O ve rvie w of

le g isla tion
im p a c ting on skills
d e ve lop m e nt in
South Afric a
Overview of legislation impacting on skills development in South Africa
i
Author: Johan Willemse
Edutel Publishers: 2002
ISBN: 0-620-289-589
Barcode: 978-062-028-9580
Copyright reserved.
Apart from any fair dealing for the purpose of research, criticism or review as permitted under the
Further Education and Training Act 98 of 1998, no part of this book may be reproduced or transmitted
in any form or by any means, electronic or mechanical, including photocopying and recording, without
permission in writing from Edutel.
8.4.2002
ii
Notes
Overview of legislation impacting on skills development in South Africa
" Putting the pieces of the puzzle together ........................ 1
A. The Vision................................................................. 1
B. Principles .................................................................. 3
C. Mission Statement.................................................... 4
D. Strategic objectives to be achieved.......................... 4
E. A time frame for achievement................................... 5
F. The means to implement the plan............................ 5
" Legislation........................................................................... 6
1. The South African Qualifications
Authority Act no 58 of 1995...................................... 6
2. The skills Development Act 97 of 1998.................... 32
3. The Skills Development Act 9 of 1999...................... 58
4. The Employment Equity Act 58 of 1998................... 68
5. The Skills Development and
Labour Relations Act................................................. 69
Contents
iii
Notes
Overview of legislation impacting on skills development in South Africa
Key of icons used in text
NB
Definition
Module 2
Notes
Overview of legislation impacting on skills development in South Africa
1
" Putting the pieces of the puzzle together
Focusing only on education and training in the workplace is not the
only ingredient for a successful business recipe. All the ingredients
must be identified and properly addressed before any strategy is
going to deliver results. What is needed is a holistic approach to
raising business efficiency and consequently international
competitiveness.
For such a major activity as developing and implementing a new
education and training system together with its policies, procedures
and structures one needs
A. A vision of what needs to be strived for
B. Principles or values to support the vision
C. A mission statement
D. Strategic objectives to be achieved
E. A time frame for achievement.
F. The means to implement the plan.
Below is an extract from the National Skills Strategy proposed by the
Minister of Labour during February 2001. This strategy is to be
implemented during the period April 2001 March 2005.
Learners are advised to obtain a copy of the entire document and
familiarise themselves with the contents.
A. The Vision
The title of the strategy document - Skills for Productive Citizenship for
All - summarises the vision for the future. This vision includes the
following:
Skills
Fnancial and other support should be directed towards the acquisition of
skills that are needed by employers and communities and that
Module 2
Notes
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Overview of legislation impacting on skills development in South Africa
increasingly will reflect qualifications and standards that are part of the
National Qualifications Framework. Skills development is about enabling
and empowering individuals through the acquisition of competencies
that are in demand. It is not about the provision of diversionary activities
simply to keep unemployed people active for short periods of time or
about merely filling programmes offered by training providers. Skills
must be linked to quality provision and qualifications (either in whole or
part) that hold currency throughout the country
Productive citizenship
The concept of citizenship in South Africa has been understood mainly
in political terms - "the right to vote" and to be consulted. But as poor
people, particularly, have discovered the ability to vote is not enough on
its own. Citizenship must also include the right to actively contribute to
and participate in making decisions that affect investment and work.
Skills development is as much about building the capacity of people to
engage in these decisions as to execute the roles and functions that will
flow from them. In the workplace the decisions are about productivity,
the organisation of work and technology; in new and small enterprises
they are about entrepreneurship, sustainability and growth and in
communities they are about the focus, pace and trade-offs linked to
local economic development.
For all
The vision is an inclusive one. The intention is to create opportunities
for those in work as well as for the unemployed; for new entrants to the
world of work as well as for older people; for women as well as men
and for people with disabilities who for too long have not been valued
for their capabilities.
B. Principles
This Vision is underpinned by six guiding principles:
Lifelong learning
communities and workplaces are changing continuously. If
individuals are to shape these changes and take advantage of them
to improve the quality of their lives, they need to upgrade and
improve their skills continuously
The promotion of equity
there are not only legacies to be erased but positive interventions
are demanded if we are to build an inclusive society and widen
opportunities. In recent years there has been a net decline in the
number of black people in jobs. Of our 40 million people only 20 per
cent have jobs in the formal sector. Of the 4,6 million people who are
unemployed, 4,2 million are black and 58 per cent are women.
Through skills development we need not only to provide
opportunities for disadvantaged groups but also encourage effective
collaboration amongst people from diverse backgrounds
Demand-led
for too long skills development has been pursued in the absence of a
realistic assessment of how the skills are to be employed. The
emphasis will be on the skills and competencies required to support
productivity, international competitiveness, the mobility of workers, self-
employment and meeting defined and articulated community needs
Flexibility and decentralisation
the role of Government and the National Skills Authority is to provide
the framework, direction and coordination for the skills strategy and
to monitor its implementation. Public and private employers and
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workers are best placed to make judgements about priorities and to
determine the most effective providers to meet those needs
- Partnership and cooperation
At national, sector, provincial, community and workplace levels the
definition and implementation of the skills development strategy
should be based on partnerships between and amongst the social
constituencies
- Efficiency and effectiveness
The delivery of skills development programmes and initiatives must
be characterised by cost-efficiency and should lead to positive
outcomes for all those who invest in training and skills development.
C. Mission statement
The following mission statement has been adopted to encapsulate
the goals of the national skills development strategy:
To equip South Africa with the skills to succeed in the global
market and to offer opportunities to individuals and
communities for self-advancement to enable them to play a
productive role in society.
D. Strategic objectives to be achieved
To fulfill this mission five objectives have been identified to drive the
national skills strategy:
to develop a culture of high quality lifelong learning
to foster skills development in the formal economy for
productivity and employability
to stimulate and support skills development in small
businesses
to promote skills development for employability and
sustainable livelihoods through social development
initiatives
to assist new entrants into employment
E. A time frame for achievement
These objectives will frame the work of the Department of Labour and
the Sector Education and Training Authorities. They will also define the
uses of the National Skills Fund and the skills development levies. The
objectives offer priorities around which government, employers, trade
unions and the wider community can unite to achieve the skills
revolution our country so badly requires.
F. The means to implement the plan
The skills strategy is designed to support economic and employment
growth and social development.
Having formulated the strategic plan for skills development for South
Africa, the mechanisms to implement the plan had to be introduced.
There is only one way that a government can achieve its objectives
and that is by use of legislation.
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" Legislation
The following legislation was introduced to achieve the above
mentioned objectives:
1. The South African Qualifications Authority Act no 58 of 1995
2. The Skills development Act 97 of 1998
3. The Skills Development Levies Act 9 of 1999
4. The Employment Equity Act 58 of 1998
5. Labour Relations Act
1. South African Qualifications Authority (SAQA)
As mentioned above, the first institution that was established by law
is the South African Qualifications Authority and it is tasked to
oversee reconstructed and re-developed education and training
which reflects the objectives of the National Qualifications
Framework (NQF).
" SAQA's mission is
"To ensure the development and implementation of a
National Qualifications Framework which contributes to the
full development of each learner and to the social and
economic development of the nation at large."
" SAQA Major Objectives
Oversee the development of the National Qualifications
Framework (NQF)
- Formulate and publish policies and criteria for;
- Registration of bodies responsible for establishing
education and training standards, and
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- The accreditation of bodies responsibilities for
monitoring and auditing achievements in terms of
standards and qualifications.
Oversee the implementation of the NQF, including
- The accreditation of bodies responsible for moderating
and auditing achievements and assignments of
functions to them
- The registration of national standards and qualifications
- Ensuring compliance with accreditation, and
- Ensuring international comparability of registered
standards and registered qualifications
From the above it is clear that SAQA is responsible to ensure that a
proper structure is developed to support, monitor and develop skills
through training and education in the country. It therefore has to
oversee the implementation as well as oversee the development of
the NQF
" Structures implemented by SAQA
The National Qualifications Framework (NQF)
The NQF, as its name indicates is a framework for national
qualifications.
It represents a holistic approach to the personal, social and
economic needs of the South African Society. This approach unifies
qualifications, education and training and assessment in a way that
is nationally acceptable.
The NQF makes it possible for learners to achieve different national
qualifications through a wide variety of mechanisms and delivery
systems.
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It generates coherence across education and training systems
Allows articulation between business and public sectors and
education and training institutions and allows for the transfer of
credits across different modes of study and qualifications.
" Why has South Africa chosen a National Qualifcation
Framework
Many countries all over the world are looking for better ways of
educating their people and organising their education and training
systems so that they might gain the edge in an increasingly
competitive economic global environment. Furthermore, the world is
an ever-changing place, politically, geographically and
technologically. Indeed, the rapid technological advances of the
twentieth century have placed education systems under extreme
pressure as they try to adapt and incorporate these changes in an
effort to produce more creative, effective and adaptable people.
Success, or even survival, in such a world demands that South
Africa has a national education and training system that provides
quality learning, is responsive to the ever-changing influences of the
external environment and promotes the development of a nation that
is committed to life-long learning.
When learners know that there are clear learning pathways which
provide access to, and mobility and progression within education,
training and career paths, they are more inclined to improve their
skills and knowledge, as such improvements increase their
employment opportunities.
The increased skills base of the workforce has a wider implication
namely the enhancement of the functional and intellectual capability
of the nation, thereby increasing our chances for success in the
global community.
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Sir Christopher Ball (1996) in describing the kind of learner profile
that is suited to the 21st century, spoke about flexible generalists.
Ball maintained that such people are needed to realise the goal of
life-long learning which, with the ever-increasing human longevity,
will characterise the successful citizenry of the next millennium.
Flexible generalists are people equipped with the necessary
knowledge, skills and values to adjust readily to multiple career
changes and make, through their own personal development, a
significant contribution to the life of this country and the world. The
shift in thinking is from education for employment developing the
ability to do a specific job - to education for employability
developing the ability to adapt acquired skills to new working
environments. The new education and training system must be able
to support the notion of an adaptable workforce.
" Objectives of the NQF
To create an integrated national framework
Facilitate access to, and mobility and progression within
education, training and career paths;
Enhance the quality of education and training;
Accelerate the redress of past unfair discrimination in
education, training and employment opportunities;
Contribute to the full personal development of each learner and
the social and economic development of the nation at large.
" Principles guiding the NQF
The right of individuals to life long learning.
Integration of education and training systems to ensure
maximum flexibility of horizontal and vertical mobility between
different levels of education and training systems, both formal
and informal.
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Development of a national standards and qualifications
structure, which reflects the achievement of learning
outcomes, defined at different levels from beginner to post
graduate, in terms of national standards.
Mechanisms that enable learners to accumulate credits
earned in the same or different learning contexts, which may
be accumulated towards the achievement of national
qualifications.
Recognition of prior learning and experience
Promotion of career paths as an aid to mobility within all
sectors of economic activity
Development of a national curriculum based on integration of
academic and vocational skills.
Democratic participation of stakeholders in the education and
training system.
" NQF levels, bands and fields
Levels
The NQF consists of an eight-level framework, with
level 1 (lowest level) and level 8 (highest level) being regarded as
open-ended. Level 1 also accommodates three adult Basic Education
and Training (ABET) Levels.
NQF level 2 is equivalent to secondary school level grade 10
(standard 8) and NQF level 4 is equivalent to grade 12 (standard 10)
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Bands
Within the NQF three education and training bands are recognised as
being -
1. General Education and Training (NQF level 1 and below)
2. Further Education and Training (NQF levels 2 - 4)
3. Higher Education and Training (NQF levels 5-8)
Post-doctoral Research Degrees
Doctorates
Masters Degrees
Professional Qualifications
Honours Degrees
National First Degrees
Higher First Degrees
National Diplomas
National Certificates
Qualifications Type
8
7
6
5
4
3
2
National Certificates
1
General Education
and Training
Grade 9
National Certificates
Higher Education
and Training
ABET Level 4
General Education and Training Certificate (GETC)
Higher Education
and Training
Band
NQF
Level
Further Education and Training Certificate (FETC)
What do NQF qualifications look like?
An NQF qualification shall;
- Represent a planned combination of learning outcomes
which has a defined purpose and which is intended to provide
qualifying learners with applied competence and a basis for
further learning;
- Add value to the qualifying learner by providing status,
recognition, enhancing marketability and employability.
- Provides benefits to society and the economy.
- Comply with the objectives of the NQF
- Include both specific and critical cross-field outcomes that
promote life-long learning;
- Where applicable, be internationally comparable;
- Incorporate integrated assessment appropriately to ensure
that the purpose of the qualification is achieved. Assessment
should include a range of formative and summative
assessment methods such as portfolios, simulations,
workplace assessments and also written and oral
examinations;
- Indicate the rules governing the award of the qualification that
the qualification my be achieved in the whole or in part through
the recognition of prior learning, which concept includes, but is
not limited to learning outcomes achieved through formal,
informal and non-formal learning and work experience.
Qualifications and Credits
Qualifications comprise of Unit of competence to be achieved. These
units of competence are known as "Unit Standards" and represent the
smallest unit of learning in a learning programme for qualification
purposes.
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A number of unit standards together make up a qualification. A learner
who successfully completes a unit standard is awarded a number of
"Credits". A credit refers to the total amount of learning and effort
(measured in time units) that it will take an "average" learner to master
the outcomes prescribed by a unit standard.
The unit of time is known as a "notional hour". A notional hour is the
equivalent of an hour.
Notional hours of learning" mean the learning time that it is
conceived it would take an average learner to meet the outcomes
defined, and includes concepts such as contact time, time spent
in structured learning in the workplace and individual learning.
A Credit in a Unit Standard = 10 Notional Hours of education,
training, development or a combination thereof. The time
indicates the aggregate of the learning of theory time as well as
the application of knowledge in the workplace to develop applied
competence time.
Although a credit represents 10 hours of training, it is flexible in
its application. A learner who has the ability to master a unit
standard in less time will obtain the credits irrespective of the
time spent in doing so. The10 hour time frame is therefore simply
an indication on time to be spent and not an absolute.
A total of 120 or more credits shall normally be required for registration
of a qualification at NQF levels 1 8. A minimum of 72 credits must be
obtained at or above the level at which the qualification is registered.
The number and levels of credits constituting the balance of credits
(48) shall also be specified.
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Definition
NB
Qualifications consisting of less than 120 credits may be considered if:
They meet the requirements as set out under "What do NQF
qualifications look like?" Or
Enable learners to progress by complying with the objectives
of the NQF including the enhancement of learner access,
mobility and progression, and the provision of quality
education and training.
Examples of types, levels and titles of qualifications are:
National Certificate Minimum of 120 credits.
National First Diploma Minimum of 240 credits
(minimum of 72 at NQF level 5)
National First Degree Minimum of 360 credits
(minimum of 72 at NQF level 6
" SAQA Standard Setting and Quality Assurance
SAQA has two focus areas namely "Standards Setting" and
"Quality Assurance." In order to apply effective focus in both
areas, SAQA has established sub-structures to execute these
responsibilities on behalf of SAQA.
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Standards Setting Focus SQA established the National
Standards Bodies (NSBs) and the
Standards Generating Bodies
(SGBs),
Quality Assurance Focus Education and Training Quality
Assurance bodies (ETQAs) have
been established. To further
enhance quality assurance, SAQA
may choose to appoint moderating
bodies to ensure that assessment of
learning outcomes is fair, valid and
reliable across the NQF.
Standards Setting Quality Assurace
" Organising Fields: (National Standards Bodies)
For purposes of sensibly organising training and education development
in a focused manner, all learning in the NQF is organised into
twelve fields:
1 Agriculture and Nature Conservation.
2. Culture and Arts.
3. Business, Commerce and Management Studies.
4. Communication Studies and Language.
5. Education, Training and Development
Module 2
Notes 6. Manufacturing, Engineering and Technology.
7. Human and Social Studies.
8. Law, Military Science and Security.
9. Health Sciences and Social services.
10. Physical, Mathematical, Computer and Life sciences.
11. Services
12. Physical Planning and Construction.
" National Standards Bodies (NSBs)
NSBs must be registered as such according to the SAQAAct. There are
12 NSBs, one each for each for the 12 organising fields as listed above.
The NSBs have very specific functions and responsibilities.
It is important to note that the NSBs do not generate standards or
qualifications, but rather oversee these activities at the sub-fields levels.
The functions of NSBs are:
Defining and recommending to SAQA the boundaries of the
field and, within this, a framework of sub-fields.
Recognising or establishing Standards Generating Bodies
within the framework of sub-fields, and ensuring that the work
of the SGBs meets SAQA requirements.
Recommending the registration of qualifications and standards
to SAQA.
Overseeing the update and review of qualifications and
standards.
Liaison with ETQAs.
Defining requirements and mechanisms for the moderation of
standards and qualifications.
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" Standards Generating Bodies (SGBs)
As mentioned above, an NSB can give rise to the establishment of an
SGB within a sub-field within the organising field that the NSB is
responsible for. SGBs must however also be registered with SAQA as
per the requirements of the SAQA act.
Organising Field 06 SGBs registered.
06 1. Air-conditioning Refrigeration and Ventilation
2. Baking
3. Beverages
4. Clothing
5. Dairy Technology
6. Engineering
7. Food
8. Footwear Manufacturing
9. Manufacturing and Assembly Processes
10. Metal Engineering Industries Education & TB
11. Mining & Minerals
12. Plastics Manufacturing
13 Power Plant Operations
14. Pulp and Paper
15. Telecommunications
16. Textiles
As at March 2002, there are already 111 registered SGBs. SGBs have
been established in all organising fields for a wide variety of business
commercial and public services activities.
The SGBs can really be described as the "engine room" for standards
and qualifications in the NQF for it is here that various stakeholders
from government, organised business, organised labour, education and
training providers and community interest groups meet to identify and
formulate appropriate standards and qualifications for their sub-field
enterprises.
SGBs perform the following functions:
- Generating unit standards and qualifications in accordance
with the authority requirements in identified sub-fields and
levels.
- Updating and reviewing standards
- Recommending standards and qualifications to NSBs.
- Recommending criteria for the registration of assessors,
moderators and moderating bodies.
SGBs therefore have an ongoing role to play in this new education and
training dispensation as they have to make sure that the standards they
have generated are regularly revised and reviewed to ensure continued
relevance to the requirements of a sub-field.
" Education and Training Quality Assurance Bodies
(ETQAs)
ETQAs are accredited by SAQA for the purpose of monitoring and
auditing achievements in terms of national standards and qualifications
and to which specific functions relating to the monitoring and auditing of
national standards have been assigned in terms of the SAQAAct. In a
sector where no ETQA has been accredited, SAQA shall undertake
such functions and responsibilities.
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ETQAs may be established in:
- A social sector
- An economic sector or in
- An education and training sub-system sector.
The functions of an ETQA include the following:
- Accreditation of providers and the promotion of quality
amongst providers.
- The monitoring of provision by providers.
- Evaluation of assessment and facilitating moderation among
providers.
- Registration of assessors for specified NQF standards and/or
qualifications in terms of criteria established for this purpose.
- Responsibility for the certification of learners.
- Co-operation with relevant moderating body/bodies appointed
to moderate across ETQAs i.e. to moderate the quality
assurance on specified NQF standards and/or qualifications
for which one or more ETQAs have been accredited.
- The recommendation of new standards and qualifications to
NSBs for consideration, or the recommendation of
modifications to existing NQF standards and qualifications to
NSBs for consideration.
- Maintaining a database acceptable to SAQA.
- Submission of reports to SAQA in accordance with SAQA
requirements.
- Such other functions as may from time to time be delegated by
SAQA
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ETQAS are accredited by SAQA according to very specific guidelines
and receive certificates of accreditation from SAQA. SAQA may also
withdraw the accreditation of an ETQA if it believes that the ETQA is not
performing its responsibilities satisfactorily.
ETQAs may not be providers; its primary function is to assure the
quality of provision and assessment of providers it has accredited.
Accreditation of providers
In seeking accreditation from ETQAs, providers will have to fulfil the
following criteria:
- Be registered as a provider in terms of applicable legislation.
- Have a quality management system.
- Be able to develop, deliver and evaluate learning
programmes, which culminate in specified NQF qualifications
or standards.
- Have the necessary financial, administrative and physical
resources.
- Have policies for staff selection, appraisal and development,
for learner entry, guidance and support systems, for the
management of off-site practical work or work-site
components, for the management of assessments.
- Have necessary reporting procedures
- Have the ability to achieve the desired outcomes using
available resources and procedures.
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Moderating bodies
SAQA may appoint moderating bodies to ensure that the process of
assessment of outcomes described in the NQF standards and
qualifications is fair, reliable and valid.
The functions of moderating bodies are:
- To determine whether assessment decisions in respect of
specified NQF standards and/or qualifications are fair, reliable
and valid in terms of the outcomes described in those
standards and/or qualifications, in one or more of the following
designated areas:
- Across ETQAs and
- Such other moderation functions as may be designated by
SAQA from time to time
- Making recommendations to SAQA concerning improvements
required in the functioning of ETQAs and the accreditation of
ETQAs.
- Recommending changes to unit standards and/or
qualifications to be considered by NSBs
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ETQA Accreditation Status Report
February/March 2002
Accredited: 31
Evaluations: 3
TOTAL: 34
Sector education and training authorities (SETAs)
Name of ETQA Status
1. Banking Sector Education and Training
Authority (BANKSETA) Accredited
2. Clothing, Textiles, Footwear and Leather Sector
Education and Training Authority (TEXTILES) Accredited
3. Chemical Industries Education and Training Authority (CHIETA) Accredited
4. Construction Education and Training Authority (CETA) Accredited
5. Diplomacy, Intelligence, Defense and Trade Education
and Training Authority (DIDTETA) Accredited
6. Education, Training and Development Practices Sector
Education and Training Authority (ETDP SETA) Accredited
7. Energy Sector Education and Training Authority (ESETA) Accredited
8. Financial & Accounting Services Sector Education and
Training Authority (FASSET) Accredited Evaluation:
Extension of
Accreditation
9. Food & Beverages Sector Education and
Training Authority (FOODBEV) Accredited
10. Forest Industries Education and Training Authority (FIETA) Accredited
11. Health and Welfare Sector Education and Training
Authority (HWSETA) Accredited
12. Information Systems, Electronics and Telecommunication
Technologies (ISETT) Accredited
13. Insurance Sector Education and Training Authority (INSETA) Accredited
14. Local Government, Water and Related Services Sector
Education and Training Authority (LGWSETA) Accredited
15. Manufacturing, Engineering and Related Services Sector
Education and Training Authority (MERSETA) Accredited
16. Mining Qualifications Authority (MQA) Accredited
17. Media, Advertising, Publishing, Printing and Packaging (MAPPP) Accredited
18. Police, Private Security, Legal and Correctional Services
Sector Education and Training Authority (POSLECSETA) Accredited
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19. Primary Agriculture Sector Education and
Training Authority (PAETA) Accredited
20. Public Service Sector Education and Training Authority (PSETA) Accredited
21. Services Sector Education and Training Authority (SERVICES) Accredited
Evaluation:
Extension of
Accreditation
22. Sector Education and Training Authority for
Secondary Agriculture (SETASA) Accredited
Evaluation:
Extension of
Accreditation
23. Tourism and Hospitality Education and Training Authority (THETA) Accredited
24. Transport Education and Training Authority (TETA) Accredited
Evaluation:
Extension of
Accreditation
25. Wholesale and Retail Sector Education and
Training Authority (W&R SETA) Accredited
Professional Bodies (Statutory)
Accredited: 2
Evaluation 1
TOTAL: 3
Name of ETQA Status
1. Engineering Council of South Africa (ECSA) Evaluation
2. Security Officers Board (SOB) Accredited
3. South African Nursing Council (SANC) Accredited
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Professional bodies (non-statutory)
Accredited: 3
Evaluation: 1
TOTAL: 4
Name of ETQA Status
1. Professional Accreditation Body for Health and Skincare (PAB) Accredited
2. South African Institute for Chartered Accountants (SAICA) Accredited
3. South African Board for Personnel Practitioners (SABPP) Evaluation
4. South African Institute for Materials Handling (SAIMH) Accredited
Education and training sub-system sector
Accredited: 1
TOTAL: 1
Name of ETQA Status
1. Council on Higher Education (CHE) Accredited
Social sector
Evaluation: 1
TOTAL: 1
Name of ETQA
Status
1. Dar Al-Salam: Islamic Research Centre Evaluation
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" National Learners Records Database (NLRD)
The South African Qualifications Authority (SAQA) is responsible for the
development and implementation of the National Qualifications
Framework (NQF). The primary objective of the NQF is the creation of a
high quality education and training system in South Africa that
embraces the concept of life-long learning for all.
One of the features of a quality system is the ability to manage and
report information about the system accurately. The National Learners
Records Database (NLRD) is an electronic management information
system to facilitate the management of the National Qualifications
Framework and enable the South African Qualifications Authority to
report accurately on most aspects of the education and training system
of South Africa.
" What information is provided by the NLRD?
The NLRD provides the following information:
SAQA and its sub-structures, including National Standards
Bodies (NSBs) and Standards Generating Bodies (SGBs) and
their areas of competence and member details;
Standards and qualifications registered on the NQF including
exit level outcomes and assessment criteria;
Accredited Education and Training Quality Assurance bodies
(ETQAs) and the standards and qualifications for which
accreditation has been granted;
Accredited providers and registered assessors;
SAQA-appointed Moderating Bodies;
The records of learners who achieve the outcomes of
standards or qualifications registered on the NQF and their
achievements.
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What functions are available on the system?
On-line data entry and data access;
On-line and batch-loading processes to allow for qualifications
and standards to be loaded into the NLRD from NSBs and
SGBs;
On-line and batch-loading processes to register Assessors
and permit accreditation of ETQAs and Providers;
Batch-loading processes to record learner achievements;
Reports on all information held in the NLRD;
A security system;
Implementation of the NQF business rules.
External access for SGBs and ETQAs is possible via Internet or dial-in
options.
" Is information generally available?
SAQA provides information to appropriate queries only on the basis that
confidentiality is ensured for all sensitive information. The security of the
NLRD is ensured through a sophisticated protection system.
Who can make use of the NLRD information?
- As a learner, you will ultimately have access to a verified
record of your own personal learning achievements. You will
be able to see a full list of the standards and qualifications
registered on the NQF. You will be able to verify the
accreditation status of providers of the qualifications you wish
to pursue.
26
Overview of legislation impacting on skills development in South Africa
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Module 2
- As a provider of education and training, you will be able to see
a full list of the standards and qualifications registered on the
NQF, you will be able to find out which ETQA is responsible
for the quality assurance of the standards and qualifications
and the list of registered assessors for those standards and
qualifications. You will be able to find out details about the
members and areas of activity of the twelve NSBs and their
associated SGBs.
- As a member of business and industry, you will be able to
verify the achievements of applicants for work. You will be
able to see a full list of the standards and qualifications
registered on the NQF in order to choose which are relevant
for your organisation and so plan your training programmes
accordingly. You will also be able to find out which providers
have been accredited and which ETQA is responsible for the
quality assurance of the standards and qualifications, as well
as the list of registered assessors for those standards and
qualifications.
- As a worker, you will have access to a verified record of your
own personal learning achievements. You will be able to see a
full list of the standards and qualifications registered on the
NQF and hence be able to plan your life-long learning
programme.
- Politicians and government departments will benefit from
NLRD information as it will enable informed policy decisions
regarding education and training and human resource
development in the areas of industry development,
immigration and deployment of available resources.
- Society will have verified data on the education and training
that is available as well as an informed view of the nature and
quality of the labour force and education system at a national
level.
27
Overview of legislation impacting on skills development in South Africa
Notes
Module 2
Module 2
Notes
28
Overview of legislation impacting on skills development in South Africa
Definition
How do I contact the National Learners Records Database at SAQA?
- If you want to know more about the information contained in
the NLRD, the policies governing it, the batch load
specifications, or data structures: contact the NLRD Manager,
e-mail [email protected], tel. (012) 482 0850,
fax (012) 482 0957
" UNIT STANDARDS - the building blocks for NQF
Qualifications
Unit standards mean registered statements of desired education
and training outcomes and their associated assessment criteria
together with administrative and other information as specified in
the ETQA regulations.
The unit standards are therefore the building blocks that together can
culminate in a particular NQF qualification. Unit standards also
incorporate performance criteria, which provide the benchmarks and
quality assurance required to certify a desired level of performance
usually at a nationally agreed level. It measures whether a learner
conforms to a national standard in terms of knowledge, skill and ability.
Unit Unit Unit
Standard Standard Standard
= QUALIFICATION
+
+
Components of a Unit Standard.
Unit Standard consists of:
- A Unit Standard Title
- The SAQA approval logo
- Unique Unit Standard Number
- Unit Standard Level on NQF
- Credit(s) attached to the unit standard
- The Organising- and sub-field where the standard originated
- The issue date of the standard
- The review date of the standard
- The purpose of the unit standard
- Learning assumed to be in place with the learner before
attempting this unit standard
- Specific outcomes to be assessed
- Assessment criteria
- Essential embedded knowledge to be mastered by the learner.
- Accreditation process (including moderation) for the unit
standard
- Range statements as a general guide for the scope, context
and level being used for this standard
- A "notes" category which
- Must include critical cross-field outcomes supported by
the unit standard.
- References to essential embedded knowledge if not
addressed under "Assessment Criteria"
- May include other supplementary information on the
unit standard
29
Overview of legislation impacting on skills development in South Africa
Notes
Module 2
Critical Cross-field Education and Training Outcomes
Critical outcomes include but are not limited to:
- identifying and solving problems in which responses display
that responsible decisions using critical and creative thinking
have been made.
- working effectively with others as a member of a team, group,
organisation, community.
- organising and managing oneself and ones activities
responsibly and effectively.
- collecting, analysing, organising and critically evaluating
information.
- communicating effectively using visual, mathematical and/or
language skills in the modes of oral and/or written persuasion.
- using science and technology effectively and critically, showing
responsibility towards the environment and health of others.
- demonstrating an understanding of the world as a set of
related systems by recognising that problem-solving contexts
do not exist in isolation.
- contributing to the full personal development of each learner
and the social and economic development of the society at
large, by making it the underlying intention of any programme
of learning to make an individual aware of the importance of:
- reflecting on and exploring a variety of strategies to learn
more effectively;
- participating as responsible citizens in the life of local, national
and global communities;
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Overview of legislation impacting on skills development in South Africa
Notes
Module 2
- being culturally and aesthetically sensitive across a range of
social contexts;
- exploring education and career opportunities; and
- developing entrepreneurial opportunities.
Unit standard-based qualification
31
Overview of legislation impacting on skills development in South Africa
Notes
Module 2
Unit standard
20 Credits
NQF Level 5
Unit standard
20 Credits
NQF Level 5
Unit standard
20 Credits
NQF Level 5
Unit standard
25 Credits
NQF Level 5
Unit standard
30 Credits
NQF Level 5
Unit standard
30 Credits
NQF Level 5
Unit standard
25 Credits
NQF Level 6
Unit standard
30 Credits
NQF Level 6
Unit standard
25 Credits
NQF Level 6
Unit standard
20 Credits
NQF Level 6
2. The Skills development Act 97 of 1998
To provide an institutional framework to devise and implement national,
sector and workplace strategies to develop and improve the skills of the
South African workforce; to integrate those strategies within the National
Qualifications Framework contemplated in the South African
Qualifications Authority Act, 1995; to provide for learnerships that lead to
recognised occupational qualifications; to provide for the financing of
skills development by means of a levy-grant scheme and a National
Skills Fund; to provide for and regulate employment services; and to
provide for matters connected therewith.
The purposes of this Act are-
a) to develop the skills of the South African workforce
i. to improve the quality of life of workers, their prospects
of work and labour mobility;
ii. to improve productivity in the workplace and the
competitiveness of employers;
iii. to promote self-employment; and
iv. to improve the delivery of social services;
b) to increase the levels of investment in education and training in
the labour market and to improve the return on that investment;
c) to encourage employers-
i. to use the workplace as an active learning environment;
ii. to provide employees with the opportunities to acquire
new skills;
iii. to provide opportunities for new entrants to the labour
market to gain work experience; and
v. to employ persons who find it difficult to be employed;
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Notes
Module 2
d) to encourage workers to participate in learnership and other
training programmes;
e) to improve the employment prospects of persons previously
disadvantaged by unfair discrimination and to redress those
disadvantages through training and education
f) to ensure the quality of education and training in and for the
workplace;
g) to assist-
i. work-seekers to find work;
ii. retrenched workers to re-enter the labour market;
iii. employers to find qualified employees; and
h) to provide and regulate employment services.
Those purposes are to be achieved by-
a) establishing an institutional and financial framework comprising-
i. the National Skills Authority;
ii. the National Skills Fund;
iii. a skills development levy-financing scheme as
contemplated in the Skills Development Levies Act;
iv. SETAs;
v. Labour centres; and
vi. the Skills Development Planning Unit;
b) encouraging partnerships between the public and private
sectorsof the economy to provide education and training in and
for the workplace; and
c) co-operating with the South African Qualifications Authority.
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Module 2
" The National Skills Authority (NSA)
The NSA is established through legislation by the Department of Labour
and has the following functions:
To advise the Minister of Labour on-
- A national skills development policy
- A national skills development strategy
- Guidelines on the implementation of the national skills
development strategy
- Allocation of subsidies from the National Skills Fund
- Any regulations pertaining to skills development o be
made
To liaise with SETAs on-
- The national skills development policy
- The national skills development strategy
To report to the Minister on progress made in the
implementation of the national skills strategy
Conduct investigations on any matter arising out of the
application of the Skills Development Act
Exercise powers and perform any duties conferred or imposed
on the NSA by the Skills Development Act.
" Sector Education and Training Authority (SETA)
SETAs can be established for any national economic sector, the sector
must be discrete according to the classification of employers and must
further take into account-
The education and training needs of employers and
employees that:
- Use similar materials, processes and technologies
- Make similar products
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Overview of legislation impacting on skills development in South Africa
Notes
Module 2
- Render similar services.
- The potential of the sector for coherent occupational
structures and career pathing
- The scope of any national strategies for economic
growth and development
- The organisational structures of the trade unions,
employer organisations and government in closely
related sectors
- Any concensus that there may be between organised
labour, organised employers and relevant government
departments as to the definition of any sector and
- The finacial and organisational ability of the proposed
sector to support a SETA.
" Functions of a SETA
A SETA must-
Develop a sector skills plan within the framework of the
national skills development strategy
Implement a sector skills plan by-
- Establishing learnerships
- Approving workplace skills plans
- Allocating grants in the prescribed manner to
employers, education and training providers and
workers and
- Monitoring education and training in the sector
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Promote learnerships by-
- Identifying workplaces for practical work experience
- Supporting the development of learning materials
- Improving the facilitation of learning
- Assisting in the conclusion of learnership agreements
Register learnership agreements
Obtain accreditation from SAQA
Collect and disburse the skills development levies in the sector
Liaise with the NSA
Report to the Director-General on its income, expenditure and
the implementation of the sector skls plan
Liaise with the employment services of the Department of Labour
and any education body established under any law regulating
education in South Africa to improve information
About employment opportunities and
Between education and training providers and the labour market
Appoint staff to perform its functions
Perform duties imposed by the Skills Development Act
" Composition of a SETA
A SETA may consist of members representing-
Organised labour
36
Overview of legislation impacting on skills development in South Africa
Notes
Module 2
Organised business including small business
Relevant government departments
Interested professional bodies
Any barganing council with jurisdiction in the sector
" Finances of a SETA
A SETA is financed from-
The skills development levies collected in the sector
Monies paid to it from the National Skills Fund
Grants, donations and bequests made to it
Income earned on surplus money invested
Money received from any other source
" Learnerships
A learnership is a structured learning programme that includes practical
work of a specified nature and duration, would lead to a qualification on
the NQF. Be related to an occupation and be registered with the
Department of Labour.
Learnerships are governed by "Learnership agreements" between
the learner, and employer (group of employers) and accredited training
provider.
The obligations and rights of each of the parties to the agreement are
well defined by the "Regulations on Learnerships and Skills
Programmes."
37
Overview of legislation impacting on skills development in South Africa
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Module 2
2. Registering intended learnership
(1) A SETA applying to register an intended learnership, in terms
of Section 16 of the Act, must complete the registration form
(2) The completed registration form referred to in sub-regulation
(1) must be submitted to the Director-General.
(3) Upon registration of a learnership, the Director-General must -
- issue a certificate of registration to the SETA; and
- allocate and issue a learnership code.
(4) A SETA may apply in writing to the Director-General to amend
the registered learnership.
(5) If the registered learnership is amended, the Director-General
must amend the relevant certificate of registration accordingly
or issue a new certificate of registration.
3. Registering Learnership Agreement
(1) A learnership agreement must be in the form set out in
Annexure B.
(2) A SETA may require the parties to a learnership agreement to
submit relevant information in addition to that required in terms
of sub-regulation (1).
(3) A SETA may register a learnership agreement in terms of
section 17(3) of the Act if -
(a) the Director-General has registered the learnership;
(b) a completed learnership agreement form referred to in
sub-regulation (1) has been submitted to the SETA in
duplicate;
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Overview of legislation impacting on skills development in South Africa
Notes
Module 2
(c) all parties to the agreement have signed the agreement
and, if the learner is a minor , the learner's parent or
guardian has signed the agreement on behalf of the
learner;
(d) the employer party to the learnership agreement falls
within the scope of coverage of the SETA;
(e) the terms of the agreement comply with the Act and any
other applicable law; and
(f) the learnership agreement was concluded before the
start of the learnership.
(4) A SETA may only register a learnership agreement to which a
group of employers is party if -
(a) one of the employers is identified in the agreement as
the lead employer; and
(b) the lead employer undertakes to ensure compliance
with the employer's duties in terms of the agreement.
(5) A SETA may only register a learnership agreement to which a
group of training providers is party if -
(a) one of the training providers is identified in the
agreement as the lead training provider; and
(b) the lead training provider undertakes to ensure
compliance with the training provider' duties in terms of
the agreement.
(6) Within 30 days of receiving the learnership agreement, the SETA
must decide -
(a) whether or not to register the learnership agreement;
(b) in respect of every learnership agreement that is
registered, whether or not to pay a grant -
39
Overview of legislation impacting on skills development in South Africa
Notes
Module 2
(i) towards the costs of the learnership;
(ii) towards the allowance to be paid to a learner
who was not in the employment of the employer
at the time the learnership agreement was
concluded.
(7) A SETA must advise the employer of the amount of any grant
that it will pay in terms of sub-regulation 6(b).
(8) If a SETA decides not to register the learnership agreement,
the SETA must notify the parties to the agreement accordingly
in writing, providing reasons thereof.
(9) A SETA must record the name and the date of registration of
each learnership agreement that it registers and forthwith
send a copy to each of the parties to the agreement at the
addresses stated in the agreement.
4. Altering terms of Learnership Agreement
(1) The parties to a learnership agreement registered with the
relevant SETA may, subject to the SETA's approval, alter the
terms of the said agreement.
(2) A SETA may only register an alteration referred to in sub-
regulation (1), if a copy of the learnership agreement, together
with the alterations to the said agreement, signed by all the
parties thereto, is submitted to the SETA.
5. Substituting a party to a Learnership Agreement
(1) A SETA may approve the substitution of the employer or the
training provider party to a learnership agreement in terms of
section 17(5) of the Act if a written application, accompanied
by an agreement setting out the terms of the substitution, is
submitted to the SETA.
40
Overview of legislation impacting on skills development in South Africa
Notes
Module 2
(2) The parties to a learnership agreement may, with the approval
of the SETA, substitute a new learnership agreement for a
learnership agreement that the SETA has already registered.
6. Terminating Learnership Agreement
(1) A SETA may approve the termination of a learnership agreement
in terms of section 17(4)(b) of the Act if -
(a) the employer and learner have agreed in writing to
terminate the agreement;
(b) the employer or employee has requested, on good
cause, to terminate the agreement and the other parties
to the learnership agreement have had the opportunity
to make representations as to why the agreement
should not be terminated;
(c) the employee has terminated the contract of
employment with the employer; or
(d) the training provider has requested on good cause to
terminate the agreement and
(i) the other parties to the agreement have had the
opportunity to make representations; and
(ii) the SETA and the employer have been unable to
arrange for a new training provider to be
substituted for the old training provider in
accordance with regulation 5 (1).
(2) An application to terminate a learnership agreement in terms
of sub-regulation (1) must be submitted to the SETA in writing
together with -
(a) a copy of the relevant learnership agreement;
41
Overview of legislation impacting on skills development in South Africa
Notes
Module 2
(b) in the case of sub-paragraph (a), a written agreement
signed by the employer and the learner setting out the
reasons for the termination.
7. Making of decisions by SETA
A SETA must make any decision required in terms of these regulations
within 30 working days of receiving the relevant documents.
8. Keeping of Records
(1) Every SETA must keep an updated record of -
(a) all learnership agreements registered by the SETA,
including the title and code of the learnerships;
(b) all grants paid by the SETA in respect of learnerships;
(c) all alterations to the terms of learnership agreements
referred to in paragraph 4(a);
(d) all learnership agreements successfully concluded,
including the title and code of the learnerships;
(e) all learnership agreements that the SETA did not
register and the reasons for not registering the
agreements; and
(f) all learnership agreements terminated in terms of
regulation 6, including the reasons for termination.
(2) Records referred to in sub-regulation (1) may be kept in any
form, provided that at least one set of the records is kept in
hard copy.
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Overview of legislation impacting on skills development in South Africa
Notes
Module 2
9. Referring of dispute
(1) A party referring a dispute in terms of section 19(2) of the Act
must submit a completed Form 7.11 published in terms of the
Labour Relations Act 66 of 1995 to the Commission for
Conciliation, Mediation and Arbitration.
(2) The relevant provisions of Parts C and D of Chapter VII of the
Labour Relations Act 66 of 1995, read with the changes
required by the context, apply in respect of a dispute in terms
of section 19 of the Act.
10. Short Title
These regulations are to be known as the Learnership Regulations,
2001.
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Notes
Module 2
LEARNERSHIP AGREEMENT
Part A
Terms and conditions of Agreement
Declaration of parties:
We understand that this Agreement is legally binding. We understand
that it is an offence in terms of the Skills Development Act 97 of 1998
(the Act) to provide false or misleading information in this Agreement.
We agree to the following rights and duties.
Rights of learners, employers and registered training providers
Learner
The learner has the right to:
be educated and trained in terms of this Agreement;
have access to the required resources to receive training in
terms of the learnership;
have his or her performance in training assessed and have
access to the assessment results;
receive a certificate upon successful completion of the
learning;
raise grievances in writing with the SETA concerning any
shortcomings in the training.
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Overview of legislation impacting on skills development in South Africa
Notes
Module 2
SETA
Logo
DoL
Logo
Employer
The employer has the right to require the learner to:
perform duties in terms of this Agreement; and
comply with the rules and regulations concerning the
employers business concern.
Training provider
The registered training provider has the right of access to the learners
books, learning material and workplace, if required.
Duties of learners, employers and registered training providers
Learner.
The learner must:
work for the employer as part of the learning process;
be available for and participate in all learning and work
experience required by the learnership;
comply with workplace policies and procedures;
complete any timesheets or any written assessment tools
supplied by the employer to record relevant workplace
experience; and
attend all study periods and theoretical learning sessions with
the training provider and undertake all learning
conscientiously.
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Overview of legislation impacting on skills development in South Africa
Notes
Module 2
Employer
The employer must comply with its duties in terms of the Act and all
applicable legislation including:
Basic Conditions of Employment Act (No. 75 of 1997);
any applicable determination made in terms of section 18(3) of
the Act;
Labour Relations Act (No. 66 of 1995);
Employment Equity Act (No. 55 of 1998);
Occupational Health and Safety Act (No. 85 of 1993) or Mine
Health and Safety Act (No. 27 of 1996);
Compensation for Occupational Injuries and Diseases
Act(No.130of1993);
Provide the learner with appropriate training in the work
environment to achieve the relevant outcomes required by the
learnership;
Provide appropriate facilities to train the learner in accordance
with the workplace component of learning;
Provide the learner with adequate supervision at work;
Release the learner during normal working hours to attend off-
the-job education and training required by the learnership;
Pay the learner the agreed learning allowance both while the
learner is working for the employer and while the learner is
attending approved off-the-job training;
Conduct on-the-job assessment, or cause it to be conducted;
Keep up to date records of learning and periodically discuss
progress with the learner;
If the learner was not in the employment of the employer at the
time of concluding this Agreement, advise the learner of
- the terms and conditions of his or her employment,
including the learning allowance; and
- workplace policies and procedures.
Apply the same disciplinary, grievance and dispute resolution
procedures to the learner as to other employees.
46
Overview of legislation impacting on skills development in South Africa
Notes
Module 2
Training provider
The training provider must:
Provide education and training in terms of the learnership;
Provide the learner support as required by the learnership;
Record, monitor and retain details of training provided to the
learner in terms of the learnership;
Conduct off-the-job assessment in terms of the learnership, or
cause it to be conducted; and
Provide reports to the employer on the learners performance.
Termination of Agreement
This learnership agreement terminates:
on the termination date stipulated in Part B of this Agreement;
or on an earlier date if:
the learner successfully completes the learnership;
the learner is fairly dismissed by the employer for a reason
related to the learners conduct or capacity as an employee;
the employer and learner agree to terminate the Agreement; or
the SETA approves a written application to terminate the
Agreement by the learner or, if good cause is shown, by the
employer.
Disputes
If there is a dispute concerning any of the following matters, it may be
referred to the Commission for Conciliation, Mediation and Arbitration
(CCMA):
The interpretation or application of any provision of this
Agreement, the learners contract of employment or a sectoral
determination made in terms of section 18(3) of the Act;
47
Overview of legislation impacting on skills development in South Africa
Notes
Module 2
Chapter 4 of the Act; the termination of this Agreement or the
learners contract of employment
Part B:
Details of the learnership and the parties to this
agreement
Please take note of the following:
If the learner is not already in the employ of the employer, the
learner and employer must conclude a contract of
employment.
If the learner is a minor then the learner's parent or guardian
must be a party to this Agreement and must complete section
3. The parent or guardian ceases to be a party to this
Agreement once the learner turns 21.
If a group of employers are party to this Agreement, one of the
employers must perform the function of a lead employer. The
lead employer must complete section 4 and details of the
other employers must be attached on a separate sheet.
If the employer and the accredited training provider are the
same entity, the employer must complete sections 4 and 5.
If a group of accredited training providers are party to this
Agreement, one of the providers must perform the function of
lead training provider. The lead training provider must
complete section 5 and details of the other accredited training
providers must be attached on a separate sheet.
48
Overview of legislation impacting on skills development in South Africa
Notes
Module 2
Learnership details agreement
Name of learnership: ........................................................................................................
..........................................................................................................................................
Department of Labour registration number of learnership: .............................................
..........................................................................................................................................
Commencement date of learnership agreement: ............................................................
..........................................................................................................................................
Termination date of learnership agreement: ....................................................................
..........................................................................................................................................
Learner details
Full name: .........................................................................................................................
..........................................................................................................................................
Identity number: ...............................................................................................................
Date of birth: .....................................................................................................................
Sex: Male Female
Race: African Indian
Coloured White
Other (specify): ...................................................................
49
Overview of legislation impacting on skills development in South Africa
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Module 2
Do you have a disability, as contemplated by the Employment Equity Act 55 of 1998?
Yes (specify): .......................................... No
Home address: .................................................................................................................
...........................................................................................................................................
Postal address (if different from above): ..........................................................................
...........................................................................................................................................
E-mail address: .................................................................................................................
What language/s do you speak at home?.......................................................................
..........................................................................................................................................
Are you a South African citizen?
Yes No (specify and attach documents indicating your
status, for example: permanent residence, study
permit, etc):
Highest level qualification
(for example: Standard 7, Grade 10, ABET Level 3)
..........................................................................................................................................
What is the title of your highest qualification?
..........................................................................................................................................
Have you previously undertaken a learnership?
Yes (specify title and code) ......................................... No
Were you employed by your employer before concluding this Agreement?
Yes No
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Overview of legislation impacting on skills development in South Africa
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If you were unemployed before concluding this Agreement, state for how long:
..........................................................................................................................................
If you are employed, when did you start work with your employer?
..........................................................................................................................................
Parent or Guardian details
(To be completed if learner is a minor i.e. an unmarried person under 21 years)
Full name: .........................................................................................................................
..........................................................................................................................................
Identity number: ................................................................................................................
Home address: .................................................................................................................
..........................................................................................................................................
Postal address (if different from above): ..........................................................................
..........................................................................................................................................
Telephone number (home and work): ..............................................................................
.....................................................................................
E-mail address:.................................................................................................................
Employer details:..............................................................................................................
Legal name of employer: ................................................................................................
Trading name (if different from above): ...........................................................................
Are you acting as Lead Employer? ...............................................................................
Yes No
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Overview of legislation impacting on skills development in South Africa
Notes
Module 2
Business address: ............................................................................................................
Postal address (if different from 4.4):...............................................................................
Name of contact person:..................................................................................................
Telephone No: ..................................................................................................................
Fax No: .............................................................................................................................
E-mail address: ................................................................................................................
Registration numbers and codes:
SIC: ................... SARS: ................ SETA:..................
Training provider details:
Legal name of Training Provider:.....................................................................................
Trading name (if different from above): ...........................................................................
Are you acting as Lead Training Provider? .....................................................................
Yes No
Business address: ...........................................................................................................
..........................................................................................................................................
Postal address (if different from 5.4): ...............................................................................
Name of contact person: ..................................................................................................
Telephone No:...................................................................................................................
Fax No: .............................................................................................................................
E-mail address: ................................................................................................................
Registration numbers or codes:
SIC: ................ SARS: ................... SETA:................ SAQA:....................
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Overview of legislation impacting on skills development in South Africa
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Terms and conditions of employment:
Are the learners terms of employment determined by a document of general
application (for example, section 18(3) determination, sectoral determination,
bargaining council agreement, collective agreement.)
Yes (specify): ............................................................... No
Attach a copy of a document reflecting the learners conditions of employment for
learners who were not employed by the employer when the agreement was concluded
as contemplated by section 18(2) of the Act. (for example: contract of employment,
written particulars of employment)
.................................................. ........................................................
Learners signature:................................... Parent or guardians signature
(Only if the learner is a minor)
..................................................
.................................................. ........................................................
Date: ......................................................... Date:
.................................................. ........................................................
Witness signature: ..................................... Witness signature:
...................................................................
.................................................. ........................................................
Date: ......................................................... Date:
.................................................. ........................................................
Employer or Lead EMployers signature... Training Provider or Lead Training Providers
signature
..........................................................................
.................................................. ........................................................
Date: ......................................................... Date:
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.................................................. ........................................................
Witness signature...................................... Witness signature .............................................
.................................................. ........................................................
Date: ......................................................... Date:
Learners allowances
(1) An employer must pay a learner an allowance calculated in
terms of this clause.
(2) Subject to subclause 3, a learners allowance must be
calculated as a percentage of the qualified wage in
accordance with column 3 of Table A.
(3) No learner may be paid less than the applicable allowance
specified in column 4 of Table A.
For the purposes of this clause
the "qualified wage" is the wage that the employer would pay
the learner on obtaining the qualification for which the
learnership is registered ;
"wage" means the amount of money payable to an employee
in respect of the hours of work an employee normally works,
excluding any overtime.
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Table A
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Column 1
Exit level of
learnership
NQF 1 or 2
NQF 3
NQF 4
NQF 5 to 8
Column 2
Credits already
earned by learner
0 120
121 240
0 120
121 240
241 360
0 120
121 240
241 360
361 480
to 8 0 - 120
120 240
240 360
361 480
481 600
Column 3
Percentage of
qualified wage to
be paid as
allowance
35%
69%
17%
40%
53%
13%
25%
53%
56%
8%
18%
27%
38%
49%
Column 4
Minimum
allowance per
week
R120.00
R240.00
R120.00
R226.00
R370.00
R120.00
R240.00
R370.00
R540.00
R120.00
R260.00
R389.00
R548.00
R700.00
Payment remuneration
(1) An employer must pay to a learner any remuneration that is
paid in money-
- in South African currency;
- daily, weekly, fortnightly or monthly; and
- in cash, by cheque or by direct deposit into an account
- designated by the learner.
Any remuneration paid in cash or by cheque must be given to
each learner-
- at the workplace or at a place agreed to by the learner; -
- during the learner's working hours or within 15 minutes of
the commencement
- or conclusion of those hours; and in a sealed envelope
which becomes the
- property of the learner.
An employer must pay remuneration not later than seven days
after-
- the completion of the period for which the remuneration is
- payable; or
- the termination of the learnership.
Subclause (3)(b) does not apply to any pension or provident
fund payment to a learner that is made in terms of the rules of
the fund.
Skills Programmes
A skills programme is a programme that is occupationally based,
when completed will constitute a credit(s) towards a qualification
registered on the the NQF and using accredited providers.
Skills programmes therefore includes one or more unit standards for
which a learner can obtain credits. A Skills Program by itself is not
however a full qualification.
A person who has developed a skills programme may apply to a SETA
with jurisdiction for a grant or the Director general for a subsidy. SETA
may fund skills programmes if it is in accordance with the sector skills
development plan or the national skills development strategy.
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Definition
National Skills Fund
The fund receives 20% of all skills levies levied, funds allocated from
Parliament, donations and interest earned.
The money in the Fund may only be used for projects identified in
the national skills development strategy as national priorities or
projects related to the achievement of the purposes of the
Skills Development Act.
Skills Development Planning Unit (SDPU)
This unit mustbe established by the Director-General of Labour, the
funtions being;
To research and analyse the labour market in order to
determine skills development needs for South Africa as a
whole, each sector of the economy and organs of state.
To assist in the formulation of national skills development
strategy and sector skills development plans and
To provide information on skills to the Minister of Labour, the
NSA, SETAs, E&T providers and organs of state.
Employment Services
The Director-General must establish labour centres
to provide employment services for workers, employers and
training providers
to register work-seekers
to register vacancies and work opprtunities
to assist prescribed categories of persons to enter special
training programmes, find employment, start income
generating projects, participate in special employment
programmes
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Jurisdiction
The Labour Court has ( subject to the jurisdiction of the Labour Appeal
Court) exclusive jurisdiction in respect of all matters arising from the
SDA.
3. The Skills Development Levies Act
To provide for the imposition of a skills development levy; and for
matters connected therewith.
The SDLA was proclaimed on 30 April 1999 by the State President, to
give effect to certain stipulations of the SDA.
Chapter 1 Administration, Imposition and Recovery of Levy 3.
Imposition of Levy
Every employer must pay a skills development levy from-
1 April 2000, at a rate of 0,5 per cent of the leviable amount;
and
1 April 2001, at a rate of one per cent of the leviable amount.
For the purposes of subsections (1), (2) and (3), but subject to
subsection (5), the leviable amount means the total amount of
remuneration, paid or payable, or deemed to be paid or payable, by an
employer to its employees during any month, as determined in
accordance with the provisions of the Fourth Schedule to the Income
Tax Act for the purposes of determining the employer's liability for any
employees' tax in terms of that Schedule, whether or not such employer
is liable to deduct or withhold such employees' tax.
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Definition
The amount of remuneration referred to in subsection (4) does
not include any amount
- paid or payable to any person contemplated in
paragraphs (c) and (d) of the definition of "employee" in
paragraph 1 of the Fourth Schedule to the Income Tax
Act, to whom a certificate of exemption has been issued
in terms of paragraph 2(5)(a) of that Schedule;
- paid or payable to any person by way of any pension,
superannuation allowance or retiring allowance;
- contemplated in Paragraphs (a), (d), (e) or (eA) of the
definition of "gross income" in section 1 of the Income
Tax Act;
- payable to a learner in terms of a contract of
employment contemplated in section 18(3) of the Skills
Development Act.
Selecting a SETA
For the purposes of subsection (1), where an employer falls within
the jurisdiction of more than one SETA, that employer must,
having regard to--
- the composition of its workforce;
- the amount of remuneration paid or payable to the
different categories of employees; and
- the training needs of the different categories of
employees,
- select one SETA within which it must be so classified for
the purposes of this Act.
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The levy is not payable by
any public service employer in the national or provincial
sphere of government;
any employer where section 3(1)(a) or (b) applies and
during any month, there are reasonable grounds for believing
that the total amount of remuneration, as determined in
accordance with section 3(4), paid or payable by that
employer to all its employees during the following 12 month
period will not exceed R250 000, or such other amount as the
Minister may determine by notice in the Gazette; and
that employer is not required to apply for registration as an
employer in terms of paragraph 15(1) of the Fourth Schedule to
the Income Tax Act;
Fourth Schedule
Amounts to be Deducted or Withheld by Employers and
Provisional Payments in respect of Normal Tax and Provincial
Taxes
Part II: Employees' Tax
Registration of Employers
1) Every person who is an employer shall apply to the
Commissioner in such form as the Commissioner may
prescribe for registration as an employer within fourteen days
after becoming an employer, or within such further period as
the Commissioner may approve. Provided that where no one
of such employer's employees is liable for normal tax, the
provisions of this paragraph shall not apply to such employer.
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How is the levey paid?
Employers must register as levy payers with their local South African
Revenue Services (SARS) office and monthly submit their levy
payments to this office.
Failure by employers to do so is an offence and conviction can be either
a fine or imprisonment for a period not exceeding one year.
What happens to the levies paid?
SARS, upon receipt of the levies, pays 20% of the levies over to the
National Skills Fund and the balance (80%) over to the SETA under
which the particular employer resides.
The SETA is entitled to retain 30% of the levies it receives to fund its
own operations and make available the balance as levy-grants to
employers subject to the conditions of the levy-grant scheme,
Schematically the process can be shown as:
The Minister of Labour has published Regulations about the skills
grants to be paid by Sector Education and Training Authorities (SETAs).
These Guidelines seek to explain the Regulations and provide advice to
employers and others on how to claim grants.
Claiming grants: general information
Employers who are up-to-date with the payment of the skills levy can
claim skills grants from their SETA. Their SETA is the one to which
employers pay their levies.
Each SETA will decide the dates by which applications for grants must
be made. They will let employers know about these arrangements.
Employers may also approach their SETA for information.
Training providers and workers may also seek grants from a SETA.
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These grants may be given to projects, programmes and research
activities if they support the implementation of the sector skills plan that
each SETA has developed. Each SETA will publish details about the
grants and how to apply for them.
Grants
There are six types of grants that an employer might claim. These are:
a workplace skills grant;
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Employer pays skills
levy to SARS
National Skills Fund receives
20% of levies from SARS
SETA 1 receives 80% from its
constituent employers
SETA 1 retains:
30% for admin & operational costs
10% Discretionary Grants
SETA 1 distributes 70% of its
levies to constituent employers
Employer receives:
15% Workplace Skills p[lanning Grant and
45% Workplace Skills Implementation Grant
10% Discretion Grant
Employer pays to
SARS: R100
SARS pays to:
National skills Fund: R20
SETA R80
SETA:
Retains for Ops costs: R24
Discretionary Grants R8
Pays employers:
WSP Planning Grant R12,00
WSP Implementation
Grant R36,00
SARS receives levies and
pays over to:
a workplace skills implementation grant;
a grant towards the costs of learnerships and learner
allowances
a grant towards the costs of skills programmes;
a grant towards the costs of providing apprenticeship
training; and
a grant towards a programme, project or research activity that
helps the relevant SETA to implement its sector skills plan.
The first two grants - for the submission of a workplace skills
plan, and for a subsequent implementation report on the
training provided - MUST be paid by the relevant SETA as
long as an employer submits the application correctly on time,
as assessed by the appropriate SETA. The Regulations refer
to these as mandatory grants.
The workplace skills planning grant is fixed as a percentage of the
levies paid by an employer. An employer who makes an application on
time and in the proper way will receive 15 per cent of the total of the
levies he/she has paid. Similarly the workplace skills implementation
report will be, in 2001/2, 50 per cent of the total levies paid and in
2002/3, 45 per cent of the total levies paid.
The other grants are discretionary and a SETA may pay these. It will
decide the grants it will pay on the basis of the contribution that the
skills development activities being proposed will contribute to the
implementation of the SETA's sector skills plan. For example, there may
be a number of requests for grants to support learnerships. If a choice
has to be made between a number of different applications for such
grants, the SETA will make its decisions on the basis of the priorities set
out in its sector skills plan.
Each SETA will determine the amounts of all the other grants.
Applications for these grants MUST be made and approved by the
SETA before any training or other activity starts.
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Consultation arrangements
Before describing each of the grants it is important to stress, that
although the majority of grants are made to employers, the need for
meaningful consultation between employers and workers prior to grant
applications. This is fundamental to the success of the national skills
development strategy.
It is important that employees are consulted about the person(s) to be
designated as skills development facilitators, the workplace skills plan
and the report on the implementation of the workplace skills plan. It is
strongly recommended for organisations with more than 50 employees
that a Skills Development Committee is established for the purposes of
consultation on training matters.
This committee, as a whole, should reflect the interests of employees
from all occupational categories in the organisation's workforce. All
trades unions that represent 10 per cent or more of the workforce or
represent a significant occupational group should be invited to take part
in this committee. A trade union that represents 80 per cent or more of
the workforce may be the sole representative.
Mandatory Grants
Workplace skills planning grant
Each up-to-date levy-paying employer may expect a grant from the
relevant SETA, if:
at least one skills development facilitator is designated by the
employer and the name is submitted to the SETA
a workplace skills plan is correctly submitted to the SETA at
the appropriate time (see Annexure A of the Regulations)
A workplace skills plan is important to:
employers to provide a strategic basis for planning the
development of the workforce and organisation
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workers to provide opportunities for enhanced job satisfaction
and promotion prospects
SETAs to assist in the identification of imbalances in the
supply of, and demand for, skilled labour. This information can
also be used by school leavers and unemployed people to
inform choices about training options
the Government to assist in the development and review of the
National Skills Development Strategy that must be demand-led
and sensitive to labour market needs.
Workplace Skills Plan
Based on the analysis of business requirements and the skill needs of
current staff, the workplace skills plan must define the skills priorities
that each workplace will pursue, the training programmes that are
required to meet and deliver those priorities and the staff who will be
targeted for training -'the beneficiaries'
Each SETA will provide employers with the application forms to claim
this grant, together with details of the dates by which completed forms
must be submitted to the appropriate SETA. A SETA may also publish
more detailed guidance on how to apply for this grant.
Each SETA is able to amend the outline design of forms included in the
Regulations so that it can collect more sector specific data. A SETA may
also simplify the form for organisations with fewer than 50 employees.
Workplace skills report grant
Employers who are up-to-date with their levy payments can claim a
grant from the appropriate SETA if they submit a report each year on
the implementation of their workplace skills plan before the date
stipulated by the SETA. The form of this report is Annexure B of the
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Regulations, but a SETA is able to modify this to take account of sector
differences. The implementation report is important to:
employers and workers to assess the progress that is being
made
SETAs, to review progress and problems and to assist
employers, workers and the sectors as a whole to determine
any additional support and advice that might be required
Government, to inform the monitoring of progress in
addressing skills development priorities and in identifying any
problems that might need to be addressed.
Each SETA will inform employers of the dates by which
applications for this grant must be submitted and each may
issue additional guidance to assist employers to complete the
implementation report.
Discretionary Grants
Learnerships
Any employer may seek a grant from a SETA to support the
implementation of learnerships. Each SETA will determine the level of
the grant and details of the grant will be registered with the Department
of Labour when each learnership is registered.
There are two possible types of grants to support learnerships. The
first is a grant to offset the costs of implementing a learnership,
(e.g. off-the-job education and training provider fees). The second is a
grant that may be paid to subsidise the learner's allowance if the learner
was unemployed immediately before starting the learnership. (a section
18(2) learner). The learner allowance must be in terms of the
Learnership Determination published by the Minister of Labour on
15 June 2001.
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It is a matter for each SETA to decide how many and which applications
it will support. Each SETA will need to make its decisions in the light of
the priorities of its sector skills plan and the amounts of money it has
available to support learnerships.
A SETA must inform an employer whether or not it will make a grant
before the learnership starts. The SETA will agree with the employer
when the grant will be paid, e.g. if this will be in staged payments or
only once the learnership is successfully concluded.
Each SETA will establish and publicise its criteria for approving the
learnership grants.
Skills Programmes
Any employer may claim a grant towards the costs of providing skills
programmes. It is for each SETA to determine arrangements for the
applications for grants and the amounts. Any application for a grant
must be submitted to the appropriate SETA, and approved by it, before
the skills programmes start.
It may be that a person completes a series of skills programmes that
result in a full learnership qualification. If the employer receives grants
for the skills programmes, the total of the grants that the employer
receives must be no greater than the grants he/she would have got had
the employee undertaken a learnership programme resulting in the
same final qualification.
Apprenticeships
There are, and will continue to be, apprenticeships, until the Minister of
Labour declares a date after which all apprenticeships will become
learnerships. It is still open to employers to seek to register
apprenticeships.
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Unless otherwise agreed, the appropriate SETA must honour any
commitments to pay grants to employers that were agreed by a former
Industry Training Board. It is for each SETA to determine and publish
the level and criteria for new apprenticeship grants. Any grant must be
agreed between the employer and the SETA before a new
apprenticeship begins.
Sector Priorities
A major function of the SETAs is the implementation of their sector skills
plans. In order to do this a SETA may make a grant to an employer, to a
training provider or to an individual. For example, a grant might be to
finance research or to develop the training infrastructure in a sector. The
grants will be determined by each SETA, which will also publish details
of how to apply.
4. Skills Development and the Employment
Equity Act
The Purpose of the Act
The pupose of the Act is to achieve equity in the workplace by-
Promoting equal opportunity and fair treatment in employment
through the elimination of unfair discrimination and
Implementing affirmative action measures to redress the
disadvantages in employment experienced by designated
groups, in order to ensure their equitable representation in all
occupational categories and levels in the workplace
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How does it relate to Education, Training and Development?
The Act requires employers to ensure that they
"..retain and develop people from designated groups and to
implement appropriate training measures, including measures in
terms of an Act of Parliament providing for skills development"
Furthermore the Act stipulates that
"A designated employer must prepare and implement an
employment equity plan which will achieve reasonable progress
towards employment equity in the employers workforce."
As part of correcting the imbalances in the demographical composition
of workforces, employers must now take cognisance of the fact that
many individuals forming part of the "designated group" categorie
(blacks, colourds, indians, females) do not posess the necessary skills
to be able to be integrated into the workforce immediately.
The employment equity plan will change not only the face of the
workforce in an enterprise, but will also highlight issues such as cultural
diversity, interpersonal relationships and other issues which will need to
be addressed to help people from different ethnic and social
backgrounds to work together effectively.
Training and development will be one of the specific and important
remedies to the situation.
It is also deemed to be unfair to discriminate against a person for
purposes of employment " solely on the grounds of that persons lack of
relevant experience."
Learnerships and skills programmes, amongst other interventions,
should therefore be utilised to address these issues.
Employment equity plans should therefore form an integral part of the
skills development plans and strategies of employers.
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5. Skills Development and the Labour Relations Act
Purpose of the Act
The purpose of this Act is to advance economic development, social
justice, labour peace and the democratisation of the workplace by
fulfilling the primary objects of this Act, which are
to give effect to and regulate the fundamental rights conferred
by section 27 of the Constitution
to give effect to obligations incurred by the Republic as a
member state of the International Labour Organisation.
To provide a framework within which employees and their
trade unions, employers and employers organisations can-
- collectively bargain to determine wages, terms and
conditions of employment and other matters of mutual
interest; and
- formulate industrial policy
To promote
- orderly collective bargaining
- collective barganing at sectoral bargaining
- employee participationin decision-making in the
workplace; and
- the effective resolution of labour disputes
Chapter 5 of this Act specifically makes provision for the establishment
of workplace forums. The Act also stipulates the specific matters for
consultation by such workplace forums. One of these stipulations refers
to education and training.
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The Skills Development Facilitator must therefore understand that
workplace forums need to play an active role in the development of
workplace skills plans and the approval and implemenation of such
plans. The workplace forum is thus a major stakeholder in the skills
development process.
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