Levies charged to the employers of work permit holders for nearly a decade will finally be used as intended, for the training of private sector workers.
In 2015, an amendment to the Control of Employment Act established an additional 10% ‘Training Levy’ on work permit payments.
The Work Permit Regulations, 2023, increased this rate to 20% for high-status positions such as chief executive officers, managers of banks, insurance companies, hotels, and similar roles.
A government press release in December 2023 said: “It is intended that the collection of the levy will be channeled into a fund that will be used for supporting the training needs of the private sector.”
It explained that it would be used in critical areas such as certification in construction, plumbing, electrical and hospitality, among others.
The levy has raised over EC$1.9 million to date, home affairs minister Kenneth Hodge disclosed during a government press conference on 27 January.
However, this money has until now been added to the government’s consolidated fund and used for general expenses, he said.
As of 1 January this year, the Ministry of Home Affairs, in partnership with the Ministry of Finance, has taken a “critical step” to safeguard these funds moving forward, Hodge continued.
The aim is to create a Training Fund to assist those seeking training and education in key areas of the private sector where skill gaps have been identified.
The ministry, with help from the Ministry of Finance and the Attorney General’s Chambers, is developing the necessary framework for the fund’s operation.
Hodge said more information will be shared in the coming weeks and months as the process progresses.
