Skills Development

Why should you train your employees in your organisation while the country is in the middle of a recession and with numerous companies restructuring and retrenching? There are numerous answers, statements and perspectives around this, but a proven theory is that a workforce that is continuously being upskilled gives a company a competitive advantage above their competitors.  It is further proven that Top Employers around the world invest in talent which provides a tremendous benefit for employees alike. It also gives employees the opportunity to stand a better chance of being reemployed within another organisation should they get retrenched.

Skills Development goes hand in hand with B-BBEE scorecard as one of the priority elements with a subminimum of 8 points that needs to be reached. The below table indicates the areas that a company under the generic codes needs to meet to achieved the relevant points.

Indicator Target Points
Expenditure on learning programmes for black people. 3.50% 6
Expenditure on bursaries of black students 2.50% 4
Expenditure on learning programmes for disabled black employees 0.30% 4
Training and development programmes
Number of all black people participating in learnerships, apprenticeships or internships 5% 6
Bonus points
Absorption of black people after learnerships, apprenticeships or internships 10 5

In order to receive any points on your Skills Development element on B-BBEE, the organisation needs to submit proof of their WSP, ATR and Pivotal plans and the approval letter from the relevant SETA.  Organizations needs to spend 3.50% of their leviable amount (payroll) on training which excludes your bursaries (Diplomas, Degrees and post graduate qualifications). Why not claim this against your WSP and ATR and get 20% of your Skills Development levy back? Also why not indicate your intentions for bursaries, learnerships, apprenticeships and internships in your PIVOTAL plans and claim back from discretionary funding (up to 40% of your Skills Development Levy).

Let Dalitso Consulting assist your organisation today, to submit your reports and claim some money back for your training budget.

Contact us today on  or 012 753 2425.