Anglo in 15 000 jobs pledge

Johannesburg - Resources giant Anglo American [JSE:AGL] on Thursday said it aimed to help in the creation of 15 000 new jobs by 2015 through local procurement and its Zimele project, which supports small businesses.

The target will almost double the number of people employed by the Zimele project.

Zimele is the company's small and medium enterprise development initiative, which provides funding and support to entrepreneurs within a 50km radius of its mines.

"To date, Zimele has invested some R467m in 845 local businesses which together employ almost 16 000 people and generate an annual turnover of R1.8bn," said Anglo American CEO Cynthia Carroll.

As part of the programme, the company will use local procurement; help to expand mineral resources industries; improve on existing infrastructure; and help to develop skills and educational initiatives, it said.

It will partner with local business and communities to identify what resources they need to flourish, it added.

Through the Zimele initiative, business hubs will be constructed to help communities by providing them with the skills and knowledge needed to run their own businesses.

"Currently we have 28 hubs in operation and hope to open eight more in the near future. Through a network of 36 hubs, it is estimated that we will be able to help create and sustain 28 000 jobs by 2015," said Zimele MD Nick van Rensburg.

"Our job is to create, nurture and develop commercially viable and sustainable small and medium enterprises. And we do this by providing empowerment opportunities for previously disadvantaged South Africans," he said.

South Africa's unemployment rate, at 25%, is one of the highest among its peers. Most of the jobless are youth.

A recent study found that the youth would rather be entrepreneurs than be employed, said Deputy Minister of Mineral Resources Godfrey Oliphant, who spoke at the event on Thursday.

"The study by the Branson Centre of Entrepreneurship found that over 70% of the youth would consider running their own business, particularly black youth, but most recognise that they need more experience," he said.

The study found that the government needs to do more to help the youth establish their own businesses. Oliphant said legislative red tape was a major obstacle.