MHSC ANNUAL REPORT 2020

MINE HEALTH AND SAFETY COUNCIL ▪ ANNUAL REPORT 2019/20

3.13 REMUNERATION OF BOARD MEMBERS

Council members are appointed by the Minister of Mineral Resources and Energy based on nominations from MHSC Stakeholders in terms of the MHSA. The members are remunerated by the organisations who have nominated them. The MHSC reimburses members of Organised Labour for travel and other miscellaneous expenses incurred in the process of executing duties on behalf of the MHSC. Name Remuneration Other allowance Other re-imbursements Total Mr N Nhlapo - - 65 775,97 65 775,97 Mr S Mungwe - - 53 328,02 53 328,02 TOTAL 119 103,99

3.14 RISK MANAGEMENT

• The MHSC has a Risk Management Policy and Plan which is reviewed on an annual basis and approved by the Audit and Risk Committee. • Regular risk assessments are conducted annually through a risk assessment by management and the governance structures to determine the risk profile of the organisation. On a quarterly basis the risk profile is reviewed and emerging risks are also reviewed. • The Risk and Compliance Management Committee (RCMC) is chaired by an Independent Chairperson, and is comprised of executive management and the Governance, Risk and Compliance Management team. The RCMC reports to the Chief Executive Officer. • The Audit and Risk Committee advises the MHSC on risk management and independently monitors the effectiveness of the system of risk management. • There is a need for improvements in the risk management processes of the MHSC mainly round the Combined Assurance Model. The Combined Assurance Model will be implemented as part of the strategic imperatives of the MHSC for the 2020/21 financial year, as such these measures will form part of the Annual Performance Plan.

3.15 INTERNAL CONTROLS

The role of internal audit is to provide independent assurance that an organisation’s risk management, governance and internal control processes are operating effectively. The MHSC had experienced challenges with the Internal Auditors who had been contracted at the time. A process to appoint new internal audit was initiated during the financial year and the new internal auditors commenced with the Annual Operational Plan 2019/20 l. The following internal audit reviews were conducted during the financial year in line with the Plan: • Supply Chain Management • Internal Financial Controls • Audit of Predetermined Objectives (Quarter 1- Quarter 4)

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“EVERY MINE WORKER RETURNING FROM WORK UNHARMED EVERYDAY”