‘Crony capture’ of government skills development programmes undermining fragile efforts to promote broad-based economic growth

‘Crony capture’ of government skills development programmes is undermining fragile efforts to promote broad-based economic growth. 

Mismanagement of this crucial resource has already caused a skills deficit as damaging to the economy as load shedding. 

Sector Education and Training Authorities (SETAs), responsible for crucial vocational training, are a vital component of the country’s growth strategy. 

The Cape Chamber of Commerce and Industry shares widespread concerns about reports of a SETA board candidate list dominated by political party loyalists. The list, submitted by Minister of Higher Education and Training Nobuhle Nkabane, has since been withdrawn. The fact that it was submitted in the first place, however, is an indictment against the Minister’s commitment to addressing the national skills crisis. We therefore commend President Cyril Ramaphosa’s intervention in this matter. 

The Cape Chamber believes market-led skills development is fundamental to our growth prospects. We urgently need international best practice applied to vocational training, with greater input from the private sector. Industry Associations – already valuable repositories of sector expertise – should be integrally involved in appointing SETA management. This would ensure job creation for those who need it rather than for government cronies feeding off public funding. 

Our society does not have the luxury of time to keep repeating the same mistakes. 

According to DHET’s most recent figures, SETAs registered over 125 000 learners in the 2022/23 financial year, with over 76 000 obtaining certificates in these programmes. 

These learners will one day form the bedrock of our economy. 

Unfortunately, Minister Nkabane has failed to provide the necessary oversight required to safeguard this critical national resource.

Jacques Moolman
President of the Cape Chamber of Commerce and Industry