The Principles are straight forward:
- For each year that a learner is registered for a learnership linked to the employer’s trade, the employer claims an allowance of R 30 000 for that learnership. This allowance is based on a 12 months periods, and full periods of a month, so if a learnership starts half way through the employer’s year of assessment, half of the allowance is claimed by the employer in the first year and half in the second.
- If the learner leaves during the year, there is no recoupment. The R 30 000 is merely apportioned for the part of the year, so that if the learner leaves after 4 months, the employer only claims 4/12 of the allowance, i.e. R 10 000. These must be full months, so if the learner leaves after 3 and a half months, the allowance must be claimed for 3 months, i.e. 3/12 X R 30 000 = R 7 500.
- Similarly, if a learnership spans 3 and half months in the first year of assessment and 8 and a half months in the second year of assessment of a single employer, the employer claims commencement allowance of R 7500 in the first year and R 20 000 in the second year.
- If the learner goes to another employer while he is still doing his learnership and the learnership is carried on, linked to that employer’s trade, the new employer claims the learnership for the rest of the year, i.e. 8/12 X R 30 000 = R 20 000. The new employer will also claim the full completion allowance, even if the learner was not employed by that employer in the earlier years or months of the learnership.
- If a learner fails his or her learnership and registers for a new learnership, section 12H will not apply to the new learnership if it contains the same education and training component of the learnership that the person failed.
- These in addition to Learnership discretionary grants, is a substantial amount that is made available to subsidise the training of a learner on a learnership.