AltX-listed steel producer BSI Steel, has announced a corporate responsibility initiative to assist black empowered engineering training academy, Ikhaya Fundisa Techniskills Academy (IFTA), and help plug a shortage of skilled artisans in South Africa.
BSI Steel is to provide IFTA with scrap metal worth R25 000 a month, which would be used, on site, by boilermakers, welders and fitting and turning learners to assist in "honing their skills".
IFTA is focused on training artisans in a wide range of engineering-focused skills, including fitters and turners, tool jig and dye makers, electricians, millwrights, welders, boilermakers, sheet metal workers, and a number of mechanics.
Mandisa Nyathikazi, a director of IFTA, said the BSI Steel initiative would assist at least 80 learners "at any given time".
"This is an inventive scheme. It puts back into the industry and allows us to train our learners at a reduced cost. There is a 50 000 shortage of artisans in this country - which will be needed by the year 2013. It is this kind of corporate BBBEE strategy that assists us to plug a hole in this ongoing problem."
Grant Mackenzie, CEO of BSI Steel, said there was a dire need to train more artisans in the country, in various engineering fields.
"This is a small gesture on our part," he said, "but if every company large and small, that has the wherewithal does something for industry, we will meet our skills requirement in the next few years."
BSI said it posted positive results for the year ended March 31, 2010 against the backdrop of a steel industry meltdown.
Despite a 22.4 percent decline in revenue to R1.43 billion from R1.85 billion the previous year, management said the results were "more than satisfactory given the generally trying market conditions".
BSI said the strong finish to the year enabled it to report after tax earnings of R26 million, compared to R100.3 million in 2009.
The recovery of the gross profit margin from the interim results to finish at 14.1 percent, compared to 19.3 percent in 2009 - and the continued control over operating costs - made this possible, said CEO Grant Mackenzie. - I-Net Bridge