Employer MemberShip

As an Employer how do I become a member of the SSETA and the Grant Regulations?

Here are easy steps to follow:

1). Registration
All companies within the Wholesale and Retail Sector paying PAYE on behalf of employees, must register as Skills Development Levy payers at South African Revenue Service (SARS), irrespective of the size and turnover of the company. On the SARS application form, you must indicate clearly that you would like to register with the Services SETA, which is SETA number 19.

2). Appointment of a Skills Development Facilitator
A Company has to appoint a Skills Development Facilitator (SDF). A SDF is a person who will ensure that the Company’s Workplace Skills Plan is implemented and also serve as a liaison person between the company and the SETA. A SDF can be appointed from within the company, usually a person within the training division and/or Human Resources division. An independent SDF can also be roped in to assist the company with the implementation of the Skills Development at the workplace. Companies that pays five-thousand or less per annum in Skills Development Levies, and who cannot afford the services of an independent person, can consider the services of our independent SDF which we provide free of charge.

3). Consultation Forum/Training Committee
The next step is compiling a Workplace Skills Plan (WSP). A Workplace Skills Plan is a strategic document that articulates how the employer is going to address the training and development needs at his/her workplace. This process should be an all-inclusive one. The employer should consult with all the employees or employee’s representative, irrespective of their levels or rank in the company.

If a company has more than fifty employees, a Training Committee has to be established, comprising of all levels of staff members. The primary role of the training committee is to ensure that all employees skills needs, irrespective of their levels, are included in the Workplace Skills Plan.

A company will be eligible for a mandatory grant of 15% of the Levies paid after appointing a Skills Development Facilitator and submitting the Workplace Skills Plan to the SETA on or before the prescribed date.

Mandatory Grants – Employer with annual payroll of over R500 000 pay skills development levy amounting to 1% of their payroll to SARS can claim back up to 50% for training their staff.

On 12 January 2012 Government Notice 34932 was published regulations for public comment (21 Days). These regulations are called the Sector Education and Training Authorities Grand Regulations regarding monies received by a SETA and related matters and will come into operations on a date to be determined by the Minister in a Gazette.

New NSDS 3 (National Skills Development Strategy)

Mandatory Grant will be reduced from 50% to 40%

Introducing a new 10% Pivotal Grant

 

Mandatory Grant Re-Imbursement

As an organization paying skills development levies to the Services SETA you are entitled up to a 50% Mandatory Grant on your levies paid to the Services SETA.

How does re-imbursement work?

All payments are based on submitted ATR and expenditure incurred

If you pay R100k in levies you are entitled up to R50k back

Companies who train to the value of R50k and more will receive a grant payment of R50k

Companies who train the value of R40k and are entitled to R50k will only receive a grant payment of R40k.

4). Implementation Report
After the successful implementation of the Workplace Skills Plan, a company will be eligible for a Workplace Implementation Grant. This grant is equal to 45% of the total levies received. The company will be required to submit a report which indicates what actual training and development has taken place at the workplaces and also give reasons for deviations, if any, from the WSP submitted.

5). Discretionary Grant
The discretionary grant is equal to 20% of the total levies received. Unlike the two mandatory types of grants discussed above, this grant is indeed at the discretion of the SETA. In order to qualify for this grant, Companies will have to comply with SSETA discretionary grant criteria to be eligible for grant. Learning interventions funded from the Discretionary fund window, includes but not limited to active participation in SETA’s activities.