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Strategic planning around HIV/Aids in the manufacturing sector

It has been estimated that 40%-50% of the current South African workforce will die of Aids within the next ten years. The manufacturing sector is a major employer of this workforce and especially vulnerable to the HIV/Aids threat. The sector also plays a major role in the South African economy and as such, any effect of HIV/Aids on the manufacturing sector will reverberate through the economy.

Companies will be affected in various ways by the HIV/Aids epidemic. Apart from losing valuable skills due to Aids deaths, the number of sick leave days will increase, as will absenteeism in respect of funeral attendance, compassionate leave, and unauthorized leave.

Productivity will decrease due to employees being in a state of ill health, fear and uncertainty in dealing with HIV/Aids, discrimination against HIV+ staff members and family problems related to HIV/Aids. The rest of the employees will also be affected as they fill in for sick colleagues, work overtime, train new recruits and worry about their own safety as their colleagues die. Recruitment and training costs will increase, as will medical and insurance costs.

Strategic planning for this threat is an urgent priority for management and should include the considerations briefly discussed here.

Identify key workers in the different production stages and departments. When identifying the level of risk, consider issues such as separation from family, culture and level of HIV/Aids awareness. Ascertain if the skills can be replaced, how quickly and where replacements would be sourced. Consider if losing a key member of staff will create a bottleneck effect and where. Is a move towards automation to replace the lost skills an option? A multi-skilling or a pre-emptive training programme may be a solution.

Look at the cost implications of HIV/Aids in terms of labour costs in the future and how this will affect production costs. Also consider how the increased benefit claims will affect the company.

The effects of HIV/Aids on the external environment should also be considered. HIV/Aids will change the levels of disposable income, the demographics of society and the customer profile. Create an impact assessment on the company’s supply chain and markets.

Companies must adhere to the legislation applicable to HIV/Aids in the workplace. Any strategy designed by management will also benefit from input and participation of the union members and employees.

Community participation will serve a company well. Working with local organizations and NGOs can gain publicity and strengthen the company’s image as caring and committed. In addition, the company invests long-term in creating both a consumer and a labour market for itself.

Consider implementing or intensifying an existing HIV/Aids prevention and management programme in the workplace. Training, education, making condoms available, voluntary HIV testing and counseling, first aid training in relation to HIV/Aids safety, infection control measures and medical interventions for HIV+ employees may form part of such a strategy.

The HIV/Aids pandemic is real. The situation requires intensive planning, immediate action and non-traditional strategies and collaborations to minimize the impact on the company, the sector and the economy.