South Africa’s 21 Sector Education and Training Authorities (SETAs) are meant to help workers gain skills, grow careers and boost productivity across sectors from agriculture to mining. Sounds good, right?

But inefficiency and red tape have long dogged the system. It’s a major issue in a country battling youth unemployment and a critical skills shortage. Employers contribute 1% of their wage bill to the National Skills Development Levy, which raised R22.4-billion in 2023/24. Of this, nearly R18-billion went to SETAs, according to the Department of Higher Education and Training.

Government now says it will restructure the SETAs, tighten oversight and ensure they deliver real value. On 19 August 2025, Higher Education Minister Buti Manamela placed three SETAs under administration over governance failures and procurement irregularities.