Department of Higher Education and Training National Skills Development Plan (NSDP) Presentation to merSETA Inter-Chamber Conference 15 February 2018

Presentation Outline Engagements and Consultation that informed the National Skills Development Plan (NSDP); Road ahead; 3. The Key Proposals of the National Skills Development Plan (NSDP).

Consultation/Engagement 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 Number of other reviews and reports considered National Skills Development Strategy and SETA Landscape Proposal (NSLP 2015) – 29 February 2016 SETA Landscape due to lapse 31 March 2016 NSDS III due to lapse 31 March 2016 Government Gazette issued to extend NSDS III and Re-establish SETAs until 31 March 2020 Cabinet Public Task Teams (WP/MTT) NEDLAC National Skills Authority (NSA) SETAs QCs Inter- governmental engagements Consultation/Engagement Background

Ministerial Approval of the NSDP – 31 March 2018 ROAD AHEAD Public Comments as well as ongoing engagements with National Skills Authority (NSA) Ministerial Approval of the NSDP – 31 March 2018 Gazetting of the NSDP and commence with development of phased-in implementation plan/s – including legislative reviews, business case etc – 1 April 2018.

Mandate - NSDP The NSDP draws its mandate from the White Paper for Post School Education and Training The White Paper highlights the need to build on the important policy shifts that were introduced in NSDS III, these include: Providing greater Levels of access to Education and Training in rural areas; Increasing collaboration between the skills system, government and industry; Driving skills development primarily through the Public Education system and in particular through universities, CETC and TVET colleges; and Focusing less on numerical targets and more on outcomes and impact”. ,

PURPOSE OF THE NSDP To build on important policy shifts that were introduced in NSDS III To address challenges that emerged from NSDS III such as: Workplace difficulties for graduates Limited practical workplace experience To provide a plan for the DHET to: Ensure that levy-paying institutions contribute to the vision of WPPSET Indicate the roles of the DHET and key institutions in implementing the NSDP Guide the disbursement of the levy grant money Indicate how the DHET will work with social partners in realizing the intentions of the NSPD ,

Part 2: Overarching Principles Principle 1:Moving towards an integrated post-school system Focus on greater levels of integration and coordination of the planning, funding, monitoring and evaluation of the system. This is intended to encourage stakeholders to actively participate and articulate their concerns and objectives as DHET will take responsibility for driving this system by working closely with key social partners. These changes are intended to improve the quality, quantity and relevance of post-school education and training in South Africa. Principle 2: Contributing to wider National Objectives The White Paper sets out a vision of a transformed post-school education and training system, which is expanded, equitable, diverse and integral to government’s policies and contribute to the development of the economic, social and cultural life of our country. This speaks directly to the Vision 2030 and the youth focus of the National Development Plan.

Principles and Goals of the NSDP Transformational Imperatives – NSDS NSDP must ensure that the previously disadvantaged groups, youth and those in rural areas benefit from the levy system. Principle 1: Advancing an equitable and integrated system Partnership and collaboration Public Sector and Private Sector. A focus on workplace based learning Effective stakeholder engagement Principle 2: Greater Inclusivity and Collaborations across the system Access and standardisation of processes Simplified application processes Improved efficiency and effectiveness Principle 3: Focusing on support systems for learners/stakeholders Improving Accountability Framework through improved Monitoring and Evaluation Highlights the need for Monitoring and evaluation of the system. The DHET will work with the NSA to ensure efficiency and effectiveness of the system Principle 4: Strong Emphasis on Accountability Ensure greater coherence of system while also rationalising and streamlining institutional and functional overlaps. Enable efficient use of scarce resources Principle 5: Rationalising and Streamlining the skills Landscape

Objectives – Building on NSDS III - Framework for collaboration with Educational institutions to consider how best SETAs can : fund institutions to increase enrolment and throughput; design and implement WPBL Incentives etc… Funds will be drawn from Fiscus and Levy to support occupational priorities DHET will be responsible for provision and SETAs will coordinate efforts to meet supply needs DHET will ensure material development for programmes DHET will engage with Quality Councils to ensure qualifications and curricula in place; The DHET will communicate Demand Analysis to PSET institutions to inform enrolment Planning; SETAs will participate in such discussions so as to build partnerships with industry to facilitate WIL DHET will support and guide SETAs in determining Occupational Demand based on workplace demand and Government Priorities through research and analysis Understanding Demand Steering Supply – Qualification and Provision Steering Supply – Funding mechanisms Growing Supply

Part 3 : Institutional Arrangements SETAs with unlimited lifespan but mechanism to address non performance would be put in place; SETAs demarcation based on industrial classification SIC Codes, value-chain and financial viability; Establishment of Shared Services (administrative functions and IT) Standardised systems for applications (All types of applicants) Establishment of SETAs Stakeholder Driven Boards; Limitation to Board Size determined by DHET based on sector; Board focus on Strategic issues (not operational) and DHET determine remuneration; Administrator appointed based on review report by an Assessor appointed by the department Accounting Authorities Tighten focus of the SETAs in line with the objectives set in the WPPSET; Quality Assurance functions to be effectively integrated into the QCTO Providers will only be required to engage with one Quality Council to reduce complexities. Scope of SETAs/QCTO Longer term planning aligned to MTSF and fiscal allocation to educational institutional planning; SETAs will Account on non-performance. The DHET to come up with mechanisms to deal with Non-performance Planning, Reporting and Accountability An increased efficiency and effectiveness of the use of the levy to address occupational demands of the economy NSF – National Priorities. Continue to fund the poor and marginalised. Savings from shared services could be used to fund the QCTO functions Funding Strengthen the role of NSA for monitoring and evaluation as well as policy development and advisory role Strengthened, Restructured and Refocused NSA in order to carry out the M&E function for the system. Strengthened NSA

Thank You