Skills development is a priority element which amounts to 20 points (and 5 bonus points) of the total scorecard points. The minimum of 40% of the points within this element must be scored to avoid dropping a level. Companies can only score points on skills development if there is sufficient evidence indicating that black people are being trained in scarce and critical skills. This means that a company can include training conducted on any person that satisfies the definition of a black person / persons as per the BBBEE Codes of Good Practice regardless of employment status.
Please note the following important amendments to the codes:
- Points increased from 15 to 20 (plus 5 bonus points).
- Spend has increased from 3% to 6% for total leviable amount (the total annual salary payroll)
- Trainees do not need to be permanent employees.
- 85% of the skills development expenditure is to be spent on accredited learning programmes such as Learnerships and SETA accredited skills programmes.
- Only 15% of your training spend can be used on internal/non accredited training.
- Learnerships must account for 5% of staff headcount (2.5% unemployed and 2.5% employed), of which 100% gainful employment equals 5 bonus points. The monetary value spent on the 5% headcount ratio will also be counted toward the 6%skills development expenditure
Amended Generic Codes of Good Practice
|Category||Skills Development Element||Weighting points||Compliance Target|
|2.1.1 Skills development expenditure on any programmes specified in the learning programme matrix for Black people as a percentage of the leviable amount|
|18.104.22.168||Skills development expenditure on learning programmes specified in the learning programme matrix for black people as a percentage of leviable amount||8||6%|
|22.214.171.124||Skills development expenditure on learning programmes specified in the learning programme matrix for black employees with disabilities as a percentage of leviable amount||4||0.3%|
|126.96.36.199||Leanerships, apprenticeships and internships|
|188.8.131.52||Number of black people participating in Learnerships, Apprenticeships and internships as a percentage total employees||4||2.5%|
|184.108.40.206||Number of black unemployed people participating in training specified in the learning programme matrix as a percentage of number of employees||4||2.5%|
|2.1.3||Number of black people absorbed by the measured and industry entity at the end of the learnerships programmes||5||100%|
What are the limitations?
Only 15% of the value of informal, uncertified training will count towards total training expenditure.Accommodation, catering and travel costs will also be limited to the above mentioned 15% of the total value.
It is important for organizations to take note that a valid WSP (workplace skills plan) and ATR (annual training report) are to be submitted to and approved by your relevant SETA where SDL’s (skills development levies) have been allocated to in order to claim for BBBEE pertaining to the skills development segment.
Training is probably one of the easiest ways to boost your B-BBEE rating for maximum points.
Any grant funding received from your SETA still becomes part of your expenditure. Learnerships increase your training spend without increasing costs and increase your B-BBEE score.
It is important to note that full costs for expenses towards Skills Development Facilitators (SDF’s) can be claimed (invoices received and proof of payment provided).
SAACI Academy's Solution
Saaci Academy is well equipped with the necessary personal to assist our members and external clients with a concrete organizational training and development plan which will from part of your organizational training requirements as well as your BBBEE skills development expenditure and targets.
We have collaborated with a few providers renowned for their expertise within their relevant fields of focus for our client to have the peace of mind that all the training enrolled for or facilitated under our supervision is that of the highest standards and value for money.