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GRANT REGULATIONS 2012 declared invalid

In a statement released by BUSA on 21 August 2015 it was reported that the outcome of a significant court victory reinforces the rule of law and reasserts the value and importance of workplace skills training.

On 7 August 2015 the Labour Court handed down judgement in the application brought by BUSA to review and set aside certain aspects of the SETA Grant Regulations made by the Minister of Higher Education in December 2012. A particular point of contention in the case was that the new regulations reduced the mandatory skills grant payable to employers from 50% to 20%. The regulations also included a “sweeping mechanism” which required SETAs to pay over all unspent funds to the National Skills Fund. This meant that these funds could be spent on national skills initiatives that were not related to workplace training.