Human Resource training fund underutilised
Human Resource Development Council (HRDC) recorded an increase in the uptake of the training fund this year to 20 percent against the set target of 18 percent from the total number of levy payers. In its 2017/2018 annual report, HRDC Chief Executive Officer Dr Raphael Dingalo said the training levy collection was P300 million as compared to P292 million reported in the previous year. The fund realised a surplus of P28 million in the current year as compared to a deficit of P87 million in the previous period. “Although the training levy collection has been consistent, notable strides were made to improve on the utilization of the training levy for skills development. The initiatives undertaken during the year included intensifying levy payers uptake and utilization support including continuous review of processes and procedures,” However, HRDC states that there is still low uptake of the HRD fund and there is lack of training plans by levy payers. Through the Human Resource Development Fund (HRDF), local companies are allowed to train citizen employees and get reimbursed for all the costs incurred. Any company that has an annual turnover of P1 million qualifies to submit claims to the HRDF to train their staff.