ATE on 16th September 2017 joined other Key Stakeholders in Dodoma for the official launch of the National Apprenticeship and Internship Guidelines which was successfully graced by the Prime Minister of the United Republic of Tanzania Hon. Majaliwa Kassim Majaliwa (MP). The Guidelines aim among others to promote, manage, and coordinate and Monitor Workplace based Trainings and Improve quality of Training in the country. Speaking at the occasion, ATE Executive Director Dr. Aggrey Mlimuka urged the government to reduce Skills and Development Levy (SDL) from 4.5% to 2% as it remained the highest in East Africa and globally thus hindering business growth and job creation.
“We believe that the government will work on the proposal by employers to reduce SDL to 2%. The aim is to reduce cost of doing business to attract more local and foreign investments,” he insisted. ATE also urged the government to allocate SDL solely for technical training and added that the levy should be transferred directly to VETA instead of using large fraction of the SDL to fund Higher Education Students Loans and Grants (2.33% of the SDL) that entails double taxation resulting into high cost of doing business to employers in the country.
Apart from the two issues presented, it was advised to shift VETA from the Ministry of Education, Science and Technology to the Ministry responsible for labour and employment- under the Prime Minister’s Office which could largely help to strengthen skills at the workplace and tripartite system of cooperation. The Prime Minister of Tanzania Hon. Kassim Majaliwa (MP) congratulated ATE on their initiative to implement the Skills development initiatives and promised to work on the raised concerns especially on the need to shift VETA to the Ministry of Labour, Youth, Employment and PWDs. ATE was also Awarded Certificate by the Government to recognize their efforts and support towards the implementation of the Apprenticeship in Tanzania.