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THE

BEECHAMBER

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NEWS

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SKILLS DEVELOPMENT & CONDITIONAL OBLIGATIONS


Generally, expenses on bursaries for employees do not constitute Skills Development Expenditure if an organisation can recover any of the employee's expenses or if the grant is conditional in any way. However, the following two conditions are acceptable as part of an employee obligation whereby expenses will be recognised.


  • Successful completion of studies within an identified period; or

  • The continuation of employment for a stated period following the successful completion of their studies which does not extend the period of their studies.


A bursary that is recognised as Skills Development expenditure allows for the following:


Legitimate training costs such as accommodation, catering, travel and the cost to an organisation of employing a Skills Development facilitator or a training manager (non-exhaustive) may not exceed more than 15% of the total value of Skills Development Expenditure. This does not apply to Skills Development Expenditure recognised in paragraph 2.1.1.2”.


Point Indicator 2.1.1.2 under Statement 300 of the Amended General B-BBEE Codes of Good Practice refers “Skills Development Expenditure on Bursaries for ‘Black’ Students at Higher Education Institutions”.


Skills Development Services are available to assist Members to prepare for Skills Development initiatives.

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