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Event: Presentation to the Parliamentary Portfolio Committee on Labour

ETDP SETA PRESENTATION ON THE 2008/9 ANNUAL PERFORMANCE REPORT AND ITS PARTICIPATION IN THE TRAINING LAY OFF SCHEME. Event: Presentation to the Parliamentary Portfolio Committee on Labour Date: 11 September 2009 Venue: Committee Room E249, Second Floor

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Event: Presentation to the Parliamentary Portfolio Committee on Labour

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  1. ETDP SETA PRESENTATION ON THE 2008/9 ANNUAL PERFORMANCE REPORT AND ITS PARTICIPATION IN THE TRAINING LAY OFF SCHEME Event: Presentation to the Parliamentary Portfolio Committee on Labour Date: 11 September 2009 Venue: Committee Room E249, Second Floor National Assembly, Cape Town

  2. Scope of coverageSection A: 1. Performance against the NSDS II Objectives (2008/9)2. Summary of ETDP SETA achievements for the last four years3. Equity targetsSection B: 4. Background5. ETDP SETA interventions6. Current scenario7. Short term measures8. Medium and long term measures9. Process for applying for TLS

  3. 1. Performance against NSDS objectives

  4. … Continued Table 2

  5. Table 2. … Continued

  6. 2. Summary of ETDP SETA achievements for the last four years in %

  7. ETDP SETA’s performance in the last four years using the DoL performance rating scale * denote that the score is provisional as it is still due for signing off by DoL

  8. 3. Equity Targets Skills development equity targets are determined as follows: • - 85% of total number of learners trained must be • black • - 54% must be women • - 4% must be people living with disabilities In 2008/9 the ETDP SETA facilitated the implementation of training to 9466 learners in learning programmes, including ABET levels 1 – 4, bursaries, internships, skills programmes and workplace experience

  9. Equity profile breakdown • Entry to all learning programmes 8604 (90.8%) of learners trained were black, 862 (9.2%) were white, 6052 (63.9%) were female, 171 (1.8%) were people with disabilities and 5122 (54.1%) were youth • Programme completions • A total of 4399 learners (both employed and unemployed) completed various programmes, 4116 (93.5%) were black, 283 (6.5%) were white, 2671 (60.7%) were female, 61 (1.3%) were people with disabilities and 1735 (39.4%) were youth

  10. SECTOR PROFILE • All Departments of Education • Higher Education Institutions • Libraries and Archives • Further Education and Training Institutions • ECD & ABET Centres • Private Providers in Education • Independent Schools • School Governing Bodies • Political Parties • Trade Unions • NGOs and CBOs 16

  11. SECTION B ETD SECTOR PLANS TO SUPPORT TRAINING LAY OFF SCHEME

  12. 4. Background • - ETD sector has not fully felt the impact of the recession as yet • ETDP SETA’s involvement in the 1st phase of the TLS implementation will prepare it for the knock-on effect of the economic down turn in its sector • The SETA plan will address the short, medium and long term interventions 18

  13. Background ...cont • Job losses in other sectors would also have a knock-on effect in the ETD sector since these employees are parents of children in schools (both private and public), FET colleges and HET institutions • There are already signs that ECD centres (mainly levy exempted and private ETD providers) are beginning to feel the impact

  14. 5. ETDP SETA interventions • Short Term Measures • In 2008/9 the SETA collected R166 802m in revenue (therefore, job losses in the sector will mean less revenue for the ETDP SETA) • The August 2009 Board approved the support of the TLS and mandated the Executive Committee to develop an implementation plan • Given the urgency of the matter an immediate available R30m is to be made available towards the implementation of TLS .

  15. ETDP SETA interventions • Short Term Measures ... cont • It is envisaged that the money will be used for training on generic workplace skills in the form of skills programmes in areas identified by employers 21

  16. 6. Current scenario • If employment is said to have contracted by 267 000 in the 2nd quarter of 2009 to 13.37m (Fin24.com, 8/9/2009), the ETDP SETA can predict potential job losses of about 16 000 employees which is approximately 6% of 267 000 • The provider training fees for 16 000 employees on skills programmes will cost about R96m, ( @ R6000 per person per programme), excluding the training allowances • - Based on an assumption that the training allowance is pegged at 50% of the employee’s basic salary or wage to a maximum of R7 500 per month for three months which gives R 22 500.Therefore, the ETDP SETA will in total need to secure about R360m from the NSF for training allowances

  17. 7. Short term measures • Based on the available R30m, the ETDP SETA will participate in the scheme by providing training to about 5000 employees on skills programmes (responsible for funding provider training costs at an estimated cost of R6000 per person per programme and apply for • R112 500 000 from the NSF for salaries for three months.

  18. 8. Medium and long term measures • Currently preparing to conduct consultative sessions with its stakeholders, so that a comprehensive plan that responds to this challenge could be developed • The plan which will be informed by research and taking into account the prescripts of NSDS III will seek to outline among others the following: • Provisioning of advice to training options across sectors • Development of relevant programmes and qualifications • Channelling of funds towards the development and appointment of assessors and moderators • Specifying the role(s) that each social partner in the sector should play, namely: DoE, private employers, labour, PSCBC, CCMA and the NSF

  19. 9. Future: EMPLOYABILITY - A single framework that holds the key to how our country can build a work force that is competent, flexible, productive, able to move vertically and horizontally in the same or different industries/companies. - Workplace learning- work integrated learning , a high skilled approach to economic development

  20. 10. Process for applying for TLS • The ETDP SETA will entertain any form of source request for the facilitation and funding of training that comes through any of the following modes: • Agreements that emanate from a CCMA process in terms of Section 189 and Section 189A • Agreements that emanate from parties in the labour market not involved in a CCMA process, and • Through requests for training layoff that come from parties in the labour market not involved in a CCMA process 26

  21. Thank you!Contact Details:ETDP SETATel: (011) 628 5000Fax: (011) 482 6419E-mail: nombulelon@etdpseta.org.zawww.etdpseta.org.zaToll Free: 0800 3837 73

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