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What absorption means for your skills development score

Absorption rewards companies whose learners move into permanent work. How the bonus points are earned, why they matter and how to plan for them.

By BS Vision · · Skills development

Absorption describes what happens after training ends. A Black learner completes a B-BBEE-aligned programme with a measured entity (a learnership, internship or apprenticeship) and is then offered a long-term contract of employment, either in that company or elsewhere in its industry.

Most of the skills development element measures what you spend and who you train. Absorption measures what came of it. It shows, in a number, whether a company's skills development is a compliance exercise or a real route into work, and that is why the scorecard rewards it. It also means absorption cannot be arranged at the end of the year. It has to be designed in at the start.

How the bonus points are earned

The scorecard awards up to 5 bonus points under skills development for absorption. To earn them, a company must be able to show two things: that Black people who completed a learnership, internship or apprenticeship have been taken into permanent or long-term employment, and that the employment is within the company or with another employer in its industry.

The points are calculated on the number of Black people absorbed, as a percentage of all the learners who completed the programmes. The target for the full bonus is 100% absorption, meaning every eligible learner is employed after training. If fewer are absorbed, the percentage achieved is recognised, so a partial result still earns a share of the points. The denominator is the detail to watch: it is everyone who completed, so every learner you take on is a learner you will later need a job, or a documented placement, for.

There is also a condition that comes before any of this. The Codes require a trainee tracking tool before you can score absorption points at all. Without a record of who completed each programme and where they went, the agency has nothing to count.

Why the points are worth planning for

Your B-BBEE level affects procurement opportunities, partnerships and competitiveness, and bonus points sit on top of the 20 the element already carries. Five bonus points can lift your overall result enough to move you up a level (for example from Level 4 to Level 3), which brings better procurement recognition for your customers.

The business case does not rest on points alone. Training costs money, and employing the learners you have trained can reduce recruitment spend and give you a skilled, loyal pipeline of people who already know how you work. Every permanent job also helps reduce unemployment, and absorbing learners shows stakeholders and clients that your investment in transformation is genuine.

Designing for absorption from the start

Begin with the job, not the programme. Build learnerships, internships or apprenticeships around your operational needs and what your industry demands, and make sure they are accredited by the relevant Sector Education and Training Authority (SETA), so that they qualify for B-BBEE recognition.

Then identify the roles, in your company or in partner organisations, that learners can move into when they finish. If you have few internal vacancies, use industry networks or placement agencies to help learners find work elsewhere in your industry, which the Codes also recognise.

Document every outcome as it happens. Keep detailed records of who completed each programme and where they ended up, such as contracts, payslips or confirmation letters from the employer, in your trainee tracking tool. A placement you cannot evidence at verification counts the same as one that never happened.

Finally, bring your colleagues in. Absorption is decided by HR, finance and line managers as much as by whoever runs training, so work with them and your training providers to make sure skills development matches business goals. When learners do move into work, share those results on your website and in your marketing, with the learners' consent.

If you want help designing programmes that lead to jobs, or setting up the records to prove it, email us at sales@bsvision.co.za.

Talk to BS Vision. We are B-BBEE and transformation consultants in Johannesburg, serving clients across South Africa.

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