Skills Development: a real world update

1. Skills Development: a real world update Gizelle Mc Intyre The Institute of People Development

2. Institute of People Development (IPD) The Institute of People Development (IPD) is committed to an ongoing process of achieving and maintaining its status as a "centre for learning excellence". • Primary Aim • To enhance the quality of workplace learning provision through the development of managers, supervisors and learning development practitioners. • The Institute strives to be a "change agent" by • Providing qualifications to managers, supervisors and learning & development practitioners • Offering recognition of prior learning (RPL) services to experienced learning & development practitioners • Conducting research projects designed to generate best practice products and processes through a continuous professional development (CPD) programme • Expanding the field of learning & development practices to the wider public through seminars, media releases, on-line resources and communities of practice workshops and consulting • Making available its learning facilities and resources in Midrand to its clients and stakeholders for the purposes of high quality learning provision

3. General and Further Education and Training Quality Assurance Amendment Act No. 50 of 2008 • • create a single integrated national framework for learning achievements; • • facilitate access to, and mobility and progression within, education and training career paths; • • enhance the quality of education and training; • • Accelerate the redress of past unfair discrimination in education, training and employment opportunities.

4. Introduction • An update on arena of Skills Development. • Overview of the skills development strategy • Skills-levy Institutions and implementation mechanisms • Professional vs Academic Qualifications • PIVOTAL programmes, workplace learning and RPL • What does the future hold?

5. Acronyms are king! • ABET – Adult Basic Education and Training • AQP – Assessment Quality Partner • AIDS – Acquired Immunodeficiency Syndrome • BBBEE – Broad-based Black Economic Empowerment • CHE – Council on Higher Education • COGTA – Department of Cooperative Governance and Traditional Affairs • DHET – Department of Higher Education and Training • DPSA – Department of Public Service and Administration • DQP – Development Quality Partner • DTI – Department of Trade and Industry • FABCOS – Foundation of African Business and Consumer Services • FET – Further Education and Training • GDP – Gross Domestic Product • HEI – Higher Education Institution • HESA – Higher Education South Africa • HIV – Human Immunodeficiency Virus • HRDSSA – Human Resource Development Strategy for South Africa • ICT – Information and Communication Technology • IPAP – Industrial Policy Action Plan • JIPSA – Joint Initiative on Priority Skills Acquisition • M&E – Monitoring and Evaluation • NAMB – National Artisan Moderating Body • NCV – National Certificate (Vocational) • NSA – National Skills Authority • NSDS – National Skills Development Strategy • NGO – Non-governmental Organisation • NQF – National Qualifications Framework • NSF – National Skills Fund • PIVOTAL – Professional, Vocational, Technical and Academic Learning • QCTO – Quality Council for Trades and Occupations • SEDA – Small Enterprise Development Agency • SETA – Sector Education and Training Authority • SLA – Service Level Agreement • SMME – Small, Medium and Micro-sized Enterprises • SSP – Sector Skills Plan

6. Legislative History Lesson • SAQA - 1995 • Constitution of the Republic of South Africa - 1996 • Education White Paper 3 - 1997 • Higher Education Act - 1997 • Skills Development Levies Act – 1999 • Skills Development Amendment Bill 2003 • FET Colleges Act – 2006 • Skills Development Act (Amended) 2008 • National Development Plan 2030 - 2013 • White Paper for Post-School E & T - 2013 • Guidelines on the Implementation of the SETA Grant Regulations - 2013 • Twenty Year Review – 2014 • New Landscape proposed – 2015 • New process to register in future as Private Skills Development Provider

7. The Current Situation In Education & Training • Skills Development has become a BBBEE scorecard conversation • The reality of the skills crisis is hitting us e.g. Eskom • Huge numbers of unemployed graduates • 7.2 million people illiterate • New forms of illiteracy developing • Professional Bodies • Uncertainty about Setas • Graduate Programmes in companies • Short Course changes

8. Proposed New Skills Development Landscape • With National Skills Development Strategy (NSDS) III finishing its five year life-span in 2016 (now extended to March 2018), it was expected that a fine-tuning of the key skills development institutions would take place to support the new NSDS. • The proposed new landscape is however a significant evolution in the institutional landscape and one which therefore requires significant consideration and discussion among stakeholders. • The Department of Higher Education & Training (DHET) published on 10 November 2015 a draft proposal for a new National Skills Development landscape which would take effect on 1 March 2018. • The proposal is a government gazette with a deadline of 20 January 2016 for public comments.

9. Proposed New Skills Development Landscape • The title of the DHET document is "Proposal for the New National Skills Development Strategy (NSDS) and Sector Education & Training Authorities (SETAs) Landscape (NSLP 2015)". What changes are proposed? • SETAswould be absorbed into the Department of Higher Education & Training but constituted as Specialised Delivery Units (Section 7B of the Public Service Act) • They would become permanent structures, rather than have 5 year renewable life-spans • They would remain 21 in number (no immediate mergers but clustered into five synergistic groupings) • SETA Boards would remain unchanged but have greater representation from government departments in line with a stronger public sector focus

10. Proposed New Skills Development Landscape Changes to Funding • 80% of the current SETA Discretionary Grant would be shifted to the National Skills Fund (equivalent to the entire current PIVOTAL Grant) • Employers would still be able to apply for the 20% Mandatory Grant (unchanged) and 10% of the remaining Discretionary Grant (renamed Sector Specific Grant) • SETA administration costs would remain at 10% of the Skills Development Levy, but likely reduced over time as a shared services unit realises bulk savings, and as other bodies take up previous SETA functions, such as Skills Planning • Public sector organisations would spend 1% of their personnel budget on quality assured education and training leading to NQF qualifications and fulfill the same reporting obligations as the private sector so as to qualify for funding from the National Skills Fund

11. Say your say! • Public comment is due by 20 January 2016. Please email your comments to the DHET at setalandscape@dhet.gov.za. • Enquiries can be directed to any of the following DHET officials: • Ms M. Erra on 012 312 5432 • Ms V. Patuleni on 012 312 5295 • Mr N. Radzilani on 012 312 6088 • The SA Board for People Practice is also coordinating a submission which you can give input to by emailing Naren Vassan (LQA Manager) with the subject of the email beginning "Comments to Proposed SETA Landscape".

12. Quality Councils

13. CHE UMALUSI QCTO

14. HET Framework (2013)

15. NQF & OFO Map - Source QCTO 2012

16. OQF Level descriptors: To determine level of tasks

17. NQF Level Career Ladder Example 8-10 Continued Professional Development Management Research And Development Specialist Occupations after first Degree General Management Graduate Development Programmes New Product Development Business Development Purchasing Logistics 6-8 Production Finance SHEQManager Manager First Line Manager Occupational Core plus Technician Core Skills plus Manager 5 Technician Supervisor Team Leader/ Artisan/ Supervisor Core Skill Professional Skill 4 Technical Specialist 3 Operator Skilled technical worker Foundational Learning Certificate Mathematical Literacy and Communication 2 Preparing unemployed for access Raising the Bar Induction New Entrant 1

18. Knowledge / theory Practical Work experience External, summative assessment (to be conducted by AQP) Occupational Qualification Registered SAQA QCTO Curriculum Model DQP/ INDUSTRY Occupational Purpose Curriculum components Assessment Specifications. Qualification document

19. Flow chart NQF 6 NQF 4 NQF 5 OFO: 242402 OFO: 242401 OFO: 242401

20. Level 10 Level 9 Level 8 Level 7 Level 6 Level 5 Level 4 Level 3 Level 2 Level 1 Qualifications Framework NQF Doctoral Degree OQF Masters Degree CHE-HEQC Master Postgraduate Diploma Professional Qualifications s Degree HEQF Bachelor Degree Advanced Diploma Eg, National Skills Certificates Eg, National Occupational Awards Diploma Advanced Certificate Advanced National Certificate (Vocational) Higher Certificate Advanced National Certificate (Vocational) 5 Incl. subject / unit certificates National Senior Certificate (Grade 12) Adult National Senior Certificate National Certificate (Vocational) 4 QCTO GFETQF Units of learning to be accumulated National Certificate (Vocational) 3 UMALUSI National Certificate (Vocational) 2 General Education & Training Certificate (Grade 9) Adult National Senior Certificate

21. Skills Development Process

22. Mandatory Grants • Mandatory Grants are a fixed percentage (50 % of levies paid to the Receiver of revenue) that can be claimed by an employer by submitting: • the Annual Training Report (ATR) for the previous year training completed combined with • a Workplace Skills Plan (WSP) for planning of training for the next scheme year. • If an application is approved, the employer will receive 50 % of the total levies paid to SARS by the employer for a scheme year.

23. Mandatory Grants WHO CAN CLAIM/APPLY FOR A MANDATORY GRANT All registered organizations, paying the Skills Development levies to SARS on a monthly basis. For more information on SDL exemption please contact your closest SARS office. WHEN TO CLAIM/APPLY FOR A MANDATORY GRANT An Annual Training Report & Workplace Skills Plan may only be submitted to your registered SETA, once per scheme year by the due date of 30 April each year. HOW TO CLAIM/APPLY FOR A MANDATORY GRANT You need to submit a combined ATR (Annual Training Report). Sample of proof of training completed in the form of copies of invoices, certificates and attendance registers need to accompany the ATR.

24. PIVOTAL Programmes • Government Gazette No. 35940 of 3 December 2012 on Sector Education and Training Authorities(SETAs) Grant Regulations regarding monies received by a SETA and related matters, published by the Minister of the Department of Higher Education and Training (DHET). • National Skills Development Strategy III (NSDS III) 2011 – 2016. The PIVOTAL grant is aimed at: • Improving the quality and quantity of labour market information received by the various SETAsin the form of workplace skills plans, annual training reports and PIVOTAL training reports to inform planning. • Promoting National Qualifications Framework (NQF) registered and quality assured PIVOTAL programmes that address priority scarce and critical skills identified in the various SETA Sector Skills Plan (SSP).

25. PIVOTAL Programmes PIVOTAL programmes definition • Professional, vocational, technical and academic learning programmes that result in qualifications or part qualifications registered on the National Qualifications Framework (NQF) that address critical and scarce skills needs.

26. PIVOTAL Programmes • Professional learning programmes shall mean programmes that lead to designations that are registered by professional bodies. • Vocational learning programmes shall mean programmes that lead to a trade and/or the National Certificate Vocational (NCV). • Technical learning programmes shall mean programmes that are occupationally-directed and registered by the SETA; such programmes include apprenticeships, Learnerships and skills programmes. • Academic learning programmes shall mean programmes that lead to academic qualifications such as certificates, Higher Certificates, Diplomas and Degrees.

27. Scarce and Critical Skills • “Scarce and critical skills refer to an absolute or relative demand, current or future, for skilled, qualified and experienced people to fill particular • roles/professions/occupations or specializations in the labour market.” • Scarce skill: • an absolute or relative demand for skilled people to fill a particular role, profession or occupation for example doctors • Absolute demand: • means that suitable skilled people are not available • Relative demand: • means that there are suitable skilled people available, but they do not meet other employment criteria • Critical skills: • refers to the demand for an element of practical or fundamental competence which allows for specialization – in essence it refers to “top-up” skills for example the doctor needs to understand invoicing/time management/communication skills

28. Workplace Integrated Learning Constructive workplace learning is directed at shifting the individual from being merely competent to becoming proficient or expert (Dreyfus and Dreyfus).

29. What is Workplace Learning? • Workplace learning is the highly individual foundation-stone of life-long learning. It results from engagement in practice. Both experienced practitioners and novices engage in workplace learning. They receive, process and incorporate information (sensory, factual and codified or abstract) related to: • The work environment, the stimuli and the conditions which affect work performance • Social intercourse, e.g. conversations, role modelling and guidance involving co-practitioners, seniors and juniors, customers and clients, and those who are incidentally part of the work process • An underlying, conscious or unconscious feeling or perception of gaps, lacks, difficulties and challenges (70:20:10 Learning Framework) • Incidental, accidental and serendipitous events, interactions and readings • Participation in meetings, programmes, interventions and actions related to problem-solving, change or improvement • Testing out new activities, procedures (in the sense of a medical intervention, not as a work instruction), processes and systems

30. What is Workplace Learning? • Work also needs to be understood as a range of real-time activities in social, community and organisational settings. • All of the above may include formal education and training processes. The notion that accidental or incidental learning is restricted to informal learning arises from a misperception about how people acquire their personal knowledge, skills and attitudes. Even in formal learning situations people may acquire accidental and incidental learning which lies outside the scope of the formal learning objectives.

31. What is Workplace Learning? • The best workplace learning happens when practitioners are engaged in work activities that: • Involve the injection of some formal, bite-sized chunks of "theory" • Are based on a collaborative, multi-functional team effort • Involve stretch activities related to improvement, change, or challenges • Workplace learning for novices is fundamentally different from that for competent, proficient or expert practitioners (Dreyfus and Dreyfus) • Workplace learning may be a positive force when viewed from an organisational perspective but it can equally be a negative force when the motivation of the learner is to compromise, undermine and sabotage the efforts of the organisational leaders. In workplace learning there is often a tension between the interests of the learner and the interests of the employer. This is most evident in organisations which are built on a command-and-control culture. In organisations where there is an encourage-and-engage culture the outcomes of workplace learning will be more in line with organisational aspirations and objectives.

32. Workplace Learning: 70-20-10 model

33. Workplace Readiness • Work readiness is the transitional process from education or unemployment to effective engagement in work processes • A “work ready” individual possesses the foundational skills needed in order to be able to engage in work processes. • After this they are then able to develop the specific skills to become job fit. • Work readiness is built into organisational process by providing the tools, methods, processes to attract, select and support the new entrant through this transition. • Work readiness includes an understanding of how organisations function

34. RPL SAQA Guidelines Each Quality Body will inform the policy for its realm, but aligned to SAQA policy

35. Skills Development Levy (SDL) SDLis a levy imposed to encourage learning and development in South Africa and is determined by an employer's salary bill. Who must pay SDL? • If the company has staff registered for PAYE and the annual payroll exceeds R500 000 per annum, the company must register with SARS and pay a skills levy of 1% of the monthly payroll. If the company does not fall within these criteria, it does not have to pay levies or register with SARS. • Where an employer expects that the total salaries will be more than R500 000 over the next 12 months, that employer becomes liable to pay SDL.

36. Skills Development Levy (SDL) How much do you need to pay? • 1% of the total amount paid in salaries to employees (including overtime payments, leave pay, bonuses, commissions and lump sum payments). How to determine which SETA your company belongs too? • Each SETA has a mandate to serve the Sector Industry Classification Codes (Sic Codes) under its control as determined by the Department of Higher Education from time to time. (See Government Gazette 33756 dated 11 November 2010) What happens to the SDL Levy? • The levies are distributed via SETA.

38. Career and alignment information www.saqa.org.za SAQA Act NQF Act Skills Development Act Feedback from SETA and Industry/ Associations WSP from your company CULMINATING INTO THE NATIONAL SKILLS PLAN Sector Skills Plans Skills Development Levies Act Creating employment opportunities for properly skilled people

39. Our Future Reflexive Practical Foundational

40. Thank you! “Man often becomes what he believes himself to be. If I keep on saying to myself that I cannot do a certain thing, it is possible that I may end by really becoming incapable of doing it. On the contrary, if I have the belief that I can do it, I shall surely acquire the capacity to do it even if I may not have it at the beginning.” ― Mahatma Gandhi

41. Contact Details Institute of People Development 011 315 2913 www.peopledev.co.za gizellem@peopledev.co.za