INSETA PROJECTS Media Briefing 26 November 2002 “Working together for a skilled tomorrow”

CONTENTS ____________________________________________________________________________________________________  Funding System 2002/3  Grant system  Mandatory Grants  Discretionary Grants  INSETA Approach, Achievements and Projects  Conclusions

Employer (0-60+%) SA Revenue Service (100%) Department of Labour (100%) NSF (20%) SETA (80%) 10% Admin/Operations 15% Planning Grant 45% Implementation Grant 10% Discretionary Grant FUNDING SYSTEM 2002/3 ___________________________________________________________________________________________________________

GRANT SYSTEM ________________________________________________________________________________________________________________  Two Types of Grants  Mandatory  Ring fenced  Has to be Paid by SETA on Compliance by Employer  Value of Grants Determined by Government Regulation  Discretionary  At the Discretion of the SETA  Value of Grant Determined by Government Regulation and Other Sources

DISCRETIONARY GRANTS ________________________________________________________________________________________________________________  Application  Sector Strategic Initiatives  Skills Programmes  Learnerships  Sources of Funding  Regulatory Amount (10% of SD Levy in 2002/3)  Unclaimed Mandatory Grants  Surplus on SETA Operational Budget  Income from Investments  Other Sources

INSETA APPROACH _______________________________________________________________________________________________________  Planning Grant  Realistic and Flexible Deadlines for Submission  Registered Employers  New Employers  Practical Support to Employers  Written Assessment  Implementation Grant  Realistic Deadline  Practical Support to Employers  Written Assessment  Discretionary Grant  Stakeholder Projects  INSETA Projects  Learnerships

INSETA GRANT ACHIEVEMENTS ________________________________________________________________________________________________________________  Planning and Implementation Grants (2000-2)  +80% Payout Ratio  Deloitte & Touche as Financial- and IT Management Service Provider – Aug  Discretionary/Surplus Funds:  Implemented from September 2001  Appointment of PricewaterhouseCoopers as Project Management Service Provider – Nov  R55,9m Available  R15,45m Utilised In 14 Months  Total of 105 Projects  42 INSETA Projects  50 Stakeholder Projects  13 Learnerships

Stakeholder Projects: ________________________________________________________________________________________________________________  Discretionary Grant Policy  Sector Skills Needs/Gaps and Business Issues as per Sector Skills Plan  Focus on SMMEs and Designated Groups  Extensive Marketing Campaign  Applications: 106 Projects - Value of R64m  Approved: 50 Projects – Value of R21,6m  Learnerships

INSETA FUNDED PROJECTS _______________________________________________________________________________________________________  Objectives/Aims  Statutory Obligations  Capacity Building  Value-adding to Sector  Implementation of INSETA Learning Strategy  Skills Development  SDF Training  SSP Research  SMME Support, including Regional Advisors  Insurance Employment Preparedness Programme (INSPREP)  EE/SD Alignment

INSETA FUNDED PROJECTS _______________________________________________________________________________________________________  Quality Assurance  Assessor Training  Generation of Unit Standards and Qualifications  Assessment Centre  Learnerships  Development of Learning Material  RPL of Fundamental Unit Standards  CEO  Executive Leadership Development Programme  Leadership Advancement Programme  Board/EXCO Capacity Building Programme

HOW GRANTS BENEFITTED EMPLOYERS IN THE SECTOR _______________________________________________________________________________________________________  Company A (SMME)  Total Levy Paid in 2001/2 = R  Total in Grants Received = R  Mandatory Grants = R  Discretionary Grant Project = R  Company B (Large Employer)  Total Levy Paid in 2001/2 = R  Total in Grants Received = R  Mandatory Grants = R  Discretionary Grant Projects = R

CONCLUSIONS ______________________________________________________________________________________________________  Success of Current Grant System dependent on:  SETAs  Capacity to Launch and Manage Projects  Innovative/Creative use of Discretionary Funds to the Benefit of Industry, Employers & Employees  Continuous Consultation with Stakeholders  Continuous Marketing/Awareness of Mandatory and Discretionary Grants amongst Employers  Practical Support to Employers  Regular and Timeous Mandatory Grant Disbursements

CONCLUSIONS (2) ________________________________________________________________________________________________________________  Employers and Other Stakeholders  Active Participation and Engagement in All Activities of SETAs  Drop Apathy  Put Training/Learning on Strategic Agenda of Business  Expose SETAs to Employees and the Workplace

CONTACT DETAILS _______________________________________________________________________________________________________  Telephone (011)  Fax: (011)   Website: