NAMIBIA TRAINING AUTHORITY NATIONAL …

1 NAMIBIA TRAINING AUTHORITYNATIONAL TRAINING FUNDSKILLS DEVELOPMENT16thApril 2013 Presentation Outline Vocational Education and TRAINING Act NTA Governance Structure NTF Framework Proposals, Exemptions, Definitions, Allocations Other considerations Employer TRAINING Key Priority TRAINING NTA Implementation Capacity Implementation Timelines ICAN Submission and ProposalsVET Act of 2008 Objectives of the Act; (Section 3) To achieve an effective and sustainable system of skills formation aligned to the labourmarket To establish a stable organization and management system To establish and maintain a sustainable partnership between government, the private sector and civil society to resource the provision of Vocational Education and TrainingVET Act of 2008 Makes provision for; the establishment of the NATIONAL TRAINING fund Council, the ISCs and the SACC (Section 15) the establishment of the NTF, which will consist of money voted by parliament, any education and TRAINING levies, interest from the fund and any donations received by the NTA (S.)

2 24 (1) & (2)) the imposition of a TRAINING levy on employers (Section 35)Governance Structure5 VET Act of 2008 The fund may only be applied to (Section 26); Provide financial and technical assistance fund VET programmes and projects fund expenditure incurred by the NTA in the performance of its functions as per the VET Act fund any other expenditure incurred by the NTA or the Board in performing its functions fund any other expenditure authorized by the ActNTF Regulatory and Levy Framework Proposals Levy amount will be of employers Total Payroll NAMIBIA TRAINING AUTHORITY will act as the Collection Agency for the Levy Employers operating within the borders of NAMIBIA with an annual payroll of N$ 350,000 or more are subject to the payment of the levy7 NTF Framework -Exemptions(a) the state;(b) regional councils as defined in section 1 of the Regional Councils Act, 1992 (Act No. 22 of 1992);(c) charitable organisations;(d) public and not for gain educational institutions; (e) faith based organisations; whether or not supported wholly or partly by grants from government(f) Institutions can apply to the Minister for consideration for exemption 8 NTF Framework -Definitions payroll meansthetotalannualremunerationpaidorpay ablebyanemployertoitsemployeesduringanyf inancialyear,butdoesnotincludeanyamountp aidorpayabletoanypersonbywayofapension,p ensioncontributionsorretiringallowance;9 NTF Framework -Definitions remuneration meansthetotalvalueofallpaymentsinmoneyor inkindmadeorowingtoanemployeearisingfrom theemploymentofthatemployee; financial year is the financial year as stipulated in the VET Act;10 NTF Framework -Definitions vocationaleducationandtraining meanseducationandtrainingthatprovideslea rnerswithoccupationalrelatedskillsandkno wledge.

3 11 Funding AllocationsEmployer Training50%Key Priorities35%NTA 15% AdministrationNTF Framework -Levy AllocationsNTF Framework Other Considerations NamibianizationConcept TRAINING Criteria -Up to 50% of Levy PaidThe full 50% grant will be paid to employers complying with the following criteria x% of all employees must be trained on an annual basis The annual spend on TRAINING must be X% of payroll TRAINING Linked to the Business Objectives of the Company TRAINING aligned with the labourmarket needs (ISC List)14 Employer TRAINING Criteria -Up to 50% of Levy Paid TRAINING provides skills for accelerated development Competencies developed during TRAINING TRAINING to establish avenues for promotion or employability TRAINING to provide access to opportunities and equity15 Employer TRAINING Evidence -Up to 50% of Levy Paid Learner attendance sheets Continuous Assessment Sheets Certification Invoice/receipts for TRAINING conducted (External) Letter from authorized staff member (Internal) Formula for In-Company TRAINING costs Duration of Training16 YNRequirements for Employer TRAINING Grant Implementation of TRAINING and submission of evidence within specified timelines No outstanding payment of any monthly levy for the year No outstanding penalties and interest(Penalties at 10% and Interest as per the Prescribed rate of interest Act)

4 17 Employer TrainingProcess Flow18 Annual Levy Commencement Date 1stSept, 2013 Monthly Payments September 2013 March 2014 Final Payment March 2014 Reconciliation 20thApril 2014 TRAINING Evidence Submitted50% Allocation to EmployersUnused Employers levy to Key Priority FundEmployers Reimbursed April 2014 Unclaimed Employers Levy Transferred to Key Priority Funds Used for Key Priority Interventions such as: Sector Needs Government Priorities NDP4, NHRDP Strategic Projects for VET Expansion Marginalized and Disadvantaged19 Key Priority Levy Disbursement -Process FlowAnalyses/Evaluation by NTA/ by NTFCI mplementation of projectMonitoring/ Evaluation/ReportingApproval of Payments Disbursement of :Government PrioritiesNational HR PlanNTA Strategic PlanIndustrial Skills Committees PrioritiesNTA Implementation Capacity NTA/NTF Structures are being put in place (Strat. Plan) Appointment of Compliance Inspectors LCDRS (IT System) On Line Registration IT System will calculate Levy to be paid Monthly Return forms uploaded TRAINING Evidence and report uploaded Employers can see levy paid Levy Payments to NTF Bank Account Only by EFT, Cheque and Cash21In Process Call Centre for Stakeholder Inquires Support Unit for Employer Registration VETMIS System in Process Web Site Modification Information Materials being prepared Media Information Plan and Roll Out 22 Implementation Timelines Notice of intention to impose a levy 36 (1) 11thApril 2013 30 days -Stakeholders to Make submissions 10thMay 2013 Evaluation of Submissions NTA/Government Approval Process Development of Regulations Consultation with Stakeholders23 Implementation Timelines Gazette Notice 35 (1)

5 Imposition of Levy 1stAugust 2013 Levy Implementation 1stSeptember 2013 Employer Registration by 30thSeptember 1stLevy Payment and levy return form by 20thOctober 2013 Levy paid into NTF Bank account before 20thof each month thereafter24 ICAN Submission Need 839 CA s to match South Africa Course is relevant whether graduates become CA s or not Play a role in shaping our economy CA NAMIBIA has an excellent reputation Inside and Outside the country Recognised by SAICA CA contains Leadership Competencies25 ICAN Submission Life Long Learning Entrepreneurial Skills ICAN Monitors TRAINING Ensure that Competence is obtained Equipped with a wide range of skills Appreciation of Business Environment Will be placed on the NQA26 ICAN Proposal Grants to be applicable for CA TRAINING Make available Annual TRAINING Plan formats Make available Annual TRAINING Plan report formats Other Information to prepare ICAN for the introduction of the levy27 ICAN Proposal In Company/Employer Grant Prerequisites: Annual TRAINING Plan Annual TRAINING Report Grant available for any TRAINING carried out in the company regardless of the Nature Short Courses TRAINING conducted for any population group28 ICAN Proposal Strategic Cash Grant 20% of Levy Paid Prerequisites: TRAINING for Strategic Areas Disabilities Learnership cash grant Scarce Skills Study for employed and unemployed Quality Assured and structured Workplace Experience29 ICAN Proposal Strategic Cash Grant 20% of Levy Paid.

6 Prerequisites: Assessor/Moderator grant Study Loan Repayment Grant Beneficiaries of Academic Programmes that lead to a qualification. Beneficiaries of Bridging Programmes for access to employment30 Way Forward Key Priority Workshop for the identification of priorities Request for Submissions Submissions Prioritised/Approved by NTFC/NTA Board Allocations made and implemented by NTF 31 Thank You32