For Thembakazi Sidumo, a welder-in-training from the disadvantaged community of Du Noon in Cape Town, South Africa, the new skills she is learning provide a way to forge a new life.
"Now that I am going to get my welding certificate, I feel like I can walk through any door and I can do the job," said Sidumo, a contractor whose optimism belies her residence amid the estimated 100,000 living in Du Noon, where illiteracy is common. "It is very challenging out there for a woman. But women can do it," she said with a smile, "as well as men can do it."
The skills training programs that she and hundreds of other community members are participating in provide training for employment opportunities at refineries and other industries in the region. They are the result of a partnership between Chevron, government entities and local community-based organizations. With unemployment estimated at 25 percent in South Africa and 50 percent in Du Noon, these programs provide value to residents throughout the region and are building blocks for a better life.
In 2011, Chevron South Africa celebrated milestones that encourage aspirations for the future. We marked 100 years of operations in the country, the Caltex brand commemorated 75 years and the Cape Town Refinery celebrated 45 years. During the past century, we have become a leading refiner and marketer of petroleum products in South Africa. We are one of the country's top five petroleum brands, and nearly one-quarter of Chevron's Caltex service stations are in the country. We have 1,000 employees in South Africa and have approximately 440 employees at our Cape Town Refinery. We also hire contractors, like Sidumo, and many businesses that support refinery operations.
Our longevity in South Africa gives us an important stake in the community, as the nation's journey of social, political and economic change unfolds. Chevron was among the first supporters of the Sullivan Principles in 1977, which called for equal treatment of employees regardless of race. That year, 40 percent of our more than 700 black workers were moved into refinery jobs traditionally held by whites. Today, more than 75 percent of our employees at the refinery are black.
"We recognize that our business success is linked to society's progress," said Steven Parker, general manager of Chevron's Cape Town Refinery. "For South Africa to achieve high levels of economic growth and address the challenges of poverty and inequality, it is vital that we help advance partnerships that share the vision of a skilled and capable workforce."
Responding to Change
The country is undergoing a historic transition to address the systematic exclusion of the majority of South Africans from full participation in the economy, particularly black South Africans, people with disabilities and women. The South African government policy on these changes is called "transformation."
"It's important for all people in the community that companies like Chevron are doing the right thing when it comes to transformation. Everyone is aware that the whole nation is on a journey," said Parker.
The South African government established the Broad-Based Black Economic Empowerment (BBBEE) Act in an attempt to improve economic opportunities. Companies must provide their audited BBBEE score card rating when bidding for business, and the rating directly influences the awarding of contracts and trading licenses. The score card measures companies' performance in key areas, including skills training, employment equity, enterprise development, preferential procurement, socioeconomic development, ownership/shareholding and management.
The company was recognized for its commitment to transformation in the country. A 2011 independent BBBEE audit by Empowerdex found Chevron South Africa to be one of the leading companies redressing historical imbalances in the petroleum industry. Chevron South Africa places a strong emphasis on capacity building through proactive recruitment, development, coaching and internal promotion of people from diverse backgrounds.
“It's important for all people in the community that companies
like Chevron are doing the right thing when it comes to transformation.”
—Steven Parker, Chevron
Transforming Turnarounds
Chevron is focused on being the partner of choice in the community by actively participating in the development of the country. Our Cape Town Refinery supports the community skills training programs for refinery "turnarounds" as a way to reverse inequities brought on by the apartheid system.
A turnaround is a planned, periodic shutdown of a refinery to perform maintenance, test and replace materials, and repair equipment. Turnarounds occur periodically at the Cape Town Refinery. They take months to plan and up to two months to complete. They are necessary to maintain safety, improve efficiency and reliability, and sometimes expand capacity. This type of maintenance requires 1,000 to 2,000 qualified contractors, depending on the work needed. Understanding Chevron's safety culture and processes is essential to the work and helps build upon the refinery's safety record. In 2011, there were no Days Away From Work injuries during 4.25 million hours on the job.
Contractors working on turnarounds undergo Chevron's comprehensive safety training, which includes safe-work practices, hazard assessment, equipment training and many other elements. Contractors participate in our Fitness for Duty program, which confirms their ability to safely perform essential physical and cognitive requirements of the job without risk to themselves, others or the environment. And a safety "boot camp" is held for contractors on the day work begins.
Turnarounds are very visible to the local community. Many people approach Chevron asking for the opportunity to work, but very few have the basic skills necessary for such work. The World Economic Forum's 2008–2009 Global Competitiveness Report cited an "inadequately educated workforce" as the primary problematic factor for doing business in South Africa.
To address this issue, the refinery's Community Advisory Panel—a Chevron-initiated and supported monthly forum in which the company and community leaders share information, define needs and plan social investment projects—helped develop the skills training programs designed for refinery turnarounds. To implement the training programs, we collaborated with community leaders to form a partnership between the government, the Chevron refinery and local organizations.
One program—a six-week apprenticeship course conducted by Empro Training Services Ltd., known as Emprotrain—was formed to assist in skills training for the oil, gas and chemical manufacturing industries. Students learn about safety principles and standards, rigging and piping, permitting, hand and power tools, and other aspects of turnaround work. Grants from Chevron and from the government's Chemical Industries Education and Training Authority (CHIETA) support this program. In 2011, 240 people participated.
"Chevron is very receptive to addressing the poor work readiness of the many unemployed youth in the country," said Roger Adriaanse, regional skills advisor at CHIETA. "They have opened their doors as a host employer for many young people leaving formal secondary and tertiary education and entering the labor market for the first time. The partnership has addressed the continuing skills shortages in the artisanal, technical and professional fields that are fundamental to the development and growth of the economy."
Another partnership, with Northlink College, a nearby government-run college, provides a yearlong full-time course to train fully qualified artisans. This program includes three months of training at the Chevron refinery. Participants become skilled electricians, welders, steel fabricators or mechanical fitters. In early 2012, 23 graduates—including Sidumo, seven other women and 15 men—were hired by contractors to work on a Chevron refinery turnaround.
"The Northlink program provides young persons with an opportunity to learn skills that will enable them to find employment at the refinery during shutdowns and further apply for work in an engineering environment. Chevron wants to play an active part in alleviating the skills shortage in South Africa," said Dion Miller, Northlink program manager.
"Chevron is a reputable organization in the industry, so the people who participate in the skills development initiatives become extremely marketable and sought after once they exit the programs," said Adriaanse. "Once gainfully employed, learners can provide for themselves without having to rely on others. They are now able to support their families, and their earnings are plowed back into the community in which they reside."
Updated: May 2012