Namibia / Employers welcome Vocational Education and Training Levy

The Namibia Employers’ Federation (NEF) has in principle welcomed the implementation of the Vocational Education and Training (VET) levy, which was published in the Government Gazette of January 27, 2014. “We encourage all employers to accept the levy and to see it as a medium to long-term investment in the country as a whole. It should not be seen purely as a cost. We also encourage employers to continue all the training that they have previously been offering their workers,” remarked the secretary general of the NEF, Tim Parkhouse.

Speaking to New Era last week, managing director of Namibia Breweries Limited, Wessie van der Westhuizen, said the VET levy would encourage companies to invest in training because businesses would get back part of their investment to re-invest in further skills training. “We fully support the levy. In the past people were reluctant to invest in skills training because when employees left the company they took that investment with them. This is not the case with the VET levy,” noted Van der Westhuizen.

Parkhouse added that the employers’ organisation is satisfied that the minimum level for companies to be registered has been raised to N$1 million per year and that the contribution rate has been set at 1 percent, although the NEF had urged that the rate be reduced to 0.5 percent. The NEF also welcomes the directive from the Receiver of Revenue that the levy may be claimed as a company expense.

Chosen excerpts by Job Market Monitor. Read the whole story at allAfrica.com: Namibia: Employers Welcome Vet Levy to Boost Skills Development.

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