Omar, R (March 1999) 'A new approach to the development of skills: The Skills Development Act of 1998' in SAIDE Open Learning Through Distance Education, Vol. 5, No. 1, SAIDE: Johannesburg
South Africa Contents

A new approach to the development of skills: The Skills Development Act of 1998

The Skills Development Act of 1998 is intended to tackle some of the shortcomings and flaws in existing training programmes - such as the Scheme for Unemployed Persons, launched in 19851 - that have been run under the former Manpower Training Act of 1981 (amended in July, 1990) and the Guidance and Placement Act of 1981. The Skills Development Act will replace current legislation. Rahmat Omar reports on the Act, focusing in particular on the notion of learnerships.

INTRODUCTION

The Department of Labour’s Green Paper identified a number of shortcomings and flaws in the training system, including South Africa’s poor human resources record and failure to meet middle level skill requirements in the economy.

It also focuses on problems in the industrial training system, such as:
•  The dramatic decline of artisan training;
•  Paucity of training offered to workers below artisan level;
•  Informal training systems;
•  A degree of inflexibility; and
•  The system’s inability to adapt fast enough to changing economic and employment needs.

The paper also attributes the low impact of existing training programmes to factors such as:
•  Structural difficulties facing vulnerable groups in accessing training opportunities;
•  Lack of a clear employment framework within which programmes could be planned and delivered;
•  Lack of assistance to learners to find employment after training;
•  Lack of integration of basic education with the development of applied competence; and
•  Lack of integration of learning programmes and work experience.

The Department of Labour therefore proposed a new approach to the development of skills, which complements the formal education system in South Africa.

THE SKILLS DEVELOPMENT ACT(1998)

The Skills Development Act seeks to develop the skills of the workforce to increase the quality of working life for workers. The Act also aims to improve productivity and to promote self-employment and the delivery of social services.

The Act focuses specifically on improving employment prospects of previously disadvantaged persons through education and training. Thus, employment services are to focus on helping job seekers find work, assisting retrenched workers to re-enter the labour market, and helping employers to find qualified employees. The Act also seeks to improve the quality of education and training in and for the workplace.

These objectives are to be achieved by:
•  Establishing a stronger institutional and financial framework than previously existed under the Manpower Training Act of 1981;
•  Encouraging public-private partnerships in the provision of education and training in and for the workplace; and
•  Cooperating with the South African Qualifications Authority.

The six core components of the Skills Strategy are outlined below.

1. Establishing a stronger institutional framework
The National Training Board is to be replaced with a National Skills Authority, which will advise the Minister of Labour on strategies, plans, priorities, and targets for skills development, and will ensure that these are achieved. Sector Education and Training Authorities (SETAs) will be responsible for developing sectoral skills plans which align with national skills strategies and targets.

2. Establishing a stronger financial framework
The compulsory levy, which was initially part of the Skills Development Act, is now being dealt with in a separate Bill, which is expected to pass through the National Assembly by the end of March, 1999.

3. Learnerships and skills programmes
Two types of learning programmes are proposed, learnerships and skills programmes. Learnerships are inten-ded to assist young unemployed people to enter employment and to assist workers to improve their skills levels.

4. Employment Services
The main focus of these will be to:
•  Provide advice to people on a range of available support services;
•  Assist with social plan measures in the event of mass retrenchments;
•  Assist vulnerable groups;
•  Direct individuals to job opportunities or self employment; and
•  Inform employers about available skilled people

5. Labour market information
Information on labour market trends and their implications for skills development and employment will be collected, analysed, and disseminated.

6. Improving the quality of training provided by regional training centres, industry and company provision, training trusts, and non-governmental organizations (NGOs)
This will be achieved by alignment with the National Qualifications Framework and by adopting new approaches to planning, management, funding, and evaluation of publicly financed programmes.

LEARNERSHIPS

The Skills Development Act makes provision for learnerships as a central strategy to achieve the overall vision of an integrated skills development system. The Green Paper described learnerships as consisting of a structured learning component and practical work experience that leads to ‘nationally registered, occupationally-linked qualifications in areas of skill, need or opportunity in the labour market’. The qualification should be recognised by SAQA.

The learnership system will require that a contractual agreement be established between a learner, an employer or group of employers, and an accredited training provider or group of providers. These agreements will confer specific responsibilities on each party to the agreement, and will indicate conditions for the termination of the agreement.

Learnerships incorporate traditional apprenticeships, and are similar to traditional apprenticeships insofar as they provide a work-based route for learning and gaining qualifications. There are, however, some important differences between apprenticeships and learnerships.

While apprenticeships were essentially a response to the needs of the formal economy, and tended to focus on blue collar trades, learnerships are to be offered in response to more broadly based social or economic needs, and cover any occupations in which work-based learning paths are viable.

Furthermore, apprentices tended to be registered with a single employer for the duration of the apprenticeship, whereas learnerships will involve partnerships and cooperation between several workplace contexts to provide learners with the necessary spectrum of work experience.

The learnership system is an attempt to build on the strengths of the apprenticeship system.

Lessons of the apprenticeship system
The experience of the apprenticeship system has highlighted strengths and weaknesses of this system. An analysis of this experience indicates pitfalls to be avoided, as well as characteristics to strive for in the provision of learnerships.

Negative features of the apprenticeship system included emphasis on repetitive tasks and drills. The duration of the apprenticeship was long, examinations were held at the end of each year, the final goal of attaining a certificate was very distant, and the dependence of the apprentice on the trainer or college was extended for the entire duration of the apprenticeship. Often, the apprentice - as learner - was regarded as a nuisance in work situations where a choice had to be made between supporting learners and getting the work done.

The apprenticeship system did, however, have some positive features. For example, apprentices developed their ability to do work by performing in a real work context, observing experts in action, and drawing on the support and mentoring of experienced mentors and master craftsmen. In addition, apprenticeship provided opportunities for learners to take responsibility for their work and recognize lines of accountability in a workplace. Above all, it provided real opportunities for integration of formal and workplace learning.

Pilot learnerships
A number of pilot projects on learnerships are under way, and are due to be completed early in 1999. The pilots involve approximately 250 learners, mostly comprising unemployed youth in the building industry and hospitality industry. Entry requirements included a command of English and a minimum of grade nine (in three of the pilots) and grade seven (in one of the pilots).

A review of these learnerships has been undertaken by the Department of Labour, and a report is due to be released soon.

Issues to consider
The extent to which learnerships can benefit the most disadvantaged groups among the unemployed is unclear. The experience of the pilot projects will be useful in helping to provide some answers, but it should be remembered that the entry requirements applied in the pilots effectively exclude people with no formal basic education. None of the pilots focuses on the informal sector.

Programmes targeting the unemployed will have to conform to new criteria and conditions. If training is to be of a longer duration, youth (and other learners) are likely to need other forms of support, including transport, accommodation, day care, and allowances. If these needs are not catered for, the most disadvantaged learners are likely to be effectively excluded. Issues relating to resourcing these programmes will therefore be crucial.

Rahmat Omar is SAIDE’s Further and Vocational Education and Training Coordinator

1 According to this scheme, training providers are contracted by the Department of Labour to undertake the training of unemployed persons according to requirements prescribed by the Department of Labour. Thirty four percent of funds in this scheme are reserved for Regional Training Centres, the rest is allocated to private providers, including ngo’s, recognised by the Department of Labour.


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