Establishment Of SETA’S

Section 9 of the SDA allowed for the establishment of SETA’s in 2000. The legislation stated that the Minister may establish a Sector Education and Training Authority (SETA) with a constitution, for any national economic sector.

The governing ministry for the SETA’s, up to October 2009, was the Department of Labour (DoL). Since 1 November 2009, the SETAs report to the Department of Higher Education and Training (DHET).

The DHET scope includes the following domain that was previously the domain of the DoL or the Department of Education (DoE):

• The NQF
• Adult Basic Education and Training (ABET)
• Further Education and Training (FET)
• SETAs
• The NSF
• The NSA
• Higher Education and Training

Twenty-five (25) SETA’s were established in March 2000 in terms of the Skills Development Act (SDA) to cover all sectors in South Africa, including government, and to serve the training needs of the various industries. In 2005 the number of SETAs was reduced to twenty-three (23). In 2010 they were reduced to 21.

Click on the link/s below to open a resources.  

List of SETA's in SA

SETAs cover specific sectors, for example: BANKSETA services the banking and microfinance industries, whereas the AGRISETA services the primary and secondary agricultural sectors.

The law stipulates that employers must register with the SETA whose scope includes the main business activity of the registrant.

The scope of each SETA includes a specific set of Standard Industrial Classification (SIC) codes, which describe specific business activities. A list of SIC codes can be found on the relevant SETA’s website.

Functions of the SETA's

As newly created organisations, the SETAs functions were governed by the functions outlined in Section 10 of the legislation.

These were stated as:

(a) Develop a sector skills plan within the framework of the national skills development strategy

(b)  Implement its sector skills plan by:

• Establishing learnerships
• Approving workplace skills plans
• Allocating grants in the prescribed manner to employers, education and training providers and workers; and
• Monitoring education and training in the sector

(c) Promote learnerships by:

• Identifying workplaces for practical work experience
• Supporting the development of learning materials
• Improving the facilitation of learning; and
• Assisting in the conclusion of learnership agreements

(d)  Register learnership agreements;

(e)  Within a week from its establishment, apply to the South African Qualifications Authority for accreditation as a body contemplated in Section 5(1)(a)(ii) (bb) and must, within 18 months from the date of that application, be so accredited;

(f)  Collect and disburse the skills development levies in its sector;

(g)  Liaise with the National Skills Authority on:

• The national skills development policy
• The national skills development strategy; and
• Its sector skills plan

(h)  Report to the Director-General on:

• Its income and expenditure; and
• The implementation of its sector skills plan

(i)  Liaise with the employment services of the Department and any education body established under any law regulating education in the Republic to improve information:

• About employment opportunities; and
• Between education and training providers and the labour market

(j)  Appoint staff necessary for the performance of its functions; and

(k)  Perform any other duties imposed by this Act or consistent with the purposes of this Act.

In summary, the SETAs have four main functions:

• To disburse grants in terms of the levy grant scheme
• To register learners on learnerships
• To register providers, assessors, moderators and verifiers of education and training
• To support the sector to meet skills needs

Click here to view a video that explains the SETA roles and responsibilities.

Quality Assurance of Education by the SETA

As a result of their function in monitoring of education and training providers designated by the SDA, SETAs acted as quality assurance bodies for education and training in their sector and in terms of qualifications designated in their scope by the South African Qualifications Authority (SAQA).

SAQA, as the body who is responsible for the development and implementation of the NQF, designates several Education and Training Quality Authority (ETQA) bodies whose responsibility it is to quality assure parties to the education and training process i.e. providers of training (both theoretical and workplace providers), assessors, and moderators of training.

With the implementation of the NQF Act (2008), the 31 ETQAs were centralised into three Quality Councils (QCs) which were responsible for standards-setting and quality assurance.

These QCs may, in terms of the NQF Act (2008), delegate quality assurance functions. The QC for occupational qualifications, the Quality Council for Trades and Occupations (QCTO), once operational (expected in 2016), may delegate quality assurance functions to SETAs.