MINE HEALTH AND SAFETY AMENDMENT BILL, 2008

MINERALS SECTOR PROFILE

– The “bed rock” of SA’s industrialisation– Contribution to GDP

– Direct 7% – Indirect 15%

– Significant contributor to employment: 460 000 employees

– JSE market capitalisation: 30%– Major global producer of Gold, PGM,

Manganese, Coal, Diamond, etc

MINERALS SECTOR PROFILE (CONT.)

– Operations:• High Risk-Large, deep, labour intensive

Au & Pt u/g mines• Medium Risk-Mechanised Base Metal and

Coal Mines• Low Risk-Surface mines

INTRODUCTION

• Compensation

• Legal Sanctions

• Regulatory Capacity

• Bill

COMPENSATION ODMWA COIDA• Administered by DoH

• Limited occupational lung diseases

• Free benefit medical

examinations • Lump Sum compensation

• MHSI involved in the Risk Committee that determines the levy payable by mines.

• Administered by DoL

• No fault compensation

• Trade-off of rights

• No civil claims

• Pension payments to workers with serious permanent disablement.

Occupational Diseases OCCUPATIONAL DISEASES CAPTRUED FROM ANNUAL MEDICAL REPORTS: 2005 AND 2006

0

500

1000

1500

2000

2500

3000

3500

4000

4500

Pulmonary Tuberculosis 4015 3648 30 12 3442 3115 355 338 121 88 67 95 3039 2204 23 3 2705 2067 257 102 46 15 8 17

Silico-Tuberculosis 132 320 0 126 175 141 1 1 5 3 272 363 272 299 60 0 4

Silicosis 1031 1536 5 944 1450 45 74 2 2 35 10 207 452 0 201 450 5 2 0 1

Obstructive Airways Disease 208 186 4 8 148 169 8 1 11 7 37 1 225 52 0 0 25 51 1 199 1

Noise Induced Hearing Loss 2380 1875 66 3 911 705 1065 874 85 83 253 210 1763 1681 34 2 899 675 513 861 225 47 92 96

Total Total 2005 2006 2005 2006 2005 2006 2005 2006 2005 2006 Total Total 2005 2006 2005 2006 2005 2006 2005 2006 2005 2006

2005 2006 Diamonds Gold Platinum Coal Others 2005 2006 Diamonds Gold Platinum Coal Others

SUBMITTED CERTIFIED

ENFORCEMENT PROVISIONSAction DME Justice

Minor Breach Improvement Notice

Repeat Breaches Administrative Fine

Serious Breaches Stoppage Order, Fine

Serious Injury Stoppage order, Investigation & Fine

Death Stoppage order,

Investigation and Inquiry/Inquest

IMPROVEMENT NOTICES

Region 2005/2006 2006/2007 2007/2008

Gauteng 289 272 208

Free State 247 489 303

North West 67 42 209

Eastern Cape 118 64 256

Western Cape 3 11 64

Northern Cape 43 57 57

Limpopo 247 437 8

Mpumalanga 131 229 210

KZN 2 6 72

Total 1 147 1 607 3 187

ADMINISTRATIVE FINES 2005/ 2006Region Recommended Set Aside Value

issued

R ‘000

Value Paid

R ‘000

Gauteng 8 8 0 0

Free State 5 1 25 25

North West 1 1 0 0

Eastern Cape 3 3 0 0

Western Cape 5 0 50 40

Northern Cape 20 12 59,5 7.5

Limpopo 0 0 0 0

Mpumalanga 7 1 540 35

KZN 8 8 0 0

Total 56 34 674.50 107.50

ADMINISTRATIVE FINES 2006/ 2007Region Recommended No Set Aside Value

issued

R ‘000

Value Paid

R ‘000

Gauteng 2 1 10 10

Free State 6 3 53 83*

North West 3 3 0 0

Eastern Cape 0 0 0 0

Western Cape 1 0 10 50***

Northern Cape 10 10 0 3**

Limpopo 1 1 0 0

Mpumalanga 8 2 820 420

KZN 23 23 0 0

Total 54 43 993 566

*R 50 000 for fine from 2005/ 2006

** R 3000 from 2005/ 2006 *** R40 000 from 2005/ 2006

ADMINISTRATIVE FINES 2007/ 2008Region Recommended No Set Aside Value

issued

R ‘000

Value Paid

R ‘000

Gauteng 15 0 588 50

Free State 7 3 156 56

North West 4 1 200 0

Eastern Cape 0 0 0 0

Western Cape 9 8 15 0

Northern Cape 19 3 295 120

Limpopo 3 1 30 30

Mpumalanga 10 1 2000 0

KZN 1 0 60 0

Total 68 17 3346 256

STOPPAGE ORDERS

Region 2005/2006 2006/2007 2007/2008 Issues

Gauteng 302 236 365 Poor thermal conditions;

dangerous gasses; airborne pollutants in

harmful quantities; poor ventilation;

poor rigging; dangerous use of rolling stock; poor explosives control;

Unguarded machinery; failure to use PPE; Support;

poor mining practice

Free State 403 661 589

North West 109 186 309

STOPPAGE ORDERS

Region 2005/2006 2006/2007 2007/2008 Issues

Eastern Cape

18 25 9 Unsafe TMM equipment; lack of guarding;

Non compliance with instructions

Western Cape

1 7 36 Lack of guarding; risk assessments; poor housekeeping; Non-submission of medical and hygiene reports and Excessive dust

Northern Cape

90 102 102 Unguarded Pulleys

No risk assessment

No training

No explosives control

STOPPAGE ORDERSRegion 2005/2006 2006/2007 2007/2008 Issues

Limpopo 54 107 92 Support; Poor Barring;Ventilation; Stonedust; Refuge bays; Dangerous Highwalls; Unlicenced TMM operators; Explosive control and declarng unsafe working places safe

Mpumalanga 108 139 171 Same as KZN

KZN 67 49 21 Conveyorbelts; Support; Change house and toilet facilities; statutory reports; risk assessments; brushing of travelling roads; legal appointments

STOPPAGE ORDERS& FINES

2005/2006 2006/2007 2007/2008

Total 22 11 54

Total

R ‘000 107 566 256

Region 2005/2006 2006/2007 2007/2008

Total 1 152 1 512 1 694

Section 54 Instructions

Administrative fines

vs

REGULATORY CAPACITY

DATE NUMBER OF VACANCIES

NUMBER OF POSTS

31 March 2006 38 310

31 March 2007 76 336

31 March 2008 92 338

REGULATORY CAPACITY ADVERTISEMENTS

283 posts were advertised in the past 27 months (01 March 2006 to 30 June 2008).

R3 207 697.46 utilised for advertisements in this period.

Number of posts filled in the process:Mine Health and Safety = 84 A, 31 F = V 20Mine Equipment = 107 A, 16 F = V 29Mine Survey = 07 A, 0 F = V 7Occupational Medicine = 05 A, 5 F = V 0Occupational Hygiene= 26 A, 21 F =V 5

2 YEAR CONTRACT APPOINTMENTS

• 17 candidates were recommended for appointment.• 10 accepted.• 7 declined.• 2 who accepted had already left the Department.

REGULATORY CAPACITY

MINE EQUIPMENT: Only 15% of the advertised posts were filled.

MINE SURVEY: No post was filled

MINE SAFETY: Only 36 % of the advertised posts were filled.

MEDICINE: 100% (all advertised posts were filled)

HYGIENE: 81% was filled

PERCENTAGES

Mine Health and Safety – has the highest termination rate

• Biggest reasons why people are living is Salaries and benefits =42%

• Supervisors and Managers = 27%

• Lack of Career Path = 26%

• Lack of Recognition = 16%,• • Working conditions = 12%

• No opportunities for decision making = 12%

REGULATORY CAPACITY

Training and Development Plan

Interventions Programme Program Details Impact/Duration

Status

1 MDP (SAMDI)

Training Programme

Short term

Short to medium

4 officials attended AMDP @ SAMDI

2 Mentorship

Experiential Training

Medium term

Medium to long

23 HDI graduates undergoing experiential training at GFA

3 Mentorship

Student

Long term 7 bursaries allocated to HDI for mining related studies

Bursary Scheme

Internship Programme

Training and Development

AMENDMENT BILLSection Provision Page

s10 Section 10 of the principal Act is hereby amended by the addition of the following subsection:

“(4) The employer must keep a record of all formal training provided in respect of each employee in terms of subsection (2).”

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s13 The employer must inform the Principal Inspector of Mines in writing within 7 days of the appointment of the occupational medical practitioner;

“(4B) The information submitted to the Principal Inspector of Mines in terms of subsection (4A) must include-

(i) the name of a occupational medical practitioner;

(ii) practice number(iii) whether the occupational medical practitioner is engaged on full time or

part time basis.

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s17 Section 17 of the principal Act is hereby amended by the substitution for subsection (2) of the following subsection:

"(2) The examination referred to in subsection (1) must be held before, or [as soon as possible] within 30 days after, termination of employment.".

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s20 Section 20 of the principal Act is hereby amended by the insertion after subsection (6) of the following subsection:

“(7) An employee who is entitled to appeal in terms of subsection (1)(a) may not be dismissed by reason of that employee's unfitness to perform any category of work until the appeal process in terms of this section has been exhausted

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AMENDMENT BILLSection Provision Page

S98 Insert a new paragraph 98(zP) as follows-

(zP) minimum standards for the establishment, functioning, training, equipping and staffing of rescue services at mines and reporting by employers in respect of rescue services.

s55D Chief Inspector of Mines to issue guidelines

The Chief Inspector of Mines must issue guidelines by notice in the Gazette regarding the recommendation of fines by an inspector in terms of section 55A.".

Fine The maximum fine that can be imposed in terms of section 55B may not exceed an amount of R2 000 000.”.

s55E Determination of employer’s liability

55E. (1) In determining for the purposes of sections 55A and 55B whether or not an employer has contravened or failed to comply with any provision contemplated in section 91 (1B), the obligations placed on the employer by –

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