Geographic accessibility study of social facility and government service points for the metropolitan cities of and eThekwini 2011/12

PART C: SECTION 7

DEPARTMENT OF LABOUR

7 DEPARTMENT OF LABOUR: LABOUR OFFICES

7.1 SUMMARY OF FINDINGS ...... 1

7.2 INTRODUCTION ...... 1

7.3 FACILITIES ANALYSED AND THEIR DEFINITIONS ...... 2

7.4 STANDARDS ...... 3

7.5 SPECIFIC POLICY ISSUES AND DOCUMENTS CONSIDERED AS INPUT TO THE STUDY...... 4

7.6 SPECIFIC ANALYSIS PROCESS AND LOCATION FACTORS ...... 4

7.7 ANALYSIS AND FINDINGS FOR LABOUR OFFICES IN JOHANNESBURG ...... 6

7.7.1 Summary of Criteria and Analysis Process ...... 6 7.7.2 Access to Services...... 6 7.7.3 Served Regions ...... 7 7.7.4 Unserved Regions ...... 10 7.7.5 Intervention Strategy/ Proposed New Facilities ...... 13 7.7.6 Costing ...... 18

7.8 ANALYSIS AND FINDINGS FOR LABOUR OFFICES IN ETHEKWINI ...... 18

7.8.1 Summary of Criteria and Analysis Process ...... 18 7.8.2 Access to Services...... 20 7.8.3 Served Regions ...... 20 7.8.4 Unserved Regions ...... 21 7.8.5 Intervention Strategy/ Proposed New Facilities ...... 25 7.8.6 Costing ...... 30

7.9 KEY FINDINGS FOR LABOUR OFFICES ...... 30

7.9.1 General Trends and Common Issues ...... 30 7.9.2 Summary Table of Facilities Required ...... 31 7.9.3 Concluding Statement...... 31

7.10 ADDENDUM ...... 31

7.10.1 Record of Meetings ...... 31 7.10.2 Contact Persons ...... 32

CSIR/BE/SPS/ER/2012/0061/B i Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12

TABLES

Table 7.1: Summary of criteria and analysis process for Labour Offices in Johannesburg...... 6 Table 7.2: Employable persons served in each distance band (constrained capacity) in Johannesburg ...... 10 Table 7.3: Access coverage statistics for proposed future distribution of Labour Offices in Johannesburg ..... 14 Table 7.4: List of current and proposed Labour Offices in Johannesburg showing estimated demand ...... 17 Table 7.5: Summary of criteria and analysis process for Labour Offices in eThekwini ...... 18 Table 7.6: Employable persons served in each distance band (constrained capacity) in eThekwini ...... 21 Table 7.7: Access coverage statistics for proposed future distribution of Labour Offices in eThekwini ...... 26 Table 7.8: List of current and proposed Labour Offices in eThekwini showing estimated demand ...... 29 Table 7.9: Number of new and retained facilities proposed for Johannesburg and eThekwini ...... 31

FIGURES

Figure 7.1: The demand distribution of employable persons in Johannesburg (number of persons per hexagon) ...... 8 Figure 7.2: Travel distance to existing Labour Offices in Johannesburg ...... 9 Figure 7.3: Areas served by existing Labour Offices in Johannesburg (capacity and distance constrained) .... 11 Figure 7.4: Areas unserved by existing Labour Offices in Johannesburg (number of persons per hexagon) – capacity and distance constrained ...... 12 Figure 7.5: Areas served by proposed future distribution of 14 Labour Offices in Johannesburg ...... 15 Figure 7.6: Areas remaining unserved after implementation of new office distribution in Johannesburg (number of persons per hexagon) ...... 16 Figure 7.7: The demand distribution of employable persons in eThekwini (number of persons per hexagon) .. 19 Figure 7.8: Travel distance to existing Labour Offices in eThekwini ...... 22 Figure 7.9: Areas served by existing Labour Offices in eThekwini (capacity and distance constrained) ...... 23 Figure 7.10: Areas unserved by existing Labour Offices in eThekwini (number of persons per hexagon) – capacity and distance constrained ...... 24 Figure 7.11: Areas served by proposed future distribution of 16 Labour Offices in eThekwini ...... 27 Figure 7.12: Areas remaining unserved after implementation of new office distribution in eThekwini (number of persons per hexagon) ...... 28

CSIR/BE/SPS/ER/2012/0061/B ii Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

7 DEPARTMENT OF LABOUR: LABOUR OFFICES

7.1 SUMMARY OF FINDINGS

7.1.1 The Labour Offices in both cities have good coverage based on the percentage of population served; however, the demand on certain of the offices is very high and additional facilities would reduce the pressure on these offices and spread the supply more equitably.

7.1.2 The mainly sparsely populated rural areas of eThekwini (north-west and south) have no service closer than 20 km. A minimum of two labour offices should be provided at Thusong Centres in the rural areas, namely at Mpumalanga and Umnini. An office at the proposed new urban Thusong Centre at Bridge City would duplicate somewhat the services currently provided at Phoenix but would be key in spreading the supply and in building an integrated government precinct in Bridge City.

7.1.3 In Johannesburg, the residents of Cosmo City and and some areas south-east of the CBD are more than 15 km from a Labour office. The development of a Labour Office at the proposed new Thusong Centre at Rabie Ridge/ would be a minimum intervention to take service coverage over 90%.

7.1.4 A further analysis, undertaken at the request of the Department of Labour (DoL), shows how the re- location of certain facilities as their leases expire can achieve a better distribution of services than that provided by the current Labour Offices.

7.1.5 It is acknowledged that facilities such as Labour Offices offer services across municipal boundaries and that this impacts on usage patterns. Particularly because of the high population density of it would be beneficial to the DoL if additional studies covered the wider area of Gauteng. This extends beyond the study area of this project commissioned by the DPSA. There would be much benefit in extending the study area to incorporate the entire Province. The results show good coverage in Johannesburg. Before any facilities are planned close to the border of Johannesburg consideration should be given to any spare capacity available in neighbouring municipalities such as Alberton and Krugersdorp.

7.1.6 The study has established suitable access standards that can be used in any future studies of this type in metropolitan areas.

7.2 INTRODUCTION

7.2.1 This report section provides an overview of the analysis and findings in respect to improving geographical access to and the distribution of Labour Offices in the Johannesburg and eThekwini metropolitan areas.

CSIR/BE/SPS/ER/2012/0061/B 1 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

7.2.2 The analysis forms part of the accessibility study that was conducted by the Council for Scientific and Industrial Research (CSIR) for the Department of Labour (DoL) in the metropolitan municipalities of Johannesburg and eThekwini. The study was undertaken as part of the Government Programme of Action (Outcome 12) and funded by the Department of Public Services and Administration (DPSA).

7.2.3 As a subcomponent of the larger study, the analysis promotes the development of integrated facility plans in relation to each of the metropolitan areas. This is achieved by, firstly, giving support to the provision of more equitable and affordable access to a range of services in all parts of the selected areas. Secondly, it facilitates the clustering of facilities where appropriate and the provision of services from centralised points, such as Thusong Service Centres.

7.2.4 The analysis also assisted the DoL in testing and refining its geographic access norms. The service catchment threshold parameters, i.e. the relationship between service demand within a defined distance of a facility and the capacity of the facility service point was tested although no specific analysis of actual office throughput was undertaken. The testing of access and threshold standards was specifically carried out for the two metropolitan areas but should also prove suitable for application in the other metropolitan areas of South .

7.2.5 Several formal stakeholder engagements were held with officials from the DoL and key contact people were appointed to represent the DoL for the study purposes (see Addendum, Section 7.10 for details).

7.2.6 The section reports on the findings and outcomes of the DoL geographical accessibility study in terms of:

 Access norms and standards tested and agreed upon for the DoL;  Collated datasets for the spatial distribution, service capacity and hierarchy of facilities;  Current overall accessibility and service levels;  Shortfalls and areas in need of intervention;  Optimisation, re-location, prioritisation and correct facility size of new or re-located offices.

7.3 FACILITIES ANALYSED AND THEIR DEFINITIONS

7.3.1 The DoL agreed that only permanent Labour Offices should be covered in the analysis. Mobile Labour Offices were not included in the initial analysis but were considered in determining the intervention strategy.

7.3.2 Since services are the same at all Offices, all facilities are included in the same layer and the same standards of access were applied.

7.3.3 Permanent Labour Offices are defined as fixed points from which the following services are provided:

CSIR/BE/SPS/ER/2012/0061/B 2 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

 Registration of unemployed persons for UIF as well as providing a service for UIF claims. The Labour Offices do not deal directly with payouts, but provide the administrative service in order for unemployed persons to receive UIF payments;  Provide information and assistance to job-seekers;  Provide services and assistance in the registering of and follow-up on injury-on-duty incidents;  Provide services with regards to labour complaints;  Provide a general information service with regards to labour issues, including Labour Law assistance.

7.3.4 There are three mobile visiting points in the Johannesburg study area but none in eThekwini. These were not used in the consideration of current access to DoL services and the locations of the Mobile Offices were not taken into account in the semi-greenfields analysis. However, the Mobile Offices’ locations were considered later in the identification of key points for the expansion of the service to meet the access needs of areas where there is not sufficient demand.

7.3.5 The Mobile Offices in and assist the two permanent offices in Orange Farm and Soweto to process labour-related issues and can be retained if they are affordable and highly used.

7.4 STANDARDS

7.4.1 The standards discussed are those for access to permanent Labour Offices.

7.4.2 The standards proposed for testing by the DoL at a national level are as follows:

 25 km urban;  35 km dense rural;  50 km rural;  100 km for outlying sparsely populated areas like the Northern Cape.

7.4.3 Initial reviews and analysis indicated that the 25 km urban standard was not appropriate for metropolitan areas. This distance is too far to travel to access urban services and currently many residents can access much closer services. Using the initial access analyses statistics and in consultation with other departments (such as Home Affairs, GCIS and SASSA who are, together with DoL, anchor tenants of Thusongs and provide services of a compatible provision level), it was agreed that it was feasible to reduce the maximum acceptable access distance in metropolitan areas to a more acceptable 15 km for all of the above services.

7.4.4 No fixed population capacity thresholds exist and the DoL adjusts the capacity of facilities based on local demand; however, it indicated that in the metropolitan context the capacity for an Office should be

CSIR/BE/SPS/ER/2012/0061/B 3 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

300 000 persons. It was later decided that the capacity should be adjusted down to 250 000 persons per facility where possible.

7.4.5 The final analysis was undertaken using a maximum service capacity of 300 000 employable persons per facility. A service level of 90% or more of the target group living within 15 km of a Labour Office was considered an acceptable level of service.

7.4.5.1 Employable persons are defined as the working cohort of persons between 16 and 64 years that are either employed or unemployed but able to work.

7.5 SPECIFIC POLICY ISSUES AND DOCUMENTS CONSIDERED AS INPUT TO THE STUDY

7.5.1 The following general documents were considered during the study:

 “Redbook” – Guidelines for Human Settlement Planning and Design. 2000. (http://www.csir.co.za/Built_environment/RedBook/)  CSIR 2012. CSIR Guidelines for the Provision of Social Facilities in South African Settlements. First edition: August 2012. [Available online at www.csir.co.za/Built_environment/Guidelines_Standards.html].

7.5.2 No specific policy documents were provided to the CSIR; however, the DoL indicated that it is planning to provide on-line services in the future. Currently it is only possible to download certain forms via the internet. UIF can be paid electronically. The UIF section intends to pilot a virtual office concept.

7.5.3 The DoL is considering possible collaboration with other collecting agents such as SARS.

7.5.4 None of the aforementioned initiatives impact on this particular study as their effects will only be felt in the long term.

7.6 SPECIFIC ANALYSIS PROCESS AND LOCATION FACTORS

7.6.1 The first step in the analytical process was to determine the size and spatial distribution of demand for the Labour Offices. Target populations were defined and the necessary estimations completed.

7.6.2 Thereafter, the CSIR’s step-wise approach to accessibility planning was followed making use of the University of Utrecht’s Flowmap software for all the accessibility analyses and modelling. The accessibility analyses commenced with a Travel Distance Analysis (Unconstrained) to evaluate how far employable persons (the target demand) live from services. From this, two kinds of information were obtained, i.e. the total demand at each facility and the distance from the demand in each hexagon to its closest facility. This information was valuable in assessing the current situation in terms of maximum

CSIR/BE/SPS/ER/2012/0061/B 4 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

capacity and/or distance constraints. A Distance and Capacity Constrained Catchment Area Analysis was also undertaken applying the access norms of 15 km but in this case capacity constrained (at 300 000 people per facility) to determine where the unserved target population was located, those living beyond the desired maximum distance limits or where service points are overburdened (i.e. there are in excess of 300 000 people located within the catchment of a facility).

7.6.3 The next step was to improve the access to and distribution of facilities to ensure more equitable coverage. To do this a partial greenfield optimisation analysis was undertaken to test if the current locations were optimal and if necessary to make recommendations on where to re-locate the Offices. In each city only the main Labour Offices in the downtown areas of Johannesburg and eThekwini were retained as existing facilities in the analysis. The aim was to establish which of the existing Labour Offices were at optimal locations. The modelled locations were then compared with existing Offices. Where current Offices were well located these were retained otherwise more suitable sites were selected taking into consideration the locations of other services including Thusong Centres, SASSA Offices, municipal halls and also, in the case of eThekwini, Sizakala centres and identified development nodes. If the modelled location was nearby one of the aforementioned sites, the new proposed facility location was then proposed to be at these points of integration.

7.6.4 Following this, a new constrained catchment area analysis was undertaken on the new set of locations to test the service coverage for employable persons based on a maximum travel distance of 15 km and an office capacity of 300 000 persons.

CSIR/BE/SPS/ER/2012/0061/B 5 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

7.7 ANALYSIS AND FINDINGS FOR LABOUR OFFICES IN JOHANNESBURG

7.7.1 Summary of Criteria and Analysis Process

7.7.1.1 Table 7.1 gives a summary of the Labour Office analysis in Johannesburg.

Table 7.1: Summary of criteria and analysis process for Labour Offices in Johannesburg.

Facilities analysed Labour Offices (11 in total)* Travel network access 15 km maximum travel distance standard distance Demand Employable persons: 2 694 621 Supply 11 Labour Offices each serving 300 000 persons  Unconstrained travel distance analysis to nearest Labour Office  Constrained catchment area analysis (travel distance and capacity constrained) Analysis undertaken  Optimisation analysis to locate Offices. Partial greenfield analysis approach retaining only Johannesburg CBD Labour Office. (Service level target is to reach 90% of population within the agreed standard.)

* The Labour Office was not included in the analysis as it was not provided to the research team in the database obtained from the DoL in May 2012. Comment on the impact of this office is included in the summary findings.

7.7.1.2 Figure 7.1 shows the distribution of employable persons in the Johannesburg Metropolitan area, i.e. the demand for Labour Office services.

7.7.2 Access to Services

7.7.2.1 The first analysis process undertaken was to show how far each part of the City is from a Labour Office. This is purely a travel distance analysis and does not consider the capacity of the facility. This analysis was used to inform the discussion on the acceptable access distance norms for metropolitan areas and to align the standards of comparable facilities. Figure 7.2 shows the travel distance to existing Offices. Several areas on the periphery are seen to be more than 15 km from a Labour Office.

CSIR/BE/SPS/ER/2012/0061/B 6 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

7.7.3 Served Regions

7.7.3.1 To determine the actual service supply level provided by the Offices, a constrained capacity analysis was undertaken which limited the Offices’ capacity to 300 000 employable persons per facility and the travel distance to access an Office to 15 km or less. This determined where and how many people fell outside the access and capacity norms, i.e. not being within reach of an Office with sufficient capacity and thus considered not served.

7.7.3.2 Table 7.2 shows the number and percentage of employable persons who are “served” for each distance band from Labour Offices. Currently, 87% of employable persons are within 15 km of a Labour Office in Johannesburg with sufficient service capacity. This indicates that facilities are well located.

7.7.3.3 Figure 7.3 shows the areas served based on capacity (300 000 capacity per Office) and an access distance of 15 km from an existing Labour Office. The Johannesburg CBD Office reached its 300 000 person service limit within 5 km from the Office indicating very high demand in the catchment that could not be met by its service capacity. This indicates that the Office’s capacity should be increased or additional Offices provided in this area to meet the high demand.

7.7.3.4 The north-eastern part of Johannesburg, namely and Ivory Park, are further than 15 km away from the nearest offices in and . The western edge is also further than 15 km away from an Office, as is the south-eastern part of the Metro.

7.7.3.5 The service coverage by the current 11 Offices is very good at 87% and it is not proposed that any immediate changes are made unless office leases are due to expire.

CSIR/BE/SPS/ER/2012/0061/B 7 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Figure 7.1: The demand distribution of employable persons in Johannesburg (number of persons per hexagon)

CSIR/BE/SPS/ER/2012/0061/B 8 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Figure 7.2: Travel distance to existing Labour Offices in Johannesburg

CSIR/BE/SPS/ER/2012/0061/B 9 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Table 7.2: Employable persons served in each distance band (constrained capacity) in Johannesburg

Labour Offices: Number of employable persons per travel distance band (constrained capacity) Distance band (km) Persons Cumulative Percentage Cumulative percentage 0 - 5 1 361 502 - 50.5 - 6 - 10 645 866 2 007 368 24.0 74.5 11 - 15 340 358 2 347 726 12.6 87.1 16 - 20 102 915 2 450 641 3.8 90.9 21 and more 243 980 2 694 621 9.1 100.0 Total 2 694 621 100.0

7.7.4 Unserved Regions

7.7.4.1 Figure 7.4 shows the number of employable persons per hexagon that are further than 15 km away from an existing Labour Office or who are not allocated to an Office due to limited service capacity. This analysis provides a basis for further analysis to redistribute Offices more equitably.

7.7.4.2 The north-eastern part of Johannesburg shows a high number of employable persons that are either further than 15 km away from their nearest Labour Office or cannot access one with capacity within this distance. The highest concentration is found in the Ivory Park area; this is the one area that could be considered for a short term intervention unless a facility is within reach in Ekuraleni.

7.7.4.3 The south-eastern part of the Metro has a lower concentration of unserved employable persons than the Ivory Park area.

CSIR/BE/SPS/ER/2012/0061/B 10 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Figure 7.3: Areas served by existing Labour Offices in Johannesburg (capacity and distance constrained)

CSIR/BE/SPS/ER/2012/0061/B 11 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Figure 7.4: Areas unserved by existing Labour Offices in Johannesburg (number of persons per hexagon) – capacity and distance constrained

CSIR/BE/SPS/ER/2012/0061/B 12 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

7.7.5 Intervention Strategy/ Proposed New Facilities

7.7.5.1 The intervention with least disruption to present services – but with maximum impact – would be to locate a new facility in the Ivory Park/ Rabie Ridge area. By so doing, over 90% of demand in Johannesburg would be served.

7.7.5.2 However, at the request of the DoL the analysis was undertaken using a partial greenfields approach to evaluate the locations of the existing Offices, which are mostly sited at rented premises and thus can be relocated fairly easily over a period of 3 to 5 years. The only existing Labour Office that was kept for the analysis was the Labour Office in the Johannesburg CBD. The reason for excluding the other existing Offices was to determine whether these Offices were indeed well placed to serve their communities.

7.7.5.3 An optimisation analysis was run to indicate where best to locate facilities or to relocate facilities to serve the majority of the current population.

7.7.5.4 The Model indicated that six out of the 10 existing (remaining) Offices were suitably placed to serve employable people and should be retained. These are the Offices at Orange Farm, Ennerdale, Eldorado Park, Maponya Mall in Soweto, Sandton and Diepsloot.

7.7.5.5 In selecting and adjusting final locations for other Labour Offices locations, current as well as proposed Thusong Centres, Municipal Halls and SASSA Offices were considered as key factors for co-location. The Model showed that the Cosmo City Community Centre was a good location from which to serve employable persons in place of the existing office at . It was, however, decided after consultation to retain Randburg as it is an established office in a key business area and does provide sufficient reach into the north-western region (as illustrated in Figures 7.2 and 7.3).

7.7.5.6 By retaining 8 (7 plus CDB) of the 11 current Office locations and introducing 6 Offices at new locations, a 99.7% service coverage can be achieved with the 14 Offices and within the 15 km access and 300 000 capacity norm(Table 7.3). That means that a total number of 2 686 772 employable persons would be served.

7.7.5.7 For this scenario, Table 7.3 provides a breakdown by density zone of those served within 15 km and within service capacity limits. As can be seen only the sparsely populated area does not meet the 90% service coverage target while all other areas are over 99.5%.

7.7.5.8 The proposed Labour Office distribution (Figure 7.5) shows an improved reach when compared to the reach of the current Offices (Figure 7.3). Figure 7.6 shows the areas of unserved employable population concentrations after introducing the new office distribution.

CSIR/BE/SPS/ER/2012/0061/B 13 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Table 7.3: Access coverage statistics for proposed future distribution of Labour Offices in Johannesburg

Labour Offices: Served population within 15 km by density zone (capacity constrained) Settlement type Unserved Served % Served Total population High 75p/Ha 17 1 714 372 99.99% 1 714 389 Intermediate 28p/Ha 0 279 543 100.00% 279 543 Low 12p/Ha 2 403 649 113 99.63% 651 516 Sparse 1p/Ha 5 429 43 744 88.96% 49 173 Grand Total 7 849 2 686 772 99.71% 2 694 621

7.7.5.9 Figure 7.6 shows the remaining unserved areas that are further than 15 km from the proposed Labour Offices or where capacity is exceeded. The number of persons remaining unserved is estimated at only 7 849 employable persons if the new office distribution is implemented.

7.7.5.10 The locations and facility names for the proposed Labour Offices are shown on Figure 7.6, while Table 7.4 gives the number of employable persons allocated to a particular facility but excludes those using the Mobile Offices in Orange Farm and Soweto. The mobile services relieve pressure on the capacity of the permanent facilities.

CSIR/BE/SPS/ER/2012/0061/B 14 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Roodepoort (state-owned facility not included in the database)

Figure 7.5: Areas served by proposed future distribution of 14 Labour Offices in Johannesburg

CSIR/BE/SPS/ER/2012/0061/B 15 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Roodepoort (state-owned facility not included in the database)

Figure 7.6: Areas remaining unserved after implementation of new office distribution in Johannesburg (number of persons per hexagon)

CSIR/BE/SPS/ER/2012/0061/B 16 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Table 7.4: List of current and proposed Labour Offices in Johannesburg showing estimated demand

Office name Status (co-location) Catchment population Alexandra New (Thusong) 228 175 Diepsloot Retained (Thusong) 98 182 Eldorado Park/ Retained 166 453 Ennerdale Retained 108 326 Ivory Park New (SASSA Office) 187 511 Johannesburg CBD Retained 300 106 Makhaya Community Hall New (Municipal Hall) 300 825 Orange Farm Retained 138 620 Protea City Recreational Centre New (Municipal Hall) 221 424 Randburg Retained 265 464 Sandton Retained 48 386 Southern Suburbs Recreational Centre* New (Municipal Hall) 140 186 Soweto - Maponya Mall Retained (Thusong) 268 417 Witpoortjie/West Gate (rather retain New (Municipal state-owned building at Roodepoort)** Hall/Shopping Centre) 122 549 City Total 2 694 621

* It is not known at this stage how much of this catchment population is being served by the Alberton and Germiston Offices. A further study incorporating the whole Gauteng Province would be useful in this regard.

** Much of the demand that would accrue to the Witpoortjie/West Gate Office can be served by the Krugersdorp and Roodepoort Offices which are state-owned. The Roodepoort Office should be retained; unfortunately, this office was not provided in the database. Thus in the final analysis, a new office at Witpoortjie/West Gate is not recommended but instead the Roodepoort Office should be retained.

7.7.5.11 Should the new proposed Offices be developed then the following existing Offices could be closed by the DoL and the staff redeployed to the new proposed locations once the existing leases have expired, namely:

. Users to be diverted to Ennerdale and Eldorado Park if possible but this is dependent on a local assessment. There may be a need to retain all three offices. Ennerdale and Eldorado Park currently have Home Affairs offices and a new one is proposed for Lenasia.  Soweto – A Centre; and  Soweto – Chaiwelo Hall. The services here are duplicated by the Maponya Mall facility which offers longer hours. This office is considered as a mobile service as it only provides services

CSIR/BE/SPS/ER/2012/0061/B 17 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

for a few hours once a week. Thus, closure of this office should not be a major concern. The inclusion of this office in the analysis is also not considered an issue as it has been proved that it is not required.

7.7.5.12 It is further recommended that the capacity of the Sandton Office should be reviewed and possibly be scaled down if a new office is developed at Alexandra, which is closer to the highest concentration of employable persons. Otherwise, the office at Sandton should be retained as it is in the main business area and also serves a different market segment.

7.7.6 Costing

7.7.6.1 Since most of the buildings housing Labour Offices are rented, no capital cost budgeting was required.

7.8 ANALYSIS AND FINDINGS FOR LABOUR OFFICES IN ETHEKWINI

7.8.1 Summary of Criteria and Analysis Process

7.8.1.1 Table 7.5 gives the summary of the Labour Office analysis in eThekwini.

Table 7.5: Summary of criteria and analysis process for Labour Offices in eThekwini

Facilities analysed All Labour Offices (10 in total) Travel network access 15 km maximum travel distance standard distance Demand Employable persons: 2 393 713 Supply 10 Labour Offices each serving 300 000 persons  Unconstrained travel distance analysis to nearest Labour Office  Constrained catchment area analysis (travel distance and capacity constrained) Analysis undertaken  Optimisation analysis to locate Offices. Partial greenfield analysis approach retaining only Durban CBD Labour Office. (Service level target is to reach 90% of population within the agreed standard.)

7.8.1.2 Figure 7.7 shows the distribution of employable persons in eThekwini, i.e. the demand for Labour Office services.

CSIR/BE/SPS/ER/2012/0061/B 18 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Figure 7.7: The demand distribution of employable persons in eThekwini (number of persons per hexagon)

CSIR/BE/SPS/ER/2012/0061/B 19 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

7.8.2 Access to Services

7.8.2.1 The first analysis process undertaken was to show how far each area of eThekwini is from a Labour Office. This is purely a travel distance analysis and does not consider the capacity of the facility. This analysis was used to inform the discussion on the acceptable access distance for metropolitan areas and to align the standards of comparable facilities. Figure 7.8 shows the travel distance of the target group to each existing office in eThekwini. From Figure 7.8 it is clear that the western region and far south of eThekwini does not have any Labour Offices to serve the employable persons living in these areas.

7.8.2.2 The worst-off person in terms of distance has to travel up to 72 km to reach a facility. Twenty-one percent of employable persons, just over 500 000, are further than 15 km from the current Offices.

7.8.3 Served Regions

7.8.3.1 To determine the actual service supply level provided by existing Offices, a constrained capacity analysis was undertaken limiting the Offices’ capacity to 300 000 employable persons per facility and the travel distance to access an Office to 15 km. This determined how many people fell outside the access and capacity norms, i.e. that are not being served by an Office.

7.8.3.2 Table 7.6 shows the number and percentage of employable persons living within each distance band from Labour Offices and based on the capacity limit of 300 000 persons being served per facility. Currently, 79% of employable persons are within 15 km from an existing Labour Office with available capacity.

7.8.3.3 Figure 7.9 shows the areas served within the capacity of and within 15 km from an existing Labour Office. These are mainly the established central areas, while the outlying areas and denser townships are not well served.

CSIR/BE/SPS/ER/2012/0061/B 20 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Table 7.6: Employable persons served in each distance band (constrained capacity) in eThekwini

Labour Offices: Number of employable persons per travel distance band (constrained capacity) Distance band (km) Persons Cumulative Percentage Cumulative percentage 0 - 5 657 195 27.5 6 – 10 833 611 1 490 806 34.8 62.3 11 – 15 391 550 1 882 356 16.4 78.6 16 – 20 272 102 2 154 458 11.3 90.0 21 and more 239 255 2 393 713 10.0 100.0 Total 2 393 713 100.0

7.8.4 Unserved Regions

7.8.4.1 Figure 7.10 shows the number of employable persons per hexagon that cannot be accommodated at a Labour Office based either on limited service capacity (e.g. Kwa Mashu) or on being further than 15 km from an Office. This analysis provides a basis for selecting a better distribution of Offices. The areas around Kwa Mashu, Umzinyathi and Mpumalanga (Figure 7.10) show a high concentration of employable persons that cannot be accommodated at the nearest office since the Office is overburdened.

7.8.4.2 The area between Zwelibomvu and Pinetown South shows a concentration of unserved employable persons. Other areas of unserved demand are concentrated around Kwa Ximba, Inchanga and KwaSondela in the western part of the metro and around Illovo in the south of the metro.

CSIR/BE/SPS/ER/2012/0061/B 21 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Figure 7.8: Travel distance to existing Labour Offices in eThekwini

CSIR/BE/SPS/ER/2012/0061/B 22 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Figure 7.9: Areas served by existing Labour Offices in eThekwini (capacity and distance constrained)

CSIR/BE/SPS/ER/2012/0061/B 23 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Figure 7.10: Areas unserved by existing Labour Offices in eThekwini (number of persons per hexagon) – capacity and distance constrained

CSIR/BE/SPS/ER/2012/0061/B 24 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

7.8.5 Intervention Strategy/ Proposed New Facilities

7.8.5.1 This section presents an intervention strategy for improving access to Labour Offices which considers both a 15 km travel access distance and the maximum capacity per facility. The aim is to increase the service level from 79% to over 90% and to provide improved services to especially those in the more rural areas in west and south of eThekwini.

7.8.5.2 The intervention with least disruption to the present services would be to provide services at the Thusong Centres at Mpumalanga and Umnini as well as at the proposed Thusong at Bridge City. The later would to some extent duplicate the current service at Phoenix; however, this is an area of extremely high demand and can technically warrant two separate offices.

7.8.5.3 An optimisation analysis was run to indicate where best to locate new facilities or relocate facilities to better serve the current population including those in rural areas. At the request of the DoL the analysis was undertaken using a partial greenfields approach to evaluate the current locations of Offices, which are mostly sited at rented premises and thus can be relocated fairly easily over a period of 3 to 5 years. The only existing Labour Office that was kept for the analysis was the Labour Office in the Durban CBD. The reason for excluding the other existing Offices was to determine whether these Offices are indeed well placed to serve their communities.

7.8.5.4 The Model indicated that six of the existing Offices were suitably placed to serve the labour force. These are the Offices of Chatsworth, Phoenix, Pinetown, Tongaat, Verulam and Umlazi. In selecting and adjusting final locations for other Labour Office locations, Thusong Centres, Sizakala Centres, social facility delivery nodes and other state department offices were considered as key factors for co- location.

7.8.5.5 The locations of the proposed new distribution of Offices shows an improvement in service reach (Figure 7.11) when compared to the service reach of the current Office distribution (Figure 7.9). Figure 7.11 shows areas served within 15 km and where there is sufficient capacity should the new proposed distribution be accepted and developed. On the other hand, Figure 7.12 shows the remaining areas of unserved employable persons concentrations beyond 15 km or where capacity is still not sufficient after the new plan is implemented.

7.8.5.6 By retaining seven (six plus the Durban CDB Office) of the existing 10 Offices at current locations and introducing nine Offices in new locations, a 98% service coverage can be achieved for employable persons (Table 7.7). The total number of employable persons served would then be 2 355 668.

CSIR/BE/SPS/ER/2012/0061/B 25 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

7.8.5.7 Table 7.7 shows the breakdown by density zones within eThekwini of those served in the new distribution scenario within 15 km and with service capacities constrained. As can be seen, only the sparsely populated area does not meet the 90% service coverage target.

Table 7.7: Access coverage statistics for proposed future distribution of Labour Offices in eThekwini

Labour Offices: Served population within 15 km by density zone (capacity constrained) Settlement type Unserved Served % Served Total population Urban 28p/Ha 5 318 2 089 833 99.7% 2 095 151 Dense Rural 10p/Ha 18 896 222 064 92.2% 240 960 Rural 1p/Ha 13 831 43 771 76.0% 57 602 Total 38 045 2 355 668 98.4% 2 393 713

7.8.5.8 Figure 7.12 shows the areas still unserved based on the new proposed number and distribution of offices. The number of persons that remain unserved after the implementation of the new office distribution is only 38 045 employable persons (Table 7.7).

7.8.5.9 Figures 7.11 and 7.12 show the locations and facility names for the proposed Labour Offices, while Table 7.8 gives the number of employable persons allocated to each Office. It is suggested that those facilities that will attract less than 50 000 employable persons be designated as potential periodic or mobile services rather than full-time fixed offices.

CSIR/BE/SPS/ER/2012/0061/B 26 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Figure 7.11: Areas served by proposed future distribution of 16 Labour Offices in eThekwini

CSIR/BE/SPS/ER/2012/0061/B 27 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Figure 7.12: Areas remaining unserved after implementation of new office distribution in eThekwini (number of persons per hexagon)

CSIR/BE/SPS/ER/2012/0061/B 28 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

Table 7.8: List of current and proposed Labour Offices in eThekwini showing estimated demand

Office name Status/ co-location Catchment population Bridge City Proposed 300 066 (Thusong/Node) Chatsworth Retained 237 071 Durban Retained 266 765 Inchanga Proposed (Node) 58 088 Kwangcolosi Proposed (Node) 57 435 Mpumalanga Proposed (Thusong) 102 948 Phoenix Retained 205 714 Pinetown Retained (Thusong) 176 477 Pinetown South Proposed (Thusong) 151 731 Tongaat Retained 54 125 Umbumbulu Proposed (Dept. of 176 524 Home Affairs Office) Umbumbulu (Mobile point) Proposed (Node) 13 098 Umlazi Retained 300 421 Umnini Proposed (Thusong) 54 100 Umzinyathi Proposed 162 850 (Thusong/Node) Verulam Retained 76 300 City Total 2 694 621

7.8.5.10 The proposed facilities that have been shaded in Table 7.8 are those that if implemented will have the largest impact on reducing the number of unserved and are thus considered to be of highest priority for development, As minimum requirements, an office at Bridge City should be developed as part of the proposed Thusong Centre while an Office should be provided at the existing Thusong Centre at the Mpumalanga Town Centre; one to serve an overburdened area and the other to provide key services to the dense rural western area of eThekwini.

7.8.5.11 Should the new proposed Offices be accepted then the following existing Offices could be closed by the DoL after a detailed usage analysis and once the existing leases have expired and the staff redeployed to the new proposed locations, namely:

 Durban (the second CBD office);

CSIR/BE/SPS/ER/2012/0061/B 29 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

 Clermont; and,  Prospecton.

7.8.5.12 Two of the above facilities are located in key business/ employment areas but are not close to residential areas with large unemployed populations, while the Clemont Office is duplicated by services in Pinetown. Before these offices are closed a careful review of the role and function of these Offices should be made.

7.8.6 Costing

7.8.6.1 Since most of the buildings housing the Labour Offices are rented, no capital cost budgeting was required.

7.9 KEY FINDINGS FOR LABOUR OFFICES

7.9.1 General Trends and Common Issues

7.9.1.1 Currently, the distribution of Labour Offices in Johannesburg provides for a better service reach than is the case for eThekwini. The percentage of employable persons that have access within 15 km of a current Labour Office in Johannesburg is 87% whereas in eThekwini it is 79%. These both reflect high service coverage. After implementation of the proposed implementation plans to improve Labour Office distribution, the service reach would improve to 99.7% in Johannesburg and to 98.4% in eThekwini with a more even spread of the demand access for all Offices. Without re-location, service coverage can be improved by a single new office at the proposed Thusong at Rabie Ridge/ Ivory Park in Johannesburg and, in eThekwini, at the Mpumalanga and Umnini Thusong Centres and the proposed Thusong Centre at Bridge City.

7.9.1.2 In the case of Johannesburg, the Gauteng Province’s high residential densities and the existence of labour offices outside of Johannesburg which could provide services for Johannesburg citizens results in an overlap among service provision by the three metros in the Province. A new study which covers Gauteng in totality would be extremely useful in determining the best service delivery points for Johannesburg as well as the rest of Gauteng

CSIR/BE/SPS/ER/2012/0061/B 30 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

7.9.2 Summary Table of Facilities Required

Table 7.9: Number of new and retained facilities proposed for Johannesburg and eThekwini

Metropolitan Facility Type % Coverage Number of New & Comments Area Increase Retained Facilities

Johannesburg Labour Offices 12.6 8 existing and 6 Keep 8 existing Offices and add 6 proposed new (as illustrated in Figure 7.5) Close/ relocate 3 eThekwini Labour Offices 20.2 7 existing and 9 Keep 7 existing Offices and add 9 proposed new (as illustrated in Figure 7.11) Close /relocate 3

7.9.3 Concluding Statement

7.9.3.1 Currently there is good coverage in both cities, especially in Johannesburg. The areas that are unserved in eThekwini are mainly rural areas as well as the Inanda area. In Johannesburg, Rabie Ridge as well as certain low density areas in the west and south-east are areas of unserved demand. In developing a new distribution plan considerable change would be required and it is rather proposed that the DoL initially identify two to three key facilities to develop in each metropolitan area. In eThekwini, the areas worst-off in terms of distance are the rural areas; however, the development of a facility at Bridge City would have the largest impact in terms an increase in the number of people served.

7.10 ADDENDUM

7.10.1 Record of Meetings

7.10.1.1 Formal stakeholder engagements were held with officials from the Department of Labour on the following dates:  Project overview meeting: 8 November 2011  Data follow-up meeting: 25 January 2012  Preliminary access analyses: 8 March 2012 (Stakeholders meeting in eThekwini)  Access norms and standards discussion: 19 April 2012  Recommendations and optimisations: 18 September 2012  Stakeholder interactions and findings: 27 September 2012 (DPSA Provincial sector meeting)  Stakeholder interactions and findings: 16 October 2012 (Stakeholders meeting in eThekwini)

CSIR/BE/SPS/ER/2012/0061/B 31 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12 PART C: SECTION 7 DEPARTMENT OF LABOUR

7.10.2 Contact Persons

7.10.2.1 Contact persons in the Department include the following:  DoL lead contact person: Ms Ansie Rossouw  DoL (data): Ms Ansie Rossouw  DoL (standards): Mr Joseph Ledwaba

7.10.2.2 Additional persons in the Department involved in follow-up meetings:  Ms Dudu Mutloane (Chief Operations Officer)  Ms Tintswalo Manganyi  Ms Thembi Nene-Shezi  Mr Richmond Ntuli  Mr Mango Mbatha  Mr Joseph Ledwaba  Mr Kenny Fick  Mr Dawie McDonald

CSIR/BE/SPS/ER/2012/0061/B 32 Geographic accessibility study of social facility and government service points for the metropolitan cities of Johannesburg and eThekwini 2011/12