Media Statement by Minister Blade Nzimande on the transfer of the Skills Development and Training Sector to the Department of Higher Education and Training, November 4 2009

From Sunday, 1 November 2009, the Department of Higher Education and Training assumed responsibility for the skills development and training sector in government. This is an exciting development in the post-election restructuring of government to be more responsive to the developmental, social and economic needs of our country. 

We are now responsible for a range of institutions and public entities which were previously distributed across both the Departments of Education and of Labour. The Ministry of Higher Education and Training also hosts the secretariat of the Human Resource Development Strategy for South Africa, which is led by the Deputy President.

The creation of the Ministry and Department of Higher Education and Training provides an opportunity, at a critical moment in our history, for the creation of a coherent and single post-school education and training system that is structured both to meet the aspirations of youth and adults and to ensure that education, training and skills development initiatives respond to the requirements of the economy, our rural development challenges, and the need to develop an informed and critical citizenry.

During 2010, the Ministry will work with stakeholders to develop a policy framework for a diverse post school education and training system which will be responsive to identified challenges and our collective aspirations, including transformation imperatives.

The Further Education and Training College Sub-system

The Further Education and Training (FET) College subsystem has grown and changed over the last fifteen years, and further changes are anticipated with the move of the Colleges to a national function. Challenging work lies ahead to make Colleges institutions of choice for many more young people and adults.

The shape of our post-secondary system is not appropriately balanced between Universities and Colleges, and whilst access to universities must be increased, enrolment in Colleges must double in the next five years.

We will consolidate the institutional base for FET colleges in partnership with the skills development system and improve responsiveness to the needs of the economy. We will work closely with the National Board for Further Education and Training to review the impact of the some of the recent changes, particularly in the management and governance structures. The NBFET and the Ministry have agreed on an urgent national audit on individual institutional of governance and administration.

The Skills sub-system

Despite gains made to date in the area of skills development and training, the Ministry of Higher Education and Training must address a number of challenges which have limited the effectiveness of the policy intentions. These include:

• How to build a viable system of education and training that will respond to the needs of adults and youth: the self-employed; the unemployed; those with unrecognized skills; as well as the employed
• Improved coordination between the SETA system and education and training institutions, particularly FET Colleges and Universities of Technology
• Negative perceptions of SETAs performance, management and governance
• The unblocking of funds in the National Skills Fund which must include a review of systems, procedures and of decision making
• Inadequate alignment of industry needs and provision of training and skills development and in particular the need to increase the supply of artisans and technicians.
• Finalisation of industrial policy action plans to improve the effectiveness of skills development efforts. This is necessary to ensure the alignment of the Sector Skills Plans of the 23 SETAs to steer skills development strategies for the development of the labour force of our country.

The relocation of the skills development subsystem into the Ministry of Higher Education and Training thus provides an opportunity to reconceptualise strategies for skills development within the larger unified higher education and training system with positive potential impacts on the post school education and training system.

In meetings with the National Skills Authority (NSA) (which is responsible for advising the Minister on Skills Development policy) we have agreed that:

• The NSA needs to be strengthened in order to perform its expert advisory role
• The NSA must have administrative, policy and research capacity to support its work
• Alignment of the work of the NSA with HRD-SA is a priority
• The relationship between the NSA and other statutory bodies needs to be strengthened

Supporting the NSA to fulfil its important functions is a priority for my Ministry.  A strategic planning session of the NSA with the Ministry is scheduled for the first week of December.

I have appointed the Director General for Higher Education and Training as the Chairperson of the NSA during this important period of transition in order to strengthen relationships between my Department and the NSA.  This is an interim arrangement until a new NSA Chairperson is appointed.

I wish to also announce that after consultation with the National Skills Authority, I will be gazetting the extension of the National Skills Development Strategy II and current SETA licence by 1 year, from March 2010 to March 2011. I have informed all the Chairpersons of the Board of SETAs as well as their CEOs of this decision.

It is my considered view, supported by the NSA, that this extension is important to ensure alignment of the National Skills Development Strategy with HRD-SA and to allow some deliberation on the way forward. Current mechanisms contained in NSDS II will be emphasised in the Service Level Agreements between the DHET and SETAs for the 2010 financial year in order to ensure alignment with government's strategic priorities and to focus on immediate priorities such as:

• SETA/FET College partnerships (particularly on training and placement)
• The provision of opportunities for work-based learning to accompany formal learning in Colleges and Universities of Technology
• Skills for rural development and cooperatives
• The training layoff scheme
• Intensified artisan training

SETAs will to continue with their current mandate and implement their 2010/11 Service Level Agreements as well as contribute to the new strategies to finalize NSDS III.

These extensions will ensure both continuity and change.  Service delivery will continue, and be consolidated whilst the new Department of Higher Education and Training will take forward inclusive processes, with its social partners, to renew and refresh strategies, policy and institutions in order to strengthen the skills and human resource base of the country.

We will be actively pursuing collaborative relationships between the SETAs, the NSF, universities - especially universities of technology - and FETs in order to seek ways to release funds to grow the skills base.

We are working to ensure the smooth incorporation of the skills development and training component and look forward to building a strong, focused and performance team in the Department with an overall goal of creating synergy between formal education and workplace training. The move is set to overhaul the education and training landscape in South Africa and we invite the private sector and civil society to actively participate and join the skills revolution in our country.

Annexure 1

Legal context of the Ministry of Higher Education and Training

The Department of Higher Education and Training was proclaimed by President Zuma on 1 July 2009 (Proclamation No 44 of 2009, Government Gazette Number 32367).

Subsequent proclamations (No. 48 of 2009, Government Gazette No. 32387 of 7 July 2009 and No. 531of 2009, Government Gazette Number 32549 of 4 September 2009) assigned responsibility to the Minister for legislation governing Universities, FET Colleges, Skills Development, Adult Basic Education and Training (ABET) and the National Qualifications Framework (NQF).  

Legislation previously administered by the Department of Education was transferred in July 2009:

•  
  • Higher Education Act, 1997 (Act No. 101 of 1997)
  • National Student Financial Aid Scheme Act, 1999 (Act No. 56 of 1999)
  • Adult Basic Education and Training Act, 2000 (Act No. 52 of 2000)
  • Further Education and Training Colleges Act, 2006 (Act No. 16 of 2006)
  • Most of National Qualifications Framework Act, 2008 (Act No. 67 of 2008)
  • Relevant sections of:
• National Education Policy Act, 1996 (Act No. 27 of 1996)
• Employment of Educators Act, 1998 (Act No. 76 of 1998)
• South African Council for Educators Act, 2000 (Act No. 31 of 2000)
• General and Further Education and Training Quality Assurance Act, 2001 (Act No. 58 of 2001)

Legislation previously administered by the Department of Labour was transferred on 1 November 2009:

• All provisions of the Skills Development Act, 1998 (Act No. 97 of 1998) except sections 2(1)(g) and (h), 2(2)(a)(v), (vi) and (xii), 5(4) (only with respect to Productivity South Africa), 22(1), 23,  24, 25, 26K, 26L, 26M, 26N, item 4 of Schedule 2A and Schedule 4; and any other provision which pertains to "employment services", as defined in section 1, or Productivity South Africa, as established by section 26K.
• Skills Development Levies Act, 1999 (Act No. 9 of 1999)
• Section 9 of the National Qualifications Framework Act, 2008 (Act No. 67 of 2008)

Annexure 2

Public entities and public and private institutions under the Ministry of Higher Education and Training

• Qualifications and quality assurance bodies
  • South African Qualifications Authority
  • Council on Higher Education (including Higher Education Quality Committee)
  • Quality Council for Trades and Occupations (to be established)
• Advisory bodies
  • Council on Higher Education
  • National Board for Further Education and Training
  • National Skills Authority
• Funding Structures
  • National Student Financial Aid Scheme (NSFAS)
  • National Skills Fund (NSF)
• Providers
  • 23 public Higher Education Institutions (Universities and Universities of Technology) (plus registered private higher education providers)
  • 2 National Institutes for Higher Education (Mpumalanga and Northern Cape)
  • 50 public Further Education and Training Colleges (plus registered private FET providers)
  • Government Trade Test Centres
  • Skills Development Institutes

Source:www.education.gov.za

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