January 22, 2025

Skilled and qualified youth can greatly benefit SA business and the economy

The South African economy faces some significant challenges like high youth unemployment rates, the energy crisis, rampant inflation and generally slow economic growth.

Much is written about the training and upskilling of our entrepreneurs to equip them to create their businesses, and this is seen as a saving grace for the SA economy. But equally as important, and as much of a contributor to the entrepreneurial pool, will be the upskilling, education and accreditation of our artisans.

Technical vocational education and training (TVET) colleges’ occupationally focused interventions and training can greatly benefit the economy. Occupation-focused interventions focus on training the specific skills required for the successful performance of an individual’s chosen occupation.

To fully address our economic issues and to ensure we can build better businesses through a correctly trained workforce, artisan trades and vocational skills development are crucial. Artisan trades and non-trade occupations play a pivotal role in economic expansion due to the economy’s reliance on a solid infrastructure of tradespeople in construction, manufacturing, equipment repairs, and other essential services.

All South Africans, from all walks of life, can support entrepreneurship and small company growth by funding and collaborating with TVET colleges and assisting them in promoting occupational trade credentials. This is a holistic, multipurpose approach that closes the skills gap, creates jobs and sustainable livelihoods, supports economic growth and promotes entrepreneurship. It is this approach that can unlock unskilled workers’ potential by elevating them to a place of being skilled and certified and, in doing so, revive the economy for a more sustainable future.

It stands to reason that business owners, too, should utilise the recognition of prior learning/trade test centre approach and collaborate with TVET colleges to upskill their workers using skills development levies.

Enter False Bay TVET College

One such college doing great work with this and establishing vital partnerships with businesses is False Bay TVET College.

Accreditation & research officer Rounell Slabber share her opinion on some of the key aspects around why business owners should partner with the college and support the programme, and what benefits businesses and the country can achieve from this:

Why are TVET colleges and occupational certificates (trade and non-trade) the future?

Skills development is vital for economic growth and employment creation, as recognised by the National Development Plan. TVET colleges with occupational trade credentials can create a trained workforce and address the skills gap in artisanal and non-artisanal crafts like automotive motor mechanics, spray painting and panel beating, electrical work, early childhood development, computer technicians etc.

Why TVETs and the programmes they offer are so valuable:

  • Skills development: TVET colleges focus on providing practical skills and hands-on training in a variety of fields including trades and non-trade occupations. This type of education is highly practical and directly prepares students for the workforce, addressing the skills gap that exists in South Africa.
  • Employability: Graduates from TVET colleges are often highly sought-after by employers due to their practical skills and industry-relevant training. This increases their employability and chances of securing gainful employment.
  • Diversification of career paths: By offering a wide range of courses and occupational certificates, TVET colleges provide students with a diverse set of career paths to choose from. This helps in catering to the different interests and aspirations of individuals, leading to a more skilled and diverse workforce.
  • Contribution to the economy: TVET graduates play such an important role in driving economic growth and development in South Africa. By equipping individuals with the necessary (practical) skills to enter the workforce, TVET colleges contribute to the country’s economy by increasing productivity and innovation by focusing on ‘hit the ground running’ skills.
  • Promotion of entrepreneurship: TVET colleges play a crucial role in fostering entrepreneurship by providing students with the skills and knowledge needed to start their businesses. This, coupled with the relevant occupational-focused training, not only promotes self-employment but also contributes to job creation and economic empowerment.

Overall, TVET colleges and occupational certificates and skills programmes are seen as the future in South Africa because they address the country’s pressing skills development needs, contribute to economic growth, and provide individuals with practical and relevant education that prepares them for the demands of the modern workforce.

Why should business partners come aboard?

Industry-education partnerships are collaborative efforts that bring higher education institutions, businesses and community together to address their mutual interest in higher education. While helping to advance the educational development in TVET institutions, the partnerships also address skills scarcity needs. In turn, TVETs provide industry and businesses with an opportunity to absorb TVET graduates with a broader practical skill range than most university graduates (thus someone who can integrate into the workplace much faster due to their practical exposure).

Industry can contribute to educational programmes and decision-making by indicating industry developments and needs, and TVETs incorporating this into curriculums and short skills programmes.

Where meaningful partnerships exist between business and TVETs, the gaps between the supply of graduates and the demand for skills are significantly reduced, and the needs of businesses are more closely met and aligned with the programmes on offer.

How do businesses benefit?

There are numerous ways that businesses benefit from this collaboration, including:

  • Many businesses struggle to find artisans or qualified people who are trained and skilled in their own industry. TVET colleges offer practical training and industry-specific information to close these skills gaps.
  • TVET college collaborations boost productivity in the workplace, the retention of good talent and ensure compliance with South African legislation.
  • Employers also benefit from a happier workforce who, with enhanced skills and knowledge, are far more inclined to experience work satisfaction and job security.
  • Compliance with the Employment Equity Act and BBBEE Act may lead to tax-related and other incentives.
  • The business benefits from being able to truthfully boast to clients (and in their marketing) that they have a certified and skilled workforce.
  • Skills levies/tax rebates are available to companies that train apprentices.
  • There will be positive changes for our society as a whole.

Apart from looking at the bottom line, it is also the responsibility of all businesses that have benefited from trade within South Africa to give something back to the country and its people. There are several benefits to supporting this initiative that will do exactly that.

This holistic learning approach closes the skills gaps in the country, creates jobs, supports economic growth and, most importantly, promotes entrepreneurship – unlocking workers’ potential and reviving the economy of the whole country for a more sustainable future.

TVET colleges are essential for promoting entrepreneurship and small company growth. Many of these more skilled people with entrepreneurial skills will themselves create businesses and they, in turn, will support the initiatives that enabled them to do so.

This knock-on effect can hopefully alleviate the unemployment issues in the long term, probably our country’s largest contributor to crime and poverty. It will also benefit the economy, encouraging creativity and economic diversity.

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