Delivering beyond compliance
Across our operations, there is an understanding that transformation is much more than simply a compliance requirement; it is a business imperative.
In 2016, Anglo American South Africa operations continued to meet, and in many areas well exceed, the 2014 targets of the 2010 Mining Charter, which remain in place until a third iteration is implemented.
Let me reflect on key areas of our performance this year that stand out for me.
Fostering diversity and inclusion
Our commitment to transformation is convincingly illustrated by our sustained employment equity (EE) profile.
Despite ongoing organisational restructuring and the associated drive for efficiency within the business units, we have largely maintained the EE gains achieved in recent years.
Across our workforce, aggregated levels of historically disadvantaged South African (HDSA) representation have continued to exceed the Mining Charter’s minimum requirements. By year-end, aggregate HDSA representation at management levels was 65%, with women holding 24% of management positions.
Investing in our skill base
In 2016, we placed a greater focus on developing skills through on-the-job training, which is more cost-effective than external training. Our business units and functions collectively expended R1.2 billion on HDSA training and development, representing an aggregate 11.3% of annual HDSA payroll (excluding the 1% skills levy). Our ongoing investment in skills development outside the business continues to support hundreds of individuals each year to develop their skills and improve their job prospects.
Our direct economic contribution
It is through our core business activities – employing people, paying taxes and procuring goods and services locally – that we make our most significant positive contribution to the South African economy. In 2016, we contributed R14.9 billion in direct and indirect taxes, R27.8 billion in salaries and wages, and R11.4 billion in local procurement expenditure.
