Unlock public opportunities
Youth Capital advocates for ways to effectively support young people transition into the labour market by leveraging existing schemes.
Government-led incentives such as the Employment Tax Incentive (ETI), B-BBEE and the Sector Education and Training Authorities (SETA) exist to open opportunities to young people; but the private sector and small businesses need support in accessing these schemes to employ and train young people. Making these incentives more accessible for businesses is one of the ways of unlocking investment and economic productivity.
The facts are
- 1 in 10
The number of small businesses that had accessed ETI
The number of small, micro and medium enterprises funded by the National Skills Fund for skills development in the 2021/22 fiscal year
- 8 in 10
Young people who try to re-write their matric outside of the school system
“A challenge I often encounter is that many employers don’t recognise all experiences that young people have. This puts many of us who don’t have experience in the formal job sector at a disadvantage in getting jobs.”
The Employment Tax Incentive launched in 2014, and renewed until 2029, aimed to address low youth employment by reducing the cost of hiring young workers. The latest research into its effects are still inconclusive on whether the significant investment into this incentive has led to job creation for young people. The United Nations University World Institute for Development Economics Research do an in-depth analysis here to unpack the effects across different sizes of firms.
What could improved certification look like?
SETA funding is streamlined for employers who want to provide training and learnership opportunities to young people.
ETI funding is easily accessible for small and medium enterprises.
The implementation of existing incentives, and the design of new ones, are done with small and medium enterprises in mind, instead of just focusing on big business.
We’ve got a plan!
Join over 50 organisations and 15 000 individuals and add your voice and experience to a coordinated response to youth unemployment.