In a country emerging from its deepest economic recession in a century, with a stubbornly high unemployment rate and an equally alarming poverty rate, Exxaro Resources aims to bring hope to South Africans, especially the youth, through its purpose of powering possibility.
Based on the recently released Quarterly Labour Force Survey (QLFS), Statistics South Africa (Stats SA) revealed that 7,2-million South Africans are currently unemployed, with an official unemployment rate of 32,6% in the first quarter of 2021. However, this heavy burden of unemployment significantly rests on the shoulders of the youth (those aged between 15 and 34 years), with 46,3% unable to find work and 9,3% of these being university graduates. This situation has been exacerbated by the COVID-19 global pandemic, where previously, the unemployment rate was just under 70% for people aged 15 to 24. A year later the rate had increased to 74% – despite government investments.
The June 16, 1976 uprising that began in Soweto and spread countrywide – profoundly changed the socio-political landscape in South Africa. Events that prompted the uprising can be traced back to policies of the Apartheid government that resulted in the introduction of the Bantu Education Act in 1953. Some 45 years later, youth in South Africa are confronted with more pressing socio-economic challenges of youth unemployment.
As the future leaders and changemakers of Africa, empowering and developing the youth is vital to reducing the country’s unemployment crisis by bridging the skills gap, hence the significant investments in youth development through skills programmes, learnerships and internships.
In 2020, Exxaro sponsored 411 engineering learners, 33 miner learners, 90 operator learners and 19 business administration learners as part of its formal engineering and mining learnership programme. Of these, 89% of learners were black, including 38% black female youth. The learnerships take place at the Grovos Training Centre in Lephalale and the Colliery Training College (CTC) in Mpumalanga and include formal theoretical and practical training in core skills, such as plant and mobile equipment operation. The learners also receive a monthly allowance while in training.
To acquire practical experience in the industry, Exxaro also provides internships for recent graduates, equipping 110 interns with impactful workplace exposure and hands-on training in 2020. All the interns were black and 45% were black female youth. Exxaro remunerates its interns as an investment in the future of not only itself but the country.
“So much has changed in our industry over the years and more young black people are attracted to a career in mining and engineering. And with digitalisation, the mining sector is about to get even more exciting and appealing for the youth,” explains Mxolisi Mgojo, CEO at Exxaro.
“The youth of today are very conscientised when it comes to issues like social inequality and environmental stewardship, issues which affected them directly and may severely impact their future if unabated. They challenge us to question what we are doing to build a better world for our future generations. Young South Africans want to work for organisations that have a social conscience and are driving initiatives that address socio-economic challenges. That’s why everything we do is geared towards a much bigger purpose: to power better lives while being resilient and growing our business.”
The company will continue to nurture and develop exceptional young people, empowering them with the skills and training they need to thrive as the workforce of tomorrow and drive South Africa forward.
