Skills development act no. 97 Of 1998




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Schedule 1

REPEAL OF LAWS

(Section 37 (1))



No. and year of law

Short title

Extent of repeal

Act No. 56 of 1981

Act No. 62 of 1981

Act No. 41 of 1985

Act No. 106 of 1996



Manpower Training Act, 1981

Guidance and Placement Act, 1981

Local Government Training Act, 1985

Telecommunications Act, 1996



The whole.

The whole.

The whole

Sections 78 to 87.



Schedule 2

TRANSITIONAL PROVISIONS

(Section 37 (2))



1.   Definitions.--In this Part--

"Guidance and Placement Act" means the Guidance and Placement Act, 1981 (Act No. 62 of 1981);

"Local Government Training Act" means the Local Government Training Act, 1985 (Act No. 41 of 1985);

"Manpower Training Act" means the Manpower Training Act, 1981 (Act No. 56 of 1981); and

"Telecommunications Act" means the Telecommunications Act, 1996 (Act No. 103 of 1996).

2.   National Training Board.--Until the chairperson and other members of the National Skills Authority are appointed, the National Training Board, established in terms of section 3 of the Manpower Training Act, continues to exist and to perform the functions of the National Skills Authority.

3.   Manpower Development Fund.--All assets, rights, liabilities and obligations of the Manpower Development Fund, established by section 38 of the Manpower Training Act, are hereby transferred to the National Skills Fund.

4.   Training boards and apprenticeships.--(1)  Subject to subitem (4), a training board, established and accredited in terms of sections 12A and 12B of the Manpower Training Act, continues to exist and perform its functions as if that Act had not been repealed, until 31 March 2000.

(2)  When a training board ceases to exist on 31 March 2000--



  1. that training board must be wound up in terms of its constitution; and

  2. any apprentice under a contract of apprenticeship, registered by that training board and in existence immediately before the training board ceases to exist, must be dealt with as if the Manpower Training Act had not been repealed except that the Director-General must perform the functions of the training board until that contract of apprenticeship expires.

(3)  The Minister must, by notice in the Gazette, abolish a training board before 31 March 2000 if--

  1. a SETA is established; and

  2. that SETA has jurisdiction over any part of an industry or area in respect of which the training board has been accredited in terms of section 12B of the Manpower Training Act.

(4)  When a training board is abolished in terms of a notice referred to in subitem (3)--

  1. all the assets, rights, liabilities and obligations of the training board are transferred to the SETA designated in that notice; and

  2. any apprentice under a contract of apprenticeship, registered by the training board and in existence immediately before the training board is abolished, must, subject to subitem (6), be dealt with as if the Manpower Training Act had not been repealed except that that SETA must perform the functions of the training board until the contract of apprenticeship expires.

(5)  Subject to sub-item (4) (b), sections 13 to 29 of the Manpower Training Act remains in force as if that Act had not been repealed until a date determined by the Minister by notice in the Gazette.

(6)  From the date immediately after the date referred to in sub-item (5)--



  1. any trade designated under section 13 (1) of the Manpower Training Act is regarded to be a qualification contemplated in section 16 (c) of this Act;

  2. the applicable provisions of any contract of apprenticeship registered in terms of section 18 of that Act are deemed to be a learnership agreement registered in terms of section 17 (3) of this Act and a contract of employment referred to in section 18 (3) of this Act; and

  3. any apprentice referred to in section 17 of that Act is regarded to be a learner in relation to such a learnership agreement.

5.   Training centres.--(1)  In this item "training centre" means any--

  1. centre registered as a regional training centre registered in terms of section 31 of the Manpower Training Act;

  2. training centre registered as an industry training centre in terms of section 34 of the Manpower Training Act; or

  3. training trust established in terms of any law mentioned in Schedule 1 of the Integration of Labour Laws Act, 1994 (Act No. 49 of 1994),

and in existence immediately before the commencement of this Act.

(2)  Subject to subitem (3), a training centre continues to exist and perform its functions as if the Manpower Training Act or any law mentioned in Schedule 1 of the Act referred to in subitem (1) (b) had not been repealed.

(3)  A training centre must be liquidated4 in terms of its constitution not later than 31 March 2000 unless it has been registered as an association not for gain in terms of section 21 of the Companies Act, 1973 (Act No. 61 of 1973) before that date.

(4)  The Director-General may take steps to liquidate a training centre after 31 July 1999 if that centre has not--



  1. applied for registration as such an association not for gain; or

  2. taken steps to liquidate itself in terms of its constitution.

(5)  If a training centre is liquidated, any assets and rights not required to discharge the obligations and liabilities of that centre must be disposed of in accordance with the directions of the Director-General.

(6)  Section 32 of the Manpower Training Act remains in force as if the Manpower Training Act had not been repealed, until a date determined by the Minister by notice in the Gazette.



6.   Arrangements for training of trainees.--Any arrangement contemplated in section 30 of the Manpower Training Act and in force immediately before the commencement of this Act remains in force as if the Manpower Training Act had not been repealed, until a date determined by the Minister by notice in the Gazette.

7.   Grants-in-aid.--Section 35 of the Manpower Training Act remains in force as if the Manpower Training Act had not been repealed, until a date determined by the Minister by notice in the Gazette.

8.   Fund for Training of Unemployed Persons.--(1)  Any balance of the Fund for the Training of Unemployed Persons established by section 36A of the Manpower Training Act is hereby transferred to the National Skills Fund.

(2)  The balance so transferred may be used only for the training of unemployed persons.



9.   Training schemes.--(1) Subject to subitem (2), any scheme declared binding in terms of section 39 (5) of the Manpower Training Act continues as if that Act had not been repealed.

(2)  Any such scheme must be discontinued not later than 31 March 2000 unless the scheme has been--



  1. registered as an association not for gain in terms of section 21 of the Companies Act, 1973 (Act No. 61 of 1973), before that date, provided that from that registration any notice issued in terms of section 39 (5) in respect of that scheme ceases to be in force;

  2. sold with the agreement of the members of the training board with jurisdiction over employers subject to the scheme before that date; or

  3. transferred to a SETA with the agreement of those members of the training board before that date.

(3)  If that scheme is discontinued, any assets and rights not required to discharge the obligations and liabilities of that scheme must be disposed of in accordance with the directions of the Director-General.

10.   Training levies.--(1)  Subject to subitem (2), section 39 of the Manpower Training Act remains in force as if the Manpower Training Act had not been repealed, until 31 March 2000.

(2)  A notice imposing a levy in terms of section 39 of the Manpower Training Act and issued, before or after the commencement of this Act--



  1. may be amended by the Minister, by notice in the Gazette, to provide that the levy be paid to a SETA designated in that notice; and

  2. ceases to be in force when withdrawn in terms of the Skills Development Levies Act.

11.   Training advisers.--Sections 45 and 46 of the Manpower Training Act remain in force as if the Manpower Training Act had not been repealed, until a date determined by the Minister by notice in the Gazette.

12.   Registered work-seekers.--Any work-seeker registered in terms of section 4 of the Guidance and Placement Act immediately before the commencement of this Act is regarded to be a registered work-seeker in terms of section 23 (2) (b).

13.   Private employment offices.--Any private employment office registered in terms of section 15 of the Guidance and Placement Act immediately before the commencement of this Act is regarded to be an employment service registered for gain in terms of section 24 of this Act.

14.   Local government sector.--(1)  The Local Government Training Fund (in this item referred to as "the Fund"), established by section 7 of the Local Government Training Act continues to exist, subject to subitems (5) to (7), as if that Act had not been repealed.

(2)  Any body or institution, including a local government body, recognised as a training centre under section 9A of the Local Government Training Act immediately before the commencement of this Act, continues to be so recognised for a period of four months from that commencement as if the Local Government Training Act had not been repealed.

(3)  Subject to subitem (7) (c), any levy imposed in terms of section 10 of the Local Government Training Act and in force immediately before the commencement of this Act, remains in force until 31 March 2000 unless withdrawn before that date by the Minister in terms of section 2 (3) of the Skills Development Levies Act as if the Local Government Training Act had not been repealed.

(4)  Subject to subitem (7)--



  1. the powers conferred and duties imposed on the Training Board for Local Government Bodies established by section 2 of the Local Government Training Act may be exercised and must be performed by the Local Government Education and Training Board established in terms of section 12A of the Manpower Training Act; and

  2. all the assets, rights, liabilities and obligations of the Training Board for Local Government Bodies are hereby transferred to the Local Government Education and Training Board.

(5)  The Director-General: Constitutional Development must administer the Fund and is the accounting officer for the Fund.

(6)  The Minister for Provincial Affairs and Constitutional Development may, after consultation with the Local Government Education and Training Board, utilise the moneys in the Fund to fund any person or institution that in the opinion of the Minister can take action to develop the skills, knowledge, expertise or attitudes of a person elected to a municipal council or employed by a municipality.

(7)  When a SETA is established for the local government sector--


  1. the Local Government Education and Training Board ceases to exist;

  2. the assets, rights, liabilities and obligations of that Training Board must be transferred to that SETA;

  3. the levy referred to in subitem (3) is regarded to be a levy imposed in terms of section 39 (1) of the Manpower Training Act as mentioned in item 10;

  4. the Fund ceases to exist; and

  5. the Director-General: Constitutional Development must transfer any balance of moneys in the Fund into the banking account of that SETA.

15.   Telecommunications sector.--(1)  Subject to subitem (2), the Human Resources Fund referred to in section 78 (1) of the Telecommunications Act continues to exist as if sections 78 to 87 of that Act had not been repealed.

(2)  The Fund referred to in subitem (1) ceases to exist--



  1. on 31 March 2000; or

  2. on the establishment of a SETA with jurisdiction in the telecommunications sector.

(3)  If that Fund ceases to exist in terms of--

  1. subitem (2) (a), the balance of the money in the Fund must be transferred to the National Skills Fund; or

  2. subitem (2) (b), the balance of the money in the Fund must be transferred to the SETA referred to in that subitem.

(4)  Subject to subitem (5), the contributions contemplated in section 86 (1) of the Telecommunications Act which are in force immediately before the commencement of this Act, remain in force until 31 March 2000 as if that Act had not been repealed.

(5)  If a SETA with jurisdiction in the telecommunications sector is established, the contributions contemplated in subitem (4) must be credited to that SETA.



16.   Exemptions from transfer duty, donations tax or any other tax.--Any transfer of assets or rights contemplated in this Schedule is exempt from transfer duty, donations tax or any other duty or tax.
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