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Western Cape Business 2017 edition

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The 2017 edition of Western Cape Business is the 10th issue of this highly successful publication that, since its launch in 2005, has established itself as the premier business and investment guide to the Western Cape province. The Western Cape has numerous promising investment and business opportunities and this issue includes contributions from Alan Winde (Minister of Economic Opportunities for the Western Cape Government), interviews with Ryan Ravens (CEO of Accelerate Cape Town), Arifa Parkar (Western Cape Business Opportunities Forum CEO), Wesgro CEO Tim Harris and Lance Greyling (Invest Cape Town) as well as contributions from various business leaders. In addition, you will also find comprehensive features on all the key sectors in the Western Cape.

Skills development A

Skills development A number of investors are driving skills development in the province. The Western Cape has two problems relating to employment: not enough work for unskilled workers, and not enough skilled workers to take up available jobs. This double-sided challenge is a legacy of apartheid and it exists throughout South Africa. Although the province has higher overall ratios of highly skilled and skilled workers than the national averages, less than 20% of the construction industry’s workforce in the Western Cape is categorised as skilled or highly skilled (Quantec, 2013). According to a national business conditions survey conducted in early 2016, a skills deficit is hampering the construction industry. Construction has been one of the best performing sectors in the Western Cape economy for a number of years, so improvement in this sphere is vital. The food sector is the other important area where work has to be done to impart skills to the workforce. The Western Cape Provincial Government has listed skills development as one of four key “enablers” of the regional economy. A specific intervention relevant to the construction industry is offered by the provincial Department of Transport and Public Works. Targeted training for emerging contractors is presented in regional centres like Riversdale and Worcester, and in Piketberg and Saldanha. The fourweek, modular course, which covers issues such as site management, safety and enterprise development, allows contractors to continue running their businesses while they study. The course supports the Expanded Public Works Programme (EPWP). Another provincial initiative was launched in October 2016: the Western Cape’s Apprenticeship Game Changer. Announced at the annual meeting of the Premier’s Council on Skills, the Game Changer aims to introduce 32 500 qualified apprentices into the labour market by 2019. R1-billion has been allocated over a three-year time frame. Businesses have been asked to identify the specific skills they need, so for example the oil and gas sector needs welders certified to a certain level. A range of interventions at national and regional level have been launched to tackle the problem in the public and private sphere: • Six of South Africa’s biggest construction companies have established a R1.25-billion skills fund WESTERN CAPE BUSINESS 2017 62

SPECIAL FEATURE • The national Department of Higher Education and Training (DHET) declared the period starting in 2014 as “The Decade of the Artisan” with a goal of producing 30 000 per year by 2026 (the current figure is about 13 000) • Sector Education and Training Authorities (SETAs) collect dues from companies in a particular industry (Wholesale and Retail, Banking, Construction, Chemical Industries, for example) in order to promote training in that industry. A percentage of this money is returned to the company if that company can show that they have a workplace training plan. The rest of the money is used to offer skills training • The National Skills Authority (NSA) works with SETAs in carrying out the National Skills Development Strategy (NSDS). The Human Resource Development Council of South Africa (HRDCSA) is an over-arching body that aims to give guidance to the many institutions working on skills development and training. It is managed by the DHET. The HRDCSA has identified five key areas where the skills pipeline must be improved: access to TVET colleges; intermediate skills (artisans in particular) and professionals; production of academics; collaboration between industry and educational institutions in research and development; worker education and foundational learning. The strategic goal of the DHET is to create “a capable and skilled workforce for inclusive growth”. There are many institutions supporting this goal in the Western Cape, including three academic universities, one comprehensive university, one university of technology and six Technical and Vocational Education and Training (TVET) colleges. Unisa, the country’s biggest distance learning institution, has a strong presence in the province with a campus in Cape Town and a service centre in George. TVET colleges have been asked to concentrate on 13 trade areas, including bricklayers, millwrights, boilermakers and riggers. R16.5-billion has been allocated by national government to skills development and infrastructure over the medium term. Technology CiTi, the Cape Innovation and Technology Initiative, is a Western Cape Provincial Government initiative. CiTi is a technology hub with several components: The Barn (supporting start-ups); VeloCiti (enterprise and entrepreneurship development); CapaCiti (technology skills development and placement). The renewable energy sector holds great promise for economic growth, and it should provide many jobs but specific training is required. In collaboration with the German government, the DHET has invested more than R100-million in the South African Renewable Technology Centre (SARTEC), a teaching unit of the Cape Peninsula University of Technology (CPUT). The Bellville campus of CPUT is training wind turbine service technicians and providing qualifications for trainers in the same field. Stellenbosch University (SU) hosts the Centre for Renewable and Sustainable Energy Studies (CRSES) and the University of Cape Town has the Energy Research Centre. Young people are at the heart of the provincial government’s drive to widen access to information technology. As of 2016, a total of 181 MOD centres had been established by the Department of Cultural Affairs and Sport: MOD stands for Mass participation; Opportunity and access; Development and growth programme. This is part of a broader, R9.4-billion, provincial government plan to assist young people in areas such as access to broadband, internships offered, and the acquisition of technical skills. TVETs and colleges TVET colleges exist to impart skills that are relevant to the workplace. The College of Cape Town has eight campuses and its selection of courses gives 63 WESTERN CAPE BUSINESS 2017

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