OVERVIEW OF SECTOR EDUCATION AND TRAINING

AUTHORITIES (“SETAs”)

DEPARTMENT OF HIGHER EDUCATION AND TRAINING

PORTFOLIO COMMITTEE
BRIEFING ON HIGHER
ON PROGRESS EDUCATION,
ON THE MIGRATION OF SCIENCE
ADULT EDUCATION AND TRAINING (AET) AND
AND TECHNOLOGY
TECHNICAL AND VOCATIONAL EDUCATION AND TRAINING (TVET)SECTORS

Joint Meeting of the Select Committee on Education and Recreation,

Portfolio Committee 03 on Higher Education
SEPTEMBER 2019 and Training and
Portfolio Committee on Basic Education
National Skills Development Strategy (“NSDS”) III Phase

WHAT ARE SETAS DOING - CURRENT NSDS III & SETA

LANDSCAPE DISPENSATION

2
National Skills Development Strategy (“NSDS”) III Phase

1. South Africa has twenty one SETAs covering each an every industry, both
private and public, guided by the National Skills Development Strategy.
The current SETA landscape is guided by the National Skills Development
Strategy (“NSDS”) 111, which comes to an end on 31 March 2020;

2. The Minister has finalised the National Skills Development Plan (“NSDP”)
as published on 7 March 2019, for implementation for the period – 1 April
2020 to 31 March 2030, closely aligned with the National Development
Plan (“NDP”); and

3. Main Legislative Instruments guiding the work of the SETAs, includes but
not limited to the Skills Development, Act No 98 of 1998 (“SDA”) and
Skills Development Levies Act, Act No 9 of 1999 (“Levies Act”)

3
.
 National Skills Development Strategy (“NSDS”) III Phase
In terms of section 10 of the Skills Development Act, SETAs must develop Sector
Skills Plan, with the National Skills Development Strategy. The Sector Skills Plan is
structured into five chapters. Each chapter leads logically to the other. The
interlocking nature of the chapters should be maintained. It is necessary to refer to
preceding chapters to ensure the Sector Skills Plan is fully integrated.

Chapter 1 Chapter 2 Chapter 3 Chapter 4 Chapter 5

Sector Profile Key Skills Skills Sector Skills Priority

Issues Mismatches Partnerships Actions

• Extent and
• Scope of nature of skills
Coverage • Change demand
• Findings from
• Key Role- Drivers • Extent and • Existing
Previous
Players • Alignment with nature of skills Partnerships
Chapters
• Economic National supply • New
• Recommende
Performance Strategies and • Identification Partnerships
d Actions
• Employer Plans of scarce
Profile skills and skills
gaps

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1 Institutional mechanism skills planning
DHET
Priority Skills
2 Access to occupationally directed
programme

3 Promoting the growth of FET

4 Adult language and numeracy skills to enable

additional training

Better use of work place-based skills

5 development

Supporting cooperatives, SME, NGO, etc

6 for rural development

Public sector capacity for improved service

7 delivery
NSDS 3
8 Goals Building
8 career and vocational guidance
 National Skills Development Strategy (“NSDS”) III Phase
Skills Development Levy ----- 1%
All employers whose gross wage bill exceeds R 500 000 per annum
should be paying 1% Skills Development Levies.

80% SETAs 20% NSF

1. Agriculture Sector Education and Training Authority; 1. Health and Welfare Education and Training Authority;
2. Banking Sector Education and Training Authority; 2. Insurance Sector Education and Training Authority;
3. Culture, Arts, Tourism, Hospitality and Sport 3. Local Government Sector Education and Training
Education and Training Authority; Authority;
4. Construction Education and Training Authority; 4. Manufacturing, Engineering and Related Services
5. Chemical Industries Sector Education and Training Sector Education and Training Authority;
Authority; 5. Media, Advertising, Information and Communication
6. Education, Training and Development Practices Sector Education and Training Authority;
Education and Training Authority; 6. Mining Qualifications Authority;
7. Energy and Water Sector Education and Training 7. Public Service Sector Education and Training
Authority; Authority;
8. Financial and Accounting Services Sector Education 8. Safety and Security Sector Education and Training
and Training Authority; Authority;
9. Food and Beverages Manufacturing Industry Sector 9. Services Sector Education and Training Authority;
Education and Training Authority; 10. Transport Education and Training Authority; and
10. Fibre Processing and Manufacturing Sector 11. Wholesale and Retail Sector Education and Training
Education and Training Authority; Authority.

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National Skills Development Strategy (“NSDS”) III Phase
SETA ACCOUNTING AUTHORITY (“BOARD”)
ONE
CHAIRPERSON
SIX
ORGANISED EMPLOYER

SIX
ORGANISED LABOUR

RELEVANT GOVERNMENT DEPARTMENT

TWO
INTERESTED PROFESSIONAL BODY /
BARGAINING COUNCIL

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 National Skills Development Strategy (“NSDS”) III Phase

National Skills Authority (“NSDS”) III Evaluation Report

Enrolled Learners – 2011 to 2016

Total 1094638

Bursaries 61802

Artisanal Programmes 130876

Skills Programmes 516436

Internships 42933

Learnerships 342591

0 200000 400000 600000 800000 1000000 1200000

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 2019/20 SETAs Budget

BUDGET BUDGET
SETA ALLOCATIONS SETA ALLOCATIONS

1. AGRISETA 417,316 Million 12. HWSETA 703,816 Million

2. BANKSETA 851,413 Million 13. INSETA 543,081 Million

3. CETA 778,325 Million 14. LGSETA 731,361 Million
4. CHIETA 583,784 Million 15. MICT 876,296 Million
5. CATHSSETA 369,429 Million 16. MERSETA 1,863 Million
6. EWSETA 374,356 Million 17. MQA 1,059 Million
7. ETDPSETA 1,056 Billion 18. PSETA 134,745 Million
8. FASSET 611,517 Million 19. SASSETA 468,822 Million
9. FP&M SETA 420,022 Million 20. SERVICES 1,986 Million
11. FOODBEV 403,549 Million 21. TETA 887,965 Million

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 National Skills Development Plan and the SETA
Landscape

OVERVIEW OF EACH SECTOR EDUCATION AND TRAINING

AUTHORITIES

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National Skills Development Plan and the SETA
Landscape

OVERVIEW OF EACH SECTOR EDUCATION AND TRAINING

AUTHORITIES

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 SCOPE OF THE SETA: The AgriSETA is responsible for the agricultural activities
concerned with resource production (primary) and some primary processing of food,
aquaculture and growing of trees as a secondary crop by farmers (secondary). The
sector has the following subsectors: Seed; Pest Control; Fibre; Tobacco; Poultry;
Aquaculture; Milling, Pet Food, Animal Food; Sugar; Horticulture; Grain and Cereals
and Red Meat
TOP TEN OCCUPATIONS IDENTIFIED FOR THE AGRICULTURE SECTOR
THROUGH RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20
1. Mixed Crop and Livestock Farm Worker/ Assistant;
2. Agricultural Farm Manager;
3. Horticultural Farmer;
4. Crop Production Farm Worker/ Assistant;
5. Farm Maintenance Worker;
6. Agricultural Scientists ;
7. Agricultural Mobile Plant (Equipment) Operator;
8. Millwright;
9. Production/ Operations Supervisor (Manufacturing); and
10. Electrician. 12
 Agriculture Sector Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 29/57 21/31 46/79

% Achievement 50.8% 67% 58%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: There is an ongoing investigation by the Special Investigations

Unit (“SIU’”) on various allegations, including financial misconduct and
contravention of Supply Chain Management and Grants Regulations. Fruitless
and Wasteful Expenditures incurred in 2017/18 Financial year. Performance
dropped in 2017/18.

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 Agriculture Sector Education and Training Authority

SUCCESSES: The SETA is actively involved in Operation Pakisa Project and

the Centres of Specialisation Project. The SETA has an Accounting Authority
appointed and inducted in 2018. The SETA is also involved with other initiatives
such Presidential Job Summit Commitments implementation.

INTERVENTIONS: The SETA has been re-established for a period from April
2020 to 2030. The AA members will be appointed for a period of five years from
01 April 2020 to 31 March 2025. The re-establishment of the SETA for a longer
period will enable it to focus into key priorities in the sector, as the sector is
important for job creation.

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 Banking Sector Education and Training Authority

SCOPE OF THE SETA : The BANKSETA is responsible for the following

subsectors: Banking and Credit Services; Insurance and Investment and Related
Services
TOP TEN OCCUPATIONS IDENTIFIED FOR THE BANKINS SECTOR THROUGH
RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20

1. Developer Programmer;
2. Database Designer and Administrator;
3. Quality Assurance Analyst (Computer);
4. ICT Systems Analyst;
5. Financial Investment Advisor;
6. Sales and Marketing Manager;
7. Investment Manager;
8. Bank Worker;
9. Compliance Officer; and
10. Corporate General Manager.

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 Banking Sector Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 23/28 27/33 28/32

% Achievement 82% 82% 88%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: The SETA for the financial year 2017/18 had both
fruitless/wastefull expenditure and irregular expenditure, on the former it
cancelled the hotel accommodation to the amount of R120 000 and the latter
was R1,302, 000 contract extension without prior approval by the National
Treasury. The two year SETA re-establishment from 2018-2020 led to the
turnover of critical staff member.

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 Banking Sector Education and Training Authority

SUCCESSES: The SETA Accounting Authority (“AA”) has been functioning

well, though no substantive Chief Executive Officer appointed, since the
departure of the former Chief Executive Officer. The SETA has a good track
record of clean audits records without a substantive CEO for the period of three
financial years. The SETA has clear commitments regarding other government
priorities such as Job Summit Commitments, Youth Employment Services etc.
Commitment to absorb unemployed learners is not made upfront however over
the last 5 years the sector has averaged a 65% employment rate of learners
that employers hosted for workplace based opportunities.

INTERVENTIONS: The SETA has been re-established for a period from April
2020 to 2030. The AA members will be appointed for a period of five years from
01 April 2020 to 31 March 2025. The re-establishment of the SETA for a longer
period will enable it to focus into key priorities in the sector.

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Culture, Arts, Tourism, Hospitality and Sport Education and
Training Authority
SCOPE OF THE SETA: The CATHSSETA is responsible for the following
subsectors: Arts, Culture and Heritage; Conservation; Gaming and Lotteries;
Hospitality; Sport, Recreation and Fitness and Tourism and Travel Services

TOP TEN OCCUPATIONS IDENTIFIED FOR THE SECTOR THROUGH

RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20

1. Private Tuition Dancer Teacher;

2. Rigger;
3. Heritage Consultant;
4. Park Ranger;
5. Gaming operations compliance Officer;
6. Café'(Licensed)or Restaurant Manager;
7. Chef;
8. Biokineticist;
9. Sports Administrator; and
10. Marketing Practitioner.

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Culture, Arts, Tourism, Hospitality and Sport Education
and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 51/76 43/52 41/47

% Achievement 67% 83% 87%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: The SETA incurred irregular expenditure for the financial year
of 2017/18 amounting to R47.2m and has committed that it has since has put
measures in place to strengthen the procurement process. The SETA’s
application to exceed 10,5% admin threshold on a yearly basis has an impact
on the performance of the SETA.

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 Culture, Arts, Tourism, Hospitality and Sport Education
and Training Authority

SUCCESSES: The SETA is actively involved with other initiatives such as Job
Summit Commitments; Youth Employment Services and Centres of
Specialisation. The SETA governance has been stable since the administration
period with an unqualified audit opinion. The SETA is currently funding the
modern industrial kitchen in two public TVET colleges in the Eastern Cape with
the idea of improving the throughput rate in those two colleges.

INTERVENTIONS: The Department met with executive management of the

SETA to reduce the administration cost and the SETA was requested to provide
the Department with the to significantly decrease the administration cost. The
CEO has been appointed. The SETA has been re-established for a period from
April 2020 to 2030. The Accounting Authority (“AA”) members will be appointed
for a period of five years from 01 April 2020 to 31 March 2025. The re-
establishment of the SETA for a longer period will enable it to focus into key
priorities in the sector.

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 Construction Education and Training Authority

SCOPE OF THE SETA: The CETA is responsible for the following subsectors: Building
Construction; Built Environment Professions; Roads and Civil Construction; Materials
Manufacturing and Electrical Construction
Education and Training Authority
TOP TEN OCCUPATIONS IDENTIFIED FOR CONSTRUCTION SECTOR
THROUGH RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20

1. Architects;
2. Quantity Surveyor;
3. Civil Engineer;
4. Construction Project Manager;
5. Safety, Health, Environment and Quality (SHE&Q) Practitioner;
6. Building Associate;
7. Carpenter;
8. Plumber;
9. Electrician; and
10. Builder`s Worker;
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 Construction Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 30/69 52/77 82/100

% Achievement 43% 67% 82%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: There have been numerous allegations levelled against some

Accounting Authority (“AA”) members and the CETA executives through the
anonymous emails with a bearing on the SETA’s reputation. The allegation of
impropriety against one AA member by the erstwhile CEO. Most of the CETA’s
senior positions are occupied on acting capacity. The shorter period of the
tenure of the AA from 2018-2020. The two year SETA re-establishment from
2018-2020 led to the turnover of critical staff members and also made it difficult
to attract appropriately skilled personnel. The SETA has no substantive Chief
Executive Officer (“CEO”), since the departure of the former CEO.
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 Construction Education and Training Authority

SUCCESSES: The SETA performance has improved significantly regarding the

financial year 2017/18. The CETA received a clean audit in the past three
financial years. The Accounting Authority (“AA”) is fully functional despite the
challenges. The CETA has established a bursary scheme (i.e. Thapelo Madibeng)
in response to the fees must fall campaign. The CETA has a partnership with
Chinese Government to place TVET College learners on internship abroad. The
SETA has built few skills centres and handed them over to the public TVET
colleges. The SETA is significantly involved with the apprenticeship system and
candidacy related projects working with six Built Environment Councils in the
country and is investing significantly in the TVET system.

INTERVENTIONS: The National Skills Authority (“NSA”) instituted investigations

on the CETA affairs as requested by the Minister. On allegation of impropriety the
Minister appointed an independent company to investigate the allegations. The
was no substance on the said allegations found. Induction of the new Board
members was done in April 2018. The CETA has been re- established up to, until
2030

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Chemical Industries Sector Education and Training Authority

SCOPE OF THE SETA: the CHIETA is responsible for the following subsectors: Base
Chemicals; Petroleum; Fast Moving Consumer Goods; Pharmaceuticals; Explosives;
Fertilisers; Speciality Chemicals; Surface Coatings and Glass and Training Authority

TOP TEN OCCUPATIONS IDENTIFIED FOR THE CHEMICAL AND INDUSTTRIES

SECTOR THROUGH RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR
2019/20
1. Welder ;
2. Electrician;
3. Boiler Maker;
4. Mechanical Engineer;
5. Fitter and Turner;
6. Safety,Health,Environment and Quality (SHE&Q) Practitioner;
7. Chemistry Technician;
8. Manufacturing operations manager;
9. Mechanical fitter; and
10. Chemist
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Chemical Industries Sector Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 58/58 59/59 64/64

% Achievement 100% 100% 100%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: The shorter period of the tenure of the Accounting Authority(“AA”)

from 2018-2020 wherein many AA members were new in the CHIETA environment
and had to be oriented. The two year SETA re-establishment from 2018-2020 led to
the turnover of critical staff member, within the SETA.

25
 Chemical Industries Sector Education and Training
Authority

SUCCESSES: The SETA plays an active role in supporting the Centres of

Specialisation (“CoS”). The SETA Accounting Authority (“AA”) has been
functioning well. The SETA has been keeping its track record of unqualified /
clean audits and meeting its targets.

INTERVENTIONS: The SETA has been re-established for the period from 2020
to 2030, this will ensure stability in the SETA, so that it can focus in the delivery of
skills within the Sector.

26
 Education, Training and Development Practices Education
and Training Authority
SCOPE OF THE SETA: The ETDP SETA is responsible for the subsectors: Research
Organisations; Early Childhood Development Centres; Adult Education Centres;
Independent Schools; Public Schools; Technical and Vocational Education and Training
(TVET) Colleges; Higher Education Institutions; Private TVET Colleges and Higher
Education Institutions; Non-Governmental Organisations dealing Education and Training;
Quality Assurance Bodies; Professional Organisations in Education; Trade Unions;
Political Parties and Libraries and Achieves
TOP TEN OCCUPATIONS IDENTIFIED FOR THE ETDP SECTOR THROUGH
RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20
1. Foundational Phase School Teacher;
2. Senior Secondary School Teacher (Grades 10-12);
3. University Lecturer;
4. Early Childhood Development Practitioner;
5. Senior Primary School Teacher (Grade 4-7);
6. TVET Educator;
7. Junior Secondary School Teacher (Grade8-9);
8. Special Needs Teacher;
9. School Principal; and
10. Head of Department (Teacher). 27
 Education, Training and Development Practices Education
and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 35/58 32/46 27/41

% Achievement 60% 70% 66%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: The SETA is well functional both at management and Accounting

Authority (“AA”) level. The SETA Landscape which has been extended for shorter
periods had negatively impacted on the recruitment of the experienced staff in 2018,
resulted in a number of strategic positions not filled on a permanent basis. The
shorter period of the tenure of the AA from 2018-2020, also meant that there were
new members in the ETDP environment and had to be inducted for the first few
months.

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 Education, Training and Development Practices
Education and Training Authority

SUCCESSES: The SETA has never been placed under an administration since
its inception. The Accounting Authority is fully functional. Accounting Authority
made a strategic decision to spread the SETA’s geographical presence by
establishing fully functional provincial offices in all provinces. The SETA has
placed career Development Officers (CDO) in all the TVET colleges.
ETDPSETA AA is composed of members highly qualified academically, with
vast experiences and hold senior positions in their various organization. Since
its inception, the SETA has had unqualified and clean audit opinions.

INTERVENTIONS: The SETA has been re-established for a period from 2020
to 2030. The AA members will be appointed for a period of five years from 01
April 2020. New AA members will be taken through orientation programme.

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Energy and Water Sector Education and Training Authority

SCOPE OF THE SETA: The EWSETA is responsible for the following subsectors:
Energy; Water and Sanitation and Waste Water

TOP TEN OCCUPATIONS IDENTIFIED FOR THE ENERGY AND WATER SECTOR
THROUGH RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20
1. Water Quality Analyst;
2. Engineering Manager;
3. Civil Engineer;
4. Mechanical Engineering Technologist;
5. Environmental Engineer;
6. Program or Project Administrators;
7. Water Plant Operator;
8. Civil Engineering Technologist;
9. Boiler or Engine Operator; and
10. Environmental Scientist (G)

30
Energy and Water Sector Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 21/45 26/53 28/44

% Achievement 47% 49% 64%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: Limited financial resources, therefore exceeding administration

expenditure. Effective steps were not taken to prevent irregular expenditure
amounting to R4,317,000.00 for the 2017/18 year, as disclosed in note 28 to the
annual financial statements, as required by section 51(1) (b)(ii) of the PFMA. The
SETA has an acting Chief Executive Officer (“CEO”) since the departure of the former
CEO. The shorter period of the tenure of the AA from 2018-2020. Many Accounting
Authority members were new in the EWSETA environment and had to be oriented. The
two year SETA establishment from 2018-2020 led to the turnover of critical staff
members, also made it difficult to attract appropriately skilled resources. Act resulting
in non-compliance.
31
 Energy and Water Sector Education and Training
Authority

SUCCESSES: The SETA is involved with both the Job Summit Commitments
and Youth Employment Services initiatives. Increased focus on good
governance practices and oversight has yielded positive results for the
organization which is demonstrated in increased performance. There is
increased industry participation in SETA programmes. There is slightly increase
on performance from 2015/2016. The SETA is also involved in Industry 4.0
projects in collaboration with the Vaal University of Technology.

INTERVENTIONS: The Department advised the SETA to cut some of the

international trips and stick to the prescribed allocated budget. The SETA has
been re-established for a longer period and there is certainty until 2030. The
AA members will be appointed for a period of five years from 01 April 2020 to
31 March 2025. The Auditor General made a presentation in the SETA CEO
Forum to caution SETAs in both Irregular and Wasteful Expenditure and how to
prevent such occurrences.

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 Financial and Accounting Services Sector Education and
Training Authority
SCOPE OF THE SETA: The FASSET SETA is responsible for following subsectors:
Investment Entities and Trusts and Company Secretary Services; Stockbroking and
Financial Markets; Development Organisations; Accounting, Bookkeeping, Auditing and
Tax Services; Activities Auxiliary to Financial Intermediary; Business and Management
Consulting Services and South African Revenue Services (SARS) and Government
Departments
TOP TEN OCCUPATIONS IDENTIFIED FOR THE FASSET SECTOR THROUGH
RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20
1. Financial Investment Advisor;
2. Tax Professional;
3. Internal Auditor;
4. Software Developer;
5. Investment Advisor;
6. Accounts Clerk;
7. ICT Systems Analyst;
8. Database Designer and Administrator;
9. Management Accountant; and
10. Internal Audit Manager.
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 Financial and Accounting Services Sector Education
and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 24/36 17/27 17/32

% Achievement 66.7% 62% 53%

2018/19 Financial Year Under the Auditor-General Audit Process

HALLENGES: Effective and appropriate steps were not taken to prevent

irregular expenditure amounting to R56 million as disclosed in note 29 to the
Annual Financial Statements for the current period, as required by Section 51(1)
(b)(ii) of the Public Financial and Management Act. The majority of the irregular
expenditure was caused by non-compliance with supply chain management
requirements. Senior staff turnover due to the shorter period of the re-
establishment of the SETA from 2018 to 2020. the SETA dropped its performance
fro the past three audited financial years.

34
 Financial and Accounting Services Sector Education
and Training Authority

SUCCESSES: The SETA Accounting Authority (“AA”) is functioning well.

Remarkable results for unemployed learners enrolled on high-level
learnerships, this is attributed to the strong relationship between FASSET and
the South African Institute of Chartered Accountants (SAICA), which led to
more learner registrations than anticipated.

INTERVENTIONS: The SETA has been re-established for a period from 2020
to 2030. The SETA continues to receive one on one support from the
Department so that, amongst others, it can improve its performance.

35
 Food and Beverages Manufacturing Industry Sector
Education and Training Authority
SCOPE OF THE SETA : The FOODBEV is responsible for the following subsectors:
Production, Processing, and Preserving of Meat, Fish, Fruit, and Vegetables, Oils and
Fats; Dairy Manufacturing; Manufacture of Grain Mill Products, Starches and Starch
Products and Prepared Animal Feeds; Manufacture of Other Food Products and
Beverage Manufacturing.
TOP TEN OCCUPATIONS IDENTIFIED FOR THE FOODBEV SECTOR THROUGH
RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20
1. Food and Beverage Factory worker;
2. Millwright;
3. Production /operations supervisor( Manufacturing);
4. Manufacturing operations manager;
5. Food and Beverage Technician;
6. Food and beverage Manufacturing process control;
7. Fitter and Turner;
8. Electrician;
9. Packaging manufacturing machine minder; and
10. Wine Maker. 36
 Food and Beverages Manufacturing Industry Sector
Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 10/29 33/46 45/55

% Achievement 35% 72% 82%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: The SETA Chairperson resigned few months after he was

appointment. There is a high turnover rate of the senior staff in the SETA due
to shorter life-span of the SETA such as from 2018 to 2020, this has been
now resolved.

37
 Food and Beverages Manufacturing Industry Sector
Education and Training Authority
SUCCESSES: The SETA performance has been improving. The SETA
Accounting Authority (“AA”) functions well. The SETA is actively involved
with the Centres of Specialisation (“CoS”) project supporting four trades
and Job Summit Commitments.

INTERVENTIONS: The SETA Chief Executive Officer (“CEO”) has been

appointed. The SETA has been re-established for a period from 2020 to
2030. The process of appointing the SETA Chairperson is underway.

38
 Fibre Processing and Manufacturing Sector Education and
Training Authority
SCOPE OF THE SETA : The FP & M SETA is responsible for the following
subsectors: Clothing; Dry Cleaning; Footwear; Forestry; Furniture; General Goods;
Leather; Packaging; Print Media; Printing; Publishing; Pulp & Paper; Textiles and
Wood Products.
.

TOP TEN OCCUPATIONS IDENTIFIED FOR THE FP&M SECTOR THROUGH

RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20
1. Production / Operations Manager (Manufacturing);
2. Textile, Clothing and Footwear and Leather Processing Machine Mechanic;
3. Printing Machinist;
4. Multimedia Designer;
5. Industrial Engineer;
6. Editor;
7. Quality controller( Manufacturing );
8. Millwright;
9. Computer Aided Garment, Footwear and General Goods cutter; and
10. Wood Machinist.
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 Fibre Processing and Manufacturing Sector Education
and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 48/54 34/38 44/48

% Achievement 89% 89.5% 91.6%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: The two year SETA establishment from 2018-2020 led to the
turnover of critical staff members and also made it difficult to attract
appropriately skilled personnel.

40
 Fibre Processing and Manufacturing Sector Education
and Training Authority

SUCCESSES: The FP&M SETA has a fully appointed & functional Accounting
Authority that governs & manages the SETA in accordance with the PFMA and
Skills Development Act. SETA has all Governance and Advisory Structures that
are fully functional. The SETA has implemented a number of high level strategic
and innovative projects: Richmond-Indaleni Community Skills Development
Centre: Partnership between FP&M SETA, Methodist Church & Indaleni
Community. Fully-equipped workshops for clothing, furniture making & Footwear
built to industry standards. Modern & technologically advanced ICT Centre.
Established Footwear and Leather Centre of Excellence; International Leadership
Development Programme; and WITS REAL: Research Chair Partnership.

INTERVENTIONS: The SETA Chief Executive Officer (“CEO”) has been

appointed. The SETA has been re-established for a longer period and there is
certainty until 2030. The AA members will be appointed for a period of five years
from 01 April 2020 to 31 March 2025.

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 Health and Welfare Education and Training Authority

SCOPE OF THE SETA : The HWSETA is responsible for the following subsectors:
Manufacturing; Wholesale and Retail Trade; Professional, Scientific and Technical
Activities; Public Administration, Defence and Compulsory Social Security and Human
Health and Social Wok Activities.

TOP TEN OCCUPATIONS IDENTIFIED FOR THE HW SECTOR THROUGH

RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20
1. Social Counselling Worker;
2. General Medical Practitioner;
3. Intensive Care, Ambulance and Paramedic;
4. Registered Nurse ( Medical);
5. Hospital Pharmacist;
6. Medical Diagnostics Radiographer;
7. Midwife;
8. Nurse Educator;
9. Medical Laboratory Technician; and
10. Physiotherapist.
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 Health and Welfare Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 21/28 30/37 31/37

% Achievement 75% 81% 84%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: Consistent attendance of meetings by the departmental officials who

serve in the HWSETA AA is a challenge. Most of the officials who are serving in the
AA are senior officials in their department and have their line function responsibilities.

43
 Health and Welfare Education and Training Authority

SUCCESSES: HWSETA has till to date received an unqualified audit

opinion from the Auditor General. The AA has been fully functional despite
the attendance challenges. The SETA has been stable and meeting its
targets.

INTERVENTIONS: The Chief Executive Officer (“CEO”) has been

appointed. The Minister for Higher Education and Training has also
appointed a new Accounting Authority from 1 April 2018 to 31 March
2020.

44
 Insurance Sector Education and Training Authority

SCOPE OF THE SETA : The INSETA is responsible for the following subsectors:
Unit Trusts; Risk Management; Insurance & Pension Fund (except compulsory
social security); Life Insurance; Pension Funding; Health Care Benefits; Short Term
Insurance; Funeral Insurance, Reinsurance and Auxiliary Activities.

TOP TEN OCCUPATIONS IDENTIFIED FOR THE INSERANCE SECTOR

THROUGH RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20

1. Insurance Agent;
2. Actuary;
3. Sales Manager;
4. Developer Programmer;
5. Insurance Broker;
6. Compliance Officer;
7. Sales & Marketing Manager;
8. Financial Investment Advisor;
9. Insurance Risk Manager; and
10. Insurance Risk Surveyor.
45
 Insurance Sector Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 40/50 48/50 47/47

% Achievement 80% 96% 100%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: The Insurance Sector is located in the main in urban areas with
head-offices predominantly in Johannesburg, Pretoria and Cape Town. However
the SETA has initiated rural learnerships projects in Mbizana and Qunu amongst
others who are guaranteed placement internship. The two year SETA re-
establishment from 2018-2020 led to the turnover of critical staff members, also
made it difficult to attract appropriately skilled personnel.

46
 Insurance Sector Education and Training Authority

SUCCESSES: The SETA maintains clean audit and its performance has improved to
100% of its targets. The Accounting Authority (“AA”) functions well. The SETA
has initiated rural projects even though in the main insurance companies turn to
be dominant in urban areas. INSETA assists burial societies to register as
cooperatives and provides Skill Programmes training for members of burial
societies. The SETA has allocated support for the Youth Employment Services
(“YES”). In 2017/18 the research found that 85% of learnerships learners were
employed the year after they did their learnerships (2010 – 2016) and that 81%
of those were still in employment in 2017, however, many are in entry level
positions. Promoting growth of Public TVET Colleges through facilitation of
partnerships between Public TVET Colleges and the Insurance Sector.

INTERVENTIONS: The Chief Executive Officer (“CEO”) has been appointed and
new Accounting Authority was appointed and inducted in 2018. The SETA has
been re-established for the period between 2020 to 2030 creating stability and
focus to the skills development.

47
Local Government Sector Education and Training Authority

SCOPE OF THE SETA: The LGSETA is responsible Municipal and Local

Government related entities.

TOP TEN OCCUPATIONS IDENTIFIED FOR THE LG SECTOR THROUGH

RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20

1. Civil engineer;
2. Civil engineering technologist;
3. Water Plant Operator;
4. Business Development Officer;
5. Economist;
6. Health and safety Manager;
7. Plumber(General);
8. Electrical(General);
9. Urban and regional planner; and
10. Internal Auditor

48
Local Government Sector Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 52/76 62/76 51/70

% Achievement 68% 88% 73%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: The Chairperson of the SETA resigned due to some other

responsibilities. The period is very short to make a replacement, also the process of
appointing the new chairperson from 01 April 2020 has been commenced with. The
instability in South African Municipal Workers union (“SAMWU”) is having impact on
the union representation of labour in the LGSETA AA. The LGSETA has had a
struggle in the recruitment of the Chief Executive Officer (“CEO”). There is currently
an acting CEO. Performance dropped in the 2017/18 financial year.

49
 Local Government Sector Education and Training
Authority
SUCCESSES: LGSETA has been able to get maximum number of municipalities
to participate in the skills development through the submission of Workplace
Skills Plans (“WSP”) and Annual Training Reports (“ATRs”). This is a good
indication of stakeholder holder involvement in the skills development in the
sector. The LGSETA has received an unqualified audit opinion from the Auditor
General in the past three years after the period where SETA was placed under
administration. The SETA is participating also in Centres of Specialisation
(“CoS”), to train 120 artisans in the following trade areas: Boiler Maker and Pipe
fitting. In the last two financial years the SETA has placed 2 101 TVET students
with an 80% success rate in terms of completions and trained 50 TVET lectures
in the teaching of Mathematics and Science.

INTERVENTIONS: The SETA has been re-established for the period between
2020 to 2030 creating stability and focus to the skills development. The
Department has published a gazette on 12 august 2019 calling for nomination
for Chairpersons for a period from April 2020-2024.

50
 Manufacturing, Engineering and Related Services Sector
Education and Training Authority
SCOPE OF THE SETA : The MERSETA, is responsible for the following
subsectors: Auto; Metal; Motor; New Tyre and Plastics.

TOP TEN OCCUPATIONS IDENTIFIED FOR THE MER SECTOR THROUGH

RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20

1. Automotive Motor Mechanic;

2. Welder;
3. Production / Operations Supervisor (Manufacturing);
4. Metal Engineering Process Worker;
5. Boiler Maker;
6. Electrician;
7. Product Assembler;
8. Diesel Mechanic;
9. Mechanical Fitter; and
10. Industrial Engineer.

51
 Manufacturing, Engineering and Related Services Sector
Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 32/42 21/26 24/36

% Achievement 76.2% 80.8% 66.7%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: Effective and appropriate steps were not taken to prevent irregular
expenditure amounting to R1 933 000 as disclosed in note 27 to the annual financial
statements, as required by section 51(1) (b)(ii) of the PFMA. The irregular expenditure
identified was as a result of non-compliance with supply chain management
regulations. The SETA committed to pay attention to occasions like these. The
allegations and disciplinary proceedings against the former CEO and some
employees brought a temporary instability within the merSETA. The staff turnover has
impacted negatively on the merSETA retaining specialised staff members. The
Performance of the SETA dropped in the financial year 2017/18. the SETA has an
acting Chief Executive Officer.
52
Manufacturing, Engineering and Related Services Sector
Education and Training Authority
SUCCESSES: The SETA governance has been stable. The SETA is very
strong in terms of training apprentices in response to the National Development
Plan and other government strategic plans. It has prioritized the relationships
with TVET colleges in production of artisans such as Motheo, Northlink,
Northern Cape Urban, Northern Cape Rural, Orbit, Sedibeng, Boland,
Capricorn, Coastal KwaZulu-Natal, Ekurhuleni East, Waterberg and West
Coast College TVETs. The SETA also works well with the Offices of Premier in
various provinces on various learning programmes such as amongst others
Western Cape, Free State and Limpopo.

INTERVENTIONS: The disciplinary process has been finalised and Public

Protector’s remedial action implemented. The SETA has been re-established
for the period between 2020 to 2030 creating stability and focus to the skills
development. The Department has published a gazette on 12 August 2019
calling for nomination for Chairpersons for a period from April 2020-2024.

53
Media, Advertising, Information and Communication Sector
Education and Training Authority
SCOPE OF THE SETA : The MICT SETA, with regard to skills development is
responsible for the following subsectors: Advertising; Film and Electronic Media;
Electronics; Information Technology and Telecommunications.

TOP TEN OCCUPATIONS IDENTIFIED FOR THE MICT SECTOR THROUGH

RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20

1. Software developer;
2. Computer Network and Systems Engineer;
3. ICT Systems Analyst;
4. Programmer Analysts;
5. ICT security Specialist;
6. Business analyst;
7. Multi-Media Design;
8. Advertising Specialist;
9. Telecommunication Network Engineer; and
10. Database Designer and Administrator.

54
Media, Advertising, Information and Communication Sector
Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 34/34 39/40 25/43

% Achievement 100% 97% 58%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: Corruption and fraud allegations against the former Chief

Executive Officer (“CEO”) and other managers. Reported conflict of interest by the
AA members Reported irregular expenditure for the previous financial year. As
disclosed in note 27 to the financial statements, irregular expenditure of R1 011 000
was incurred, as supply chain management requirements were not adhered to. The
shorter period of the tenure of the Accounting Authority (“AA”) from 2018-2020
created some degree of uncertainty. Many AA members were new in the SETA
environment and had to be orientated. The performance of the SETA dropped in the
financial year 2017/18.

55
 Media, Advertising, Information and Communication
Sector Education and Training Authority
SUCCESSES: The AA is fully functional and is able to deal with the reported
challenges. Review of organogram and establishment of fit-for-purpose
organizational structure. More than 90% programme completion and 70% learner
placement rates. Establishment of 4IR Committees to ensure development and
development of 4IR Strategy. Six years of Clean Audit Report from 2011/2012-
2017/2018. In response to Youth Employment Services (“YES”) the MICT SETA
has an agreement with employers that 70% of learners in learning programmes
will be employed at the end of the programmes.

INTERVENTIONS: To address the corruption activities, the Department

supported the Special Investigating Unit (SIU) and Section 14 A (1) of the Skills
Development Act was invoked. One Accounting Authority Member and the former
Acting Chief Executive Officer were suspended based on allegations of irregular
expenditure. The AA members will be appointed for a period of five years from 01
April 2020 to 31 March 2025. the Auditor General is invited in SETA Chief
Executive Forum meeting to advise the SETAs on matters related to compliance
with the required legislative prescripts, the last presentation by the AG was on the
15 August 2019.
56
 Mining Qualifications Authority
SCOPE OF THE SETA: The MQA is responsible for the subsectors: Coal Mining; Gold
Mining; Platinum Group Metals; Diamond; Cement, Lime, Aggregates and Sand
(CLAS); Services Incidental to Mining; Diamond Processing and Jewellery
Manufacturing

TOP TEN OCCUPATIONS IDENTIFIED FOR THE MQA SECTOR THROUGH

RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20
1. Engineering Manager;
2. Mining Operations Manager;
3. Mining Engineer;
4. Safety, Health, Environment and Quality (SHE&Q) Practitioner;
5. Mining Production Supervisor;
6. Engineering Supervisor;
7. Engineering Supervisor;
8. Diesel Mechanic;
9. Millwright;
10. Rigger; and
11. Boiler Maker
57
 Mining Qualifications Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 28/41 34/47 37/47

% Achievement 68% 72% 79%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: The dual legislative frameworks (i.e. Skills Development Act (SDA) and
the Mine Health and Safety Act (MHSA). The two legislations are in contradictions
when it comes to the appointment of the Accounting Authority. The Accounting Authority
is currently appointed by the Minister of Minerals Resources and Energy owing to
MHS. The numerous allegations levelled against the SETA executives from the series
of anonymous emails is impacting on the reputation of the MQA. Effective and
appropriate steps were not taken to prevent irregular expenditure amounting to R17
686 511,66 as disclosed in note 26 to the annual financial statements, as required by
section 51(1)(b)(ii) of the PFMA. The majority of the irregular expenditure was caused
by award to supplier who did not meet functionality. Most of the staff are acting on
positions and that creates instability within the SETA. The contraction in the Mining
Sector makes it difficult for learners to be placed at workplaces.
58
 Mining Qualifications Authority

SUCCESSES: The SETA has incorporated retrenched miners as the target to the Mine
Community Development target beneficiaries, this target is no longer a standalone, with a
target of 1 050. The MQA in 2017/18 provided extra curricula support in mathematics and
physical science subjects to 1 484 learners in grades 10, 11 and 12 from historically
disadvantaged areas in eight of the nine provinces. The MQA also supported a total of 1
421 learners from disadvantaged background on its bursary scheme, against the set target
of 1 000. The MQA sponsored internship programme in jewellery manufacturing and design
at the IL Tari Design School in Italy, was a notable highlight for the MQA. Of the 25 learners
that started on the programme, 24 completed namely, 9 female and 15 male learners.
Seventeen (17) of the learners are currently on a exit programme.

INTERVENTIONS: The Department is in discussion with the department of Mineral

Resources and Energy to amend both Skills Development Act and Mine Health and Safety
Act. The Department has met with the Chairperson of the Accounting Authority to discuss
the impact of the anonymous emails and the Accounting Authority is investigating all the
allegations. The reestablishment of the SETA for a longer period will assist the SETA to
attract good applicants. The Auditor General is regularly invited in SETA Chief Executive
Forum meeting to advise the SETAs on matters related to compliance with the required
legislative prescripts, the last presentation by the AG was on the 15 August 2019.

59
 Public Service Sector Education and Training Authority

SCOPE OF THE SETA : The PSETA is responsible for the Public Service Sector
which comprises of all National Departments, Provincial Departments, National and
Provincial Entities, National Parliament and Provincial Legislatures.

TOP TEN OCCUPATIONS IDENTIFIED FOR THE PUBLIC SERVICE SECTOR

THROUGH RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20

1. Senior Government Official;

2. Programme or Project Manager;
3. General Manager Public Service;
4. Policy and Planning Manager;
5. Internal Auditor;
6. Supply Chain Practitioner;
7. Personnel / Human Resource Manager;
8. Senior Government Official;
9. Finance Manager; and
10. Financial accountant.
60
 Public Service Sector Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 31/47 26/51 22/37

% Achievement 65.9% 51% 59%
2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: Funding model of the Public Service Sector Education and Training
Authority (“PSETA”) continues to be a challenge as the PSETA sector is the only
sector that is exempted from payment of Skills Development Levy (SDL).

61
 Public Service Sector Education and Training Authority

SUCCESSES: The PSETA has maintained receipt of an unqualified audit report,

this shows an improvement in terms of corporate governance outcome. Key
projects undertaken in partnership with the Department of Public Service and
Administration (“DPSA”), include amongst others : Skills Audit Framework for the
Public Service sector review of the Public Service Human Resource Development
Strategy and development of an Monitoring and Evaluation Framework for the
Public Service HRD Strategy.

INTERVENTIONS: The Department is working with National Treasury and the

Department of Public Service and Administration to resolve the issue of funding
for PSETA. The SETA has been established for a period from 2020 to 2030. The
AA members will be appointed for a period of five years from 01 April 2020 to 31
March 2025.

62
Safety and Security Sector Education and Training Authority

SCOPE OF THE SETA : The SASSETA is responsible for the following subsectors:
Policing; Corrections; Defence; Justice; Legal Services, Private Security and
Investigation.

TOP TEN OCCUPATIONS IDENTIFIED FOR THE SAFETY & SECURITY SECTOR
THROUGH RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20
1. Security Guard;
2. Registered Nurse ( Medical);
3. Education or Training Advisor;
4. Alarms, Security or Surveillance Monitor;
5. Hospital Pharmacist;
6. Organisational Psychologist;
7. Security Services Manager;
8. Electrical Engineering Technician;
9. Computer Operator; and
10. Non-commissioned Police Official

63
Safety and Security Sector Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 24/63 23/36 30/37

% Achievement 38% 64% 81%
2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES : Effective and appropriate steps were not taken to prevent irregular
expenditure amounting to R2 068 000 as disclosed in note 30 to the annual financial
statements, as required by section 51(1)(b)(ii) of the PFMA. The majority of the
irregular expenditure was caused by non-adherence to the procurement processes.
The SETA has committed to put the relevant measures in place to prevent such
occurrences. The entity is still without a Chief Executive Officer, there are some
discussions amongst the Accounting Authority (“AA”) members regarding the
appointed person. High turnover of senior management staff resulting has
resulted in loss of institutional memory.
64
 Safety and Security Sector Education and Training
Authority

SUCCESSES: The SETA performance has improved, including consistently

receiving an unqualified audit report outcomes from the Auditor-General.
Special interest groups that are consistently supported by the SETA includes
amongst others :Military Veterans, Community Policing Forum, Beneficiaries of
fallen Soldiers and South African Police Services. Increased focus on good
governance practices and oversight has yielded positive results for the
organization.

INTERVENTIONS: The Minister had a meeting will the Accounting Authority

(“AA”) members and impressed upon them to resolve the CEO appointment
impasse and ensure that the SETA focusses on matters related skills
development as mandated by the Skills Development Act. The SETA has been
re-established for the period from 2020 to 2030.

65
 Services Sector Education and Training Authority

SCOPE OF THE SETA: The SERVICESSETA is responsible for the following

subsectors: Cleaning and Hiring Services; Communication and Marketing Services;
Labour and Collective Services; Personal Services; Real Estate and Related Services;
Household Services; Domestic Services; Cleaning; Marketing; Contact Centres; Postal
Services; Labour Recruitment Services; Collective Services; Business Services;
Project Management; Hair Care; Beauty Treatment; Funeral Services; Fashion and
Real Estate Services
TOP TEN OCCUPATIONS IDENTIFIED FOR THE SERVICES SECTOR THROUGH
RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20
1. Commercial Cleaner;
2. Real Estate Agent;
3. General Clerk;
4. Call or Call Centre Agent;
5. Property Manager;
6. Sales Representative (Business Services);
7. Hairdresser;
8. Accounts Clerk;
9. Management Consultant; and
10. Funeral Director.
66
 Services Sector Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 45/76 64/85 47/58

% Achievement 59% 75% 81%
2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: The Department received numerous allegations from the media,

anonymous letters, including from the leader of the United Democratic Movement. The
Organisation Undoing Tax Abuse (“OUTA”), also alleged that there is corruption and
maladministration in the Services SETA. Minister issued an instruction in terms of
Section14A of the Skills Development Act directing the SETA respond to numerous
allegations against the SETA and directed the National Skills Authority (“NSA”) to
attend to the relevant matters. The contract disputes between the SETA and the
service providers often lead in students not paid their stipends and the training gets
affected temporarily.

67
 Services Sector Education and Training Authority

SUCCESSES : The SETA is participating in the Centres of Specialisation projects. The

SETA is also actively involved in Job Summit Commitments and Youth Employment
Services (“YES”) implementation. The SETA has initiated various partnerships with
universities and colleges to address student placements, unemployed learnerships and
artisan trades . The SETA has established some skills centres in partnership with some
TVET colleges. The SETA is leading in the establishment entrepreneurship institute in
collaboration with other SETAs. The SETA has partnered with University of Cape Town with
the aim of investing in research into Cosmetic Formulation Science which is the first in
Africa.

INTERVENTIONS : The SETA Chief Executive Officer (“CEO”) was appointed and the
Accounting Authority was appointed and inducted on governance related matters, amongst
others. To address series of allegations against the SETA, the Minister instructed the
Services SETA through section 14A to submit an action plan and a turnaround strategy
with timeframes that indicate how all the issues pertaining the governance challenges
going to be resolved. The SETA was also directed to submit a comprehensive report
addressing the veracity of all the allegations raised. The SETA is submitting the reports
and equally will be submitting a report once completed by an independent investigator.

68
 Transport Education and Training Authority

SCOPE OF THE SETA : The TETA is responsible for the following subsectors:
Maritime; Rail; Road Passenger; Road Freight; Freight Handling; Aerospace; Freight
and Clearing.

TOP TEN OCCUPATIONS IDENTIFIED FOR THE TRANSPORT SECTOR

THROUGH RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20
1. Truck Driver (General);
2. Oversized Load Pilot/ Escort;
3. Diesel Mechanic;
4. Passenger Coach Driver;
5. Supply and Distribution Manager;
6. Welder;
7. Freight Handler (Rail or Road);
8. Millwright;
9. Aeroplane Pilot; and
10. Electrician.
69
 Transport Education and Training Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 29/55 35/54 39/68

% Achievement 53% 65% 57%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: The Chairperson of the SETA wrote to the Minister with regards to the
challenges in the working relationship between the Accounting Authority (“AA”)
members and the Chairperson which has an impact to good governance of TETA.
Effective and appropriate steps were not taken to prevent irregular expenditure
amounting to R 503 000 disclosed in note 25 (2017/18) to the annual financial
statements, as required by section 51(1) (b) (ii) of the PFMA. The majority of the
irregular expenditure was caused by management not keeping up to date with changes
in legislations issued by the National Treasury. The SETA has committed to put
measures in place to prevent occurrences of this nature. Contract management
regarding with Service Providers.
70
 Transport Education and Training Authority

SUCCESSES: The SETA continues to drive support for national strategic

initiatives such as the Oceans Economy strategy that forms part of Operation
Phakisa and the Aviation IndustryTransformation Letsema. The SETA is
partnering with the Nelson Mandela University (“NMU”), to formulate the
navigation studies curriculum and supported the development of Grade 12
Maritime Economics textbook.

INTERVENTIONS: The SETA has a permanent Chief Executive Officer (“CEO”)

and has been re-established for the period from 2020 to 2030. The Minister
directed the National Skills Authority (“NSA”) to commission an investigation on
the alleged failure of the TETA AA to exercise its fiduciary responsibilities. NSA
is in the process of investigating the allegation where-after recommendations
will be made to the Minister.

71
 Wholesale and Retail Sector Education and Training
Authority
SCOPE OF THE SETA: The W&R SETA, is responsible for the following
subsectors: Wholesale and Retail.

TOP TEN OCCUPATIONS IDENTIFIED FOR THE W&R SECTOR THROUGH

RESEARCH AND SECTOR SKILLS PLAN (“SSP”) FOR 2019/20

1. Sales Assistant (General);

2. Retail Buyer;
3. Butcher;
4. Confectionary Baker;
5. Retail Manager (General);
6. Sales and Marketing Manager;
7. Retail Supervisor;
8. Retail Pharmacist;
9. Safety, Health, Environment and Quality (SHE&Q) Practitioner; and
10. Commercial Sales Representative.

72
 Wholesale and Retail Sector Education and Training
Authority

YEARS 2015/16 2016/2017 2017/18

Number Targets 29/55 35/54 39/68

% Achievement 53% 65% 57%

2018/19 Financial Year Under the Auditor-General Audit Process

CHALLENGES: Effective and appropriate steps were not taken to prevent irregular
expenditure amounting to R84 054 000 as disclosed in note 35 to the annual financial
statements, as required by section 51(1)(b)(ii) of the PFMA. Effective and appropriate
steps were not taken to prevent fruitless and wasteful expenditure amounting to R293
000, as disclosed in note 34 to the annual financial statements, as required by section
51(1)(b)(ii) of the PFMA. The majority of the fruitless and wasteful expenditure was
caused by interest paid on late submission of South African Revenue Service’s
obligations. High Turn-over at Senior Executive Level this include Chief Executive
Officer (“CEO”) and Chief Operating Officer (“COO”) and Chief Financial Officer
(“CFO”) which created uncertainty for the SETA. Declining SETA performance.

73
 Wholesale and Retail Sector Education and Training
Authority
SUCCESSES: The CEO has been appointed and most of the senior
management positions are being filled. The SETA has functional Accounting
Authority (“AA”). The SETA is participating in initiatives such as Job Summit
Commitment implementation. Following the successful implementation of the
ground-breaking Retail Schools of Excellence Project in KwaZulu-Natal, the
SETA has taken a decision to roll out the project to other provinces. The rollout
of the TVET Colleges initiative commenced in Gauteng and has been
implemented at the South West Gauteng and Central Johannesburg. The
initiative is aimed at increasing the SETA’s national footprint in line with the call
by the Minister to establish presence in rural areas and townships. To date, the
W&RSETA has established offices in 32 TVET colleges across the country.

INTERVENTIONS: The SETA has been re-established from 2020 to 2030.

There is a one on one with the executive management to support the entity to
improve its performance. The AA members will be appointed for a period of five
years from 01 April 2020 to 31 March 2025. The SETA also participates in
engagements with the Auditor-General, including during the SETA Chief
Executive Officers Forum.

74
 National Skills Development Plan and SETA Landscape

• White Paper for Post-School Education and Training;

• Ministerial Task Team Report on SETA Performance;
• Human Resource Development Council Report on the Skills System Review; and
• Number of other reviews and reports considered.

National Skills Development Strategy and SETA Landscape Proposal

(NSLP 2015)

75
National Skills Development Plan and SETA Landscape
NSDP VISION & PURPOSE

CONTRIBUTION TOWARDS

- Economic growth
VISION - Employment creation
- Productivity
An educated, skilled
- Social Development
and capable workforce
for South Africa

76
 National Skills Development Plan and the SETA
Landscape Background

To address, amongst others:

1. Efficiency and effectiveness of the current system: Moving away from short
term planning to long term planning- focus on outcomes;

2. Integration of skills development into the post-school education and training

system;

3. Improvement in the quality of education and training to enhance the

capabilities of our people so that they are active participants in developing
the potential of the country; and

4. Enabling government and social partners to contribute towards economic

growth, employment creation and social development.

77
National Skills Development Plan and SETA Landscape

1. Current National Skills Development Strategy (“NSDS”) III will be replaced

by the National Skills Development Plan (“NDP”) with eight outcomes
which will guide the disbursement of skills levy with effect from 01 April
2020;

2. The NSDS Evaluation Report (2011-2016) conducted by the National

Skills Authority (“NSA”) has been considered in the process of
development of the NSDP;

3. The legislation and regulations will be amended to address, amongst

others, governance and accountability problems identified.

4. Consultation will be undertaken with social partners, including at National

Economic Development and Labour Council (NEDLAC).

78
 SETA Strategic Focus Areas (Post 2020)

1. Better serve the national priorities as ushered in the government Medium

Term Strategic Framework (“MTSF”) and Sector Specific Priorities of
government by prioritising occupations in demand;

2. Support the National Development Plan (“NDP”), New Growth Path

(“NGP”), Industrial Policy Action Plan (“IPAP”), Operation Phakisa, Job
Summit Agreement, Green Economy etc.;

3. Strengthen the governance, accountability and delineate the role of the

Accounting authorities to that of the SETA Executives; and

4. Address efficiency and effectiveness of the SETAs and focus long term
planning: Outcome orientation.

79
National Skills Development Plan Outcomes

80
Thank you

81