11.1 Relevance of training to business needs
• Learnerships are developed by the industry for the industry, in consultation with all relevant stakeholders, so the learning programme and qualification of the Learners are relevant to the specific occupation
• The outcomes of the learning programme meet the standards for the industry
• Greater credibility of qualifications, as employers have the assurance that the learners can demonstrate the competence reflected in their qualifications
11.2 Improved skills and work performance
• A Learnership is a tool for multi-skilling, as it develops the competence of employees in every component of the work processes of an occupation
• The learning route of a Learnership is more effective in promoting the practical application of learning in the workplace than most other routes
11.3 As training programmes that combine theory and relevant practical elements, learnerships create skilled people who:
- o tend to work more independently, need less supervision and possess enhanced problem solving capabilities;
- o are motivated and strive to add value to the business;
- o are less likely to leave a company that takes an interest and invests in their personal and professional development.
- o entering into learning contracts with unemployed people, contributes to building up the skills pool, from which employers may recruit relevant skills as needed.
- o the more skills gained, the greater the productivity and the more meaningful the individual’s contribution to South Africa’s global competitiveness and to creating an environment conducive to investment.
11.4 Achievement of Employment Equity Objectives
- Progress in meeting Employment Equity targets, since previously disadvantaged employees have opportunities to improve their work-related competence and obtain qualifications
- Your business can improve its competitiveness by earning additional points on the BEE scorecard that are reserved for learnership training.
11.5 Appropriately Trained Recruitment Pool of Potential Employees
• Employers will be able to select employees from a wider pool of appropriately qualified workers who have developed skills that are relevant to the company’s specific work context.
• Opportunity to collaborate with training providers in customising learning programmes to meet specific workplace needs
• Because employees will be acquiring new knowledge and skills and applying these in the workplace, companies will be raising the skills levels of employees while improving work performance
11.6 Increased Return on Investment in Training
• Higher returns from the Skills Levy and investment in training, due to transfer of learning to the job
• Increased grant disbursements from Skills Levy contributions. Many SETAs offer learnership grants ranging from R 4 000 – R 40 000 per learner. However the grants are subject to availability and are offered on a first come, first serve basis on the condition that the learnership address a scarce skills in the sector, so you will need to plan ahead and get your grant application in to the SETA as early as possible to stand a chance of getting the additional help.
• The details of the tax incentive are contained in Government gazette No. 23 709 that was published on the 5 August 2002. The entitlement derives from the Taxation Laws Amendment Act, No 30 of 2002. You can find a copy on the SARS website: www.sars.gov.za (First select Legislation, then Acts, then Act No 30 of 2002) or on website www.inseta.org.za (First select Learnerships, then Legislation Relative to Learnerships,then Amendment to the income Tax Act).