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TEMPLATE FOR SUBMISSION OF PROPOSALS/INITIATIVES TO THE JOBS SUMMIT

WORKING COMMITTEE:

Education and Skills Working Committee

PROPOSAL NAME:

IRM TVET Initiative

PROPOSER:

Business

ORGANISATION:

National Business Initiative / Harambee

CONTACT PERSON:

Makano Morojele

PROBLEM STATEMENT

Short statement of the problem (s) that the proposal will address

Despitepersistentskillshortagesinkeyeconomicsectors,thepathwaysfortechnicaloccupationsremainblockedforthelargenumbersofyoungpeoplewhoexittheschoolingsystemeachyear.

Forthosewhoembarkontechnicalpathways,relativelyfewgetaccesstoapprenticeshiporlearnershippathwaysthatleadthemtoaartisanaltrade.Fortheremainingyouth,therearenomeaningfulalternativepathwaysthatcanleadtomeaningfullabourmarketopportunities.

Thelackofavailablepathwaysisduetoacombinationoffactorsonthesupplyanddemandsideofthelabourmarket,aswellaschallengeintheinterfacebetweensupplyanddemand.

Onthesupplysidethesepathwaysbecomestuntedearlyonduetolimitedopportunitiesinpostschooleducationandtraining.Forthosethatdogainaccesstotechnicalandvocationaleducationandtraining(TVET),thequalificationsaretheoreticalinnature,poorlydeliveredanddonotprovidemuchaccesstopracticaltraining.Thereisalsolimitedopportunitiestogainworkexperienceandonthejobtraining.

Onthedemand-side,companiesfaceanumberofeconomicpressuresandstrugglewiththelevelofriskassociatedwithrecruitingandtrainingyoungpeople.ThepoorqualityofTVETcompoundsthisrisk,withcompanieshavingtosupplementtheskillsmismatchthroughrecruitmentandtrainingcosts.

Whilegovernmenthasputinplaceanumberofdemand-sideemploymentincentives,theseincentivescannotrealisetheirobjectivesifthesupplyofskillsandthemechanismsforlinkingthissupplyintotheseincentivesisnotaddressed.

Thisproposaloutlinesaplantoaddressthekeyblockagesintechnicalpathwaystocreatescalableandsustainableopportunitiesforyoungpeopleintechnicaloccupationsacrosstheeconomy.

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PROPOSAL

Short description of the proposal

HarambeeandtheNBIhavejointlyinitiatedathree-yearprogrammetoimplementamodelofTVETpathwaysintoInstallation,RepairandMaintenance(IRM)occupationsacrossarangeofsectorsintheSouthAfricaneconomy.

IRMworkersareentryleveltechnicalrolesacrossarangeofcontextandmayinvolveinstallation,repairandmaintenanceofmachinery,equipmentandbuildingsforIT,security,plantoperations,automotive,hospitality,retail,renewableenergy,telecommunications,logisticsandhouseholdservices.

TheHarambee/NBIpartnershipoperatesatthesupply-demandinterface-catalyzingdemand-sideopportunitiesandworkingwiththesupplysidetosource,matchandeffectivelypreparecandidatestoaccesstheseopportunities.

TheIRMinitiativehastwobroadobjectives:

1. Createscalableandsustainableaccesstomid-leveltechnicaloccupationsinlargecompaniesandSMEs,offerapathwaytoartisantradesandself-employment

2. DisruptcurrentpathwaysandcreateanenablingenvironmentforTVETCollegestoprovidethenecessarypipelinetomeetIRMdemand

Toachievethis,theinitiativewillleverageoffexistingsupply-sidefundinganddemand-sideincentivesintheyouthemploymentecosystem,andinterveneinthesupply-demandinterfacetoenablemoreeffectiveandefficientpathwaysforyouth.

Thekeyelementsoftheinitiativeareasfollows:

- Creatingasocialpartnershiptoguidesolution-buildingandunlockingresourcestosustainthese.

- CatalysingandsecuringemployerdemandforIRMopportunitiesacrossmultiplesectors.

- Supportingemployerstomakeoptimaluseofdemand-sideincentives,suchasYES/ETI,ESDandothersforthepurposeofopeningworkplacelearningandemploymentopportunities.

- Designingandimplementinganintegratedtechnology-enabledprogrammetoensureyoungpeopleareeffectivelyselected,skilledandpreparedforentryintotheIRMopportunities.

- DevelopingthecapacityofpublicTVETcollegestodrivetheimplementationoftheIRMintegratedprogramme.

- Monitoringandsupportingcandidatesthroughouttheirjourneyalongthetechnicalpathwaytoensuresuccessfullabourmarketoutcomes.

Theinitiativewilltargettwoyouthcohorts:

1. ThosethathavecompletedtheirengineeringqualificationinacollegeorhaveaGrade12certificatewithtechnicalsubjects,

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buthavelittleornopracticalskillsandareunabletoaccessworkplacelearningopportunities

2. ThosewhohavenotcompletedGrade12areatriskbutdemonstratethepotentialtoembarkontechnicaloccupationsifprovidewiththerightsupportandopportunities.

TheIRMprogrammewillcomprisethefollowing:

- SelectionandmatchingofcandidatesbasedonoccupationaldemandsdeliveredbyTVETColleges

- Anintegratedtheory,practicalandworkreadinessprogrammedeliveredthroughTVETColleges

- 1-yearworkplaceinternshipinIRMtraineepositionacrossvarioussectorsoraccesstoartisanpathways

- Conversiontoownaccountmicro-enterprises(throughEnterpriseandSupplierDevelopmentInitiativeswherepossible)forcandidatesthatdemonstrateentrepreneurialcapability

TheTVETCollegecapacitybuildinginterventionwillachieve:

- Improvedselectionandmatchingprocessesandpractices- Improvedcurriculumdeliveryofintegratedtechnicaltheory,

practicalandworkreadinessthroughblendedlearning- Improvedmanagementofcurriculumandindustry

responsiveness

Theintegratedtechnicalskillsandworkreadinessprogrammewillcomprise:

- TheN2/N3engineeringtheorycollegecurriculum(forthosethatdon’thaveatechnicalmatric)

- Genericpracticalskillsin:handtools,powertools,measuringandmarking,introductiontoelectricalandelectronics,introductiontohydraulicsandpneumatics,healthandsafety.

- Specificpracticalskillsforspecialisedareassuchassolarheating,photo-voltaicinstallations,autobodyrepair,ITnetworkingetc.

- Behaviourchangeinterventionsthataretailoredtothedemandsofthetechnicalenvironmentsintowhichcandidateswillbeentering.

EMPLOYMENT IMPACT

Describe

TheInitiativewillintheperiod2018-2021create7500employmentandself-employmentopportunitieswithacombinationofOntheJobTrainingusingexistingLearningProgrammessuchasLearnerships,InternshipsandApprenticeships.

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Aconversiontargetof80%hasbeensetwhichwillresultinatotalof5250sustainableemploymentopportunitiesbeingcatalysedwithintheSMMEandlargeemployerenvironments.TheInitiativehassetitselfatargetofdevelopingandsupporting2000entrepreneursfromthebasetargetof7500.

ThebeneficiariesoftheInitiativewillbepathwayedintotheformalaswellastheinformaleconomyinmid-leveltechnicaloccupationsasTechnicalAssistants.ThiswillbealevelsittingbetweenOperatorsandqualifiedArtisans.

ANCILLARY BENEFITS

What benefits additional to employment will be achieved, particularly in relation to national imperatives of transformation, equity and eradicating poverty

Theinitiativewillbuildanindustry-ledpartnershiptosecuresustainabledemandforTVETCollegegraduateswithtechnicalqualifications.Thisdemandwillbebothforemploymentandforenterprisedevelopment.

TheinitiativewillalsoputinplacethenecessarysystemsandcapacitywithintheTVETCollegesystemtoensureasustainablesupplyofthegraduateswiththenecessaryworkreadinessandpracticalskillstosuccessfullyentertheworkplace.Throughthis,theinitiativewillensureviableandsustainablepathwaysforlargenumbersofyoungpeoplewhowishtoembarkonatechnicalcareer.

FortheTVETColleges,theinitiativewillprovide:

- a better understanding of theworkplace skills requirements forjob families thatwill enableworkplaceentryandmobility in thelabourmarket.

- moreeffectiverecruitmentandselectionofstudentstoensureamoreeffectivematchtooccupationalrequirements.

- innovative programme offerings in place, built aroundpedagogicalmodels, includingtheuseoftechnology,thatensureoptimalpreparationforentryintotheworkplace.

- effective management and delivery of innovative programmes,using appropriate vocational pedagogy, blended learning andauthenticpracticalapplication.

- effective integration of institutional and workplace-basedlearning.

ForEmployers,theinitiativewillprovide:

- amorestable,reliableandcost-effectivepipelineoftalent

- mechanism to optimise demand-side incentives while making amore substantive contribution to employment creation andenterprisedevelopment

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- mechanism for a constructive engagement andpartnershipwithgovernmenttowardsmutualobjectives

CONSTRAINTS

Brief summary of hurdles to be overcome in order to implement the proposal

Assumptions

§ Astrongsocialpartnershipcanbeestablishedbetween:DHET,TVETcolleges,companies,industrybodiesandorganisedlabour

§ Sustaineddemandforentryleveltechnicianrolesintheinstallation,repairandmaintenanceofmachinery,equipmentandinfrastructure

§ CompaniessignupforYES/ETI

§ Employersarewillingtogivecollegesachance

§ Willingcollegescommittoaproductivepartnershiptoimprovetheirteachinglearning

§ Arangeofopportunitiesformicro-enterprisestoprovideinstallation,repairandmaintenanceserviceswithinsupplychains,andyouthcanthereforebesupportedtoestablishmicro-enterprisesoncetheyarecompetentintheseskills.

Risks

§ Fundingmechanismstosustainthemodelarenotsecuredtimeouslyandattheappropriatelevels

§ NotallpublicTVETCollegeswillrespondpositively,whichwillimpactongeographiccapabilitytorespondtodemand

§ Collegeswillrequiresubstantialsupportfrombusinesstochangethecultureofteachingandlearning

COST

Cost implications

AnacknowledgmentofthecostpressuresthatconfronttheSouthAfricaneconomyanditsgrowthprospectsisagoodstartingpoint.TheInitiativeacknowledgestheneedtoleverageonpublicandprivatesectorinvestments&resourcestoachievetruescaletowardsinclusiveeconomicgrowth.

Apreunitcostforsourcing,assessingandworkreadyingacandidatewillcostaroundR80000.Thisfigureisacombinationof:Sourcing,selection&matching;practicalskillstraining;stipendsandlearningplatformlicensingcosts.InorderfortheInitiativetotrainandconnect7500youthtomultipleeconomicparticipationopportunitiesabudgetofR500-R600Mwillberequiredovertheperiodofimplementation.

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SOURCE OF FUNDING Where will the funds come from? What will the private sector contribution be?

Combinationofpublicandprivate/donor/corporatefunding.Publicfundingwillcomprise:ETI(fromcompaniesparticipatinginYESandbeyond),SETAfunding(grants),JobFund

TVETcollegescouldcontributeinkinde.g.workshopsequippedtoindustrystandards(throughpublicandprivatefunding)

LINKS TO OTHER WORKING COMMITTEE ISSUES

Insert other issues from other working committee issues as identified in the list of nominations

OTHER ISSUES Any other issues that require discussion

If you have any queries please contact Laurraine at laurain@iafrica.com

REGISTRATION NUMBER: 2014/042417/08 PRESIDENT: Jabu Mabuza VICE PRESIDENT: Martin Kingston CEO: Tanya Cohen NEDLAC CONVENOR: Kaizer Moyane DIRECTORS: Angela Dick, Cas Coovadia, Christo Botes, Christopher Campbell, Dumisani Radebe, Gwarega Mangozhe, Kaizer Nyatsumba, Laurraine Lotter, Leon Campher, Roger Baxter, Stavros Nicolaou, Vusi Khumalo