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SETA Appointments Controversy: EFF Takes Minister Manamela to Court Over Alleged Unlawful SETA CEO Appointments

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EFF Launches High Court Bid to Overturn Manamela's SETA CEO Appointments

The Economic Freedom Fighters (EFF) has filed an urgent application at the Gauteng High Court in Johannesburg, seeking to review and nullify eight Chief Executive Officer (CEO) appointments made by Minister of Higher Education and Training, Buti Manamela. EFF Member of Parliament (MP) Sihle Lonzi argues that these reappointments for five-year terms violate key regulations under the Skills Development Act (SDA) of 1998, undermining transparency and merit in leadership selection. This legal showdown highlights ongoing tensions in South Africa's skills development landscape, directly affecting funding flows to Technical and Vocational Education and Training (TVET) colleges and universities.

Manamela, appointed after the 2024 elections amid a cabinet reshuffle, defends the moves as within his executive prerogative to ensure stability in crisis-hit Sector Education and Training Authorities (SETAs). The case, docketed as 2026-039497, demands the court declare the appointments unlawful, compel a proper recruitment process within 90 days, and award punitive costs against the minister.

What Are SETAs and Why Do They Matter for South African Higher Education?

Sector Education and Training Authorities (SETAs) are statutory bodies established under the Skills Development Act 97 of 1998 to promote skills development in specific economic sectors. There are 21 SETAs in South Africa, each collecting a 1% Skills Development Levy (SDL) from qualifying employers—totaling over R20 billion annually in recent years. These funds support learnerships, apprenticeships, internships, and skills programmes, often delivered through TVET colleges, Community Education and Training (CET) colleges, and universities.

In the higher education context, SETAs bridge the gap between formal qualifications and workplace readiness. For instance, they fund artisan training at TVETs, addressing South Africa's youth unemployment rate, which hovered around 45% in 2025. Poor SETA governance risks disrupting these pipelines, leaving graduates from institutions like the 50 public TVET colleges without practical experience. Explore higher ed jobs in skills training for opportunities in this vital sector.

Diagram illustrating SETA funding flow to TVET colleges and universities in South Africa

The Eight Contested Appointments: Who Are the CEOs?

The disputed reappointments, announced in late 2025, extend terms for incumbents without a competitive process. Here's the list:

  • Yershen Pillay (CHIETA - Chemical Industries Education & Training Authority)
  • Ayanda Mafuleka (FASSET - Finance & Accounting Services SETA)
  • Dr Feleng Yende (FP&M SETA - Fibre Processing & Manufacturing SETA)
  • Gugu Mkhize (INSETA - Insurance SETA)
  • Matome Madibana (MICT SETA - Media, Information & Communication Technologies SETA)
  • Thabo Shadrack Mashongoane (MQA - Mining Qualifications Authority)
  • Tom Mkhwanazi (W&R SETA - Wholesale & Retail SETA)
  • Nokuthula Selamolela (FoodBev SETA - Food & Beverages SETA)

Critics note forensic probes into some, like CHIETA's SIU investigation for maladministration.

Legal Grounds: Breaching Regulation 2 of the Skills Development Regulations

Regulation 2, gazetted on 4 November 2011, mandates a rigorous process for SETA CEO appointments: national advertising, formation of a selection committee, shortlisting, interviews, and recommendation of three candidates to the minister.Skills Development Regulations The EFF claims Manamela bypassed this entirely, sending letters to newly formed boards on 29 September and 6 October 2025 with deadlines of 30 September and 10 October—impossible for boards with minimal meetings to assess performance.

This echoes prior DA and EFF criticisms of 'unlawful, illogical' reappointments, ignoring legal opinions on CEO ineligibility post-term.

Minister Manamela's Defense and Broader Context

Manamela asserts the appointments fall under ministerial discretion for extensions, requiring no advertisement or committee, aimed at stabilizing SETAs amid governance crises. He cited board compliance post-deadline and the need to reset after scandals that ousted predecessor Nobuhle Nkabane. Yet, earlier perjury accusations from EFF over conflicting parliamentary and court statements linger.

The Department of Higher Education and Training (DHET) oversees SETAs alongside 26 universities and 50 TVETs, making leadership integrity crucial. Check higher ed career advice for navigating skills sectors.

A History of SETA Governance Failures and Corruption Probes

SETAs have long battled issues: qualified audits, irregular expenditure, and administrations. In 2025/26, R20.8 billion in levies faced mismanagement risks. Examples include Services SETA scandals and BankSETA oversight lapses. OUTA labels them a 'cesspool of corruption,' with cadre deployments exacerbating skills mismatches despite high youth joblessness.

SETAKey Issue
CHIETASIU probe on CEO Pillay
INSETAFour qualified audits
BankSETASevere financial oversight failures

Stakeholder Reactions: DA, OUTA, and Beyond

The Democratic Alliance (DA) slammed earlier administrator picks as 'R800m corruption-implicated cadres.' OUTA launched its own court challenge against INSETA's Gugu Mkhize reappointment, citing unlawful processes and poor performance. Unions and TVET principals worry about funding delays impacting 2026 enrolments. For South Africa-specific roles, visit AcademicJobs ZA.

Impacts on TVET Colleges, Learnerships, and Youth Skills Development

SETAs fund 70% of TVET artisan programmes and thousands of learnerships annually, but governance woes lead to inefficiencies—learners cost more than university grads with poorer outcomes. Delays in R36 billion NSFAS-like disbursements exacerbate protests at colleges like DUT and Wits. Transparent leadership could boost apprenticeship completions, vital for sectors like mining (MQA) and ICT (MICT SETA).

A man in a graduation gown throwing a hat in the air

Photo by Ugip on Unsplash

  • Learnerships: Theory + workplace (1-3 years)
  • Apprenticeships: Trade skills via TVETs
  • Impacts: 500k+ rejected uni/TVET applicants yearly need SETA bridges
TVET college students in learnership programme funded by SETA

Potential Outcomes, Reforms, and Future Outlook

If successful, the EFF case forces merit-based hires, restoring trust. Proposed solutions: Limit admin tenures (OUTA), digital levy tracking, SETA-TVET partnerships. President Ramaphosa's SONA pledged SETA reforms; this ruling could catalyze them. For career growth, see rate my professor or higher ed jobs. In conclusion, resolving this controversy ensures SETAs effectively support South Africa's higher education ecosystem, empowering youth through quality skills training.

Stay informed on higher education news for updates. Professionals in TVET and universities can advance via university jobs and career advice.

Retrato do Dr. Elena Ramirez
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Frequently Asked Questions

⚖️What triggered the EFF's court case against Minister Manamela?

EFF MP Sihle Lonzi filed to nullify 8 SETA CEO reappointments for violating Regulation 2—no ads, no interviews.82

📋Which SETAs and CEOs are involved?

CHIETA (Yershen Pillay), FASSET (Ayanda Mafuleka), FP&M SETA (Feleng Yende), INSETA (Gugu Mkhize), MICT SETA (Matome Madibana), MQA (Thabo Mashongoane), W&R SETA (Tom Mkhwanazi), FoodBev (Nokuthula Selamolela).

📜What is Regulation 2 of the Skills Development Regulations?

Regulation 2 requires national advertising, selection committee, shortlisting, and interviews for SETA CEOs.

🏭How do SETAs support TVET colleges?

SETAs fund learnerships and apprenticeships at 50 TVETs, using R20bn+ SDL levies for workplace training linked to NQF qualifications.

🚨What are the governance issues in SETAs?

Qualified audits, corruption probes (e.g., CHIETA SIU), irregular spend—OUTA calls them a 'cesspool.'78

🗣️Minister Manamela's response?

Claims prerogative for extensions to stabilize SETAs; no need for full process per his view.

📉Impacts on higher education?

Disrupted funding risks TVET enrolments, artisan output amid 45% youth unemployment.

👥Other stakeholders' views?

DA: Cadre deployment; OUTA: Own lawsuit on INSETA; unions fear delays.

✅What remedies does EFF seek?

Set aside appointments, compel compliant process in 90 days, costs.

🔮Future reforms for SETAs?

Merit-based hires, tenure limits, better TVET partnerships. See career advice.

🎓How to apply for SETA learnerships?

Via SETA portals or TVETs; combines theory/practice. Check jobs.