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The road freight industry in South Africa has experienced rapid growth over the last fifteen years, attributable largely to the demise of rail services and the steady growth of our economy. Truck vendors are registering record new vehicle sales figures and NAAMSA estimates the overall truck parc growing by an average of 10% per annum. On the surface, road transport's immediate future looks positive. However, if one scratches beneath the surface, a less rosy picture presents itself. As the demand for trucks increases, so too does the demand for skilled personnel to drive, maintain and manage these vehicles. And herein lies the rub: South Africa has an acute shortage of skilled, experienced trucking human resources, a shortage that could reach crisis point if not dealt with effectively, writes Paul Collings in this Special Interest Report on skills supply and development in the truck transport sector.

The road freight industry is not alone when it comes to a lack of skills. The economy as a whole suffers from a shortage of adequately qualified and suitably skilled people to fill positions in a job market that is both dynamic and relatively restricted by various sets of government legislation.

Equity costs
In order to redress the socio-economic imbalances of Apartheid, the post 1994 government comprehensively overhauled the education system and implemented a number of new labour laws to level the playing field in terms of skills and job acquisition. The Employment Equity Act (EE) now places mandatory 'race quotas' on business and the Skills Development Act (SDA), via the Skills Development Levies Act, demands 1% of payroll from all companies with an annual turnover exceeding R500 000 as contribution to the National Skills Development Fund (NSDF). 

While these 'transformation mechanisms' look good on paper, they are struggling to make a positive difference to the economy. In order to meet EE targets, employers are hiring under-qualified candidates and retrenching experienced 'previously advantaged' staff, resulting in 'skills vacuums' within companies. Upskilling new recruits via the SDA is a complicated (and lengthy) process and often, the red tape and costs involved are deemed too onerous by many companies, who simply pay the 1% levy and do not participate any further in the SDA process.

Transport's dilemma
The skills 'vacuum' created by EE quotas is not the only factor affecting the efficiency of the road freight industry. The sector is booming and new drivers are needed on a daily basis. HIV/Aids is estimated to remove 30 to 50 truck drivers every month in South Africa. Many of these drivers are highly experienced and replacing them with equally qualified personnel is extremely difficult. The combination of these two factors, coupled with the fact that very little is being done to adequately train new drivers, poses a serious threat to not only the transport industry, but to the economy as a whole.

Skills shortages are also plaguing the technical, administrative and management departments of transport operations. Another problem that relates directly to the skills deficit is that of 'industry image'. Whether it's a Code 14 driver or diesel technician that is required, both need at least a Standard 8 school certificate. They will also need to show an aptitude for the special skills needed to pilot an artic and/or service a diesel injection unit. In this hi-tech era, most school leavers are unaware of the levels of technological sophistication driving the truck transport business, that it is an industry full of challenges, career scope and rewards. For many, working in trucking is a 'last resort' job. Overcoming these misconceptions is another challenge the industry faces. 


Government's analysis
The Department of Transport (DoT) launched its new National Freight Logistics Strategy in September 2005 to counteract the problems facing the sector, which includes road freight, maritime, rail and air transport. The Strategy document (courtesy www.transport.gov.za) pinpoints the skills issue: "The fact that the current skills base falls short of an effective response to the demands of global logistics needs to be addressed. To this end, government must engage both the private sector and Transport Education and Training Authority (TETA) to identify areas that are critical and short of skills, and devise mechanisms to develop the necessary skills base to respond to the challenges. The current training reality is that the upper levels of management in these public and private entities continue to receive the majority of spending on skills development, while a massive skills gap is being created in the middle levels. Lower level skills have been receiving attention of late, but the emphasis has been on very basic skills and functional competencies that are not designed within an employment lifecycle development programme."

The Strategy document pinpoints the sector's lack of foresight: "The training delivery schedules of all stakeholders are not aligned and appear to be targeted at existing skill structures in the industry, rather than preparing the country to respond to future challenges. Anecdotal evidence suggests that the major mid-level technical echelons in many transport organisations are filled by white males about 5 to 10 years away from retirement, with no active recruitment and training of suitable replacements. This suggests that we may face a situation in which our ability to deliver transport services at current technology levels, excluding future advances in technology, could be reduced in the future."

It is clear from the above excerpt that government is prioritising the upgrading of the road freight industry, with skills development as a key component to strategy. The strategy also stresses the need for private enterprise to work with TETA to ensure a skilled human resource pool capable of meeting current and future needs is created forthwith. 

Achieving buy-in
In the process of compiling this report, FleetWatch spoke to a spectrum of stakeholders in the industry, including TETA, transport operators, training organisations and labour recruiters. The general response to the question: "Does the transport industry face an imminent skills crisis?" was a resounding "YES!" 

The question of how to prevent such a crisis met with varied responses...read on...