The constraints SMMES experience whilst attempting to recover skills levies from the W&RSETA in South Africa

Abstract

This paper adds to the current database factors that impacts Small, Medium and Micro-sized Enterprises (SMMEs) in South Africa, by exploring the specific barriers or constraints that the SMME may experience whilst attempting to recover their skills levies from the Wholesale and Retail Sector Education and Training Authority (W&RSETA). In 2007 it is estimated that 4,005 of the 8,269 levy paying SMMEs put the levy grant system to use. As a result, the W&RSETA may fail to meet National Skills Development Strategy phase two (NSDS II) targets developed within the scope of the Skills Development Act (SDA) of 1999 (South Africa, Department of Labour, 2007). This perspective is addressed by providing a background to skills levy paying SMMEs within the W&RSETA, as well as a discussion of the internal and external factors that may pose as a barrier to the SMME whilst attempting to recover its skills levies from the W&RSETA. Furthermore, an overview of the research design and methodology as well as an analysis of the findings and corresponding recommendations is included.