/ 27 November 2009

MerSeta races ahead

With more than 44 000 members and
660 000 workers in the manufacturing, engineering and related services industry, merSeta’s successes have proved that education and training initiatives can reach new, higher levels.

For the sixth year running, merSeta has received an unqualified audit from the auditor general. More than 21 000 learnerships, apprenticeships and bursaries were granted in the various fields and more than 6 700 small and medium enterprises received sustainable support from merSeta.

It is indeed a leading player in closing the skills gap. Internally, merSeta has embarked on major education and training projects to ensure staff operate at optimum levels.

Stakeholder satisfaction is key to its survival. And its culture and environment are consistently aligned to ensure best delivery.

The challenge has been significant — the international community is plagued by global economic disturbances not seen since the Great Depression in the 1930s.

This economic downturn has hit the sector particularly hard — merSeta had to radically refocus its priorities to ensure that the auto sector, as well the steel manufacturing and the motor retail and component manufacturers, could weather the storm.

Companies in the United States recently found themselves in dire straits, resulting in major bailouts of the big three, General Motors, Chrysler and Ford.

This affected the South African industry, which was among the first to start shedding thousands of jobs. In the 2008-09 financial year, the sector shed more than 40 000 jobs. Yet merSeta’s financials and training initiatives remain sound and well accounted for.

The levy income for the past financial year was R627-million and additional income brought total revenue to R820-million. The number of contributing companies decreased to 11 913 from 12 784 the previous year, yet merSeta levies rose.

Since the introduction of the voucher implementation system, whereby extensive support and training is given to entrepreneurs, more than 6 700 small to medium enterprises have managed their affairs through merSeta intervention on the training front.

These programmes included switchboard training, communications, management improvement, mentorship, financial capacity and skills. This system assists all — from sweeper to managing director.

MerSeta also made a major impact on youth seeking careers in the sectors under the organisation. More than 30 000 learners were reached through merSeta’s participation in career expos throughout South Africa.

In a similar vein, merSeta also revisited the concept of adult basic education and training (Abet). As well as leading the sector, it introduced the accelerated Abet, business Abet and occupation Abet.

These programmes are cutting-edge and merSeta is conscious of learning strategies focused on adults in the methods it uses.

A key project that expounds its success is the expansion of the accelerated artisan training programme. This programme has received the sanction of a host of institutions, including the South African National Defence Force, the South African Navy and other relevant institutions.

MerSeta has received R136-million from government to cater for more beneficiaries of this scheme.

Acknowledging the need for direct intervention in the face of the economic downturn, merSeta launched the new venture creation learnership, which currently has 490 beneficiaries.

The aim of this intervention is to upskill artisans with business acumen. We also availed R80-million for the retrenchment assistance plan, which assists companies and businesses facing downscaling in these harsh times.

MerSeta makes money available for further training rather than retrenchment, so that when the economy is revitalised workers can return to full productivity. This is in conjunction with government’s training lay-off scheme.

Education and training is an ever-evolving scenario — one in which merSeta will continue to thrive as the economic landscape shifts in favour of an impending upswing.