1. DEPARTMENT OF HIGHER EDUCATION AND TRAINING
PROGRESS REPORT ON MIGRATION OF
ADULT EDUCATION AND TRAINING (AET) SECTOR TO THE
DEPARTMENT OF HIGHER EDUCATION AND TRAINING (DHET)
Portfolio Committee on Higher Education and Training
05 August 2015
PROGRESS REPORT ON MIGRATION OF ADULT EDUCATION AND TRAINING (AET) SECTOR TO THE DEPARTMENT OF HIGHER EDUCATION AND TRAINING
Presentation to the
Portfolio Committee on
Higher Education and Training
05 August 2015

2. Presentation Outline 1. Overview of Transferred AET Posts
2. Status of Transferred Posts
3. Status of Appointments into DHET
4. AET Claims Received and Paid
5. Progress Update on Queries as at 31 July 2015
6. Interventions by DHET to Resolve Challenges
7. Future Plans to Improve Challenges on Salaries

3. Status of Transferred AET Posts
Adult Education and Training (AET) posts transferred to DHET
Number
Total AET posts transferred from Provincial Education Departments (PEDs) - staff working in AET Centres
18 938
Total AET posts transferred from PEDs: staff working in offices
352
Total AET Posts Transferred to DHET Effective April 2015
19 290 3

4. Status of Appointments into DHET
Province
Number of Staff Affected
Nature of Challenges Experienced
Eastern Cape
3 979 Programme 5 and 6
Full time on PERSAL
System Change Control (SCC) not performed by the PED led to appointment of staff onto DHET PERSAL on June 2015 instead of 1 April 2015.
Free State 50
Full-time on PERSAL
The officials had not been appointed by the PED on time for the programmatical transfer. DHET had to appoint them individually and manually.
Gauteng
Full-time on PERSAL and per hour on contract - no claims
None
Kwa-Zulu Natal
± 6 500
Monthly claims: It took KZN up to 8 months to pay claims
Delays in submitting staff documentation by the PED led to delays in uploading appointments on PERSAL and processing payment of claims.
Limpopo
2 077
Part-time appointments
The 37% in lieu of benefits was not instated by the PED- DHET implemented in June About 70 appointments were not loaded by the PED before the programmatical transfer. DHET had to upload manually.

5. Status of Appointments into DHET
Province
Number of Staff Affected
Nature of Challenges Experienced
Mpumalanga 50
Part time on PERSAL
The PED had not appointed staff at the time of the programmatical transfer. DHET had to manually load and pay officials.
North West
1 500
Fixed stipend per month
Extra ordinary appointments could not be transferred programmatically on the system. DHET had to manually appoint officials.
Northern Cape
250
Western Cape
496
Monthly claims
500
Full-time on PERSAL
The bulk of AET educators were not paid through PERSAL. The PED transferred funds to AET Centres which appointed and paid educators. DHET had to make these appointments on PERSAL for the first time.
The PED used a combination of full-time, stipend and claims system.

6. Status of AET Claims Received and Paid
Province
April 2015
May 2015
June 2015
Received
Paid
Eastern Cape AI
Free State
Gauteng
KwaZulu-Natal
6 523 Claims
5 796
6 550 Claims
5 690
± 6 500
Claims
Limpopo
Mpumalanga
Northern Cape
248 Stipends
248
North-West
1 340 Stipends
1 340
Western Cape
± 400 Claims
370
AI = Automatic Interface: payments processed automatically through PERSAL

7. Status of Queries as at 31 July 2015
Queries Received
Number
Total number of queries received
269
Total number of Human Resource Administration queries received
216
Total number of salary related queries
139
Total number of salary related queries resolved
124
Total number of salary related queries in progress 15
Percentage of salary related queries resolved
89%
Percentage of salary queries outstanding
11%
Percentage of salary queries in relation to the total number of AET employees
0,7%
Percentage of claims compared to the total number of Educators in the sector
35%

8. Overview of HR Related Queries
HR queries
Number of Cases
Percentage
Human Resources Administration (salaries and appointments)
216
80%
Labour Relations 8 3%
Organisational Development 9
Total
233
86%
From the overall 86% of human resources queries, most are related to Human Resource Administration, in particular salary payments (i.e. 64% of Human Resource Administration are salary related queries).
Labour Relations queries include disputes related to conditions of service and queries from Limpopo SADTU, SAAEU and North-West Arbitration Award.
Organisational development queries include mostly conditions of service and pay progression. 8

9. Overview of Queries per Sub-Project9

10. Breakdown of 80% HRA Queries as at 31 July 2015
HR: Admin Queries
Number of Queries
Percentage
Salary related queries
139
64%
Conditions of Service 7 3
Medical Aid 4 2
Pension Funds 1
Appointments 23 11
Salary Levels
Post Levels
Migration 5
Provident Funds
Benefits
Subsidies
Tariffs
Rates
Other 9
Leave
Claims
Bonus
Total
216
100%

11. Overview of HRA Queries Mostly Received11

12. Overview of Short-Term vs Medium-Term Salary Queries9
Short-term salary queries
130
Total number of queries
139 12

13. Overview of Salary Related Queries Per Province
Number of queries received
KwaZulu-Natal 89
Limpopo 21
North-West 11
Free State 7
Western Cape 6
Mpumalanga 5
Total
139 13

14. CET Salary Challenges in KwaZulu-Natal
Causes of Delays in Salary Payments
Effect on Staff
Interventions by DHET
AET Educators not appointed on posts (i.e. extra-ordinary appointments).
Extra-ordinary appointments could not be uploaded automatically but individually and manually.
High volume of officials to be appointed manually and payments to be processed.
Delays in submission of personnel files to enable capturing of appointments and processing payment of claims.
Incomplete documents and incorrect information.
Compelled to use claims as methods of payment- officials permanently appointed.
Delays in the capturing of appointments and processing payment of claims.
Delays in payments of claims.
Delays in the appointment of staff and processing of claims.
Incomplete appointments and claims that are not processed.
Requested KZN AET Educators to complete staff verification forms and provided documentation.
HRA Staff worked overtime to capture appointments manually.
Finance staff worked overtime to process claims.
Circular issued to explain delays.
Used staff verification forms to capture appointments. Personnel files still NOT submitted to DHET.
Liaising with the regional office to obtain outstanding documents and correct information. 14

15. CET Salary Challenges in Limpopo
Causes of Salary Grievances in Limpopo
Effect on Staff
Interventions by DHET
AET Educators in Limpopo were apparently paid per hour and on higher tariffs. In August 2014, the payment method was changed from claims based on hourly rates to part-time employment.*
Incorrect capturing of nature of appointment.
AET Educators earn lower salaries when appointed as part-time than what they earned on the claim system used before August 2014.
Non-payment of 37% in lieu of benefits.
Cost analysis conducted by DHET to determine the budgetary implications of the shortfall.
37% in lieu of benefits paid by DHET in June 2015.
The PED unilaterally changed the conditions of service to be more favourable without informing the Minister and/or taking into account the financial implications.
On 1 March 2015, the PED issued a circular increasing working hours of AET Educators and Centre Managers which has financial implications as the budget to be transferred was already determined by National Treasury. This increase in working hours is not funded. 15

16. Number of Limpopo Lecturers Paid More Amount of Salaries Paid ‘More’
Number of Limpopo Lecturers paid more as at June 2015 compared to July 2014
HR Queries
Number of Limpopo Lecturers Paid More
Amount of Salaries Paid ‘More’
Contract AET Educators 3 R
Part-time AET Educators 77 R
Total per month 80 R
Total per annum R 16

17. Number of Limpopo Lecturers Paid Less Amount of Salaries Paid ‘Less’
Number of Limpopo lecturers paid less as at June 2015 compared to July 2014
HR Queries
Number of Limpopo Lecturers Paid Less
Amount of Salaries Paid ‘Less’
Part-time AET Educators
2 077 -R
Total per month
Total per annum -R
In July 2014, AET educators were paid using the claim system and in August 2014, the PED converted this to a part-time system (i.e. fixed notch). Fixed notch was transferred to DHET ‘as is’ from April 2015. 17

18. Emerging Complexities Relating to Salary Queries of Limpopo
Appointment letters and contracts of employment issued by the PED did not state the salary to be paid
Highly differentiated salary scales
Change of payment method by the PED from the claim system to part-time appointments in July 2014 led to lower salaries
Committing to an increase in number of hours by the PED on March 2015 thus imposing liabilities on DHET
Inadequate disclosure of liabilities
Salaries not paid according to the correct REQV level by the PED 18

19. AET Salary Challenges in the Eastern Cape
Causes of Challenges
Effect on Staff
Corrective Measures taken by DHET
System Change Control (SCC) not performed by the EC PED.
The SCC not correctly performed by the EC PED.
The scheduled transfer date of 23 May 2015 was not adhered to as the SCC was still not performed correctly.
AET staff not uploaded onto DHET’s PERSAL.
Staff could not be programmatically transferred to DHET on 1 April 2015.
Staff could not be paid from DHET’s pay point for April and May 2015.
Letter sent to the EC requesting SCC to be performed.
Notified the EC PED that should SCC not be done, staff will only be transferred to DHET in June 2015.
Arrangements made with the EC PED to pay salaries for April and May 2015.
DHET requested National Treasury to assist with the SCC and to grant permission for SCC to be performed in June 2015. 19

20. AET Salary Challenges in the Western Cape
Causes of Challenges
Effect on Staff
Interventions by DHET
CETC lecturers were not appointed on PERSAL but were appointed by AET Centre Governing Bodies.
Additional educators are extra-ordinary appointments still using the claims method of payment.
Isolated cases of employees dismissed from government before employed by the PED and some who took voluntary severance packages (VSP).
Delay in salary payment as DHET had to manually appoint these officials.
Delays in processing payments of claims as DHET had to manually upload officials and await claims from the PED.
Those who were previously dismissed were not appointed onto DHET as PERSAL couldn’t allow such appointments.
DHET took a decision that AET practitioners should be appointed on PERSAL and continue to work in their current workstations.
Review of the claims system and introducing an efficient and sustainable payment method.
Those who took VSP are paid through the Basic Accounting System (BAS) as PERSAL blocks their appointments. 20

21. AET Salary Challenges in the Free State and Mpumalanga
Causes of Challenges
Effect on Staff
Interventions by DHET
Delays in the appointment of AET Educators due to late submission and/or incorrect information of documents.
Delays in payment of salaries.
Liaised with the Free State regional office and PED to obtain outstanding documentations.
Officials were paid through supplementary pay runs. 21

22. AET Salary Challenges in North-West
Causes of Challenges
Effect on staff
Interventions by DHET
Extra ordinary appointments could not be transferred programmatically on the system. This involved about lecturers on extra ordinary appointments (i.e. paid a stipend for a fixed period). These lecturers could not be uploaded onto DHET’s PERSAL until their employment was terminated in the NW PED.
Salaries could not be paid on time as these lecturers were not appointed on PERSAL.
DHET officials worked closely with North-West PED officials to ensure that these officials were uploaded manually. The DHET team worked overtime, including on weekends and holidays to ensure that the officials were uploaded.
Supplementary pay runs were effected so that payments were effected early in May Confirmation of salary runs for May 2015 were provided to officials who enquired about the delays in payment of salaries. 22

23. Interventions undertaken
Interventions Undertaken to Resolve Challenges Relating to Payment of CET Claims
Interventions undertaken
Description
Working overtime
The Directorate: HRA worked overtime to ensure capturing of appointment of AET Educators on PERSAL.
The Directorate: Financial Services worked overtime to ensure that KZN claims for April and May 2015 were paid.
Introducing bulk payments
In consultation with National Treasury, bulk payment processes were introduced for processing AET claims.
Appointment of interns
Appointed interns in the unit to assist with the work load.
Appointment of additional staff
Commenced with interviews for the appointment of additional staff.
Introduction of claims procedure
A claim procedure document has been prepared and distributed to eliminate queries related to payment of claims.

24. Future Plans to Make Payment Method More Efficient
Interventions undertaken
Description
Decentralising data capturing for bulk uploads at the District level
Roll-out the capturing of data on excel spreadsheet for bulk upload to District offices where automatic interface is not taking place.
Filling of additional advertised posts
Filling of newly created posts to manage the workload.
Review of the claims payment method
Exploring the most efficient and sustainable payment method for AET Educators who are still using the claim system.
Investigations into the underlying causes of the salary queries
Investigations into the salary queries relating to under payment of salaries in Limpopo is underway.
Investigation into queries related to under payment of claims, the use of incorrect tariffs and turnaround times for payment of claims for KwaZulu-Natal will be undertaken.
Harmonising the conditions of service
The process of standardising the conditions of service is underway.
The cost implications of standardising conditions of service are being calculated for Minister’s consideration and processing.

25. Thank You