The contribution of Technical and Vocational Education and Training formal programmes to inclusive company growth and transformation: a case study of the automotive manufacturing sector in South Africa

ABSTRACT This article investigates the contribution of formal Technical and Vocational Education and Training (TVET) programmes to inclusive industrial growth and transformation in the automotive manufacturing sector. Drawing from the mixed method approach, it argues that skills play is an addition role, not central one in industrial growth and transformation. Industrial growth is driven by exposure to domestic and export markets, increase in clients, healthy relations in the workplace, and changes in technology and industrial policy. Similarly, industrial transformation is not driven by skills but rather by factors such as the clients’ product demands and specifications; the national industrial/sectoral policy; research and innovation expertise from company headquarters often outside South Africa; global market forces and price volatility; new regulations on emission(s) demanded by the government; and competition amongst components. It is through these factors that skills begin to play a role. There is a need to recognise industrial dynamics and factors that are critical in shaping the skills system if we are to understand the extent to which skills enhance growth and transformation. Moreover, the findings challenge the current formal TVET provision policy in South Africa which does not seem to recognise or incorporate other forms of provision in which skills can be acquired, i.e. informal on-the-job training, non-formal company-based training, in addition to formal institutional-based training.