Latest news with #Setas


The Citizen
02-08-2025
- The Citizen
‘The public deserves better': Outa and Ceta trade barbs after protest
Outa was protesting the 'rot' in Setas, but Ceta accused it of waging a smear campaign The Organisation Undoing Tax Abuse (Outa) and the Construction Education and Training Authority (Ceta) on Saturday traded barbs over a protest earlier in the week. Outa protested outside the Ceta head office in Midrand on Thursday to highlight what it called the 'rot' in South Africa's sector education and training authorities (Setas). It said Setas are plagued by deep-rooted maladministration and governance failures, while costing taxpayers around R21 billion annually. Outa protest outside Ceta office However, Ceta on Saturday criticised the protest by Outa, saying it was 'unauthorised' and 'disruptive'. 'The gathering, which occurred without proper notification and approval by the metro… interfered with Ceta's operations and created an unsafe environment for staff arriving at work, including attempts to block employees from entering the premises,' it said. Ceta added that it called law enforcement to check on the protest, after which Outa 'vacated the premises'. It also said Outa's protest was part of a 'bigger smear campaign' against Setas. OUTA is outside the @CETASkillsDev offices this morning, spotlighting the rot in the #SETA's. Billions in public funds are at risk, while forensic reports & #whistleblower evidence are ignored. Transparency is non-negotiable. Yesterday we released our full #CETA report. Today,… — OUTA (@OUTASA) July 31, 2025 Outa, however, responded on Saturday by saying the protest wasn't unlawful. 'Outa's peaceful picket involved fewer than 15 people – which, under the Regulation of Gatherings Act, doesn't require prior notice. Another poor attempt to use public resources to dodge accountability,' it said. 'The Duja report exposed it all and Ceta did nothing. That silence cost the public R18 million. We protest because the public deserves better.' ALSO READ: Higher education minster accused of covering up tender irregularities at Ceta The Duja report was commissioned after a whistleblower made allegations of corruption against the training authority. The findings of the report included that R738 million in discretionary grants were awarded without oversight, executives were paid excessive salaries, and non-compliant training providers were given accreditation. Ceta claims it is cleaning up Ceta, however, said it is strengthening its 'administration and governance'. 'Efforts to frame these internal clean-up processes as a targeting of individuals or whistleblowers are misleading and serve only to distract from the critical work the organisation is mandated to do. 'The Ceta remains fully committed to transparency, institutional integrity and strengthening good governance in its skills development landscape. 'Attempts to derail these efforts through unsubstantiated claims or unlawful public campaigns will not deter nor detract Ceta from fulfilling its mandate.' ALSO READ: Outa urges probe into R56 million Polokwane tender scandal Outa wants meeting with Manamela Ahead of the protest outside of Ceta's office, Outa asked for a meeting with the newly-appointed Higher Education Minister Buti Manamela. 'It would appear that South Africa's Seta model is failing and its institutions are bleeding taxpayer money, while the youth they are supposed to serve are left stranded. 'We're dealing with recycled leadership, dodgy tenders, and investigations that are hidden or ignored. That's not oversight, that's a cover-up,' said Outa CEO Wayne Duvenage. Outa said its investigations into Setas, which fall under the higher education and training sector, 'found similar patterns: manipulated procurement; over-priced contracts; failed delivery of services; the movement between entities of key individuals linked to dubious procurement; investigations that go nowhere; and a frightening lack of accountability'. 'All of these entities fall under the Ministry of Higher Education and Training, which has now had three different ministers in the past 14 months.' READ NEXT: Outa concerned about new higher education minister


Daily Maverick
31-07-2025
- Politics
- Daily Maverick
A call to clean up and deliver — Deputy Minister Gondwe challenges Setas to start showing their worth
Embroiled in allegations of corruption and nepotism and students failing to complete their in-service training due to stipends not being paid, Deputy Minister of Higher Education and Training Mimmy Gondwe says the Sector Education and Training Authorities (Setas) need to start making a difference to unemployment. The Deputy Minister of Higher Education and Training, Mimmy Gondwe, said the Sector Education and Training Authorities (Setas), which had been under scrutiny due to allegations of corruption and nepotism, including former minister Nobuhle Nkabane making appointments of ANC politicians as chairpersons of 21 Seta boards, must start making a difference in unemployment. The new minister, Buti Manamela, would make things happen, said Gondwe. On 30 July 2025 Gondwe was in Kariega (Uitenhage) in the Eastern Cape visiting the CET College's Phakamile Community Learning Centre, and participated in Mandela Month outreach activities, at which she distributed hygiene packs, helped paint the building, and cleaned classrooms alongside the community. The college had dilapidated infrastructure with a few broken windows, classrooms without ceilings, and peeling paint. During the visit, Gondwe was accompanied by representatives from the 21 different setas, including the Agricultural seta, the Health and Welfare seta, and the embattled Services seta that is embroiled in a R163-million contract scandal for biometric units meant to track learner attendance and manage stipend payments. After her address at the college, Daily Maverick asked Gondwe about the importance of ensuring that Setas remained stable after allegations of corruption, a lack of stipends for trainees, and issues relating to the previous minister, Nkabane. 'The fact of the matter is that Setas have to start making a dent in the rate of unemployment. They have to start making a difference… I think with the new minister, he understands and grasps that it will be his clear call to the Setas that you must start making a difference now. 'Yes, some of them have been embroiled in allegations of corruption and maladministration, etc. but it does not take away from the role that they can play if they are properly managed, and they can play a fundamental role,' said Gondwe. Setas are meant to facilitate skills development through learning programmes like learnerships, skills programmes and internships. However, they have been under scrutiny due to allegations of corruption and failing to deliver on their mandates. Read more: Broken promises — how SA's Seta system leaves young job seekers behind. Gondwe said she had direct oversight in a few Setas, and that she had challenged them to ensure their impact was visible in the economy. 'It's not enough for you to say we've managed to reach 20,000 students, but where are those students? You've got to take an interest in where they end up because our success as a sector doesn't lie in how many people we train or skill, but where they end up and whether we are skilling them in skills that are demanded and needed by the economy,' said Gondwe. Restoring hope Speaking about the positive drive by Gondwe and her department, Eastern Cape Community Education and Training (CET) College SRC chairperson Lihle Dlova said that it was monumental. 'She spoke of the fact that our existing challenges, like dilapidated infrastructure, food and nutrition, certification and the further development of CETs will be addressed as the years come. She's already on the way, on the journey to improve our lives and the lives of the students at large. We are a very big province and one of the poorest in the country, so this is exactly what we needed,' said Dlova. Meanwhile, the Services Seta's manager, Makhaya Blaai, who addressed the community, said they would work together with CETs because they provided education and held a valuable position in society. 'Not everyone can go to universities and study for three years; there need to be opportunities in CET colleges where people can come and acquire short skills to receive a qualification to get work… CET centres like these are critical because they are embedded in communities to uplift those who have been excluded from the traditional education and employment pathways,' said Blaai. DM


Daily Maverick
28-07-2025
- Business
- Daily Maverick
Broken promises — how SA's Seta system leaves young job seekers behind
With youth unemployment at 45%, South Africa's Seta system struggles with corruption and outdated training, leaving many young people jobless. Experts are calling for urgent reforms and stronger NGO partnerships to bridge the gap between education and employment. With youth unemployment at 45% for 15- to 34-yearolds, South Africa continues to grapple with a persistent and deepening challenge to get young people into jobs. For many of them the transition from higher education into meaningful, sustainable employment is fraught with frustration, uncertainty and systemic barriers. This is why the Sector Education and Training Authorities (Setas) were set up: to bridge this critical gap by ensuring sector-specific skills development that are aligned to needs, and by facilitating workplace-based learning opportunities. However, as Daily Maverick has reported, the nation's 21 Setas have been crippled by corruption, governance issues and substantial institutional challenges that have hindered them from fully realising their mandate – and the biggest losers of this failure are the young people the Setas are meant to empower. 'I trained as a stenographer for four months, then they sent me to train as a clerk of the court for another three months. I worked hard to learn everything I could because the learnership was all I needed to complete my diploma in public management,' Ongeziwe Nota told Daily Maverick. The now 28-year-old went through the Seta-funded training in 2020, but five years later she says she has not been able to secure a job despite the workplace learning opportunity. 'I have not had a job since 2020. Every time I apply they tell me that I don't have the right skills and that I don't have experience. It's hard for me to understand because I thought that having done the programme at the Department of Justice, at least that would mean something on my CV,' she said. Asked whether she thought the learnership was enough to prepare her for entering the working world, Nota said: 'My training was not enough. I expected to be trained in different roles in the court, but they only took me to two places. I left without knowing anything about DV, maintenance or financial systems. But even the training I did get was not enough because no one wants to hire me.' System out of step with change Speaking to Daily Maverick, Ravi Naidoo, CEO of the Youth Employment Service (YES), offered insight into why the Setas have been ineffective in fulfilling their mandate, and a sobering assessment of the Seta landscape. At the heart of Naidoo's critique is a mismatch between what Setas deliver and what the labour market demands. 'Let's say there's artificial intelligence happening, people need to learn about new technologies. It'll take us four years to put in place a new curriculum. That's too slow. By the time it's out the sector has already moved on. The Seta system needs to be reformed. Right now it is very complex, bureaucratic and not properly aligned to the demand side of the economy,' he explained. In a fast-changing world, the Setas function like 'a supertanker when we need a smaller, faster boat', Naidoo said, drawing attention to how institutional inertia is stifling innovation. 'The Seta model is really an old, big industry, big labour, industrial model. It made sense in the 1960s, but it doesn't work now.' The problem was not simply poor execution, it was structural. Even with improved efficiency, Naidoo argues that the current vehicle is essentially 'the wrong vehicle'. Failure to pay stipends Students have also endured hardships due to the lack of transparency and funding by the Setas, which have various functions designed to upskill, develop and fund students in the post-school education sector. Daily Maverick spoke to a student from rural Ebuhleni village in Mpumalanga, who wished to remain anonymous. He was studying finance at Ehlanzeni TVET College and was scheduled to complete his training at Joy Home-Based Care in Barberton, Mbombela. However, he was unable to complete this in-training service because his stipend ended. Confused about whether it was his workplace or the Health and Welfare Sector Education and Training Authority that had delayed the funds, he dropped out with only three months left. 'I was affected because I came very far. I was never able to complete the training; I owed my landlord three months' rent, the food was almost finished, and transportation was another problem. I left my furniture there in Barberton,' the student said. This had affected his passion for school: 'It feels like I have never done anything because I never got to the finishing line. I wanted a diploma, but I don't have it because I don't have a completion letter [from the workplace].' The Health and Welfare Sector Education and Training Authority is responsible for education, training and skills development in the health, social development and veterinary sectors. Critical role of NGOs in strengthening Seta mandates Mandiphiwe Levani, the lead on emerging opportunities at the Harambee Youth Employment Accelerator, stresses that NGOs play an indispensable role in complementing the efforts of Setas to improve employment outcomes. Unlike rigid bureaucracies, NGOs often operate with greater flexibility and employer connectivity, helping bridge gaps between formal training and practical work readiness. Key contributions NGOs can make include: Enhanced data and outcome tracking: Harambee's SA Youth Platform, with millions of registered young job seekers, provides a transparent, digital repository to track learner progress from training to employment. This capability enables SetaAs to access accurate, real-time data to evaluate and refine their programmes. Employer linkage and work experience facilitation: NGOs facilitate critical connections between learners, educational institutions and employers, easing the challenge of securing workplace-based learning and internships – essential for skills application and job readiness. Finishing schools for work readiness: NGOs provide post-training practical skills, soft skills development and job readiness interventions. These 'finishing school' functions are crucial in preparing young people for permanent employment, especially where Seta or TVET programmes fall short. Innovation pilots and programmatic agility: Agile NGO models can test innovative approaches to skills delivery and employment support that, once proven, Setas could adopt or scale. This partnership facilitates dynamic responses to changing industry needs. By embracing collaborative frameworks, Setas can harness NGO expertise and networks to overcome current systemic shortcomings. Institutional challenges and the path forward Both Levani and Naidoo agree that reinforcing Setas to fulfil their mandate in today's challenging economic environment requires: Market-driven reform: Setas must improve their responsiveness to labour market demands through continuous engagement with diverse employers, including informal sector actors; Reduced bureaucratic burden: Streamlining administrative processes to allow for more agile decision-making and programme adaptation; Data-driven governance: Investing in robust data systems to track learner outcomes and inform evidence-based policy and operational decisions; Strengthened multi-stakeholder collaboration: Deepening partnerships with NGOs, private sector organisations, TVET colleges and youth themselves to foster holistic skills development and employment pathways; and Focused investment in high-demand sectors: Aligning funding and training curriculums with emerging growth industries that promise sustainable youth employment opportunities. For Setas to fulfil their mandate, Naidoo argues, they must shift from being enrolment-driven to outcome-driven. They must measure completion, work readiness and employment outcomes. But more than that, they need to work with agile partners like YES. 'You don't want to take away something that's working and replace it with something worse,' he cautioned. 'But you have to ask: If you were to change the Setas, what would you replace the change part with?' DM


The Citizen
23-07-2025
- Politics
- The Citizen
Outa concerned about new higher education minister
Outa keeps an eye on the department, having completed a report on corruption at NSFAS, and is now calling for action at Setas. Civil action organisation Organisation Undoing Tax Abuse (Outa) is urging the new Minister of Higher Education Buti Manamela to take urgent action on corruption in the Sector Education and Training Authorities (Setas). Wayne Duvenage, CEO of Outa, said the new minister has a huge task ahead, as the Setas are mired in dysfunction, but Outa is concerned that he is too strongly linked to the old guard and the dysfunction and corruption in the department and its entities. 'While minister Manamela brings years of experience to the role, having served as a deputy minister in various portfolios since 2014, his long-standing presence within the higher education department raises serious concerns about continuity rather than change. 'Given his proximity to the dysfunction and corruption that plagued the department of higher education and its entities – particularly the Setas – for more than a decade, his appointment is not a welcome development for those demanding real reform and accountability.' ALSO READ: 'Emails' reveal Nkabane misled Parliament over Seta scandal – but insisted it wasn't intentional Outa on second deputy minister On Monday, President Cyril Ramaphosa also appointed Dr Nomusa Dube-Ncube as deputy minister of higher education and training. Duvenage said Outa did not expect the president to appoint a second deputy minister, as Mimmy Gondwe is already in place as the deputy. 'Over several years, Outa, exposed deep-rooted maladministration, governance failures and corruption at multiple Setas and at the National Student Financial Aid Scheme (NSFAS). While there have been some positive developments, such as the appointments of Dr Karen Stander as NSFAS chair and Waseem Carrim as CEO, the Setas remain mired in dysfunction, with little sign of meaningful intervention.' He pointed out that despite repeated adverse findings and qualified audits from the auditor-general, the leadership at entities like the Insurance Seta, Construction Education and Training Authority, Services Seta, Education, Training and Development Practices Seta and Media, Information and Communication Technologies Seta remained intact. 'Executives implicated in mismanagement continue to draw large salaries and bonuses, while the essential mission of developing skills and improving employability is undermined. The Setas cost business taxpayers R21 billion a year, but do not deliver value for money. 'Outa urges minister Manamela to demonstrate a break from the past by acting swiftly and decisively to restore integrity and oversight across the Seta environment. This must begin with the urgent appointment of new Seta board chairs who are ethical, independent and free from political interference to ensure that executive management is properly held to account.' He said Outa will write to Manamela to request an urgent meeting to share the substantial evidence and insights Outa gathered over the years on systemic corruption within the Setas. ALSO READ: Nzimande pulls knives out as Outa stands by report claims Outa wins against former NSFAS chair Meanwhile the high court found last week that Outa did not have to give the former National Student Financial Aid Scheme chair a right of reply to the organisation's report on corruption at the entity. The Johannesburg High Court backed Outa over publication of its NSFAS report, ruling that former NSFAS chair Ernest Khosa did not have a right to pre-publication comment before Outa published a report implicating him in corruption. 'A person implicated in acts of corruption in a report published by a private actor does not have the right to a hearing prior to publication,' the court said. The dispute revolved around a report and statement Outa published about NSFAS and Khosa in early 2024, implicating him in corruption with NSFAS suppliers. Khosa resigned a few months later. Advocate Stefanie Fick, executive director at Outa's accountability division, said Khosa wanted the court to order Outa to remove the report from its website and order that he be given an opportunity to respond to the allegations, that the report only be republished once this was completed to his satisfaction and that the republished report contain an accurate record of his responses to each allegation. However, Outa refused to remove the report, but offered to hear Khosa's version and update the report accordingly, but Khosa declined. Khosa argued that he had a right to respond to the allegations before Outa released the report but the court found that no such legal obligation exists, especially for private actors acting in the public interest. ALSO READ: Higher education minister Nkabane announces new NSFAS board to drive reform Judgment means organisations like Outa can expose wrongdoing without right of reply Fick said the legal significance of this judgment lies in its clarification of the rights and obligations of private actors, such as Outa, when publishing reports implicating individuals in alleged wrongdoing. 'This judgment reaffirms our constitutional right to expose maladministration and corruption without facing undue procedural barriers. Khosa's attempt to silence public interest reporting under the guise of procedural fairness was rightly dismissed by the court.' Acting Judge GA Fourie found: Khosa had no right to a pre-publication notice because there is no requirement in law for Outa to notify individuals before publishing allegations in a public interest report; Outa, as a private entity, does not exercise public powers or perform public functions. Its investigations and publications are not binding and do not carry statutory authority. This distinction is critical in determining the scope of procedural obligations owed by private entities; The right to dignity and reputation does not override the constitutional protection of free speech, especially when allegations serve the public good; The appropriate legal avenue for challenging potentially defamatory content is through defamation proceedings, not through pre-publication interdicts; and Constitutional rights do not extend horizontally to impose obligations on private entities like Outa in the way Khosa claimed. ALSO READ: Don't let Andile Nongogo near public money – Outa Judgment protects civil society organisations to expose corruption Fick said this judgment reinforces the principle that private actors are not bound by the same procedural obligations as public entities. 'It also protects the ability of civil society organisations to expose corruption without undue interference, while preserving the common-law remedies available to individuals who feel aggrieved by such publications. 'Khosa did not complain that the Outa report was defamatory or deal with the veracity of the allegations against him. He did not even include the report in his founding papers. This gives rise to concerns that the intention was to prevent or delay publication of the report, or distort it, which should be avoided. 'The judge said 'the impact on the ability of whistle-blowers and other private actors to expose corruption would be significant'. The court dismissed the application with costs, noting that although the matter raised novel legal questions, there was no basis for granting the relief Khosa sought.'


Daily Maverick
11-07-2025
- Business
- Daily Maverick
Outa says Sector Education and Training Authorities need complete overhaul for job creation
The role of Setas has come under the spotlight following ongoing revelations around the hiring processes by Higher Education Minister Nobuhle Nkabane for Seta boards. But digging deeper, there are broader concerns: misgovernance and sliding audit figures from entities that receive R21-billion from taxpayers. Sector Education and Training Authorities (Setas) are plagued by misgovernance and inadequate skills, which have come under scrutiny in recent months due to the actions of Higher Education Minister Nobuhle Nkabane. The country's 21 Setas are ideally intended to provide training opportunities for both employed and unemployed individuals in a bid to improve skills, and thus employability. These Setas are involved in many different sectors from agriculture, media, transport and health to hospitality. The Setas have been thrust into the spotlight after Higher Education Minister Nobuhle Nkabane made appointments to their boards, which included politically aligned individuals from Nkabane's political home of the African National Congress (ANC). This has resulted in the reversal of these appointments and criminal cases being opened. Speaking to Daily Maverick, Organisation Undoing Tax Abuse's (Outa) Rudie Heyneke, a senior project manager on this issue, said there was 'a definite need' for Setas, using an example of a Seta that trained people to fix cellphones. The problem, he identified, was that 'there needs to be a total overhaul of the Setas'. He said this key skills development, which was paid for by both employers and employees through skills development levies, was key to combating the country's high unemployment rate. But the Setas were not functioning, despite R21-billion coming directly from taxpayers this year. The problem, Heyneke said, was 'governance' — the appointments of unqualified people for roles that required experience. Heyneke said that 'R20-billion [is] going to them every year and they don't give us what we need', and suggested that Setas should be scrapped if they were not functioning properly and effectively. According to data gathered by Outa, out of the 21 Setas only nine received clean audits. Five received financially unqualified audits. Seven Setas received qualified audit opinions during the 2023/2024 financial year. This isn't the first time Outa has tackled the Setas. The organisation has been exposing the rot at the Services Seta — where there were highly inflated contracts awarded under Andile Nongogo's tenure as its CEO between 2016 and 2019. Nongogo resurfaced as the chief executive at the National Student Financial Aid Scheme (NSFAS) in December 2020. Outa's Wayne Duvenage would later write in Daily Maverick: 'We were not surprised to see a number of his Service Seta suppliers surface in highly irregular contracts awarded at NSFAS.' But it is not only Outa that has raised issues with the functioning and governance of Setas. In their sixth administration legacy report, Parliament's higher education committee highlighted several key issues when it came to the governance of Setas. These include the irregular, fruitless and wasteful expenditure incurred by some Setas. 'Inadequate qualifications, skills, and capacity of some members appointed to serve on Seta boards,' read the committee's report. An issue raised by the committee was 'poor governance and management by certain Setas, with the Services Seta receiving qualified audit opinions for four consecutive financial years despite committee recommendations.' Other issues raised by the committee include the 'inability of some Setas to implement adequate project management and monitoring, contributing to irregular, fruitless, and wasteful expenditures, and the double-dipping of learners from different funders or multiple Setas'. Writing in Sunday Times, Professor William Gumede said it would be better to close down the Setas and let firms do the training if they could not be reformed. 'Alternatively, business, in collaboration with business associations — which are better placed to identify the skills demands of the economy — should take over the running of Setas,' wrote Gumede. On 13 March 2025, Parliament's higher education committee chairperson, Tebogo Letsie, implored the department to ensure the appointment of ethical board members at Setas. 'We do not want individuals who view this as an opportunity to enrich themselves at the expense of the sector. Instead, they must see this sector as a vehicle for uplifting young people and driving meaningful change,' he said. DM