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Skills Development Strategy, Presentation by Adrienne Bird, Chief Director: Employment and Skills

Skills Development Strategy, Presentation by Adrienne Bird, Chief Director: Employment and Skills Development Services, Department of Labour, 26 October 1999. SKILLS DEVELOPMENT ACT - PURPOSE. To improve the quality of life of workers, their prospects of work and labour mobility

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Skills Development Strategy, Presentation by Adrienne Bird, Chief Director: Employment and Skills

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  1. Skills Development Strategy, Presentation by Adrienne Bird, Chief Director: Employment and Skills Development Services, Department of Labour, 26 October 1999.

  2. SKILLS DEVELOPMENT ACT - PURPOSE • To improve the quality of life of workers, their • prospects of work and labour mobility • To improve productivity in the workplace and the • competitiveness of employers • To promote self-employment • To improve the delivery of social services • To increase the levels of investment in education and • training in the labour market and to improve the return • on that investment

  3. SKILLS DEVELOPMENT ACT - INSTITUTIONS • Minister of Labour • Director General: Labour – Accounting Officer • National Skills Authority (NSA) • Sector Education and Training Authorities (SETAs) • Department of Labour: Programme: Employment and Skills • Development Services (Directorate: Skills Development • Unit, Funding, National Skills Authority Secretariat, • Employment Services and Indlela/COTT)

  4. FUNCTIONS OF THE NATIONAL SKILLS AUTHORITY • ADVISE MINISTER ON: • National SD policy and strategy • Implementation of strategy • Allocation of subsidies from NSF • LIAISON WITH SETAS • REPORT TO MINISTER ON IMPLEMENTATION OF STRATEGY • CONDUCT INVESTIGATIONS

  5. COMPOSITION OF THE NATIONAL SKILLS AUTHORITY • Chairperson • Executive Officer • Organised business (BSA and Nafcoc) • Organised labour (Cosatu, Nactu and Fedusa) • Government departments (Labour, Education, DPSA, DTI, DACST) • Community (Youth, Women, People with disabilities, Rural, Civic) • Representatives from education and training providers (higher, further, ABET and private)

  6. NATIONAL SKILLS AUTHORITY • NSA established on 12 April 1999 • Chairperson not yet appointed, two acting co-chairpersons from Labour and Business • Mr. Sam Morotoba = Executive Officer, National Skills Authority • 2 NSA meetings, 1 special NSA and 3 EXCO meetings were held this year

  7. NSA POLICY ADVICE TO MINISTER TO DATE • Critical path for the implementation of the Skills Development Act • Demarcation of Sector Education and Training Authorities – Publication of Government Gazette on 7 September 1999 – Gazette Number: 20442 • Grant disbursement to employers by a SETA or chamber – Regulation Number R.1231 Gazette Number 20552 dated 15 October 1999 • Published for public comment, comment to be received on 15 November 1999, NSA to consider on 18 November 1999

  8. CRIRICAL PATH APPROVED BY NSA 30 September 1999 Letters of intent from SETAs 12 November 1999 Submission of constitutions and business plans from SETAs 4 January 2000 Registration of SETAs 31 March 2000 Dissolution of Industry Training Boards 1 April 2000 New SETAs to be operational 1 April 2000 Date for first calculation of levy 31 July 2000 First Sector Skills Plans November 2000 First National Skills Development Strategy Conference

  9. SETA DEMARCATION • Accounting and other Financial services • Banking • Chemical and Allied Industries • Clothing, Textiles, Leather and Footwear • Construction • Defence • Education, Training and Development Practices • Energy • Food • Forestry, Furniture, Pulp & Paper Board, and Wood Products • Health and Welfare • Information Systems (IT), Electronics and Telecommunication Technologies • Insurance

  10. SETA DEMARCATION (continue) • Local Government, Water and Related Services • Media, Publishing, Printing and Packaging • Mining and Minerals • Mining Engineering, Plastics,Motor Retail, Auto Manufactures and New Tyre and Rubber • Personal Care • Police, Justice, Security and Correctional Services • Primary Agriculture • Public Sector • Secondary Agriculture • Services • Sports, Arts, Culture and Entertainment • Tourism and Hospitality • Transport • Wholesale and Retail

  11. FUNCTIONS OF SETAs • Develop and implement / facilitate implementation of: • Sector Skills Plans and Workplace Skills Plans (by means of • Skills Development grants) • Learnerships • Education and Training Quality Assurance function • Liaison with Employment Services, the NSA and provinces • Promotion and marketing

  12. COMPOSITION OF SETAs • Organised employers (including sme’s) • Organised labour • Relevant government departments • Relevant professional bodies (optional) • Representatives from bargaining councils (optional)

  13. SKILLS DEVELOPMENT LEVY – GRANT SYSTEM Distribution of levies paid to Commissioner ( 6 week cycle) (Section 8) • SARS • Transfers levies to NRF • Transfers information to DG: • employer names in each SETA • levies collected from each employer National Revenue Fund Levies are earmarked DoL budget item Paymaster General transfers levies to SETAs & NSF based on information from SARS & after approval by DG • Department of Labour • DG responsible for calculating levy • allocations & authorising transfer by • Paymaster General: • 20% plus revenue where no SETA, for • NSF • 80% for each SETA Employer NSF Up to 2% of levies paid to SARS to cover collection costs SETA 80% 20%

  14. USE OF 0,5% LEVY – 1 APRIL 2000 – 31 MARCH 2001 (PROPOSED) 20% to be deducted and paid to National Skills Fund At least 50% to be returned to employers and grants At most 10% for SETA development (eg. Design of learnerships) At most 20% of SETA administration (to drop to 10% in year 2)

  15. GRANTS FROM SETAs TO EMPLOYERS IN YEAR ONE (PROPOSED) Assuming 50% to employers: Grant A: 15% - Employers submit the name of a Skills Development Facilitator Grant B: 10% - Employers submit a Workplace Skills Plan Grant C: 20% - Employers submit a report of implementation of plan Grant D: 5% - Employers address priorities identified by sector

  16. MINISTER National Skills Authority DG National Skills Fund Social Plan Incentive-3 Unemployed Target Groups Incentive-1 Employment generation Incentive-4 Learnerships Incentive-5 DoL PROVINCIAL OFFICE SETA PROVIDERS LEARNERS NATIONAL SKILLS FUND (PROPOSED) SME’s Incentive-2 COMPANIES/PROVIDERS/LEARNERS

  17. PILOT PROJECTS TO BE SUPPORTED BY THE NSF Learnerships Hospitality (Business Trust) Agriculture (Eastern Cape, KZN and Northern Province) Arts and crafts (DACST) Etc. Skills Programmes Housing (Public Works) SME’s (Phase 2 Danida) Spatial Development Initiatives Lebombo, Wild Coast, Coega Industry policy Clothing and Textile (DTI) Social Plan Mooi River (KZN Economic Council)

  18. EUROPEAN UNION IMPLEMENTATION SUPPORT Labour Market Skills Development Programme 46million Euro’s = R280 million Six projects: Project 1 – Capacity of Programme: ESDS Project 2 – Strategic planning and information systems Project 3 – Learnerships and skills programmes Project 4 – In-service training (for those employed) Project 5 – SETAs and NSA Project 6 – Funding – levy/grant and NSF

  19. CAPACITY BUILDING Elective Information Processing Communication Strategic thinking Generic Operations management Project management Democratic processes Quality process Higher degree Level 7/8 B. Degree in Org. Leadership National Diploma in Organisation Management Level 5 National Certificate in Organisation Administration Level 5 National Certificate in Workplace Skills Level 4

  20. DEPARMENT OF LABOUR CHIEF DIRECTORATE: • EMPLOYMENT AND SKILLS DEVELOPMENT SERVICES • The Department of Labour: Employment and Skills Development • Services wishes to develop an education and training system that will: • develop the capacity of its staff and social partners to implement • the Skills Development Strategy • result in credits and qualifications for a proposed new workplace- • based set of qualifications • provide learning and learner support on national basis • You are invited to tender as a individual service provider or as a co- • ordinating body for one of the following areas of learning • Generic Management • Information processing and knowledge management • Communication and advocacy • Systemic and strategic thinking particularly in labour market issues, • and vocational education and training • Project management • Management of Partnerships • Quality processes • Electives (role specific requirements) • Post-graduate research • Further information and the tender documents are available from: • Jeanne.olivier@labour.gov.za • A briefing session will be held on 8 November 1999

  21. BI-LATERAL SUPPORT FROM OTHER DONORS German Government (GTZ) Irish Aid The Netherlands Sweden / Norway / Switzerland Australian government / AusAid Korean government American government / USAid UK government

  22. The National Skills Strategy Executive Committee 8 Project Steering Committee Provincial Pilot for integration of services The Minister of Labour The National Skills Authority The National Skills Strategy Steering Committee The PMU 2 3 4 5 6 7 9 1 10 11 Project Steering Committee Project Steering Committee Project Steering Committee Project Steering Committee Project Steering Committee Project Steering Committee Project Steering Committee Project Steering Committee Project Steering Committee Project Steering Committee Public/ Private Partnerships established In-service training Institu-tional capacity SDS Capacity Building Capacity of DoL Strategic Info System Learner -ships Funding systems ETQAs Designated Groups LABOUR MARKET SKILLS DEVELOPMENT PROGRAMME FUNDED BY THE EU

  23. PROVISIONAL OVI’s (continue) • Project 1: • At least 70% of plus minus 544 staff members have improved their levels of competence / qualifications by at least 1 level by end of year 3 • At least 60% have improved staff performance appraisals

  24. PROVISIONAL OVI’s (continue) • PROJECT 2: • Data standards committee established and first session held by 31 October 1999 • Draft data dictionary developed by 15 December 1999 • Identification of data sets relevant for provincial, sector and national skills development planning by 15 February 2000 • Sources of data elements defined and data provision agreements negotiated and signed by 31 March 2000 • Hardware and soft ware needs defined by 31 May 2000 and tender document prepared • Design, test and implement software used for SDIS by 31 December 2000 • SDI System role out started by June 2001

  25. PROVISIONAL OVI’s • PROJECT 3: • Provincial workshops held • Decentralised tasks identified and agreed upon by DoL provincial offices • Job descriptions designed • Staff appointment / redeployed • Training Materials developed • Staff development support system established

  26. PROVISIONAL OVI’s (continue) • PROJECT 6: • Financial management reporting formats developed by March 2000 • NSF incentive implementation plan by October 2000 • Window funding incentives manual by October 2000 • NSF financial recommendations on budgeting process for window incentives by October 2000 • Computer specification for NSF disbursement by March 2000 • NSF skills programme marketing document by February 2000 • 90% of incentive windows utilised by the end of the year

  27. MARKETING STRATEGY Marketing strategy is being designed – to be designed by the end of 1999 and implemented from 2000.

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