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FOODBEV SETA PROVINCIAL WORKSHOPS. NEW GRANT REGULATION. The SETA Grant Regulations (R990 of 3 December 2012) intend to improve the quantity and quality of information received by SETAs (WSP,ATR, PIVOTAL Planning and Training Reports),
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NEW GRANT REGULATION • The SETA Grant Regulations (R990 of 3 December 2012) intend to improve the quantity and quality of information received by SETAs (WSP,ATR, PIVOTAL Planning and Training Reports), • It also intend to promote PIVOTAL Programmes that address priority scarce and critical skills needs identified in Sector Skills Plans (SSP), • Furthermore, the regulations seek to create a framework within which expanded use is made of public education and training providers for the provision of skills development programmes.
NEW GRANT REGULATION (Cont) • Companies pay levies to SARS (1%) • 20% of 1% goes to National Skills Funds(NSF) • 80% goes to FoodBev SETA 10.5% - admin = 10 FBS + 0.5% QCTO20% - Mandatory Grants49.5% - Discretionary Grants (80% of the DG - PIVOTAL Grants & 20% - Other Projects)
SETA RESPONSIBILITY • A SETA must utilise all monies received in terms of the Skills Development Levies Act to- • administer the activities of the SETA; • pay employers their mandatory grants; and • implement its Strategic Plan and Annual Performance Plan as contemplated in the Treasury Regulations through the allocation of their discretionary grants. • Any unclaimed mandatory grants and any interest earned on funds must be transferred into the discretionary fund by 15 August of each financial year.
Legislative Context for PIVOTAL Programmes • The NSDS III and the New Grants Regulations introduced PIVOTAL programmes to: • Encourage and support the integration of workplace training with theoretical learning; • Facilitate the learner’s progression from the schooling system, unemployment to sustained employment and in-work progression
Submission Minimum Requirements: PIVOTAL • A SETA may allocate a maximum of 20% to funding of programmes, other than PIVOTAL programmes, to develop the sector in accordance with the priorities outlined in the SSP. • FoodBev SETA Accounting Authority will approve the criteria for grants before funds are allocated. • Pivotal Plan and Pivotal Training Report must be signed off by: • An employer representative • An employee representative (Organised labour)
PIVOTAL PROGRAMMES • FoodBev SETA has identified the following grants as PIVOTAL programmes: • Unit Standard Base Skills Programmes • Internships • Bursaries • Learnership • ABET level 4 • Artisan • A key focus for PIVOTAL Programmes must be to address scarce and critical skills through programmes that are designed to address such skills needs, and which include work integrated learning.(list of qualification/Learnerships registered by FoodBev SETA available on the website )
MANDATORY GRANTS CRITERIA • The Employer must pay levies to SARS and be registered with FoodBev SETA (SETA 9). • Submission of Mandatory Grant Applications changes from 30 June to 31 April with effect from 2014 • Mandatory Grant Application submitted in the format prescribe by DHET and amended by FoodBev SETA. • The submitted WSP/ATR will be contributing to SETA SSP • The WSP/ATR must include the recent OFO codes version 2013.
MANDATORY GRANTS CRITERIA (Cont) • At least 60% of planned training interventions implemented must be reflected in the ATR. • The Workplace Skills Plan, Annual Training Report, Pivotal Plan and Pivotal Training Report must be signed off by: • An employer representative • An employee representative (Organised labour)
MANDATORY GRANT APPLICATION • All sections of the application must be completed in full • Workplace Skills Plan – reflects the training planned for year April 2013-March 2014.Only make use of OFO version 2013 • Annual Training Report – reflects the training implemented in the previous financial year April 2012- March 2013. Only make use of OFO version 2012
BANKING DETAILS • Employers must attach at least one of the following to confirm banking details: • original cancelled cheque or • an original certified letter from the bank • The SETA will not accept the copies of the proof of banking details. • The banking details must be submitted on 30 June 2013.
PAYMENT • Employer/SDF needs to provide the SETA with up to date levy information(EMP201) on quarterly basis. • SETA will forward the remittance advice.
Learning Programmes:Qualifying Criteria • Employer must be registered with FoodBev SETA and be up-to-date with levy contributions. • Applicant must have qualified for mandatory grants if employing more than 50 employees. unless exempted from paying levies (proof of exemption must be submitted). • Applications for grant funding must be in support of scarce skills identified in the sector (Annexure D).
Learning Programmes:Qualifying Criteria • Applications must be submitted by the registered SDF of a company, authorized to act on behalf of the company. • The application for grants must be submitted on the prescribed application form. • The provider contracted to deliver the training must be accredited by the relevant SETA, Umalusi or CHE to deliver the applicable qualification. • Proof of provider accreditation must be submitted with application for grant funding.
Learning Programmes:Qualifying Criteria • Training provider quotation for programmes(s) being applied for (inclusive of VAT and amount quoted must be for all learners) • Applications MUST include a detailed implementation plan specifying dates for training each unit standard and dates for assessments. • Employers hosting learners on learning programmes must comply with at least two of the following equity targets: 85% black, 54% women, 4% disabled
Learning Programmes:Qualifying Criteria • Applications must be for learners recruited and contracted within a financial year as specified by the FoodBev SETA. • The employer must have demonstrated a successful track record in training delivery or Foodbev SETA funded projects, or be willing to undergo an evaluation of company “readiness” for implementation of learning programmes. • The employer must agree to an audit by FoodBev SETA, DHET and Auditor General.
BENEFITS TO COMPANIES • SECTION 13 (UNEMPLOYED )SECTION 28 (EMPLOYED) • R123 600 grant (3 years) R82 400 grant (2 years) R10 300 per tranche quarterly R10 300 per tranche quarterly R41 200 annually R41 200 • Two weeks Practical Preparation Time for Trade Test • Trade Test • Quarterly Monitoring • Administrative Assistance • Assistance with Induction of Learners (where needed)
ROLE OF HOSTING COMPANY • Decide on the number of Apprentices to be hosted in the organization. • Recruit and select learners. • Appoint an internal Coach and Mentor for each of the apprenticeship programmes to be followed. • Conduct an Induction Programme for the apprentices. • Provide learners with the relevant and necessary Practical Exposure, Coaching and Mentoring in preparation for the final Trade Test. • Pay learners a Monthly Allowance according to the minimum wage as per company policy.
Grant Approval (Apprenticeship) Where Grant Funding has been awarded, applicants must sign an APPRENTICESHIP GRANT AGREEMENT FORM, which constitutes a contract with FoodBev SETA, binding the company to the terms and conditions contained in the Apprenticeship Grant Policy. This includes compliance to: • Time-frames for implementations and completion. • Notification to FoodBev SETA of Termination of Apprenticeships. • Responsibility for structured work-place exposure in preparation for the relevant Trade Test. • Responsibility for provision of Learner Tracking Information on completion of the apprenticeship.
Payment of Grants • Grants will be paid on receipt of the signed Apprenticeship Agreements. • Payments will be in 12 equal amounts of R10 300 on a three-monthly basis. The first payment will be on receipt of the signed Apprenticeship Grant Agreement Form, the original Contract of Apprenticeship , Copy of the ID of the apprentice, Highest Qualifications (at least N2) and a Copy of the Employment Contract of the apprentice. • Subsequent payments will be made three monthly, or after approved Progress Reports, as reported by the relevant FoodBev person visiting the company.
CHALLENGES • Sourcing learners; due to FoodBev financial year that starts in April, most learners are available in January, • Learner retention during implementation of the programme, • Incomplete documentation and late submissions all required documents, • Resignation of SDF’s which leads to the delay of submission of required documents .
FOODBEV SETA INTERVENTIONS • Companies can now source learners from the FoodBev’s database • Suggestion: companies to sign an employment contract that binds students to 1 year programme • Annual FoodBev SETA Roadshows, ( advice where applicable – evaluation questionnaires)
WAY FORWARD • Applications for DG are available on the FoodBev SETA website, • Discretionary grants will be awarded at the discretion of the SETA in its attempt to achieve impact on sector priorities and meeting its annual performance plan obligations • Due date for DG application for financial year 2014/2015 will be February 2014
SETA CONTACT • Ms Mary-Ann Mosoeunyane Ms Nozibongo Sosiche (011) 253 7306 (011) 253 7316 079 896 2882; • Ms Nontando Bunge Mr Gcobani Gqangeni (011) 253 7322 (011) 253 7338 • Ms Nomusa Maphanga (011) 253 7339 • Ms Andrea Basson (011) 253 7313