Strategic business planning in South Africa needs a forward-thinking approach so when it comes to cultivating a skilled workforce, there is one action that repeatedly delivers – the inclusion of learnerships into Workplace Skills Programmes (WSP) and Annual Training Reports (ATR).
“Companies are constantly seeking ways to remain competitive and future-ready,” says Rajan Naidoo, Managing Director of EduPower Skills Academy. “One of the best ways to achieve this is to leverage learnerships in their WSP and ATR. This not only contributes to the creation of a robust talent pipeline, it also unlocks substantial financial benefits in the form of mandatory and discretionary grants.”
Understanding WSP and ATR
WSP and ATR are integral components of the Skills Development Act in South Africa. The WSP outlines a company’s skills development needs and strategies, while the ATR serves as a report on the actual training undertaken.
“These documents are fundamental for companies seeking to align their workforce with industry demands and government regulations,” explains Naidoo.
The Role of Learnerships
Tried and tested, learnerships are one of the best mechanisms for building a talent pipeline. These work-based learning programmes integrate structured theoretical learning with practical, on-the-job experience.
“Learnerships greatly enhance the employability of individuals and with the skills they gain over the 12 months of the programme, graduates can add value from day one,” he adds. “By including learnerships in the WSP and ATR, businesses can, therefore, achieve a multi-faceted approach to employee development that benefits both the business and its workforce.”
Creating a Talent Pipeline
Another advantage of incorporating learnerships into your WSP and ATR is that fact that this will allow companies to identify and nurture individuals with potential, moulding them into skilled and competent professionals. “This provides a mechanism to address current skills gaps and ensures the sustainable flow of qualified employees to meet evolving industry needs,” states Naidoo.
Financial Benefits
Beyond the intrinsic value of cultivating talent, integrating learnerships into WSP and ATR is a strategic move that also pays off financially. Companies can tap into the government incentives in the form of Mandatory and Discretionary Grants available through the Skills Development Levies Act, enhancing their return on investment in skills development.
- Mandatory Grants: Companies required to pay skills levies are eligible for mandatory grants when they submit their WSP and ATR. By including learnerships in these plans, businesses increase their chances of qualifying for a higher percentage of the grant. This serves as a direct financial incentive for investing in learnerships.
- Discretionary Grants: In addition to mandatory grants, companies may qualify for discretionary grants based on their commitment to promoting skills development. By aligning their learnerships with the strategic objectives of the relevant SETA, businesses can access additional funding, amplifying the financial benefits associated with talent development.
