February Edition of the MBA North Newsletter 2023.

The Association held our 2023 119^th Annual General Meeting where we nominated our new Office Bearers as well as the Association’s Executive Committee for the year. We, therefore, welcome Mrs Liana Van der Walt from Edelweiss Glass & Aluminum as the Vice President of the Association.

On our Executive Committee, we welcome Ms Karabo Motsepe from Corobrik & Ms Tshidi Mdzebele of Avenir Group who were also nominated at the meeting.

Congratulations to our deserving Honorary Life Member 2023, Mr Manie Bosch, who has contributed selflessly to the Construction industry and the  Association over the past 50 years.

Our aim remains to be a Solution Based Association, meeting the daily needs of our members and simplifying compliance to legislation for them while offering quality services to help you comply and ultimately help sustain your businesses.

We are aware that our members are operating in a very tough environment indeed, through MBSA, BUSA and other platforms we are putting increased pressure on the government to improve this environment. Please be on the lookout for workshops and information on how we are tackling the unscrupulous amendment of the JBCC documents, Business Forums & Infrastructure Investment by the state.

We are also addressing the issuing of zero & negative certificates. Please let us know how we can help you further in 2023. We look forward to working closely with you.

2. We welcome the new members that have joined the Master Builders Association North from November 2022- January 2023

• November 2022: Febry Projects ( Pty) Ltd
• December 2022: Rov Projects / Home Seald (Pty) Ltd (visit website)
• January 2023: Mango and Orange / MMC Afri Projects

3. Business Unity South Africa (BUSA)

Pressure is being put on the government at the BUSA level to create a conducive environment for investment & for business to thrive. As it is the environment is harmful and damaging to business. Business, through BUSA, has been engaging with the government through this platform, however, there is consensus that some departments are not listening, while some see business as the enemy. A decision has been taken to change how we engage to get results as this is largely not happening.

4. MASTER BUILDERS SOUTH AFRICA comments on the draft SETA regulations

Government Gazette No. 47926 on 27 January 2023, for submission of comments on the Draft Sector Education Training Authorities (SETAs) Grant Regulations regarding monies received by a SETA and related matters, as contained in the Schedule in terms of Section 36 of the Skills Development Act, 1998 (Act No. 97 of 1998).

1. MBSA comments on key matters of concern regarding the Draft Regulations

• The intention to sign into law a mandatory grant of 20% is deeply concerning and will further disincentivise employers from participating in workplace training programmes. MBSA proposes a mandatory grant of 30% on submission of WSP and 20% paid on submission of ATR that includes sufficient evidence of costs incurred in training. It is important to note that the reduction of the mandatory grant to 20% has adversely affected training in our sector, to the point of having WBL programmes such as apprenticeships becoming almost non-existent.
• MBSA is concerned that DHET has not considered the input made by employers regarding proposals on the grants. This will only result in fewer employers opening their workspaces for training purposes, with the ripple effect of unemployable graduates being produced from institutions of learning.
• The exclusion of private education institutions ignores that some essential programmes are not offered by public providers and private institutions play a role in filling this gap. MBSA proposes a review of this provision, which limits funding to programmes run by public education institutions only.
• MBSA welcomes and supports the proposal to increase QCTO funding to 1%.
• MBSA also supports the increase of project administration cost allocation to 8% from the current 7.5%.

MBSA and its members are in agreement about the need for a revised funding framework for skills development in the country. However, the Grant regulations in their current form are counter-productive to the intention of developing skills in the building industry and in opening up more workplaces for the training of South Africa’s youth.

2. Conclusion

It would be greatly appreciated if due consideration is given to providing MBSA with an opportunity to make verbal representations to further elucidate the concerns, comments and proposals to the Department.