Possessing the necessary skills:
Skilling for success of the Tourism economy.
Presentation by Darryn von MaltitzUniversity of Johannesburg16 October 2007
Skills in context
• Complex issue because tourism as an economic sector is multi-faceted
1990-1993
1994-1999
2000-2003
2004-2007
• The early 1990s was a period when tourism and sport was not a priority for the government in power
• South Africa’s first democratic elections heralded a change for the country’s tourism industry – the industry is set for growth
• HITB drives skills development initiatives, industry contributes voluntarily. The groundwork is laid for skills development, but the lack of skills in the tourism sector is identified as dire
• Theta is established – combining tourism and sport for the first time, the Tourism Learnership Project is rolled out with mixed success,
• In 2004, the GCR identifies skills as an issue that may be a constraint to growth in the sector.
• 2006, DEAT and THETA commission a national skills audit• 2007 – DTI national industrial policy includes finalisation of the tourism SSP in
its action plan
Challenges
4
To undertake a Skills Audit and identify priority skills needs within the Sector which culminates in a strategic report that:
• Informs DEAT’s strategic planning for skills development in the sector
• Assists Theta in refining its Sector Skills Plan
• Provides insight for partners/ stakeholders to develop an implementation strategy to support skills development
Travel & Tourism
Conservation & Tourist Guiding
Hospitality
Gaming and Lotteries
Sport, Recreation and Fitness
Project objectives
The Sector
5
Research conducted in March and April 2007
Review of Secondary Data
Methodology
• Structured in-depth questionnaires• Included Theta levy payers, Theta registered non-levy payers and non-
Theta registered organisations• Randomly selected • Across 9 provinces• Across the sector• Statistically valid
1 238 Employer Interviews
• Structured in-depth questionnaires• Randomly selected• Included Theta ETQA, FET and HET providers
65 Training Provider Interviews
• Open-ended discussion• Purposefully selected• Included representatives of private sector, public sector, unions and
associations
49 High-level Interviews
• Open-ended facilitated discussion• Included youth, persons with disabilities, co-operatives and community
based organisations and unionised officials9 Focus Groups
• Presentation of research findings• Discussion and debate• Included training providers and Theta stakeholders
2 Validation Workshops
RESEARCH HIGHLIGHTS
7
• Unions, government and development agencies generally feel that employers in this sector:– Do not capacitate staff – Exhibit dubious employment practices and – Provide little recognition of the upliftment of black women and
black staff • Employers and industry believe that:
– Companies do invest significantly in training and capacitation, albeit that it is unaccredited and not ETQA aligned training
– The current THETA/ SETA and SAQA requirements and structures discourage training and skills development
Stakeholders have conflicting opinions of each other
Estimated size of the industry
Sector Size
Sub-Sector Estimated Number of Employers
Estimated Number of Employees
Hospitality 28 000 290 000
Travel and Tourism 6 200 28 000
Gaming and Lotteries 740 10 000
Sport, Recreation and Fitness 3 300 20 000
Conservation and Tourist Guiding 3 500 30 000
TOTAL 41 740 378 000
• Refers to only those organisations listed on one or more databases• Excludes an unknown number of ‘unlisted’ SMMEs• Hospitality is the largest sub-sector – with 67% of the employers and 77% of the
employees
SMME Dominance
SMMEs
Sub-Sector Percentage SMMEs in the Sub-Sector
Hospitality 97%
Travel and Tourism 97%
Conservation and Tourist Guiding
89%
• SMME = organisation that employs less than 50 full-time employees• Many SMMEs are owner managed
Employee profile and qualifications
Sub-Sector % Black Employees[1]
% black senior managers
% < NQF 1 % NQF 2-4 % NQF 5-8
Hospitality 72% 40% 54% 28% 18%
Travel and Tourism
58% 45% 7% 18% 74%
Conservation and Tourist Guiding
74% 20% 28% 50% 22%
11Source: Theta/ DoE
• Accredited training providers are typically small (<50 employees) and located in Gauteng
• There is limited training provision available outside the major cities
• There are a large number of hospitality training providers (mainly located in the main cities)
Training provider profile
Training Provider Universe
7
28
65
Universities
FETs
THETA/SETA
Universe=432 providers
%
%
%
12
Constraints to effective training provision
Future skill requirements (3 year period)
HOSPITALITY
Cook, Chef 24 100
Waiter/ress 23 500
Cleaner 15 000
Reservations/Operations Director/ Manager/ Assistant Manager/ Supervisor
8 000
Cashier 7 800
Travel and Tourism
Travel Consultant/ Reservation Agent
3 150
Bookkeeper 900
Reservations/ Operations Director
800
Tour Operator 600
Supervisor 450
Criteria for employee recruitment
Hospitality• Junior Staff – Experience• Mid-level staff – Experience• Senior staff - Experience
Travel and Tourism• Junior Staff – Matric• Mid-level Staff – Matric• Senior Staff – Qualification/
diploma
Conservation and Tourist Guiding
• Junior Staff – Experience• Mid-level staff – Experience• Senior staff - Experience
Employers complain that graduates do not have experience
Recommendations
Conclusion
•Skills are not the only challenge facing the sector – there are many others – transportation, safety and security, enterprise development etc•We are a tourist destination at the tip of Africa, and we need to begin to ask ourselves whether skills is in fact a priority and just how important is it for us to get this right?