TRAINING
Focus on skills
development combats
youth unemployment
While the overall unemployment rate in South Africa is around 24%, youth
unemployment is estimated at 50%. This is the third highest youth unemployment rate
in the world, according to the World Economic Forum Global Risk 2014 report. Graduate
unemployment is anywhere between 6 and 16%, depending on how you measure it.
Rob Murray
R
ob Murray, Guarantee
Trust’s Deputy MD,
emphasises that these
figures are far too high
and suggest a yawning gap
between what academic
institutions offer, and what the marketplace
wants. When employing, most companies
require applicants to have previous
experience, which graduates don’t have.
There is no doubt that a leading role needs
to be played to address high unemployment
levels among young graduates. Skills
development plays a huge role in eradicating
the challenges that are faced by South Africa
and its economy. It not only empowers its
beneficiaries with skills that they don’t have,
but it also translates into real opportunities
for all citizens.
Murray notes that over the years,
Guarantee Trust, in partnership with
Bankseta and Fasset, has successfully been
delivering programmes that bridge the gap
between unemployment and employment,
through successful skills development
initiatives that provide learners with solid
life skills and real work-readiness skills.
Guarantee Trust’s focus has been
the creation of skilled employment for
unemployed black learners in all provinces of
South Africa. “Since 2003, we have delivered
skills training, and placed into employment
over 6 500 black learners in the finance and
banking sectors,” says Murray, adding that
Guarantee Trust is one of the first companies
in South Africa to select, train, place and
monitor graduates, as a one-stop-shop
under one management process.
One popular programme run by Guarantee
Trust is the Virtual Bank, which is unique to
South Africa and has been an outstanding
success, with virtually all graduates finding
employment in the banking and microfinance
sector. As the name suggests, Virtual Bank is
an environment where students are exposed
to what an actual bank is like.
They learn about various aspects of
working in a bank, such as business
etiquette, dress code, work ethic and the
social skills required to function in a
banking environment.
Guarantee Trust believes that its Virtual
Banking programme, which lasts just six
months, is equivalent to two to three years
of real world banking experience, as learners
get wide exposure to the technical aspects
of banking – including compliance,
legislation, practical banking administration,
product knowledge, sales, credit scoring,
financial assessment, cash flow analysis
and lending analysis.
The learners are given actual case studies
and examples of people applying for credit.
They are required to gather and analyse the
data, and then motivate a credit application.
Virtual Bank gets veteran credit managers
and bankers to come and assist the learners
at this point in the programme, so by the
time they enter the banking environment,
they are fully able to perform a wide range
of banking functions.
The next phase of expansion for Guarantee
Trust