Department of Iabour
National Skills Development Strategy
PARLIAMENTARY PORTFOLIO COMMITTEE BRIEFING 25 June 2002
3. Overview of the Skills Development Strategy
4. SETA performance and SMMEs
5. Video presentation
a. NSF Strategic projects
6. Social Development Projects
8. Investors In People
9. Championing Skills Development by the Portfolio Committee
10. Concluding remarks BANKSETA NSF MICROFINANCE SKILLS TRANSFER PROJECT The BANKSETA Micro-Finance Skills Transfer Project emerges from the need to increase the professionalism amongst micro-finance institutions registered with the BANKSETA & MFRC, as well as to enhance the capacity of their borrower clients, both micro-enterprises and individuals across the nation.
The project thus proposes to tackle two tiers of entrepreneurial development:
Borrower Clients who are either consumer (individuals) or micro-enterprise borrowers
PROJECT VALUE AND TIMESCALE Value: R78, 470,081.00- funded from the National Skills Fund.
Completion by the 31st December 2004
SUMMARY The project purposes include the following:
1. To implement skills development initiatives to 1200 micro-lenders over a three- year cycle between 2002 and 2004. It is envisaged that 200 SMMEs in micro-finance will be participating in the programmes by 2002, 400 by 2003, and 600 in 2004
2. To implement skills development initiatives to 1200 SMME borrowers or micro-enterprises by 2004, and 6 000 individual borrower clients by 2004.
3. To research best practice models for the micro-finance industry
4. To build the capacity of Education and Training Providers within each province to deliver skills development initiatives and to ensure accreditation of these providers with the appropriate ETQA
5. To develop sustainable SMME business support systems to micro-lenders and borrowers in association with the strategic partners
6. To assist at least (240) of the SMME learners in the micro-finance sector to enhance their businesses
7. To embark on an advocacy programme to encourage at least 20% of the micro-finance SMMEs to engage with the BANKSETA on an ongoing basis.
Strategic Partnerships The Project Steering Committee overseeing the projeci includes the Micro Finance
Regulatory Council (MFRC); Association of Micro Lenders (MLA); Micro Enterprise Alliance
(MEA); and the BANKSETA. The project management is co-ordinated by the SDS
Consortium, who works closely with the BANKSETA and the Project Steering Committee.
Richard Plant, General Secretary
Project : CETA skills Upliftment Project
Project value and timescale: An amount of R53 533 692.00 has been allocated from the National Skills Fund over a period of 3-years. Number and sector of beneficiaries:
2 699 Beneficiaries:
SMME Project Support Team (SETA based) Project Manager
- 9 Provincial SMME Coordinators.
18 SMME mentors
9 SMME Assessors
Novice SMME Candidates
Skills Development Facilitators
Quality Assurance Officers (ex PDIs)
SMME development to enable small and emerging contractors to effectively participate in the mainstream economy and toward optimising the employment creation ability and effect that the sector could have.
Skills development activities aimed at generally upgrading and enhancing the skill levels of the industry at large. Focus to be placed on the developing capacity and expertise within the industry to implement the NSDS (and learnerships in particular).
Project value and timescale: The Department of Labour will provide R 38 615 386.00 for this project from the
National Skills Fund over a period of 3 and 1/2-years.
Number of and sector of beneficiaries: 7 090 beneficiaries encompassing the unemployed, SMMEs, workplace skills providers as well as employees and learners in the chemical industries sector will benefit.
Project List: To address SMME, ABET, HIV and capacity building related matters, six projects will be carried out.
An SMME development model
A bridging project for 300 learners into CHIETA/Technikon Learnerships
Development of an Electronic Education Management Information System (EEM IS) and capacity building programme for education and training providers
An Adult Basic Education and Training (ABET) skills programme I Learnership for 6000 learners
An HIV & AIDS Project which involves deploying 25 highly trained advisors/educators in companies across the chemical industries sector, and
Development & implementation of a model for the Recognition of Prior Learning
PROJECT: CTFL SETA Strategic Project
Project value and timescale: R18 100000.00 from the National Skills Fund has been allocated over a period of 3112 years.
Number of and sector of beneficiaries: 28 995 people will benefit from this project. They include the unemployed, employees of SMMEs assessors and ETD practitioners. Project Summary: The CTFL project will develop and enlarge the skills base within the clothing, textiles, footwear and leather sector by:
Establishing a skills profile of the sector and identifying scarce skills
Providing basic world class skills training
Developing and promoting learnerships
Successfully implementing the sector's qualifications framework through the
training of assessors and ETD practitioners
Developing technologists through bursary schemes
Enhancing basic life skills through the establishment of adult learner centres Increasing awareness of HIVIAIDS through awareness training programmes in factories.
For more information, contact:
David Bowen: CEO - CTFL SETA
Tel: 031 7024482
Fax: 031 702A113
PROJECT: Project Military Veterans
Project value and timescale: The National Skills Fund has allocated R125 000.00 for the feasibility study of four months and
R39 000 000.00 for the project rollout. Number of and sector of beneficiaries: A potential 50 000 unemployed ex-soldiers, of whom approximately 8% are disabled as well as those adversely affected by restructuring
Project Summary: To provide skills to all ex-statutory and non-statutory defence force members who were not absorbed into the new SA National Defence Force, as well as the expected 20 000 National Defence Force members who will be adversely affected by restructuring over the next 4 years, so that they can find meaningful employment in the public and private sectors.
To create a better life for the approximately 50 000 unemployed ex-soldiers
To promote self-employment
To assist the unemployed to enter the labour market
To assist those adversely affected by restructuring.
For more information, contact:
Mr. E.F.O.E Louw
Senior Manager - Skills Development - DIDTETA
Tel: 012 663 6983
PROJECT: Extending Education, Training and Development Opportunities
Project value and timescale:
The Department of Labour has committed R108 909 519 towards this project from the National Skills Fund over 31/2 years.
Number of and sector of beneficiaries: 13 500 beneficiaries from a range of sectors.
Project Summary: The ETDP SETA project will extend opportunities to develop skills and knowledge in education training and development practices to under-resourced communities and organisations. The funds allocated from the NSF will be used to develop learnerships in Early Childhood Development (ECD) and Adult Basic Education and Training (ABET).
The project will:
Increase the number of ECD and ABET practitioners
Improve the capacity of small. black-owned education and training providers to offer ABET and ECD education and training at local level
Provide adequate Early Childhood Development foundations to increase future school success for learners.
For more information, please contact:
Communications Co-ordinator - ETDP SETA
Tel: 011 807-5621 mosses~etdpseta=org.za
PROJECT NAME: The Education Upliftment Project Eastern Cape (EUPEC)
Project value and timescale: R62 760 500.00 funded from the National Skills Fund over 5 years.
Number of sector and sector beneficiaries: The beneficiaries will include 12 800 grade 11 and 12 learners over the 3 year period. 65 schools and their teachers will also be beneficiaries of the intervention.
Project Summary: The Education Upliftment Project Eastern Cape has been conceived as a major skills initiative to provide Maths and Accounting clinics throughout the Eastern Cape region.
The project will commence in January 2002 and aims to uplift the maths and accountancy level of grade 11 and 12 learners. The focus will be on schools where the need for this particular area of skills development has been identified. Rather than re-training learners in what they have already learnt in the classroom, they will be taken out of the classroom to central venues and facilitated by universities and technikons in Alice, East London, Umtata and Port Elizabeth, where highly qualified maths and accounting teachers will supplement the teaching learners receive at school.
At the same time, teachers at the participating schools will also be part of the intervention so that they are equipped to impart that knowledge to the next group of learners. Coupled to this is a teacher upliftment programme in the schools called Street Finance. The focus is on providing them with the knowledge and practical application for managing schools - how to make the school work better and how to implement processes more effectively.
Fort Hare and RAU Universities will also be involved in the project, their objective being to improve the quality of education at South Africa's previously black universities. The programme aims to improve the quality of the B.Com Accounting degree and build academic support programmes into the universities accountancy curriculum.
Fasset will have an overall governance role in the project and the South African Institute of Chartered Accountants (SAICA) will act as project manager. Several partners will also be involved to perform the functions of maths and accounting teaching as well as the teacher upliftment programmes.
Fasset Contact Details
Cheryl James; CEO of Fasset 44rA
Tel: 011 476 8570
Fax: 011 4765756
PROJECT: FOODBEV Export and Import Replacement Project
Project value and timescale: R33 524 977.00 funded from the National Skills Fund over 31!2 years.
Number of sector and sector beneficiaries: 2470 learners across the following sectors:
Entrepreneurs of existing SMMEs
Project Summary and Objectives: The Food Bev SETA project will focus on increasing competitiveness of South African food and beverages manufacturing industry in the global market arid increasing the sector's Small Medium and Micro Enterprises' potential to contribute towards export and import replacement opportunities. Towards achieving this objective, the FoodBev SETA has embarked upon key interventions in organisations that have a high export'growth potential.
To increase investment in ABET
To introduce a learnership and skills programme
To provide bursaries for research and development
To provide skills development for the establishment of new SMM Es
To increase the skills of existing entrepreneurs.
FOODBEV Contact Details
Tel: 011 8021211
Matito Jail FoodBev SETA
Tel: 011 802-1211
E-mail: matitoJ~foodbev.co.za !_ PROJECT: Institute of Space and Software Applications (ISSA) Scarce Skills Programme
Project value and timescale: The Department of Labour has committed R1 03 840 229 towards this project from the National Skills Fund.
Number of and sector of beneficiaries: Students from historically disadvantaged communities, especially women as well as
SMMEs will benefit from this project.
Project Summary: The project aims to develop scarce skills in the Information and Communication Technologies (ICT) by transforming a number of academic courses and modules at the Institute of Space and Software Applications (ISSA) into learnerships. This will produce human resource capabilities for the South African ICT sector.
Focus will be on:
The implementation of a Post Graduate Diploma in Telecommunications and Electronic Engineering (PDE).
Research and Development
The project will also support SMME capacity through incubation support.
For further information on this project, contact:
Mateli Mpuntsha - CEO
Tel: 011 805-5115
Fax: 011 805-6833
PROJECT NAME: The Creative Industries Skills Development Programme (CISDP)
Project value and timescale: R117 420 446.00 funded from the National Skills Fund over 31/2 years.
Number of sector and sector beneficiaries: 6 100 beneficiaries from small businesses as well as new entrants to the industry.
Project Summary: The Creative Industries Skills Development Programme (CISDP) aims to introduce a comprehensive framework for on-the-job training in the creative industries sector that will promote the growth and competitiveness of the sector.
The sub-sectors within the Creative Industries that have been prioritised for development are
Craft and Design, Music, the Performing Arts, Film and Video Production, Technical
Production Services for events, Multi-media, including website and leisure software design.
The project will concentrate on the development of technical skills as well as on key skills required across the sector at different levels, from basic literacy, numeracy and business skills through to more specialised skills in the areas of management, entrepreneurship, marketing, product development and the training of trainers.
MAPPP Contact details:
Dave Thomas - CEO
Tel: 021 949 1463
Fax: 021 949 1468
PROJECT: Increasing Delivery of ABET
Project value and timescale: R1 254 500.00 funded from the National Skills Fund over 31/2 years. Number of and sector of beneficiaries: 11 000 beneficiaries of this project are workers in the five sub-sectors of MERSETA and unemployed learners entering learnerships.
Project Summary: The MERSETA has identified ABET as one of its priority areas. The intention is to improve the quality of ABET delivery in this sector. Attempts to address ABET needs in the sector have been largely uncoordinated. In the past, the five former Industry Training Boards, which are now incorporated into the MERSETA, adopted quite different approaches to the delivery of ABET. Companies in the plastics, new tyre, metal and engineering and the auto sub sectors had their own in-house ABET programmes while companies in the motor sub-sector adopted a more 'sector-focussed' approach. There is little information available on how these programmes were offered and the success rate of these programmes.
Despite the high ABET spend of many large companies in the Auto, Metal and Engineering, New Tyre and Motor sub-sectors, anecdotal evidence from employer and trade union representatives point to poor ABET results in the sector.
It is against this background that the MERSETA decided to make ABET one of its key priorities, recognising that the provision of ABET to workers in the sector is integral to their own development, complementary to skills training initiatives and an essential ingredient of a productive workforce.
The key delivery priorities for ABET as identified in the MERSETA are:
To improve the quality and effectiveness ABET programmes in the sector.
To address access problems in the sector
To achieve the long-term goal of minimum GETC for all workers in the sector MERSETA Contact details:
Mokiti Letsoalo - ABET SPECIALIST
082 780 6777
PROJECT: MQA Strategic Project
Projectvalue and timescale: The Department of Labour has committed R74 551140 towards this project from the
National Skills Fund over a period of 31/2 - years.
Number and sector of beneficiaries: Over 8 600 people will benefit from this project7 including employees in jewellery and gemstone processing, small scale miners ex-mineworkers as well as university and technikon students.
Project Summary: There is an urgent need to provide training and support services to people in the
mining and mineral sector. To address these needs, the Mining Qualifications
Authority has identified projects that will:
Increase provision of Adult Basic Education and Training in the mining and mineral sector
Develop skills for jewel lery manufacturing and gemstone processing
Support small-scale miners with skills development
Support ex-miners with skills development
Develop scarce skills in the sector through a bursary scheme
Pilot learnerships for education, training and development practitioners.
For further information, contact:
Dr M Mthwecu - CEO
Tel: 011 403-7946
Fax: 011 403-8424
PROJECT: Focusing on agricultural export and import replacement
Project value and timescale: R33 267 097.00 funded from the National Skills Fund over 3 years.
Number of and sector of beneficiaries: 2 050 emerging and subsistence farmers and employees.
Project Summary: The primary agriculture sector is involved in the export of commodities and goods. Given the favourable exchange rate between South Africa and most of the developed world economies, opportunities for exports and import replacement are opening up.
PAETA therefore decided to focus its NSF project on skills development for farming enterprisesi communities where direct export opportunities exist.
The project will equip employees and farmers with skills that will enable the sector to compete successfully in the global market, thereby creating opportunities for advancement to individuals and farming communities, enabling them to play a productive role in society.
Focus will be on skills development for large and emerging farmers and their employees with potential in agricultural exports and import replacement.
For more information, contact:
NSF Project Manager - PAETA
Tel: 012 325 1655
Fax: 012325 1677
PROJECT: Domestic Workers Skills Development Project
Project value and timescale: The Department of Labour has committed R 120 888 500.00 from the National Skills Fund over a period of 4-years.
towards this project
Number of and sector of beneficiaries: 16 500 domestic workers will benefit through these skills development initiatives.
Project Summary: The project will develop, test and implement a learning framework, to ensure that the provision of domestic services is formalised and recognized as an identifiable career. This will provide competent learners from the domestic service sector with the option of being able to take compatible skills into other sectors.
For further information on this project, contact:
Merle Clark - Communications
Tel: 011 482-1520
Fax: 011 7264416
PROJECT: SETASA's programme has four (4) projects, namely: 1.1. Export Readiness Project
1.2. SMME Support Project
1.3. Gross Functional Skilling Project
1.4. Bursary Scheme for Scarce Skills Project Project value and timescale: R33 186 000.00 funded from the National Skills Fund over 3 years. Number of and sector of beneficiaries: 2 725 employees and enterprises from sub sectors such as poultry, red meat, grain handling, sugar, tobacco, fibre, pest control, fruit packing and liquefying.
Project Summary: The main aim of this project is to facilitate change, which will enable the identified sectors to meet global requirements. The project focuses on issues relating to international export requirements including international health and safety issues.
Under this project, the ability to meet global requirement and to compete globally is addressed.
SMME Support Project
The main aim of this project is to facilitate change, which will enable the sector to successfully nurture and grow the SMME component. Under this project, focus is placed on both emerging and existing SMME, which has high growth potential. The project covers all skills levels in a typical SMME enterprise, including technical, entrepreneurial and management skills.
Cross Functional Skilling Project This project targets the employees of large enterprises and the unemployed. The main aim of the project is to facilitate change, which focuses on the need for cross-functional skilling. In selected sub sectors, it has become necessary to implement cross-functional skilling of staff in large enterprises. It is also necessary to develop a range of skills for the unemployed.
Bursary Scheme for Scarce Skills The main aim of this project is to address the shortage of specific scarce skills in selected sub sectors such as sugar, milling and tobacco industries. These sub-sectors have a high potential for export and import replacements. This project is aimed at higher education & training level and bursaries will be offered to qualifying beneficiaries to embark on studies that will benefit the sub-sectors identified. A bursary scheme has been put in place for this purpose.
For details on SETASA NSF Projects, please contact:
Mr Gerald Leith Fakazani Mgwaba
SETASA CEO SETASA NSF Programme Manager
Tel: (012) 3482337 0834602587
Email: gerald~setasa.co.za fakazani€workingsolutions.co.za
PROJECT: Bringing Competitiveness and Professionalism to the Taxi and Small Boat Fishing Industries
Project value and timescale: The Department of Labour has committed R72 591 606.00 towards this project from the National Skills Fund over 31/2 years.
Number of and sector of beneficiaries: 3 500 beneficiaries1 including school leavers1 unemployed and small boat fishing structures.
Project Summary: The National Skills Fund Strategic Project will expose the informal industries of the Transport sector to formal qualifications, unit standards, and quality service delivery. Through the development and implementation of Learnerships and Skills Programmes in specific focus areas1 the Taxi industry and the Small Boat Fishing industry will be provided with the necessary competencies for increased sustainability, safety, life skills and effective business management. The achievement of the above is dependent on the establishment of ETD infrastructure in the said industries to ensure the inculcation of a culture of life long learning.
PROJECT: Integrated Nature-Based Tourism and Conservation Management Development Project (INTAC)
Project value and timescale: R1 09 715 000.00 funded from the National Skills Fund over 3112 years.
Number of and sector of beneficiaries: 6500 people trained across the sub-sectors of hospitality, nature - based tourism
(e.g. tourist guiding1 lodge management, etc.) and conservation management.
Project Summary: (1) To support the expanding nature based tourism industry in SA with relevant, focused skills development in the fields of tourism, hospitality and conservation management, that will enable previously unemployed individuals to take up employment opportunities in the Trans Frontier Conservation Areas, biospheres, expanding national parks and tourism routes. The result will be rising local incomes and medium to long term improved socio-economic situation for these communities abutting I inside these nature based tourism development areas.
(2) The strengthening of existing tourism SMMEs, as well as the establishment of a small number of 'new' tourism businesses through SMME training and mentorship.
(3) A secondary benefit will be the development of emerging tourism and conservation management PDI training providers within the provinces.
PROJECT: RAVE (Retrenchees And Victory to Enrepreneurs) In a nutshell the project is aimed 50% at the training of retrenchees from the wholesale and retail sector in order to assist them to set up their own business, and 50% for existing SMMEs to train them in identified skills to improve their businesses.
Project value and timescale: The Department of Labour has committed R68 606 000.00 towards this project from the
National Skills Fund over a 3-year period.
Number of and sector of beneficiaries: The project is based on training 5000 in total over a 3-year period. However, it is critical to note that the first year consists of a pilot project in Gauteng in which the infrastructure will be developed, research undertaken, appropriate training derived and applied, and the project will only roll out on successful completion of the pilot.
The first year is thus critical, and the project will only proceed if both the NSF and W&RSETA are convinced that there is a high probability of success.
Project Summary: Project RAVE is aimed at the training of retrenchees and ex-employees from the wholesale and retail sector in order to assist them to set up their own businesses, and for training existing SMMEs to improve their businesses and overall returns.
The project will benefit owners of Small, Micro and Medium Enterprises, potential retrenches and unemployed ex-employees from the wholesale and retail sector.
For further information on this project, contact:
Derek Kirsch - CEO
Tel: 012 346-9370
Fax: 012 346-9382