www.pwc.co.za/en/industries/retail-and-consumer. Accessed 27 May 2013.

Van Zyl, R. (2008). South African Chemical Sector Report on Skills Development and the Government’s New Economic Policy Priorities, March 2008.

https://www.labour.gov.za/downloads/documents/research-documents/Chemical%20Sector%20_DoL_Report.pdf. Accessed 29 May 2013.

Statistics SA, (2012).

The Department of Trade and Industry of South Africa, The Industrial Policy Action Plan, 2012-2015.

United Nations Environment Programme, (2013). Global Chemicals Outlook - Towards Sound Management of Chemicals. UNEP: www.unep.org.

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ANNEXURE 1 OCCUPATIONS BY RACE AND GENDER IN THE FMCG SUBSECTOR

Equity Managers Professionals

Technicians

and associate

professionals

Clerical

support

workers

Service and

sales workers

Skilled and

trade workers

Plant and

machine

operators and

assemblers

Elementary

occupationsLearners

African Female 318 202 501 428 134 68 1 314 1 105 136

% 9.1 13.9 17.2 18.7 32.8 8.3 15.9 30.6 36.9

African Male 410 143 778 491 59 329 4 659 1 618 196

% 11.7 9.8 26.7 21.5 14.6 40.1 56.3 44.8 53.1

Total African 728 345 1 279 919 193 398 5 973 2 723 332

% 20.8 23.7 43.8 40.2 47.4 48.4 72.1 75.4 89.9

Coloured Female 94 52 237 251 57 13 222 381 2

% 2.7 3.6 8.1 11.0 14.1 1.5 2.7 10.6 0.7

Coloured Male 121 43 116 102 2 70 209 237 1

% 3.5 3.0 4.0 4.5 0.6 8.5 2.5 6.5 0.3

Total Coloured 215 95 353 353 59 83 431 618 3

% 6.2 6.6 12.1 15.4 14.7 10.1 5.2 17.1 1.0

Indian Female 305 125 260 304 39 0 470 74 8

% 8.7 8.6 8.9 13.3 9.5 0.0 5.7 2.0 2.1

Indian Male 491 214 400 193 15 108 808 161 21

% 14.0 14.7 13.7 8.4 3.8 13.1 9.8 4.4 5.6

Total Indian 796 339 660 497 54 108 1 278 235 29

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Equity Managers Professionals

Technicians

and associate

professionals

Clerical

support

workers

Service and

sales workers

Skilled and

trade workers

Plant and

machine

operators and

assemblers

Elementary

occupationsLearners

% 22.8 23.3 22.6 21.7 13.3 13.1 15.4 6.5 7.7

White Female 641 432 443 427 85 3 375 15 1

% 18.3 29.7 15.2 18.7 20.8 0.3 4.5 0.4 0.3

White Male 1 115 243 184 91 15 231 225 22 4

% 31.9 16.7 6.3 4.0 3.8 28.1 2.7 0.6 1.0

Total White 1 756 675 627 518 100 234 600 37 5

% 50.2 46.4 21.5 22.7 24.6 28.4 7.3 1.0 1.4

Total Female 1 358 811 1 441 1 410 315 84 2 381 1 575 147

% 38.8 55.8 49.4 61.7 77.3 10.1 28.8 43.6 40.0

Total Male 2 137 643 1 478 877 91 738 5 901 2 038 222

% 61.2 44.2 50.6 38.3 22.7 89.9 71.2 56.4 60.0

TOTAL 3 495 1 454 2 919 2 287 406 822 8 282 3 613 369

Occupation Not Specified 147

Subsector total employment 23 794

Source: WSP submissions, June 2012.

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ANNEXURE 2 OCCUPATIONS AND SPECIALISATIONS OR ALTERNATIVE TITLES FOUND IN THE FMCG SUBSECTOR

OFO Code Occupation Specialisation name

111207 Senior Government Manager Head of Department

112101 Director (Enterprise / Organisation) Chief Executive Officer (CEO)

Company Director

Director (Enterprise / Organisation)

Executive Director

Managing Director

Managing Director (Enterprise / Organisation)

Non-executive Director

121101 Finance Manager Financial Controller

Revenue Assessment Manager

Financial Administrator

Financial Administration Manager

Finance Director

Chief Financial Officer (CFO)

Chief Accountant

Account Systems Manager

121103 Credit Manager Billing and Settlement Plan (BSP) Manager

121202 Business Training Manager Training & Development Manager

Human Resources Development Manager

121301 Policy and Planning Manager Strategic Planning Manager

121901 Corporate General Manager Business Operations Manager

Administrative Services Manager

Business Services Manager

Corporate Services Manager

121908 Quality Systems Manager ETQA Manager

Quality Assurance / Systems Auditor

Quality Auditor

Quality Control Manager

Quality Manager

Quality Systems Coordinator

122101 Sales and Marketing Manager Key Account Manager

Business Development Manager

Business Support Manager

122102 Sales Manager Sales Director

Sales Executive

122103 Director of Marketing Marketing Manager

Marketing Director

122104 Interactive and Direct Marketing Strategist Customer Care Manager / Representative

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OFO Code Occupation Specialisation name

Customer Service Manager

122201 Advertising and Public Relations Manager Media Advisor / Manager

Public Relations Manager

Media & Communications Manager

Advertising Manager

122301 Research and Development Manager Research Director

Research Manager

Product Development Manager

132101 Manufacturer Factory Manager

132102 Production / Operations Manager (Manufacturing)

Processing Unit Manager

Works / Workshop Manager (Manufacturing)

Plant Manager (Manufacturing)

Operations Manager (Production)

Plant Superintendent

132104 Engineering Manager Engineering Maintenance Manager

132105 Power Generation Production/Operations Manager

Biofuels Production Manager

132401 Supply and Distribution Manager Freight Forwarding Customs Clearing Manager

Supply Chain Manager

Procurement Manager

Purchase Manager

132402 Logistics Manager Dispatch Logistics Manager

132404 Warehouse Manager Coolstore / Packhouse / Stockroom / Storeroom Manager

Warehouse Manager

133101 Chief Information Officer ICT / IT Manager

ICT / IT Director

133102 ICT Project Manager ICT / IT / Computer Service Manager

ICT / IT / Computer Support Manager

133104 Application Development Manager Technical Solutions Manager

134201 Medical Superintendent Health Service Coordinator

134903 Small Business Manager Owner Manager

141101 Hotel or Motel Manager Lodge Manager

141201 Café (Licensed) or Restaurant Manager Canteen Manager

142101 Importer or Exporter Import Manager

Export Manager

142103 Retail Manager (General) Retail Store Manager

143901 Facilities Manager Facilities Supervisor

143905 Call or Contact Centre Manager Call or Contact Centre Supervisor

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OFO Code Occupation Specialisation name

Telesales Manager

211301 Chemist Industrial Chemist

Laboratory Chemist

Manufacturing Chemist

Analytical Chemist

212102 Mathematician Operations Research Analyst

212103 Statistician Reporting Analyst

213205 Food and Beverage Scientist Food Chemist / Engineer

214101 Industrial Engineer Industrial Efficiency Engineer

Manufacturing Logistics Engineer

Manufacturing Technology Engineer

Plant Engineer

Process Engineer

214102 Industrial Engineering Technologist Manufacturing Logistics Technologist

Quality Management Technologist

214401 Mechanical Engineer Maintenance Management Engineer

214908 Materials Engineering Technologist Materials Technologist

216302 Industrial Designer Product Designer (excluding Engineering Products)

Textile Research and Development Practitioner

222104 Registered Nurse (Community Health) Occupational Health Nurse

223103 Homoeopath Traditional Chinese Medicine Practitioner

226201 Hospital Pharmacist Health Service Pharmacist

226203 Retail Pharmacist Pharmacist Assistant

226301 Environmental Health Officer Health Surveyor

226302 Safety, Health, Environment and Quality (SHE&Q) Practitioner

Occupational Safety Advisor

Occupational Safety Practitioner / Officer

Health and Safety Officer / Coordinator / Professional

Safety, Health, Environment and Quality (SHE&Q) Practitioner

226904 Diversional Therapist Activities Coordinator

235205 Adult Education Teacher Abet Trainer

241101 Accountant (General) Accountant (General)

Debtors Manager

241102 Management Accountant Project Accountant

Cost Accountant

241107 Financial Accountant Company Accountant

241301 Financial Investment Advisor Financial Agent

Financial Business Analyst

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OFO Code Occupation Specialisation name

242101 Management Consultant Business Analyst

Business Support Project Manager

Technology Development Coordinator

242102 Organisation and Methods Analyst Cost Modelling / Industry Analyst

Work Study Officer / Observer

242202 Policy Analyst Research Consultant

Risk / Planning / Review / Analyst

242203 Company Secretary Board Secretary

242208 Organisational Risk Manager Organisational Risk Coordinator

Human Resources Planner

242303 Human Resource Advisor Hr Administrator

Hr Analyst

Hr Officer

Human Resource Advisor

Personnel Officer

242401 Training and Development Professional Training Advisor

Training Officer

Training Coordinator

242402 Occupational Instructor / Trainer Business Skills Trainer

Product Trainer

243101 Advertising Specialist Creative Director (Advertising)

243102 Market Research Analyst Marketing Research Accounts Manager / Key Account Manager

Trade Marketing Analyst

Information and Publishing Communications Advisor

243103 Marketing Practitioner Retail Advisor

Sales Promotion Officer

Brand Manager

Sales Account Manager

Product Manager

Marketing Specialist

Marketing Officer

Category Manager

Business Forecaster

Sales Coordinator

243201 Communication Coordinator Company Promoter

Customer Relations Officer

Promotions Officer / Coordinator

Public Relations (PR) Coordinator / Practitioner

243203 Corporate Communication Manager Manager External / Internal Communication)

Director Public Relations / Corporate Communications (Public

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OFO Code Occupation Specialisation name

Service)243204 Event Producer Meeting Planner

243302 Sales Representative (Medical and Pharmaceutical Products)

MEDICAL REPRESENTATIVE

251101 ICT Systems Analyst ICT Business Systems Analyst

251202 Programmer Analyst Software Configuration / Licensing Specialist

252101 Database Designer and Administrator Data Administrator

252201 Systems Administrator Network / Computer System Coordinator

Network Administrator

It Information Systems Administrator

252301 Computer Network and Systems Engineer ICT Customer Support Officer

261901 Adjudicator Facilitator

262101 Archivist Preservation Technician

262202 Information Services Manager Records Administrator

311101 Chemistry Technician Chemical Laboratory Technician / Analyst

Chemical Manufacturing Technician

Chemical Technician (Food, Fuel, Gas, Paint, Liquefied Petroleum Gas, Leather)

311102 Physical Science Technician Physical Science Technician

Product Quality Laboratory Technician

311201 Civil Engineering Technician Work Site Engineering Technician

311301 Electrical Engineering Technician Electrical Instrument Technician

311401 Electronic Engineering Technician Electronic Engineering Technician

311501 Mechanical Engineering Technician Mechanical Instrument Technician

311704 Geophysical Technician Earth Science Laboratory Technician

311801 Draughtsperson Manufacturing Draughtsperson

311904 Manufacturing Technician Plastics Manufacturing Technician

312101 Production / Operations Supervisor(Mining) Shift Supervisor (Mining)

312201 Production / Operations Supervisor (Manufacturing)

Production Plant Supervisor

Manufacturing Foreman

Assembly Supervisor

Shift Manager (Production)

312202 Maintenance Planner Engineering Planner

Maintenance Scheduler

313301 Chemical Plant Controller Pharmaceutical Production Controller

Chemical Process Technician

Chemical-Still and Reactor Operator

313901 Integrated Manufacturing Line Process Control Technician

Automated Assembly Line Operator

314101 Life Science Technician Microbiology Technician

314201 Agricultural Technician Agriculture Technical Assistant

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OFO Code Occupation Specialisation name

321301 Pharmaceutical Technician Pharmacist Technician

325301 Health Promotion Officer Health Educator

325703 Agricultural / Horticultural Produce Inspector Meat Safety and Quality Controller

325705 Safety Inspector Safety Health Environment Quality Inspector

331201 Credit or Loans Officer Credit Analyst / Control Officer

Credit Clerk

Credit Controller

Finance Clerk / Officer

Finance Systems Assistant

Financial Accounting Plan Officer

331301 Bookkeeper Financial Administration Officer

332203 Sales Representative (Personal and Household Goods)

Sales Representative (Cosmetics and Skincare Products)

Sales Representative (Detergents)

332208 Pharmacy Sales Assistant Retail Dispensary / Pharmacy Assistant

332301 Retail Buyer General / Company Buyer

332302 Purchasing Officer Procurement Administrator / Coordinator / Officer

Purchasing Stores Officer

Purchasing and Logistics Officer

Purchasing Agent / Assistant / Buyer / Clerk / Controller

Procurement Clerk

Procurement Officer (Consumer Sensitive Consumables)

332401 Commodities Trader Wool Broker / Buyer / Trader

333101 Clearing and Forwarding Agent Shipping Agent Coordinator

333301 Recruitment Consultant / Officer Recruitment Officer

333905 Supply Chain Practitioner Supply Chain Administrator

333908 Marketing Coordinator Marketing Support Coordinator

334101 Office Supervisor Clerical Supervisor

334302 Personal Assistant Private Secretary

Executive Assistant

335402 Import-export Administrator Customs Agent / Clerk

Export Agent / Clerk

351201 ICT Communications Assistant Computer Engineering Assistant

411101 General Clerk Recording Clerk

Tender Evaluation Coordinator

Lab Administrator

Administrative Assistant

Administration Clerk / Officer

413101 Word Processing Operator Typist

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OFO Code Occupation Specialisation name

413201 Data Entry Operator Data Capturer

Data Compiler / Enterer / Officer / Operator

Data Control / Input Clerk

Data Processing Operator

421102 Bank Worker Bank Customer Services Clerk / Officer

421203 Betting Agency Counter Clerk Tab Operator / Teller / Worker

422201 Inbound Contact Centre Consultant Inbound Contact Centre Team Leader

422202 Outbound Contact Centre Consultant Call Centre Customer Service Representative (Outbound)

Outbound Contact Centre Team Leader

422203 Contact Centre Real Time Advisor Resource Controller

422206 Call or Contact Centre Agent Call or Contact Centre Agent

422501 Enquiry Clerk Customer Services Clerk / Officer / Reception Officer

Customer Centre Support Officer

Client Liaison Officer

Consumer Safety Advisor

422701 Survey Interviewer Field Assistant / Coordinator

431101 Accounts Clerk Debtors Clerk

Creditors Clerk

Accounts Clerk

Accounts Payable or Receivable Clerk

Audit Clerk

431102 Cost Clerk Costing Clerk

Pricing Clerk / Analyst / Estimator

431202 Securities Services Administrative Officer Cash Management Officer

431204 Insurance Claims Administrator Claims Analyst

431301 Payroll Clerk Payroll Officer / Administrator / Advisor / Analyst

Salaries Clerk / Officer / Administrator

Wage Clerk

432101 Stock Clerk / Officer Stores Controller

Stores Coordinator

Stock Clerk / Officer

Inventory Clerk / Controller / Administrator

Packaging Material Stores Clerk-Perishable Produce

Supply Clerk / Assistant / Officer / Scheduler

Stock Control Clerk

432102 Dispatching and Receiving Clerk / Office Inwards Goods Clerk

r Receiving Clerk

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OFO Code Occupation Specialisation name

Goods Receiving Clerk

Distribution Officer

Dispatch Clerk / Officer / Operator / Assistant / Worker

Carton and Label Controller

Shipping and Receiving Clerk

432103 Order Clerk / Officer Customer Orders Clerk

Mail Order Clerk

432201 Production Coordinator Production Foreman

Production Recorder / Scheduler

Logistics Clerk / Assistant / Controller / Coordinator / Planner / Officer

Production Planning Officer

Shift Controller

Production Planner / Officer

PRODUCTION CLERK

Material and Production Planning Clerk

Distribution Controller

Parts Warehouse Clerk

441501 Filing or Registry Clerk Document Control Officer

441502 Office Machine Operator Office Assistant Photocopying

441602 Skills Development Administrator Training Administrator

441903 Program or Project Administrators Programme / Project Coordinator

Administration Officer

Administrator

513102 Cafe Worker Canteen Attendant / Worker

514102 Hair or Beauty Salon Assistant Hairdresser's Assistant

Salon Operator

514207 Somatologist Spa Therapist

515301 Caretaker Maintenance Officer

522201 Retail Supervisor Sales Department Supervisor

522201 Retail Supervisor Sales Promotions Officer

522301 Sales Assistant (General) Perishable Sales Worker

Shop Assistant

Cosmetic Sales Assistant

Sales Person / Consultant

523102 Office Cashier Cash Accounting Clerk

Cashier

524201 Sales Demonstrator Merchandiser

524903 Sales Clerk / Officer Internal Salesperson

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OFO Code Occupation Specialisation name

541101 Fire Fighter Fire Prevention Officer

Fire Safety Officer

541401 Security Officer Security Safety and Emergency Services Manager

542203 Special Forces Operator Team Leader (Tm Ldr)

611302 Landscape Gardener Gardener

641501 Carpenter and Joiner Building Maintenance Repairman

642601 Plumber Drainer / Drainlayer

652301 Metal Machinist Fitter-machinist

MACHINE SETTER

Machine Tool Mechanician

653301 Industrial Machinery Mechanic Plant Maintenance Mechanic

653303 Mechanical Fitter General Fitter

Mechanical Fitter

662216 Commercial Digital Printer Digital Printer

671101 Electrician Electrician (General)

Electrician (Engineering)

Electrical Fitter

Construction Electrician

Winder Electrical Technician

Millwright (Electromechanician)

672105 Instrument Mechanician Survey Instrument / Maker / Repairer / Manufacturer

Instrument Mechanician (Industrial Instrumentation & Process Control)

681603 Tobacco Processing Machine Operator Cigar Production Machine Operator

683101 Tailor Seamstress

683303 Textile Produce Mender and Embroiderer Textile Produce Mender

684301 Crop Produce Analyst Crop Quality Inspector

711404 Cement Production Plant Operator Cement Despatch Operator

713101 Chemical Production Machine Operator Cosmetics Machine Operator

Petroleum and Natural Gas Refining (Ethyl) Operator / BlenderPharmaceutical Products Machine Operator

Toiletry Products Machine Operators

Chemical Extractor / Reactor / Still Operator

Chemical Crusher / Grinder

Candle Production Machine Operator

TABLET MAKING MACHINE OPERATOR

Cleaning Materials Machine Operator

714101 Rubber Production Machine Operator Rubber Compounder

714204 Plastics Production Machine Operator (General) Injection Moulding Machine Operator

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OFO Code Occupation Specialisation name

714205 Reinforced Plastic and Composite Production Worker

Resin Transfer Moulding Machine Operator

714208 Plastics Manufacturing Machine Minder Plastic Production Machine Setter

714301 Paper Products Machine Operator Cutting Machine Operator

717102 Paper and Pulp Mill Operator Paper Making Machine Operator

717201 Wood Processing Machine Operator Band Saw Operator

718303 Filling Line Operator Bottle Filler

Filling Machine Operator

Sealing and Capping Machine Operator

Aseptic Filling Line Operator

Container Filler

Bottling Attendant

718304 Packaging Manufacturing Machine Minder Packaging Machine Minder

Packaging Machine Operator

Palletiser Operator

718907 Weighbridge Operator Licensed Weigher

732101 Delivery Driver Van Driver

Driver-messenger

Light Utility Vehicle (LUV) Driver

734101 Agricultural Mobile Plant (Equipment) Operator Tractor Driver

734206 Loader Operator Loader Driver

734402 Forklift Driver Forklift Operator

Reach Truck Operator

811101 Domestic Cleaner Char (Domestic)

811201 Commercial Cleaner Workshop Cleaner

Building Exterior / Interior Cleaner

Cleaner (Non-domestic)

Factory Cleaner / Sweeper

Office Cleaner

811203 Tea Attendant Tea Lady

821104 Harvester / Picker Picker Quality Controller

831301 Builder's Worker Maintenance Person / Coordinator

831310 Surveyor's Assistant Sampler/ MRM Sampler/ MRT Grade Controller

832102 Meat Packer Shrinkwrap Operator

832901 Metal Engineering Process Worker Fitter's Assistant

832907 Chemical Plant Worker Chemical Tester (Physical/ Routine)

833301 Freight Handler (Rail or Road) Freight Loader

Rail and Road Transport Vehicle Loader

Checker and Loader Transport Vehicle

833401 Shelf Filler Warehouse Worker / Shelver

Shelf Stacker

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OFO Code Occupation Specialisation name

Storeperson Packer / Shelver

833402 Store Person Warehouse Assistant

Stores Assistant

Manufacturing Storeperson

Order Picker / Assembler

862918 Electrical or Telecommunications Trades Assistant

Artisan Aide Electrical

Electrical Helper

Instrument Artisan Assistant

Source: WSP submissions, June 2012

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