Why your business needs an accredited skills development programme
There are many reasons to invest in training.
As an accredited training provider, we have seen both the short and long-term benefits of skills development programmes for our clients. Over the past 27 years, we have helped South African companies, big and small, to train their employees.
Here are some of the reasons to invest in training:
Skills Development Compliance
The Skills Development Amendment Act 37 of 2008 was put in place to develop the skills of the South African workforce to improve the quality of life for workers, their prospects of work and productivity in the workplace. Learnerships and skills programmes are the focus of the NSDA.
There are many compliance aspects relating to skills development and Broad-Based Black Economic Empowerment dependent on the size of your business and your industry SETA. Some of them could include:
- All companies with an annual payroll of more than R500,000 must contribute the 1% skills levy;
- Businesses must spend 6% of its skills development expenditure on the training of back individuals;
- Companies must spend 0,3% of their skills development expenditure on the training of black disabled individuals;
- 2,5% of a company’s total workforce must be black employees that are participating in learnerships; and
- Businesses must have black unemployed people that are participating in learnerships equal to that of 2,5% of the total employees of that business.
Skills Development Grants and Tax Rebates
To encourage skills development compliance, certain grants and tax rebates have been made available to business. To qualify for the mandatory and discretionary grant, companies must be registered with their relevant (SETA) Sector Education and Training Authority, and complete and submit an annual (WSP) Workplace Skills Plan and (ATR) Annual Training Report. The South African Revenue Service also offers tax rebates for Learnerships.
A skilled and capable workforce
Having a skilled and capable workforce benefits your business in several ways.
There will be fewer accidents.
Proper training schedules, particularly in industries susceptible to work-related accidents, will decrease the chance of incidents occurring. Your staff will be safer when they know what they are doing and how to act when things go wrong.
Your life will be made easier.
This is a bit selfish, but it is true. If your staff are well trained, you and your managers will be able to leave them to do what they are being paid to do without worrying that they may not be doing it right, or wasting valuable time and resources on having to supervise undertrained employees.
Your company will be more efficient.
Properly-trained staff make fewer mistakes, so costing you less money for damage control. They will perform better, and therefore more efficiently; therefore you should notice an increase in overall productivity.
These are just some of the reasons to invest in training. For more benefits, and to find out how we can help your business comply to the Skills Development Amendment Act, contact us on 011 668 4300 or complete the contact form below and one of our representatives will be in touch with you.