Fasset Stakeholder Engagement 2018

SETTING THE SCENE SECTION NAME

Background Role of SETAs To identify and address skills needs in their sector Compile and implement Sector Skills Plans Mandatory Grant claims process Establish and promote learning programmes Focus on PIVOTAL programmes Facilitate discretionary grants Quality assure education and training within the sector Accredit training providers

Background cont. #LastingLegacy Response to SETA landscape changes Opportunity to position ourselves and to align to the proposed changes by: Adopting a focused, programmatic approach to ensure impactful delivery; Directing SETA fund to the ‘missing middle’ and other niche areas; Participate in new projects across the career pipeline; Increase the supply of employable and work ready graduates to the sector; and Address transformation imperatives in the sector. SETAs license period is until 31 March 2020

Background cont. #LastingLegacy As part of #LastingLegacy there is a continued clear and specific focus on: Placement; Academic support for PIVOTAL programmes; and Transformation agenda

SECTION NAME Mandatory Grant

What is a Mandatory Grant It is a grant designated to fund the education and training programmes as contained in the Skills Development Plan (SDP) 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. To qualify for any of our Discretionary Grant the MandATORY Grant must be submitted on time and approved

Mandatory Grants Qualifying Criteria Fasset 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 timeframe •Is up to date with levy payments at the time of approval. •Has submitted SDP/ATR contributing to the Fasset SSP •The grant must be submitted online to Fasset by no later than 30 April in terms of the Department of Higher Education and Training (DHET) deadline The online applications will be open in February 2019

Employer Discretionary Grants SECTION NAME

Learner Employment Grant (LEG) The Learner Employment Grant (LEG) is a vehicle that assists in facilitating the achievement of Fasset’s mission. The purpose of the LEG is to incentivize employers to: Place learners onto a learnership; and/or Retain learners on the learnership for the required duration of the learnership which is 3 years . The learner is funded on registration of learnership, completion of second year of learnership and completion/discharge of the learnership. LEG is open to employers to enable them to up-skill learners internally; Applicable to all learnerships , that are linked to the Fasset Scarce Skills list; Limited overall budget available for the grant; Only Black African learners across the country ,people with disabilities across all races and Coloured learners in the NC and WC are eligible; and Where an application for Coloured learner is made, the learner must reside in the NC or WC and the employer must have an office in the NC or WC.Recent proof of residence is required for each learner Where an application for a person with disability is made, the SARS ITR DD must be attached as proof for each learner

Learner Employment Grant (LEG) Synopsis of Requirements: ID copy of each learner must be attached Confirmation /discharge letter must be attached i.e SAICA it will be the SAICA letter ,SAIPA learners would be the Fasset confirmation letter. For the SAIPA learners the date used to determine eligibility of the criteria we use the actual date of registration from Fasset not SAIPA For the 2018/19 period learners who qualify for criteria : First year of the learnership which will be a learner that was registered in 2018 ,completion of second year would be a learner that was registered in 2016 ,and completion/discharge must be in the 2018 calendar year . A second window will be opened in January to allow employers who were not able to apply on the October deadline or other learners not included in the prior application .Refer to guidelines for criteria

Learner Employment Grant (LEG) Synopsis of Requirements: Medium and Large Employers: The maximum claim percentage is 49.5% of SDL, but it could be less depending on the number of applications; The 49.5% combined can be claimed across the LEG and the Non-PIVOTAL Learner Employment Grant (NLEG) The 49.5% can be apportioned across both grants or across only one of the grants provided there is adherence to the grant requirements.

Learner Employment Grant (LEG) Synopsis of Requirements: Take note: In order to claim a discretionary grant, the mandatory grant for the applicable year must be have been approved; Learners must have been registered on the learnership between 1 January and 31 December 2018; Learners must have completed second or third year of the learnership between 1 January and 31 December 2018; For claims for second year leaners, proof of the learner’s status will be required; Individual declaration is required for each learner from small employers Large and Medium we require a full declaration letter for all second year learners Only learners that were unemployed at the beginning of the learnership are eligible for the LEG; Proof of registration onto the learnership or completion of the learnership is required; The date of agreement processing for registrations and completions determines eligibility for the grant; Grants must be submitted via the online system; and Only learnerships linked to the Fasset scarce skills listed are eligible.

Non-PIVOTAL Learner Employment Grant (NLEG) The NLEG Is aimed as assisting employers to provide opportunities in areas of Fasset’s scarce skills list, for which Fasset does not have learnerships; Through the NLEG, Fasset wishes to incentivize employers to: place unemployed learners into an internship; or offer unemployed learners permanent employment. NLEG can be claimed for: Unemployed learners placed into a one (1) year internship (at minimum); or Unemployed learners placed into permanent employment. Only learners that have a qualification registered at NQF are eligible for the grant; Only Black African and Coloured learners in the NC and WC are eligible; Only qualifications linked to the following 2018/19 scarce skills are eligible: ICT Professionals; Management Consultants; Financial Markets Professionals; Actuaries and Statisticians; Risk Managers Marketing Professionals; and Economists Claimable tariff R50 000.00 (once off) A second window will be open in January 2019 to allow employers who were unable to apply on the October deadline

Non-PIVOTAL Learner Employment Grant (NLEG) Synopsis of Requirements: The 49.5% combined can be claimed across the LEG and the Non-PIVOTAL Learner Employment Grant (NLEG) for medium and large employers The 49.5% can be apportioned across both grants or across only one of the grants provided there is adherence to the grant requirements. In order to claim a discretionary grant, the mandatory grant for the applicable year must be have been approved; Only grants submitted via the on-line systems will be accepted; Only qualifications linked to stipulated scarce skills will be eligible for the grant For internship placement, a motivation showing the link to the scarce skill must be provided; Internship placement or permanent employment must have taken place between 1 January and 31 December 2018; and Only learners that were unemployed at the beginning for the internship / permanent placement are eligible.

Non-PIVOTAL Learner Employment Grant (NLEG) Synopsis of Requirements: Take note: In order to claim a discretionary grant, the mandatory grant for the applicable year must be have been approved; Only grants submitted via the on-line systems will be accepted; Only qualifications linked to stipulated 6 scarce skills will be eligible for the grant (deadline 15 February 2019); For internship placement, a motivation showing the link to the scarce skill must be provided; Registration on the internship must have taken place between 1 January and 31 December 2018; and Only learners that were unemployed at the beginning for the internship / permanent placement are eligible.

Bursary Grant (BG) Requirements: The purpose of the BG is to incentivize employers to financially assist learners to complete their tertiary qualification; BG can be claimed for: Learners that have completed first, second, third, fourth year of a qualification or post-graduate qualification; and Only for unemployed learners who are studying full time The grant is applicable for learners in the following race groups: African Black people; Coloured people studying at an institution in the Northern Cape and Western Cape only; and People with disabilities (any race). Only qualifications linked to the Fasset scarce skills listed are eligible; and Claimable tariff: R50 000.00 (maximum)

Bursary Grant (BG) Synopsis of Requirements: Take note: Only qualifications linked to scarce skills are eligible; Official account statements from the institution, which show all transactions for the full year are required to be submitted for each learner; If payments made by the employer cannot be identified on the account statement, addition proof must be provided; Fasset will only fund a learner once. If a learner has received a Fasset NSFAS bursary, the employer will not be re-imbursed; If the bursary is for less than the tariff amount, the lesser amount will be re-imbursed If a learner is in credit of over R1000 the employer must give reasonable proof of why the is a credit amount

NSFAS Loan Repayment Grant (NLRG) Synopsis of Requirements: The purpose of this grant is to assist learners to pay off their NSFAS loan; Only Black African and Coloured learners in the NC and WC are eligible; Coloured learners in the NC or WC the learner must provide recent proof of residential address if the employer has more than one office Learners must currently be registered on a learnership in the Fasset sector linked to our Scarce Skills; Maximum settlement amount is R60 000.00; NLRG will be a manual and online application will be introduce in due course and No query period, operates on a first-come, first-served basis.

NLRG Tariffs Length of Learnership Tariff Tranche amount Total maximum 12 month (1-year) On registration R 5,000 R 30,000 In month 12 of the learnership R 25,000 24-month (2 year) R 45,000 In month 6 of the 24-month learnership. R 15,000 In month 18 of the 24-month learnership. 36-month (3 year) R 60,000 In month 6 of the 36-month learnership. In month 18 of the 36-month learnership. R 20,000 In month 32 of the 36-month learnership.

Discretionary Grant - Projects SECTION NAME Discretionary Grant - Projects

Projects Grants As part of the Board’s strategic direction, Fasset commissions Projects that meet the needs of the sector as defined in the Sector Skills Plan (SSP) (available on the Fasset website). Fasset’s Projects aim to increase the supply of skilled labour in the Fasset sector and to alleviate the scarce skills situation reported by the sector. Fasset commissions these Projects in a form of DG applications. Service provider submit their proposal responding to requests which is advertised on the Fasset website. Fasset offers four (4) types of grant as follows:  Employer Grants Public Sector Grants Professional Body Grants Education /Academic institutions Grant  

Types of Funded Projects Grants No. Name of Programme Type of Grant   Academic Support Education/Academic institutions Grant Fasset Bursary Scheme Professional Body Designation (Non-PIVOTAL) Professional Body Grant Professional Body Designation (PIVOTAL) Public Sector Grant Employers Grant (Public Sector Employers) TVET Workplace-Based Experience Programme Employers Grant

Synopsis Academic Support The Academic Support Programme has been designed to assist predominantly unemployed as well as employed learners (at NQF Levels 6 - 10) to complete Academic Qualification in order to fully access work opportunities in the FASSET sector. Fasset Bursary Scheme (FBS) The FBS provided end-to-end support to learners. Learners with household income of R 0 to R 600,000 are eligible. The bursary provides comprehensive funding for tuition, accommodation, academic support courses, living allowance and coaching/mentorship, all of which is designed to support the learner fully and provides an enabling environment for the learner to successfully complete their studies. Professional Body Designation (PIVOTAL) The Programme funded by FASSET is aimed at providing learners with support to complete their professional body designation. This programme is managed by the professional body institution who offer interventions to assist learners to achieve a professional qualification or designation. The programme must be registered on the NQF to meet the PIVOTAL requirement. Professional Body Designation (Non-PIVOTAL) The programme is aimed at providing learners with support to complete their professional body qualification or designation. It is required that the professional body institution propose the implementation of support courses and soft skills.

Synopsis Non-PIVOTAL Qualification/Designation Support Programmes assist learners to: Complete a non-PIVOTAL professional body qualification linked to one of FASSET’s top ten scarce skills; or Attain a non-PIVOTAL professional body designation, linked to one of FASSET’s top ten scarce skills, which has been obtained via an assessment process. Public Sector Grant Public Sector Grant has three options: i. Public Sector PIVOTAL Placement Grant The grant will have to apply to learnerships or interventions to meet the PIVOTAL requirement. This may relate to learnerships implemented for the first time, or additional learners on learnerships where the standard tariff of the LEG is deemed insufficient. ii. Public Sector PIVOTAL Academic Support Grant FASSET only awards bursary grants to unemployed full time students. This option provide academic support programmes for either: • Employed learners completing qualifications on the NQF. • Unemployed learners completing qualifications on the NQF Level where the Bursary Grant tariff is deemed insufficient. iii. Non-PIVOTAL Public Sector Grant This option is for skills development initiatives that are not registered on the NQF. This may include internship programmes where the NLEG tariff is deemed insufficient, professional examinations for designations, short courses for critical skills, and so forth. It might benefit either employed or unemployed learners.

TVET WBE Programme The Department of Higher Education and Training identified the need to capacitate public TVET Colleges, to become the preferred providers of occupational skills, as relevant, in South Africa. This need was identified to, amongst others, address the high unemployment rate amongst the age group 16 – 34. It is assumed that work experience will enhance the employability of unemployed persons, in particular if such work experience is: • Related to and supports their field of study; • Obtained in an environment with processes and structures in place to coach and mentor such persons; • Obtained in the environment of a reputable employer; • Of an adequate length to allow sufficient time to gain exposure and experience in a number of generic and specific skills. In this context, Fasset is has a project aimed at facilitating and funding workplace-based experience for graduates from public TVET Colleges. This project is aimed at learners who have successfully completed their N6 certificate in business studies and who are eligible to achieve the National N Diploma at NQF level 6, upon completion of 18 months’ relevant work experience. Fasset will be assisting employers to recruit learners who have specialized in one of the following areas: • Financial Management, • Business Management, • Marketing Management, • HR Management, and • Management Assistant.