South Africa

Workers in the informal economy face barriers to training due to costs and limited availability. Women encounter greater challenges accessing opportunities. Employers invest less in training than formal counterparts, and available programs may not be suitable or recognized. Therefore, governments can expand financing options and make training more flexible. The paper highlights strategies including aligning programs with labour market demands and investing in basic skills education as well as targeted interventions that are essential for enhancing access and relevance in skills training.

This rapid skills survey report presents the findings for the rapid assessment and provides practical and actionable recommendations that can help limit the career-scarring effects of the pandemic on workers through provision of skilling and reskilling, measures. The report also provides skills related actionable recommendations for the economic recovery of the companies in the subsectors that were assessed.
The report focuses on the clothing and textiles and e-commerce sectors (online retail, banking, and insurance), which were identified as sectors that have either been negatively impacted by the COVID-19 pandemic or are experiencing a spike in demand for specific occupations and top-up skills. Acknowledging the devastating impact
the COVID-19 pandemic has had on youth and women, rapid assessment put a special focus on the training, reskilling, and upskilling, since they are vulnerable to labour market downturns. The report is concise, short, and to-the-point, and provides a clear analysis and recommends prioritization of actions for rapid implementation,
a move from the normal by delivering skills development differently in response to the current labour market needs, and repurposing existing programmes. The recommendations are concrete but aimed at making a big difference at a minimal cost.

The report includes an international literature review of levy systems globally to inform the country research which involved secondary data analysis, an online survey, and in-depth interviews with key stakeholders in the eight countries involved. The research drew on the views of representatives from government, the organizations managing the training funds, workers’ organizations and employers’ organizations. The report makes high level recommendations on levy based training funds in general as well as for the eight national training funds reviewed which are documented through country briefs in Part B of this report.

The report was developed through a partnership between the ILO Skills & Employability Branch and the ILO Decent Work Team for Eastern and Southern Africa.

Understanding the costs and benefits of apprenticeship training, as well as its outcomes, is an important factor for enterprises to make decisions relating to the skills development of current and future employees. Existing studies on this topic paint a mixed picture, some reveal net benefits to employers and others net costs. Apart from observed variances in apprenticeship systems and practices across countries, a proper international comparison of cost-benefit analysis is hampered by differences in research methods. This report reviews research methods and findings of major existing studies with the aim of helping advance discussions on research methods, and suggests areas where knowledge gaps exist.