I am joined today by Mr Edward Majadibodu, the new Chairperson of the National Skills Authority (NSA). The NSA is a body representing five NSA constituencies: labour, business, government, community and training providers. I value the role of the NSA and thank them for joining us.
In November last year, my department assumed responsibility for skills development from the Department of Labour. At the time, we acknowledged that there were negative perceptions about the performance, management and governance of the Sector Education and Training Authorities; that there was inadequate alignment of industry needs and provision of training and skills development and particularly relating to the supply of artisans and technicians and that when the industrial policy action plan was finalised we would align skills development efforts to support its implementation.
In November, I also announced the extension of the national skills development strategy (NSDS) II and current SETA licence by one year from March 2010 to March 2011 in order to allow us time assess the SETA landscape and design the architecture of the NSDS III in line with the new administration's strategic objectives. In my budget speech last month, I noted that 19 of the 23 SETAs received a clean bill of health from the Auditor-General and that we will take decisive action to deal with the non-performers.
Today we announce three major developments:
* The public release of the proposed new SETA landscape
* The release of the draft framework for the national skills development strategy 2011/12 to 2015/16
* Steps to deal with non-performing SETAs
Restructuring of the SETA landscape
After an extensive process of review and consultation, my department has submitted to me a proposed new SETA landscape which I am now releasing for public comment and which will be gazetted. The NSA will hold public hearings before finalising their recommendations to me. The new SETA landscape will be adopted by the third quarter of this year after consultation with the NSA.
The criteria guiding the proposed new landscape are to ensure coverage of all economic sectors, financial and operational viability and alignment with current government priorities.
The proposed new SETA landscape in summary features:
* The recertification of 15 SETAs with minor changes
* The "amalgamation" of several SETAs to secure greater efficiencies which will result in the establishment of six "new" SETAs
* Reduction from 23 to 21 (the sectors served by Forest Industries Sector Education and Training Authority (FIETA), Clothing, Textile, Footwear and Leather (CTFL), and Media, Advertising, Publishing, Printing and Packaging (MAPPP) SETAs are now located elsewhere)
The annexure has the full list of SETAs and proposed changes.
The national skills development strategy 2011/12 to 2014/15
The framework of the NSDSIII 2011/12 to 2015/16 is intended to guide the development of the sectoral skills plans (SSP) for adoption by September 2010. This framework should be read as a companion to the Human Resource Development South Africa (HRDSA) Draft strategy for discussion 2010 to 2030. SSPs are five years skills development reports prepared by SETAs aimed at identifying:
* The skills needs of industry or economic sectors (skills shortages, skills gaps and skills supply)
* Possibilities and constraints in the effective utilisation and development of skills in relation to government's priorities and the objectives of the HRDS, the NSDS, provincial growth and development strategies (including major projects) and relevant industry or economic strategies.
The NSDS is the overarching strategic instrument for skills development and guides sector planning. These processes will culminate in the launch of the revised strategy at the National Skills Conference in October 2010 which will be followed by the implementation of the next five years national skills development strategy. The NSDS is released for Consultation today. I intend to finalise the NSDS framework by the middle of June and invite comment on this framework.
Non-performing SETAs
I am reviewing the governance mechanisms for SETAs and intend to take legislative steps to improve their functioning. We are also looking into patterns of mismanagement and non-performance in the SETAs and will release details within the next two weeks about action to be taken.
The Skills Development Act permits the minister, after consultation with the National Skills Authority and the SETA in question, to direct the Director-General to appoint an administrator to take over the administration of a SETA or to perform the functions of a SETA if, inter alia, the SETA fails to perform its functions. This is one of the options open to me to deal with non-performers.
We invite response to the NDSS III and the proposed new SETA landscape. The NSA will conduct public hearings from 14 to 18 June 2010 in Pretoria. Any organised constituency and members of the public willing to make submissions are invited to register and confirm their intention with the executive manager of NSA secretariat on or before 12h00 on 31 May 2010.
All applicants will be contacted by no later than 16h00 on 9 June 2010 to confirm the venue, date and time for submissions. Written submissions can also be sent to the NSA. The contact details of the NSA Secretariat are as follows:
T Mashongoane
E-mail: Mashongoane.T@dhet.gov.za
Tel: 012 312 5420 or 5066
Fax: 012 321 4032
SETA name and changes
* Agriculture, Food Beverage and Forestry SETA
Amalgamation of Agriculture SETA, Food and Beverage SETA and Forestry sub-sector of the Forest Industries SETA
* Bank SETA
No SETA change
* Local Government (LGSETA)
Transfer Water Distribution sector to Energy SETA
* Construction SETA (CETA)
Incorporate Electrical Contractors sub-sector form (ESETA)
* Culture, Sport, Tourism and Hospitality SETA
Amalgamate Arts and Crafts sub-sector from MAPPPSETA and strengthen Sport sub-sector focus within tourism
* Education Training and Skills Development SETA (ETSD-SETA)
Transfer non-governmental organisations (NGOs) trade unions and political parties out of the Education, Training and Development Practices SETA.
Increase participation by the three quality councils
* Finance, Accounting, Management Consulting and other Financial Services (FASSETSETA)
No SETA change
* Energy (ESETA)
Transfer Electrical Contractors subsector to CETA
Incorporate water distribution from LGSETA
* Manufacturing Engineering and Related Services (MERSETA)
Transfer Motor and Petrol retail sub-sectors out of MERSETA transferred to Wholesale and Retail SETA
* Health SETA
Separate Health and Welfare sub sectors SETA, and transfer Welfare sub sector to a new SETA: Social Security and Development SETA
* Chemical Industries Education and Training Authority (CHIETA)
No SETA change
* Mining Qualifications Authority (MQA)
No SETA change
* Wholesale and Retail (W and R SETA)
Transfer Motor and Petrol Retail sub-sectors from the MERSETA to WRSETA
* Insurance SETA (INSETA)
No SETA change
* Information and Communication Technology (ICTSETA)
Transfer Broadcasting from MAPPPSETA to ICTSETA
* Transport SETA (TETA)
No SETA change
* Manufacturing SETA
Requires new SETA establishment
Amalgamate Clothing Textile, Footwear and Leather SETA, FIETA subsectors Furniture, Timber Products and MAPPP subsectors Printing, Packaging and Publishing
* Safety and Security (SASSETA)
Transfer from LGSETA traffic law enforcement and metro policing to SASSETA
* Services SETA
Transfer of Advertising and Media sub-sectors from MAPPPSETA
* Social Security and Development SETA
Requires new SETA establishment
Separate Health and Welfare SETA and amalgamate sub-sectors from ETDP (NGOs, labour unions, community development) into a new Social Security and Development SETA
* Public Service (PSETA)
No SETA change
Contact:
Ranjeni Munusamy
Tel: 012 312 5555 or 021 465 5513
E-mail: munusamy.r@dhet.gov.za
Issued by: Department of Higher Education and Training
29 April 2010
