DISCRETIONARY GRANT FUNDING POLICY & GUIDELINES

Transcription

1 DISCRETIONARY GRANT FUNDING POLICY & GUIDELINES Status: Custodian: Final Project Office Approval decision number: Board decision number: 048/16 Decision Date: 24 November 2016 Review Date: March 2018 Version Number: 2 Amendment Date: September 2016 DISCRETIONARY GRANT POLICY VERSION 2-1 -

2 INDEX SECTION SECTION TITLE PAGE NUMBER 1 Acronyms 3 2 Purpose 6 3 Grant Regulation 6 4 Funding streams 7 5 Allocation of Discretionary Grants General criteria for accessing Discretionary Grants Eligibility for accessing Discretionary Grants 9 6 Overview of INSETA scarce and critical skills needs 9 7 Mechanisms of delivery 10 8 Types of Discretionary Grant Mechanisms 10 9 Guidelines for the disbursement of grants Learnerships Eligibility for the funding of learnerships Implementation of learnerships Internships Eligibility for the funding of internships Implementation of internships Bursaries Eligibility for allocation of bursaries Implementation of programmes funded through 18 bursaries 12 Skills Programmes Eligibility for funding of skills programmes Implementation of funded skills programmes Code of conduct for learning programmes Monitoring and evaluation Dispute resolution Project/Programme Implementation Reporting Policy Review 23 DISCRETIONARY GRANT POLICY VERSION 2 2

3 1. ACRONYMS: APP: Annual Performance Plan ATR: Annual Training Report DHET: Department of Higher Education and Training HET: Higher Education and Training INSETA: Insurance Sector Education and Training Authority NSDS: National Skills Development Strategy PIVOTAL: Professional, vocational, technical and academic learning programmes QCTO: Quality Council for Trades and Occupations SDA: Skills Development Act SETA: Sector Education and Training Authority SP: Strategic Plan SSP: Sector Skills Plan TVET: Technical and Vocational Education and Training UOT: University of Technology WSP: Workplace Skills Plan DISCRETIONARY GRANT POLICY VERSION 2 3

4 2. PURPOSE The purpose of this policy and guideline is to outline the disbursement of discretionary grants for funding of PIVOTAL and non-pivotal programmes to support the imperatives of the Insurance sector and related sub-sectors represented by INSETA, National Skills Development Strategy III and other national imperatives as relevant INSETA s purpose is to grow the pool and quality of scarce and critical skills in the insurance and related services sector, enhancing the sector and supporting the country s transformation. The Skills Development Act and the Skills Development Levies Act provide for the collection of levies from employers and provides directives and/or guidelines on how the funds allocated to Sector Education and Training Authorities (SETAs) should be disbursed. 3. GRANT REGULATION On 3 December 2012 a revised grant regulation was gazetted (Government Gazette Notice No ), which impacted on the allocation of SETA funding. The intent of the new regulation is to: Regulate the proportion of funds available for skills development that is spent on administration costs Make provision for SETAs to contribute to the cost of the work of the Quality Council for Trades and Occupations (QCTO) Discourage the accumulation of surpluses and carry-over of unspent funds at the end of each financial year Improve the quantity and quality of labour market information received by SETAs through Workplace skills plans, annual training reports and professional, internships, vocational, occupational, technical and academic learning (PIVOTAL) training reports, which provide a reflection of skills needs and inform planning Promote professional, internships, vocational, occupational, technical academic learning (PIVOTAL) programs, which are NQF-registered and quality assured, towards addressing priority scarce and critical skills needs in the sector, as identified through Sector skills plans and research. DISCRETIONARY GRANT POLICY VERSION 2-4 -

5 Create a framework within which expanded use is made of public education and training providers for the provision of skills development programmes 4. FUNDING STREAMS General income and funding allocations as regulated by the Skills Development Levies Act and SETA Grant regulations are channelled towards funding streams as outlined below: 4.1 INSETA s income is derived from the skills levy of contributing employers ,5% is allocated towards administration costs for the running of the SETA and includes a 0.5% allocation towards the Quality Council for Trades and Occupations (QCTO) as legislated 4.3 The mandatory grant is 20% as legislated 4.4 Any unclaimed mandatory grants and/or unallocated funds from the administration budget will be transferred to the discretionary fund pool % will be allocated to Discretionary Funds, of which: at least 80% must be used to fund strategic interventions as detailed in the Strategic Plan (SP) and Annual Performance Plan (APP) through PIVOTAL programmes; A maximum of 20% may be allocated to funding of non-pivotal programmes to develop the sector in accordance with the priorities outlined in the SSP 4.6 A maximum of 7.5% of any grant or SETA-funded project may be used for administration or project management costs 4.7 Any additional income received shall be allocated to discretionary projects FUNDING OF THE SETA General income and funding is regulated by the Skills Development Levies Act and SETA Grant Regulations as depicted in Figure 1. DISCRETIONARY GRANT POLICY VERSION 2-5 -

6 Figure 1: funding streams SDL 100% SETA 80% NSF 20% SETA ADMINISTRATION 10.5% GRANT FUND 69.5% MANDATORY GRANT 20% DISCRETIONARY GRANT 49.5% NSF FUNDING PIVOTAL PROGRAMMES 80% of 49.5% CATALYTIC PROGRAMMES 20% of 49.5% BURSARIES FAIS PROJECT SKILLS PROGRAMMES LEARNERSHIPS INTERNSHIP BASA PROJECT MANAGEMENT LEADERSHIP BROKER DEVELOPMENT 5. ALLOCATION OF DISCRETIONARY FUNDS The INSETA Board shall approve a five-year Strategic Plan, which is reviewed annually and is informed by the regulatory environment, policy imperatives as well as Sector Skills Plan (SSP) research. The objective is to set out a business plan also known as the Annual Performance Plan (APP) towards achieving INSETA s strategic, financial and performance indicators with a view to making principle decisions that will guide the strategic direction for the period. DISCRETIONARY GRANT POLICY VERSION 2-6 -

7 The business plan sets out the operational plan on how the strategic objectives will be achieved and how funding will be allocated. The strategic plan and the business plan are approved by the Minister of Higher Education and Training. All programmes and projects shall be approved by the INSETA Board and Board Committees as relevant, specifically the Executive Committee (EXCO) for strategic fit and Finance and IT Committee (FINCO) for financial viability. Funding shall be allocated accordingly to meet set performance targets aligned with the INSETA APP and Strategic Plan, National Skills Development Strategy (NSDS) and other relevant national and industry priorities. 5.1 GENERAL CRITERIA FOR ACCESSING DISCRETIONARY GRANTS Discretionary grant funds can be accessed through approved projects and programmes which INSETA will advertise widely. In line with regulations and NSDS III transformational imperatives the following evaluation criteria will apply to all applications: Equity profile: the beneficiaries eligible for funding will be 85% Black, 54% Women and 4% people with disabilities Age and Class: consideration will be given to youth (ages 18 35) from poor and marginalised communities and lower quintile schools Geography: INSETA will encourage national recruitment, including recruitment from rural areas. INSETA may prioritise funding for interventions in rural areas and other regions that may be identified as a priority for development HIV/AIDS: all learning programmes funded by INSETA should include a component of HIV/AIDS education, not necessarily credit-bearing Skills Needs: Scarce and critical skills will be given priority funding (refer to the scarce and critical skills needs as contained in the INSETA Sector Skills Plan as amended annually and agreed with stakeholders). In addition to the above NSDS III transformational imperatives, INSETA may give special consideration for Bursary funding through a private or public institution to previously employed individuals over the age of 35, previously employed in the financial DISCRETIONARY GRANT POLICY VERSION 2-7 -

8 services who have lost employment due to financial services statutory competence requirements Subject to the availability of funds, INSETA will be guided by the following national priorities in the allocation of its discretionary funds: Adhere to the requirements for PIVOTAL programmes Adhere to NSDS transformational and developmental imperatives of race, gender, geography, disability, age, class and HIV/AIDS Adhere to INSETA governance criteria and the requirements of the Public Finance Management Act (PFMA) Address national strategic goals as set out in the National Skills Development Strategy (NSDS III) the National Skills Accord and other relevant national priorities Respond to industry skills needs as identified through the INSETA Sector Skills Plan and other relevant research and address targets as indicated in the strategic plan and annual performance plan Contribute to the priority of structured practical and workplace integrated learning (WIL) within programmes and adhere to mechanisms in place for monitoring workplace learning Support the development of TVET institutions to deliver INSETA occupational qualifications In line with NSDS objectives, INSETA may prescribe the learning providers to be used on PIVOTAL programmes. This is in support of efforts to build capacity of public Technical Vocation Education and Training (TVET) institutions. 5.2 ELIGIBILITY TO ACCESS A DISCRETIONARY GRANT A Discretionary Grant may be paid to a legal person, as set out below: A public education and training institution; An employer or enterprise within the jurisdiction of the SETA, including an employer or enterprise not required to pay a skills development levy in terms of the Skills Development Act; DISCRETIONARY GRANT POLICY VERSION 2-8 -

9 Other legal person contemplated in sub-regulation (7) of the regulation that meets the criteria for the payment of such grant; or An employer contemplated in section 30 and 30 (A) of the Act who has submitted a Workplace Skills Plan (WSP) and Annual Training Report (ATR) as a minimum in the prescribed format and within the prescribed time-frames. To access Discretionary Grant funding for PIVOTAL programmes, all applicants are required to complete and submit a PIVOTAL training plan and report in the prescribed template (sub-regulation7). Companies employing less than 50 people will not be required to complete the prescribed PIVOTAL training plan and report but will be asked to provide information on participation in PIVOTAL programmes and the impact of these programmes. Small and micro enterprises will be required to provide information in a template and format to be prescribed by INSETA. 6. OVERVIEW OF INSETA SCARCE AND CRITICAL SKILLS NEEDS Research shows that the Insurance and related services sector requires increasingly professional intermediate and high level occupational specific qualifications including but not limited to the Underwriter, Claims assessor, Risk manager, Actuaries and Financial planners. These skills would aim to meet the demands of a competitive and challenging labour market and the increasingly stringent regulatory demands. The INSETA strategic goals align to meet the scarce and critical skills needs of the Insurance sector, in enabling the acquisition of qualifications, supporting access to the sector, progression toward greater professionalism and access to demand- driven occupations in the sector. In line with NSDS objectives, INSETA may prescribe the learning providers to be used on PIVOTAL programmes. This is in support of efforts to build capacity of public Technical Vocation Education and Training (TVET) institutions incrementally for the remainder of INSETA s licensing period (31 March 2016). DISCRETIONARY GRANT POLICY VERSION 2-9 -

10 7. MECHANISMS OF DELIVERY 7.1 PIVOTAL programmes: Learnerships, Internships, Skills Programmes, Bursaries and Work-Integrated Learning (WIL) are mechanisms for delivery of INSETA s APP and may also be mechanisms used to support the professionalization of the sector. Refer to clause 9 for more detail. 7.2 Non-PIVOTAL programmes: INSETA will, in consultation with its stakeholders, Board and /or INSETA management identify specific interventions through structured research as well as stakeholder engagements, that will support the implementation of its Sector Skills Plan, the National Skills Accord, the National Skills Development Strategy and other relevant priorities through catalytic/strategic projects falling outside the space of PIVOTAL programmes Interventions may include piloting interventions flowing from the white paper on post school education and training, benchmarking, study tours and programmes dealing with sustainability issues in the industry INSETA may enter into strategic partnerships to form joint ventures for delivery of projects as guided by national policies and sector imperatives and sustainability issues facing the sector. A portion of the discretionary grant component may fall outside the named projects/ programmes types to allow for an allocation to piloting of special projects/programmes. 8. TYPES OF DISCRETIONARY FUNDING MECHANISMS INSETA will make available two types of funding mechanisms for PIVOTAL and Non- PIVOTAL programmes. All non-pivotal programmes will be project based and all PIVOTAL programmes are mainly funding window driven. DISCRETIONARY GRANT POLICY VERSION

11 These guidelines set the conditions for the allocation of funding for PIVOTAL programmes. 8.1 FUNDING WINDOW GRANTS Funding window grants will apply to the implementation of Learnerships, Internships, Bursaries and skills programmes in support of scarce and critical skills. In line with regulations, in order to obtain Discretionary Grant funding for PIVOTAL programmes, a legal person falling into the categories set out in sub-regulation (10) must complete and submit a PIVOTAL training plan and report in the prescribed format FUNDING WINDOW CYCLES On an annual basis, INSETA will publish and review the value of each grant allocation. A funding window will be opened to invite applications to support employed and/or unemployed learners as per the APP targets. The following conditions will apply: Funding Window applications will open a minimum of once per annum All applications will only be considered if received within funding window time-frames to be prescribed by INSETA Funding windows will be announced through the INSETA website. The INSETA call-centre and other mechanisms of communication may be used at the discretion of INSETA APPLICATIONS OUTSIDE THE FUNDING WINDOW INSETA may consider late applications on a first-come, first-serve basis, subject to the following: Availability of funding Commencement of programme within the financial year DISCRETIONARY GRANT POLICY VERSION

12 8.2 STRATEGIC PROJECTS (NON-PIVOTAL) INSETA will, in consultation with its stakeholders, Board and /or INSETA management identify specific interventions that will support the implementation of its sector skills plan, the National Skills Accord, the National Skills Development Strategy and other relevant national and identified industry priorities. 9. GUIDELINES FOR DISBURSEMENT OF GRANTS (PIVOTAL PROGRAMMES) Set out below are the guidelines as they pertain to: o o o o Learnerships Internships, Skills Programmes Bursaries 9.1 LEARNERSHIPS A learnership is a work-based learning programme that leads to an NQF registered qualification. Learnerships are directly related to an occupation or field of work. Learnerships are managed by SETAs. They were introduced by government to help skill learners and to prepare them for the workplace. Learnership programmes can help the learner to gain the necessary skills and workplace experience that will open up better employment or self-employment opportunities. Learnerships will be used primarily to address the scarce and critical skills needs in the Insurance and related services sector. DISCRETIONARY GRANT POLICY VERSION

13 Learnerships Grant Allocation On an annual basis, INSETA will publish and review the value of the learnership grant allocation, consisting of the stipend paid to unemployed learners and tuition costs. A Learnerships funding window will be opened to invite applications to support employed and unemployed learners as per the APP target. Funding window cycles Learnerships Funding Window applications will open a minimum of once per annum All applications will only be considered if received within funding window timeframes to be prescribed by INSETA Funding windows will be announced through the INSETA website. The INSETA call-centre and other mechanisms of communication may be used at the discretion of INSETA Applications outside the funding window INSETA may consider late applications on a first-come, first-serve basis, subject to the following: Availability of funding Commencement of programme within the financial year Learner stipend allocations Unemployed learners on a Learnership will be allocated R 3000 per month Unemployed learners with disabilities will be allocated R4000 per month DISCRETIONARY GRANT POLICY VERSION

14 Employed learners qualify for tuition assistance only All learners on a Learnership, irrespective of disabilities and employment status, will be allocated a maximum of R towards tuition Payment tranches For levy-paying large employers, payment for Learnerships will be made in a minimum of 2 tranches of 80% on commencement of programme and 20% on completion, subject to submission of required Learnership documentation. 9.2 Eligibility for funding of Learnerships Employers INSETA will support levy-paying and non- levy-paying employers, registered with INSETA, operating in the Insurance sector and its related sub-sectors INSETA will only support employers who have submitted the WSP/ATR and PIVOTAL reports as required For employers wishing to host learners for the first time, site visits will be conducted by an INSETA representative for recommendation prior to approval of funding Employers found to be non-compliant in past implementation of INSETAfunded programmes will not be considered for funding unless evidence of remediation to the satisfaction of INSETA can be produced Training providers contracted must be accredited, comply with the quality assurance requirements of the relevant quality assurance body and have programme scope for the duration of the learnership. DISCRETIONARY GRANT POLICY VERSION

15 Learners The scope of unemployed learners is restricted to youth between the ages of years as one of the Transformational and Developmental Imperatives Employed learners are not confined to any age group but must be employed within the Insurance sector and its related sub-sectors All unemployed learners must be South African citizens No learner will be the beneficiary of funding while receiving INSETA funding for any other programme Any learner applying for funding for programmes in succession will be considered at the discretion of INSETA Learners that previously exited an INSETA-funded programme prior to completion will not be considered unless special representation has been made by the employer. Approvals are at the discretion of INSETA 9.3 Implementation of Learnerships Learnership agreements must be finalised and signed prior to commencement of the Learnership All learnerships must commence no later than the first quarter of the calendar year or as stipulated by the funding allocation advice received by INSETA Replacement of Learners is permitted provided this is done within four weeks of commencement of a Learnership The employer must have an exit strategy for learners on the learnership The duration of a Learnership will be 12 months. The employer may apply to INSETA to extend the learnership contract up to a further 12 months to enable successful completion DISCRETIONARY GRANT POLICY VERSION

16 10 INTERNSHIPS An Internship is a programme designed to give unemployed University, TVET and Learnerships graduates an opportunity to extend their academic qualifications through structured workplace exposure and specialised training. Graduates are placed on a full-time basis in stakeholder companies towards gaining structured workplace experience that builds on the qualification. Categories of internships may be funded as follows: In order to gain professional qualification Unemployed graduates who require work experience to become more marketable Placements in areas deemed scarce and/or critical Where structured workplace learning is required by a TVET or UoT, such requirements need to be properly set out by the college or university for the employer to provide structured workplace learning. For qualification purposes, the structured workplace learning must be in accordance with the prescripts set by the relevant qualification authority or professional body Internships Grant allocation On an annual basis, INSETA will publish and review the value of the internships grant allocation in line with the APP targets in the following categories: Unemployed learners who have achieved a qualification through a Learnership and require additional work experience Unemployed learners who need to complete a qualification through a TVET institution Unemployed learners who have achieved a full qualification through a HET institution Unemployed people with disabilities who require work experience to become more marketable DISCRETIONARY GRANT POLICY VERSION

17 Funding window cycles Internships Funding Window applications will open a minimum of once per annum All applications will only be considered if received within funding window timeframes to be prescribed by INSETA Funding windows will be announced through the INSETA website. The INSETA call centre and other mechanisms of communication may be used at the discretion of INSETA Applications outside the funding window INSETA may consider late applications on a first-come, first-serve basis, subject to the following: Availability of funding Commencement of programme within the financial year Intern stipend allocation For interns that have a matric and a Learnerships qualification or for TVET graduates or people with disabilities, requiring work experience to qualify, the grant allocation will be R4500 per month Learners with degrees and 3-year National diplomas will be allocated R6500 per month Payment tranches DISCRETIONARY GRANT POLICY VERSION

18 Payment for internships will be made in a minimum of 2 tranches of 70% on commencement of programme, and 30% on completion (or at 8 and 12 months), subject to submission of required internship documents Companies will be required to show a track record of hosting interns successfully and stipend payments will be paid subject to a formal service-level agreement 10.1 Eligibility for funding of Internships Employers INSETA will support levy-paying and non-levy-paying employers, registered with INSETA and operating in the Insurance sector and its related sub-sectors Employers must have submitted the WSP, ATR and PIVOTAL reports as required Employers must have a proven track record in hosting Interns/learners on previous programmes successfully For employers wishing to host learners for the first time, site-visits will be conducted by an INSETA representative for recommendation prior to approval of funding The Employer s infrastructure must be conducive to supporting the learning and hosting of interns Employers found to be non-compliant in past implementation of INSETA-funded programmes will not be considered for funding unless evidence of remediation to the satisfaction of INSETA can be produced Public TVETs and UoTs that have expressed interest to host Interns or have partnerships with sector employers who would be willing to host the Interns will be considered for Internships funding Interns DISCRETIONARY GRANT POLICY VERSION

19 The scope of interns is restricted to unemployed youth between the ages of years as one of the Transformational and Developmental Imperatives Interns must be South African citizens No intern will be the beneficiary of funding while receiving funding for any other programme Any intern applying for funding for programmes in succession will be considered at the discretion of INSETA Interns that previously exited an INSETA-funded programme prior to completion will not be considered unless special representation has been made by the employer. Approvals are at the discretion of INSETA 10.2 Implementation of Internships Internship contracts must be finalised and signed prior to commencement of the Internship Where applications are received from Public TVETs or UoTs, there must be a signed contract between INSETA and the institution before commencement of the Internship programme All Internships must commence no later than the first quarter of the calendar year or as stipulated by the funding allocation advice received from INSETA Replacement of interns is permitted provided this is done within four weeks of commencement of the Internship. Duration of Internships programmes will be from 3 to 12 months. For TVET graduates an 18-month internship programme will be considered. 11 BURSARIES A bursary is a grant awarded to a student in need of financial aid. DISCRETIONARY GRANT POLICY VERSION

20 INSETA will support the development of scarce and critical skills through Bursaries to employed and unemployed learners with a view to: Addressing the scarce and critical skills needs as identified in the INSETA SSP Promoting the Developmental and Transformational Imperatives of NSDS III Creating a pool of youth graduates to view Insurance as a career of choice Increasing the professionalism of the sector Bursaries Grant allocation On an annual basis INSETA will publish and review the value of the bursary grant allocation. Funding window cycles Bursary funding window applications will open a minimum of once per annum All applications will only be considered if received within funding window timeframes to be prescribed by INSETA. Funding windows will be announced through the INSETA website. The INSETA call-centre and other mechanisms of communication may be used at the discretion of INSETA. Applications outside the funding window INSETA may consider late applications on a first-come, first-serve basis, subject to the following: Availability of funding Commencement of programme within the financial year DISCRETIONARY GRANT POLICY VERSION

21 Payment tranches The bursary fund will be paid in a maximum of two tranches, at the beginning of each semester and in line with the payment terms indicated by the institution for the course(s) applied for Eligibility for allocation of Bursaries Employers INSETA will support levy-paying and non- levy-paying employers, registered with INSETA and operating in the Insurance sector and its related sub-sectors Employers must have submitted the WSP, ATR and PIVOTAL reports as required Employers found to be non-compliant in past implementation of INSETA-funded programmes will not be considered for funding unless evidence of remediation to the satisfaction of INSETA can be produced Providers of learning contracted must be accredited and comply with the quality assurance requirements of the relevant quality assurance body for the duration of the learning programme Students Unemployed students will be funded for structured programmes towards scarce and critical full qualifications The scope of unemployed students is restricted to youth between the ages of years as one of the Transformational and Developmental Imperatives Employed learners are not confined to any age group but must be employed within the Insurance sector and its related sub-sectors DISCRETIONARY GRANT POLICY VERSION

22 All unemployed students must be South African citizens A student may not be a beneficiary of funding while receiving INSETA funding for any other programme Any student applying for funding for programmes in succession will be considered at the discretion of INSETA Students that previously exited an INSETA-funded programme prior to completion will not be considered unless special representation has been made by the employer. Approvals are at the discretion of INSETA Providers Bursary funding will be considered for programmes that are delivered via public HET institutions and public TVET institutions only. The training provided by any other training provider will be subject to EXCO approval.. Where the applicant is desirous to study at a learning institution not meeting these criteria, INSETA may consider subsidised funding for qualifications that meet its scarce and critical skills needs and which are not offered at any public learning institutions. Each of any such application will need to be motivated on its own merits Implementation of programmes funded through Bursaries Bursary agreements must be finalised and signed prior to commencement of the programme. All Bursary-funded programmes must commence no later than the first quarter of the calendar year or as stipulated by the funding allocation advice received from INSETA. No replacement of Learners is permitted DISCRETIONARY GRANT POLICY VERSION

23 INSETA may fund bursary programmes directly through agreements with learning institutions. 12 SKILLS PROGRAMMES Definition of a Skills Programme and a Short Learning Programme The term Short Learning Programme describes all short programmes, whether credits are awarded or not, and is inclusive of skills programmes, credit-bearing short courses and non-credit-bearing short courses. Short course A short course is a type of short learning programme through which a learner may or may not be awarded credits, depending on the purpose of the programme. Skills Programme A Skills Programme is occupationally based and when completed will constitute credits towards a qualification registered on the NQF. Provisioning is undertaken by training. Providers accredited by an ETQA (Skills Development Act No. 97 of 1998). A skills programme is a type of short learning programme. (Source: SAQA Criteria and Guidelines for Short Courses and Skills Programmes. Publication date: June 2004) INSETA will support the development of scarce and critical skills through Skills Programmes that align with INSETA s strategic goals and other sector needs that may be deemed essential through other relevant forms of research. DISCRETIONARY GRANT POLICY VERSION

24 INSETA may consider funding for short courses that contribute to the professionalisation of the industry and meet specific regulatory needs of the sector provided such is approved in advance through a formal agreement. In addition, INSETA will fund Skills Programmes for bridging learning from school or TVET programmes to the workplace. Grant allocation On an annual basis INSETA will publish and review the value set aside for Skills Programmes for both unemployed people and employed learners in the Insurance and related services sector. Funding window cycles Skills Programme Funding Window applications will open a minimum of once per annum All applications will only be considered if received within funding window timeframes to be prescribed by INSETA. Funding windows will be announced through the INSETA website. The INSETA call centre and other mechanisms of communication may be used at the discretion of INSETA Applications outside the funding window INSETA may consider late applications on a first-come, first-serve basis, subject to the following: Availability of funding Commencement of the programme within the financial year 12.1 Eligibility for funding of Skills Programmes Employers DISCRETIONARY GRANT POLICY VERSION

25 INSETA will support levy-paying and non-levy-paying employers, including NGOs, co-operatives, burial societies and professional bodies registered with INSETA and operating in the Insurance sector and its related sub-sectors Employers must have submitted the WSP, ATR and PIVOTAL reports as required Employers found to be non-compliant in past implementation of INSETA funded programmes will not be considered for grants unless evidence of remediation to the satisfaction of INSETA can be produced Training providers contracted must comply with the quality assurance requirements of the relevant quality assurance body. Learners Employed learners must be employed in the Insurance sector and its related sub-sectors Unemployed learners will be funded for specific, structured skills programmes that may facilitate employment or bridge them into the sector or other sector programmes such as learnerships or internships The scope of unemployed learners is restricted to youth between the ages of years as one of the Transformational and Developmental Imperatives All unemployed learners must be South African citizens No learner will be the beneficiary of funding while receiving INSETA funding for any other programme Learners that previously exited an INSETA-funded programme prior to completion will not be considered unless special representation has been made by the employer. Approvals are at the discretion of INSETA Providers Funding will be considered for programmes that are delivered via TVET institutions and existing accredited providers. Public TVET institutions will be DISCRETIONARY GRANT POLICY VERSION

26 afforded priority funding allocation provided they have the relevant skills programme accreditation Training providers through which the skills programme is delivered must comply with the quality assurance requirements of the relevant quality assurance body 12.2 Implementation of funded Skills Programmes For workers, funding will be on a reimbursement basis in the form of cash grants and will be made available upon submission of reports of completed training against scarce and critical skills as identified by INSETA Applications for funding for skills programmes or cash grants for skills programmes must be submitted within the funding window period prescribed by INSETA Cash grants for skills programmes will be paid directly to employers and not to learners INSETA may fund Skills Programmes directly through agreements with learning institutions Funding for small business and co-operatives will be in two tranches, 50% on commencement of the programme and 50% on completion 13 CODE OF CONDUCT Employers Employers will subscribe to a service-level agreement with INSETA which sets out the terms and conditions for implementation of the learning programme which will guide subsequent contracts and agreements entered into with other parties in the programme Training providers receiving direct funding from INSETA will subscribe to a service-level agreement with INSETA which sets out the terms and conditions for implementation of the learning programme which will guide subsequent contracts and agreements entered into with other parties in the programme DISCRETIONARY GRANT POLICY VERSION

27 INSETA reserves the right to relocate learners to another willing host employer or training provider where it is found, upon investigation, that the learners are not deriving the maximum benefit intended for the learning programme Learners Learners are subject to the terms and conditions of the contract of employment entered into with the employer and the performance requirements of the learning programme and curriculum. Non-performance In the event of non-performance by any party funded by INSETA in terms of the learning programme all further funding will be withheld until an investigation is completed. 14 MONITORING AND EVALUATION INSETA reserves the right to conduct site visits at any stage in the start or duration of a learning programme Logbooks must be maintained in the format prescribed by INSETA and made available for inspection on demand INSETA reserves the right to contact learners directly to discuss matters relating to learning programmes Employers defaulting in payment to training providers will be regarded as noncompliant. INSETA reserves the right to withdraw funding to the employer and make payment to the provider directly Providers are subject to the rules and policies of the relevant quality assurance body All programmes and parties will be subject to a service-level agreement between the employer, training provider and INSETA DISCRETIONARY GRANT POLICY VERSION

28 14.1 Dispute Resolution Should any dispute arise from any application made in terms of these guidelines, the parties will attempt to resolve the dispute in good faith through senior-level negotiations. If the dispute is not resolved through negotiation or mediation within a reasonable time both parties agree that it shall be finally resolved in accordance with the rules of the Arbitration Foundation of South Africa by an arbitrator or arbitrators appointed by the Foundation. Any party applying for funding must do so in terms of this guideline and related INSETA Discretionary grant policy and are bound to such provisions. 15 PROJECT/PROGRAMME IMPLEMENTATION Implementation of all approved projects and programmes shall fall within the operational mandate, subject to relevant delegations of authority, of the INSETA Chief Executive Officer (CEO). The mandate of the CEO includes approvals of project extension requests for up to a maximum of 12 months. Extensions in excess of 12 months will be referred to the Finance, IT and Administration Committee for approval. Material changes to the scope of the project will be referred to the Executive Committee for their consideration and approval REPORTING Progress reports and reports on operational progress and financial status on all INSETA projects and grants will be submitted, as relevant, to the INSETA Executive Committee (EXCO), Finance and IT Committee (FINCO) and INSETA Board at each meeting of such Board or committee. INSETA will be accountable to the Board, regulatory bodies and stakeholders to show how the alignment of resources and allocation of funds has contributed to its pre-determined objectives POLICY REVIEW DISCRETIONARY GRANT POLICY VERSION

29 This policy and guideline will be subject to review by the INSETA Executive Committee (EXCO), Finance and IT Committee (FINCO) and INSETA Board annually DISCRETIONARY GRANT POLICY VERSION

30 DISCRETIONARY GRANT POLICY VERSION 2 30