National Skills Authority Capacity Building Department of Higher Education and Training National Skills Authority Capacity Building BIRCHOOD HOTEL Thursday, 3 August 2017

Context for Current and Future Role of National Skills Authority CONTENT SLIDE DHET Critical Focus Areas NSDS 111 Priorities Transformational and Developmental Imperatives Labour Market South African Economy PSET Institutions and Entities NSA Key Functions Future NSA Role

CONTEXT : DHET CRITICAL FOCUS AREAS Context for Current and Future Role of National Skills Authority CONTEXT : DHET CRITICAL FOCUS AREAS To substantially expand access to education and training for youth and adults, regardless whether they have completed school or not; To improve the alignment between universities, TVET colleges, SETAs, the South African Qualifications Authority (SAQA), and Quality Councils in an effort to improve student and learner mobility across institutions and frameworks; To expand the available opportunities for workplace training for students in colleges and universities and to expand the forms of workplace training such as learnerships and apprenticeships.

CONTEXT : DHET CRITICAL FOCUS AREAS Context for Current and Future Role of National Skills Authority CONTEXT : DHET CRITICAL FOCUS AREAS To ensure that our post school education and training system prioritises funding for the marginalised, enabling them to access post school institutions and fulfil their dreams of careers thought to be unrealisable; To further develop post graduates studies to ensure expansion of the academic profession and the development of high level knowledge and skills; To integrate disability into the broader policy arena by introducing a national policy to guide education and training institutions in the post school domain; Integrate recognition of prior learning (RPL) into the post school education and training system.

Institutional mechanism for skills planning Access to occupationally directed programme Promoting the growth of TVET Adult language and numeracy skills to enable additional training Better use of work place-based skills development Supporting cooperatives, SME, NGO, etc for rural development Public sector capacity for improved service delivery Building career and vocational guidance 8 7 6 5 4 3 2 1 DHET Priority Skills NSDS 3 8 Goals

CONTEXT : DHET CRITICAL FOCUS AREAS Context for Current and Future Role of National Skills Authority Transformational and Development Imperatives : Race – racial inequalities in our economy; Class – social inequalities reinforced by lack of skills; Gender – society still reflects huge disparities between men and women; Geography – urban bias socio-economic development; Age – our young people still the most disadvantaged; Disability – we are still behind with regard skills for people with disabilities; HIV and AIDS – all our skills development initiatives must incorporate the fight against this pandemic. CONTEXT : DHET CRITICAL FOCUS AREAS

Context for Current and Future Role of National Skills Authority LABOUR MARKET, Q1:2017 37 million people of working age in South Africa (15 – 64 year olds) 14.6 million Not economically active* 22,4 million Labour force *Of which 2,2 million were discouraged work seekers 16,2 million Employed 6.2 million Unemployed ILO hierarchy – Employed first then unemployed and the remainder is NEA (including discouraged job-seekers). 3 mutually exclusive groups. Cannot be in two groups at the same time Source: QLFS, Q1:2017

Context for Current and Future Role of National Skills Authority UNEMPLOYMENT, Q1:2017 UNEMPLOYMENT RATE HAS BEEN AROUND 25% LEVEL SINCE 2010 current unemployment rate 6% 27.7% Gap in reaching 2020 NDP target: 13,7 percentage points NDP Target unemployment in 2020 14% Gap in reaching 2030 NDP target: 21,7 percentage points Unemployment rate figure EXCLUDES those who have stopped searching for jobs (it is the narrow definition of unemployment). Therefore the gap becomes significantly larger when one considers the expanded definition of unemployment (which includes not seeking work), and which is currently over 36% NDP Target unemployment in 2030 South African Labour Market: Current state vs NDP target Source: QLFS, Q1:2017

Context for Current and Future Role of National Skills Authority UNEMPLOYMENT RATE BY EDUCATION

Context for Current and Future Role of National Skills Authority NOT IN EMPLOYMENT, EDUCACTION AND/OR TRAINING (NEET)

Context for Current and Future Role of National Skills Authority TTHE SOUTH AFRICAN ECONOMY Source: Gross Domestic Product , Q1:2017

Context for Current and Future Role of National Skills Authority SOUTH AFRICA GROWTH RATE 2014-2017

Context for Current and Future Role of National Skills Authority TTHE SOUTH AFRICAN ECONOMY Source: Gross Domestic Product , Q1:2017

Context for Current and Future Role of National Skills Authority TTHE SOUTH AFRICAN ECONOMY Source: Gross Domestic Product , Q1:2017 14,9% -2,0% -3,4%

Context for Current and Future Role of National Skills Authority POST SCHOOL EDUCATION AND TRAINING INSTITUTIONS AND ENTITIES Higher Education NDP Targets: Higher Education: 1.62 m TVET colleges: 2.5 m CET colleges: 1 m Artisan : 30 000 26 public HEIs: 985 212 (2015) 124 private HEIs: 147 210 (2015) QCs: SAQA, CHE, QCTO Levy Grant Institutions(SETAs and NSF) NSA TVET 50 TVET Colleges: 737 880 (2015) 252 Private Colleges: 88 203 (2015) Overall participation rate in universities is currently 20% - still far below many middle income countries Comparatively, the participation rate for South Africa is fairly low when compared Brazil, Mexico, Malaysia and China with participation rates of 46.5%, 29.2%, 38.5% and 30.2% 9 CET Colleges: 283 602 (2015) NSC qualifying for university entrance = +/- 30% of NSC passes 70% must be catered for by TVET Citizens with no NSC – CET PSET System to cater for +/- 18 million citizens

Context for Current and Future Role of National Skills Authority NSA Functions ADVICE LIAISON (SETAs) CONSULTATION OTHER Advise the Minister on: National Skills Development Policy; National Skills Development Strategy (NSDS); NSDS Implementation Guidelines; Any regulation to be made. Liaise with SETAs on: The National Skills Development Policy; The National Skills Development Strategy; Sector Skills Plans. Minister : SETA Changes, Amalgamations; Administration; SETA Regulations; Relevant legislations. The Authority must: Perform its functions in accordance with SDA and its constitution ; Conduct investigations on any matter arising out of the application of this Act; Exercise any other powers and perform any other duties conferred or imposed on the Authority by this Act; Receive, from the Department, information on skills. LIAISON(QCTO) Liaise with the QCTO on: occupational standards and qualifications; the suitability and adequacy of occupational standards and qualifications; the quality of learning in and for the workplace. REPORTING Report to the Minister on the: NSDS implementation progress.

FUTURE ROLE OF NSA : WHITE PAPER FOR PSET Context for Current and Future Role of National Skills Authority FUTURE ROLE OF NSA : WHITE PAPER FOR PSET Monitoring and Evaluation (M&E) : NSA will be restructured and refocussed with its functions concentrated specifically on monitoring and evaluation of the SETAs. This implies that it will become an expert body with high level monitoring and evaluation skills. White Paper for PSET, page 68.

FUTURE ROLE OF NSA : WHITE PAPER FOR PSET Context for Current and Future Role of National Skills Authority FUTURE ROLE OF NSA : WHITE PAPER FOR PSET Monitoring and Evaluation (M&E) : M&E must make it possible to understand the levels of efficacy that are being achieved, and to identify where any blockages in the system may be emerging; It should enable a more detailed and informed understanding of the skills deficits and the areas for a focussed growth linked to the country's needs; There will be collaboration with departments in the economic cluster to put in place indicators and measures aligned to the key national economic development plans.

Thank You