Welcome to the 2017 /2018 SASSETA Roadshows GAUTENG SASSETA - your partner in skills development

Purpose of the Roadshows To provide with SASSETA overview To demonstrate the WSP template for on-line submission To share the conditions of Mandatory Grants To explain the importance of the OFO To highlight the importance of the SSP SASSETA - your partner in skills development

Overview On 12 February 2015, SASSETA was placed under Administration (Government Gazette No 38466 12 February 2015). The Minister of Higher Education and Training and the Director General took this decision based on the performance of SASSETA, the irregularities identified, and the non compliance with the Skills Development Act, 1998 (Act 97, 1998) and other relevant legislation. The Board and Board Committee were suspended The operations of the SETA were taken over by the Administrator On 12 February 2016, the Department of Higher Education and Training extended the SASSETA Administrative period for another year to 13 February 2017 to allow the Administrative team to implement the processes started in 2014/15 and to introduce the new initiatives to put SASSETA on a firm footing. SASSETA - your partner in skills development

Overview SASSETA - your partner in skills development Challenges in 2014 / 2015 Solutions 2015/2016 Gaps in planning processes causing misalignment of the Strategic Business Plan and APP Revision of all planning processes (SSP, SP and APP including operational plans for all sub-programmes linked to the APP) Overspending and irregular contracts resulting in an over-commitment of R292m and over spending on administration Cancellation of irregular contracts and stringent financial controls and cost containment measures introduced High levels of financial mismanagement and non-compliance resulting in irregular expenditure of R278.3m and fruitless and wasteful expenditure of R25.6m 39 Forensic audits conducted More that R200 million worth of contracts cancelled All supply chain contract reviewed and re advertised/tendered Non-compliance with legislative requirements including the PFMA, SDA and SLA. Supply chain and DG revised policy and SOPs developed Sanctions against senior managers Three Criminal cases opened SASSETA - your partner in skills development

Overview SASSETA - your partner in skills development Challenges in 2014 / 2015 Solutions 2015/2016 Solutions in 2015/2016 Backlogs in certification of learners. Certification backlogs cleared. Turn around time reduced to 30 days. Serious irregularities in the awarding and management of Discretionary Grants. Overhaul of the entire DG process and implementation of strict procedures for the implementation of projects. Dissatisfaction from learners affected by SASSETA’s mismanagement. More than 2000 learners that have been jeopardised by the irregular contracts were accommodated through new processes. The remaining 63 will be accommodated in 2017/18. Dysfunctionality of ICT systems. Development of ICT policies and procedures. Overhaul of ICT systems. SASSETA - your partner in skills development

Sector Skills Plan (SSP) SASSETA - your partner in skills development

Sector Skills Plan (SSP) SSP is a strategic document that provides economic context and analysis of the labour market for the various sub-sectors within the safety and security sector. It establishes occupation-specific skills priorities for the sector.  It directs and monitors the skills development provision in the sector. It informs education and training institutions about skills demand for the sector (or in the labour market). SASSETA - your partner in skills development

Sector Skills Plan Structure Structure of the SSP Chapter Four: Sector Partnerships Chapter One: Sector Profile Chapter Two: Key Skills Issues Chapter Three: Skills Mismatches Chapter Five: Skills Priority Actions SASSETA - your partner in skills development

Scarce and Critical definitions Scarce skills: refers to occupations in which there is scarce, qualified and experienced people, currently or anticipated in the future, either (a) because such skilled people are not available, or (b) because they are available, but do not meet employment criteria.’ Absolute scarce skills: there are few suitable people or are not available people with requisite skills, education and training or because of new and/or emerging occupation. Relative scarce skills: skilled people are available but can't be considered because of: equity considerations, geographic location, education & training pipeline delays SASSETA - your partner in skills development

Scarce and Critical definitions. Critical skills: refers to specific key or generic “top-up” skills within an occupation such as numerical skills, solving problems and communication skills. Generic critical skills Critical skills within the occupations SASSETA - your partner in skills development

Challenges Challenges on the WSP Data. • Culture of data management overtime. • Insufficient stakeholders participation. • Absence of proper and common understanding of scarce and critical skills definition. • Time constraints SASSETA - your partner in skills development

MANDATORY GRANTS SASSETA - your partner in skills development

Content Purpose of Mandatory Grant Qualifying Criteria Mandatory Grants Payments Grants Payment dates Mandatory Grants Process Update on SASSETA Mandatory Grants WSP support SASSETA - your partner in skills development

What is a Mandatory Grant? It is a grant designated to fund the education and training programmes as contained in the Workplace Skills Plan (WSP) and Annual Training Report (ATR). Purpose of the grant: Intended as an incentive to employers to plan and implement training for their employees. Promote NQF registered qualifications to address scarce and critical skills needs. Improve the quantity and quality of labour market information received by SETA’s. SASSETA - your partner in skills development

Mandatory Grants Qualifying Criteria SASSETA will pay mandatory grants to an employer who has met the following criteria: Has registered with the Commissioner of SARS Has contributed levies directly to Commissioner within the specified time frame Is up to date with levy payments at the time of approval. Has submitted WSP/ATR contributing to the SASSETA SSP Proof or evidence of consultation with organized labor is provided and signed off SASSETA - your partner in skills development

Mandatory Grants Qualifying Criteria SASSETA will pay mandatory grants to an employer who has met the following criteria: Original stamped bank letter, cancelled cheque or prescribed template signed and stamped by the bank Where the employer is newly registered, their first time submission is due within 6 months after registering the company with SARS and CIPRO The employer should have submitted by the due date i.e. 30 April 2017 Companies should ensure that they are contributing levies to the correct SETA SASSETA - your partner in skills development

Mandatory Grant Payments Employers will only be paid if their respective applications have been approved by SASSETA The employer will be paid 20% of the total levy paid to SARS as Mandatory Grants. At least 80% of Levies will be allocated to Discretionary Grants for PIVOTAL programmes. The mandatory grant will be paid quarterly to the employer. Failure by the employer to claim the mandatory grants will result in their levies being transferred toward Discretionary Grant funding by 15 August of each year. SASSETA - your partner in skills development

Grant Payment Dates Quarter Payment date Quarter 1 30 June 2017 30 September 2017 Quarter 3 30 December 2017 Quarter 4 30 March 2018 SASSETA - your partner in skills development

Mandatory Grants Process Advert Submission of WSP and ATR AOR Evaluation Pre-approval or Query Final Approval Payment Payment Confirmation SASSETA - your partner in skills development

Update on Mandatory Grants SASSETA received a total of 849 (from LPEs and NLPEs) WSP and ATR submissions for the 2016/2017 financial year SASSETA has a total of 2766 levy paying entities with only 674 levy paying submissions. This leaves us with a submission rate of only 24.37% Small number of rejections due to unresolved queries and inaccurate data The WSP and ATR online template has been simplified and the number of forms required for completion has been reduced SASSETA - your partner in skills development

WSP and ATR Support The SASSETA Call Centre 011 087 5555 Should you require any assistance in terms of submitting your WSP and ATR please contact: The SASSETA Call Centre 011 087 5555 Email: callcentre@sasseta.org.za Mandatory Grants Team at the SASSETA offices SASSETA - your partner in skills development

Your participation is greatly appreciated! THANK YOU Your participation is greatly appreciated! SASSETA - your partner in skills development