Author: Florence Tshabalala
South Africa’s skills development system is undergoing one of its biggest changes in years, with the quality assurance of vocational and occupational training shifting from the traditional SETA system to the Quality Council for Trades and Occupations (QCTO).
For employers, training providers, and HR professionals, understanding what this transition means is vital. While SETAs remain a key part of the skills development landscape, the way occupational qualifications are developed, assessed, and certified, is changing.
What is changing from SETA to QCTO?
For many years, accredited training in South Africa was largely built around unit standards, with quality assurance carried out by the Education and Training Quality Assurance (ETQA) functions within the Sector Education and Training Authorities (SETAs). South Africa is now moving towards a single occupational training system led by the QCTO. Under this system, many older unit standard qualifications are being replaced by:
- Occupational qualifications
- Part qualifications
- Occupational skills programmes
The objective is to create a more consistent training system that better prepares learners for real occupations, aligns qualifications with employer needs, and develops skills for modern industries and emerging technologies.
Are SETAs being phased out?
No. A common misconception is that SETAs are being abolished. This is not the case. SETAs continue to play an important role in South Africa’s skills development system by:
- Approving Workplace Skills Plans (WSPs)
- Managing Annual Training Reports (ATRs)
- Administering skills development grants
- Supporting employers and learnerships
- Working with industry to identify skills needs
- Facilitating workplace learning within their sectors
The QCTO, meanwhile, is responsible for developing occupational qualifications, quality assurance, external assessments, and issuing occupational certificates for QCTO qualifications. In simple terms, SETAs continue to drive and fund skills development, while the QCTO oversees occupational qualification quality assurance and certification. A training provider can therefore deliver a QCTO qualification while still working with the relevant SETA for grants, workplace approvals, and reporting.
Key SETA to QCTO transition dates
The transition has been taking place over several years. Some of the most important milestones include:
- 30 June 2023: Many pre-2009 qualifications reached the end of their registration period
- 30 June 2024: Last date for first-time enrolment on many pre-2009 unit standard qualifications
- 30 June 2027: End of the transition period for many legacy qualifications, after which new learners generally cannot register for these qualifications
After the transition period, new training will generally need to use QCTO occupational qualifications where replacement qualifications exist. Government bodies, including SAQA, DHET, the QCTO, and SETAs, continue working together to replace older qualifications. Some have already been replaced, while others remain under review or have received transitional arrangements.
How does this affect employers?
Employers should begin planning for the transition now rather than waiting until legacy qualifications fall away. Key practical steps include:
- Including QCTO qualifications in B-BEE skills development planning where appropriate
- Obtaining workplace approval through the relevant SETA where required
- Appointing workplace mentors to support practical learning
- Following QCTO workplace learning and assessment requirements
- Reviewing existing training programmes to identify whether replacement qualifications are already available
Early planning can help avoid disruptions to learnerships, skills programmes, and compliance reporting.
SETA vs QCTO qualifications: What are the differences?
The biggest difference is that the older SETA model focused on individual competencies while the QCTO model focuses on occupational competence.
The traditional SETA system was built around unit standards. Each unit standard covered a specific skill or competency, and learners completed multiple unit standards to achieve a qualification. This offered flexibility but sometimes resulted in fragmented learning. Typical characteristics included:
- Unit standard-based learning
- Modular structure
- Provider-based internal assessments
- SETA moderation
- Flexible learning pathways
QCTO qualifications on the other hand, use a single occupational curriculum designed around the requirements of a specific job. Instead of learning isolated skills, learners complete an integrated programme that combines knowledge, practical skills, and workplace experience. This approach prepares learners to perform an occupation rather than simply completing individual tasks. Key characteristics include:
- Occupational curriculum
- Integrated learning
- Structured workplace experience
- External assessment
- National occupational recognition
How are QCTO learners assessed?
QCTO learners complete integrated final assessments rather than relying solely on provider assessments.
Depending on the programme, this may include:
- The External Integrated Summative Assessment (EISA) for occupational qualifications
- The Final Integrated Summative Assessment (FISA) for certain occupational skills programmes
Once learners successfully complete the required assessments, they receive a QCTO occupational certificate.
The greatest strength of this approach is that learners develop complete occupational competence rather than simply accumulating unit standards. For employers, this provides greater confidence that qualified learners are ready to perform effectively in the workplace.
The migration from SETA-led quality assurance to the QCTO’s occupational qualification system represents a significant shift in South Africa’s skills development landscape. While employers and training providers will need to adapt to new qualification structures, workplace learning requirements, and external assessments, the long-term objective is clear: producing workers with stronger practical skills and qualifications that better reflect real workplace demands.
Understanding the transition now can help organisations remain compliant, maximise available SETA funding opportunities, and prepare for the broader move towards QCTO qualifications before the transition period concludes. We’re here to help – email us today for more information.