TOURISM HOSPITALITY

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TOURISM HOSPITALITY SPORT EDUCATION TRAINING
AUTHORITY

• Presentation
• To
• Portfolio Committee on Sports
• On
• Annual report 2004 2005
• Presented by Mike Tsotetsi

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INTRODUCTION THETA TEAM

• Thabo Mahlangu - Chairperson
• Mike Tsotetsi - Chie Executive Officer
• William Chuene - Skills Dev. Manager
• Alistair Cyster - Skills Dev. Advisor
• Lucus Jacobs - Skills Dev. Advisor

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Sector Profile

• Industry sectors in Thetas scope
• Hospitality
• Tourism and Travel
• Sport, Recreation and Fitness
• Conservation and Guiding
• Gaming and Lotteries

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Employment Profile
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Employment Equity Profile
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As at March 2005
Number of Employers
Number of Employees
7
THETA Universe
Chamber
Small 50-149
Large 150
Total
Micro 0-49
Hospitality
184
70
13167
12913
29
9
1842
1804
Tourism and Travel
Sport, Recreation and Fitness
9
4
1042
1029
Conservation And Guiding
18
13
1414
1383
Gaming and Lotteries
6
11
140
123
Total
246
107
17605
17252
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Sector Profile - Notes

• Largest sector
• 70 of tourism spending

Hospitality

• Travel operations, inbound airlines, car rental
• 40 employment of tourism in Gauteng

Tourism Travel

• All forms of tourist guiding, wildlife
  conservation,
• trekking and safari operators, museums etc

Conservation Guiding

• Casinos, horse racing, bookmakers and lotteries
• Highly regulated chamber through National
• Gambling Board and provincial gambling
  authorities

Gaming Lotteries
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Sector Profile
Sport Recreation and Fitness

• Sport event management, health, fitness and
  wellness centers, indoor outdoor sports, sports
  events fall within this scope
• 86 of companies SMMEs between 0-49 employees
• 81 owned/managed by whites
• Dominated by voluntarism
• Levy contribution insignificant yet there is so
  much required

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THETA Universe - Sports
 THETA EMPLOYMENT PROFILE 1 April 2004- 31 March 2005 Monday, November 07, 2005  
 Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees  Number of employees
 Occupational Group  Job Title AFRICAN AFRICAN AFRICAN COLOURED COLOURED COLOURED INDIAN INDIAN INDIAN WHITE WHITE WHITE Total Total Total
 Occupational Group  Job Title M F D M F D M F D M F D M F D
Senior officials and Managers / owner managers Senior officials and Managers / owner managers 1091 861 4 339 418 1 336 181 1 3346 2753 12 5112 4213 18
Professionals Professionals 278 177 2 151 116 0 104 53 0 827 761 4 1360 1107 6
Technicians Technicians 1778 1046 4 426 472 0 345 425 2 2059 2848 6 4608 4791 12
Clerical / administrative workers Clerical / administrative workers 2636 4148 41 602 1742 6 405 923 10 984 3939 11 4627 10752 68
Service workers Service workers 14340 13792 47 1947 3704 8 802 586 2 2393 3570 11 19482 21652 68
Agricultural and fishery workers Agricultural and fishery workers 633 346 0 27 27 0 4 4 0 47 17 1 711 394 1
Skilled Workers Skilled Workers 2059 1046 1 280 298 0 147 44 1 221 104 0 2707 1492 2
Plant / Machine Operators and Assemblers Plant / Machine Operators and Assemblers 1743 820 2 188 160 0 55 12 2 135 103 0 2121 1095 4
Labourers Labourers 8617 10630 19 1037 2192 1 103 176 0 180 190 4 9937 13188 24
Apprentices and Section 18(2) Learners Apprentices and Section 18(2) Learners 210 267 0 44 49 0 8 18 2 127 137 0 389 471 2
Craft and Related Trade Workers Craft and Related Trade Workers 125 175 1 15 38 0 5 0 0 27 13 0 172 226 1
Casuals Casuals 53 44 0 0 0 0 6 9 0 23 29 0 82 82 0
Total Total 33563 33352 121 5056 9216 16 2320 2431 20 10369 14464 49 51308 59463 206

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Sector Profile
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Sector Profile
SCARCE SKILLS
HOSPITALITY
GAMING AND LOTTERIES

• Management
• Finance
• Projects
• Events
• Marketing
• Communication
• IT

SPORTS, RECREATION AND FITNESS
SPORTS, RECREATION AND FITNESS
TOURISM AND TRAVEL
CONSERVATION AND GUIDING
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Sector Profile

• THETA certificates issued
• As at March 2005
• 12 991 total certificates issued
• 10 582 for Hospitality
• 1 924 for Guiding
• 270 for Tourism
• 215 for Nature Conservation
• Nil for Sports
• Nil for Tourism and Travel

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THETA Profile

• Linkages to provincial, rural and presidential
  nodal development areas
• INTAC PROJECT Nature Based Tourism and
  Conservation Skills Training
• Greater St. Lucia Wetlands
• Maluti Drakensberg Conservation Area
• Eastern Cape South
• Eastern Cape North
• Northern Cape Cluster
• Great Limpopo TFCA
• Madikwe Game Reserve
• Waterberg Biosphere
• Blyderivierspoort Nature Reserve

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SETA Profile

• Linkages to provincial, rural and presidential
  nodal development areas
• INTAC PROJECT Nature Based Tourism and
  Conservation Skills Training (NSF funding R109
  million)
• Employed learners 1977
• Unemployed learners 2282
• Community leaderships 610
• New business start ups 136
• TOTAL 5005 as at year end

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SETA Profile

• Linkages to provincial, rural and presidential
  nodal development areas
• TLP PROJECT Tourism Learnership (Business
  Trust and NSF funding R120 million)
• SA Host training 13 244
• Unemployed learners 6 142
• Employed learners 2 901
• Assessors, Moderators, Trainers 1 684
• Qualifications registered 30
• Achievement 123 of targets

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SETA Profile

• Linkages to provincial, rural and presidential
  nodal development areas
• SATI PROJECT Tourism Education and Training
  (Spain funding R 13 million)
• Teachers trained tourism 1 423
• Teachers trained hospitality 511
• Schools interaction 700
• Tourism management development 133
• SMME training 1 009
• B B 295,
• Tour operators 373,
• Caterers 341

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THETA Profile
BREAKDOWN BY GENDER
BREAKDOWN BY RACE
FEMALE
MALE
TOTAL
WHITE
BLACK
TOTAL
54
21
75
20
55
75
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NSDS 2001 2005 Achievements

• Indicator 1.1 No of Workers at NQF 1
• 97 047 (achievement 54)
• 75 115 black workers (achievement 353)
• 31 475 women (achievement 233)
• 82 disabled workers (achievement 8)
• Indicator 1.2 No of workers on structure
  learning programmes
• 703 756 (achievement 209)
• 89 566 black ( achievement 156)
• 23 549 women (achievement 65)
• 109 disabled ( achievement 4)

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NSDS 2001 2005 Achievements

• Indicator 1.1 No of Workers at NQF 1
• 97 047 (achievement 54)
• 75 115 black workers (achievement 353)
• 31 475 women (achievement 233)
• 82 disabled workers (achievement 8)
• Indicator 1.2 No of workers on structure
  learning programmes
• 703 756 (achievement 209)
• 89 566 black ( achievement 156)
• 23 549 women (achievement 65)
• 109 disabled ( achievement 4)

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NSDS 2001 2005 Achievements

• Indicator 1.3 No of enterprises that achieved
  national standard of people development
• 24 enterprises on Investors in People program
  (achievement 120)
• Indicator 2.1 No of large enterprises that
  received skills development grants
• 134 levy paying enterprises receiving grants
  (achievement 110)
• Indicator 2.2 No of medium enterprises that
  received skills development grants
• 131 levy paying enterprises receiving grants
  (achievement 211)

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NSDS 2001 2005 Achievements

• Indicator 2.3 No of learnerships available to
  workers in sector
• 24 active learnerships
• (achievement 96)
• Indicator 3.1 No of small enterprises that
  received skills development support
• 3074 small businesses receiving grants and
  support (achievement 222)

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NSDS 2001 2005 Achievements

• Indicator 5.1 No of unemployed young people
  that entered learnerships or apprenticeships
• 6919 learners (achievement 46)
• 3890 black unemployed (achievement 31
• 3326 women unemployed (achievement 48)
• No of learners on learners or apprenticeships
  that were placed in employment
• Sample research on learner placement conducted by
  an external evaluator in March 2005 indicated
  60.42 placement rate out of group of 208 18.2
  (unemployed learners).
• Information on Learner placement is being sourced
  from Companies. Due date for submission of
  information is 31st October 2005
• To date responses from 9 companies indicated
  placement of 78 learners

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Annual Financials Audit Results

• SDL Income R 96.7 million , up 8.5 on prior
  period due to levy drive campaign
• Total Investment Income R 9.7 million, interest
  earned on short term investments with approved
  banking institutions
• Total revenue R 171.3 million, mainly driven by
  levy income and NSF income of R 49.5 million,
  revenue up 7.4 vs. prior year driven by levies
  received
• Total expenses R 158.5 million, mainly driven
  by grant and project expenses of R 79.9 million,
  grant and project expenses up 390 vs. prior year
  

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Annual Financials Audit Results

• Expenses as percent of SDL Income 164 driven
  by project expenses
• Net surplus / (deficit) R 12.7 million, down
  R58.4 million vs. prior year due to increased
  expenditure on grants and projects 390
• Total Cash Cash equivalents R 199.1 million
  committed funds for projects are R 97 million,
  payables (less receivables) R 15 million,
  contingent liabilities R 2.7 million and
  additional approved scoped projects of R 26
  million at year end as well as grant payments of
  R 20 million. Balance for anticipated claims of
  old mandatory grants.

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Annual Financials Audit Results

• Qualification
• Irregular expenditure (exceeded 10 threshold for
  admin expenses)
• Approval from National Treasury attempted
• Project income rejected aggravated the situation
• Expenses came in line with budget, income not,
  therefore exceeded 10
• Subsequently, restructured organisation, reduced
  staff compliment by 27 ( vacant positions put on
  hold)
• Challenge - loss of SMME levy income predicted to
  be R 11 million change in regulations which
  prohibit the charge of administration costs to
  projects scoped from surplus funds.

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Annual Financials Audit Results

• Matters of emphasis
• Non payment of discretionary grants
• 10 discretionary grant allowance was scoped as
  project and paid as learnerships
• Subsequently discretionary grants for 2005 are
  paid to qualifying employers i.r.t HIV/AIDS and
  ABET initiatives
• Special investigation
• In relation to procurement practices awaiting
  report form AG

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Committed Funds and Projects

• Committed projects R 97.3 million
• Learnership implementation R 39.8 million
• Unemployed learners 1700 (target 414 for
  current year)
• Chambers required skills R 23.1 million
• Development of managers
• Development of foreign language for tour guides
• Development of environmental and conservation
• Graduate event learnerships
• Computer literacy and business management
• Lottery outlets entrepreneurs
• Gambling casino operators
• Sport recreation and fitness

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Committed Funds and Projects continued

• SMME support R 10.4 million
• SA Host training
• SDAs
• Training support initiatives
• SGB R 4.3 million
• Qualification scoping
• Employed learners R 8.3 million
• Capacity building stakeholders R 4.5 million
• Shop Steward's Capacity Building

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THETA Key Challenges for 2005 - 2006

• Administration expenses
• SMME levy income
• Provider accreditation
• Unit standards and curricula
• Marketing and communication
• Public sector levy collection

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Industry Key Challenges for 2005 - 2006

• Graduates Internships and Work based experience
• Upgrading educational qualifications
• Facilitate a high quality delivery framework in
  line with critical and scarce skills in sports
  sector
• Avail information on supply and demand of skills
  in sports, Recreation and Fitness sectors
• Challenges facing the Hospitality, Tourism and
  Sport Sectors in preparation for 2010

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• THETA
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