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PSETA

ROAD AHEAD……..

PRESENTATION TO PORTFOLIO COMMITTEE ON PUBLIC

SERVICE AND ADMINISTRATION8 SEPTEMBER 2010

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PSETA MATTERS:-1. Turn around strategy:

Implementation of the MoA between SETA and DPSA

AG Report and Management letter PWC Forensic Audit

2. Highlights for 2009/20103. Strategic Objectives4. Challenges5. Conclusion

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MoA between DPSA and PSETA

Objective of the MoA: Securing PSETA’s Operational Independence from

DPSA Assist PSETA in setting up effective operational

infrastructure, i.e. Organisational policies and procedures.

Transfer DPSA seconded staff to PSETA – committee established to facilitate transfer – union representation.

Facilitates transfer of funds from DPSA to PSETA ito of PMFA

Deadline 31 March 2011

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Forensic Audit

PWC commissioned in 2007 to conduct forensic audit subsequent to the fraudulent activities conducted on the NSF Account Report finalised July 2010 - referred to the SIU for

further investigation . Briefing to the SIU to be finalised in two weeks – to

include widening the scope of investigation. End result = Close chapter of fraud & corruption

within PSETA. Start on clean slate with culture of high ethics,

accountability and sound governance.

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AG Report and Management letter

Set up Action Plan to resolve challenges raised by AG within the next 6 months. Some of the key areas of focus and action taken are: Lack of supporting evidence. Developing Records Management

Policy in line with National Archives and implemented integrated MIS.

Lack of polices and procedures. Review of current policies and procedures and development of sound internal controls

Controls of learner contracts are not effective: Develop verification plan and operating procedure manual, taking into account recommendations of the SIU

Non-compliance with the PFMA: Internal Audit function and Audit Committee already set in place. Risk Assessment Committee to be set in place.

NSF Liability & DPSA Receivable: Measures to resolve outstanding issues put in place, including mediation by Treasury

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Highlights for 2009/2010

Key milestones Developed three learning frameworks for three learnerships Revised the learner agreement registration process and

provided government departments with an induction workshop. Trained 132 Skill Development Facilitators on the use of the

Sector Career Guide and Scarce and Critical Skills List in six provinces

Successful SAQA audit and recertification of PSETA as ETQA for the public sector

Identified and assisted fifth Institute of Sectoral or Occupational Excellence (ISOE) to achieve strategic provider status.

Accredited sectoral training providers for the Department of Home Affairs and Statistics SA

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Strategic Objectives

To facilitate and campaign for the amendment of the Skills Development Levy Act and S 30 of SDA in favour of the Public Sector to contribute the Skills Development Levy.

To develop a dynamic funding model and concomitant strategies to alleviate the funding situation of the PSETA and ensure its capacity to deliver its turnaround strategic plan.

To strengthen the PSETA Governance Capacity and thereby improve the Board’s capacity to fulfil its governance and fiduciary responsibilities.

To rebrand and step up the public profile of the PSETA amongst the general public based on renewed sense of purpose and direction.

To establish a full-fledged PSETA that is independent from the DPSA financially and administratively.

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FORTH COMING EVENTS

Skills Needs Symposium 17 September 2010 – development of Sector Skills Plan

Induction Workshop for Training Committees of Dept of Public Works, Roads & Transport - 23 September 2010

Feedback and SSP workshops from 12 October 2010 to 16 November 2010 with Provinces and National Departments.

Inter- Gseta forum – PSETA – to be instrumental in co-ordination, and catalyst for identifying workplaces in Public Service for absorption of learners

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Road ahead …..key challenges

Implications of Administration by DHET Conclusion of SIU investigations asap. Independence from DPSA – certificate of assurance – putting in place effective

policies, systems, procedures & staffing within 6 months Review of PSETA Scope – parastatals, public entities, other SETAs Funding model for PSETA to receive 1% levy from Government departments (S 30

of SDA) Clarify relationship with DPSA and DHET in relation to skills development needs of

Public Service – interaction with Joint Ministerial committee…..alignment of PSETA objectives and activities with NSDS III

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Conclusion Turnaround of PSETA has begun New CEO and CFO committed to establish PSETA as a

leading, independent, sustainable Training Authority PSETA has potential to lead government as the skills

development champion in the country, providing workplaces for learnerships and apprenticeships to other sectors in the labour market, and becoming a catalyst for job creation.

PSETA is best placed to play this facilitative and co-ordinative role in partnership with the critical role players.

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END

Q & A