Skills development is a key requirement for economic growth and for empowering the previously disadvantaged majority economically.
As a result, the Skills Development Act of 1998 provides a framework for developing skills in the workplace.
Among other things, the act makes provision for skills development by means of a levy-grant scheme and the establishment of 27 sector-specific Sector Education and Training Authorities (Setas) to administer the scheme's funds and manage the skills development process.
The Setas were established in March 2000 and are responsible for the disbursement of training levies payable by all employers.
Each separate sector has one Seta. There are 27 Setas which cover all work sectors, including government sectors. Members include trade unions, the government and bargaining councils
A Seta must develop and implement a skills development plan, be responsible for quality control and pay out development grants. They are responsible for about R2,5billion each year. Part of the objective is to ensure that skills requirements are identified and skills are readily available.