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Thread: Am I being conned?

  1. #1
    Site Caretaker Dave A's Avatar
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    Am I being conned?

    I've received an interesting approach on training.

    A training company has approached me and said that by appointment of ESETA they are opening an office in Durban to train electricians. They are currently finalising the deal with ESETA, but whilst they provide all theoretical training, would our company be prepared to provide workplace experience for their learners.

    We arrange a meeting to clear up the details. I'm told the benefits are I'd receive "free" labour as they would pay the learners allowance. Would I take 5 learners at a time to work a few days on our sites?

    Sounds OK, so far. So now comes the paperwork which the representative fills out for me and merely asks me to sign. All routine stuff, I'm assured.

    Now I know to read everything carefully before I sign, and to my horror I find that the MOU is in fact an agreement appointing this company as my training provider for my staff, complete with a confidentiality clause precluding me from disclosing the details of the MOU to a third party (don't start swearing at me - I did not sign).

    Alarm bells: I thought I was helping them train their students - my staff had not come up.

    Document 2 (now also still unsigned), is a completed application for discretionary grants by my company to ESETA - all duly filled in for applications for funding in terms of the learnership incentive schemes in the name of my company. The bank details to which payment is to be made is conveniently blank.

    So here's my thinking right now (if I sign):

    Training company makes application to ESETA for funding on my behalf for 10 currently unemployed trainees. Assuming even the smallest grant this is R230 000.00 worth of funding.

    Training company invests in three weeks of training - 10 * R1500.00 per week * 3 weeks = R45 000.00.

    I provide 1 week workplace experience - their assessors sign off the student.

    Training company also kindly pays the learners allowance - 10 * R500.00 = R5000.00

    So now we have the little matter of R180 000.00 in change that seems to be left over and has not been mentioned to me.....

    Just bear in mind that ESETA thinks they would be funding my company for being so nice training folk. The training company cannot apply for the funding in their own name - only companies paying SDL to ESETA may do so. The paperwork bears no resemblance to the content of our discussions.

    Looks like a sweet con to me - or have I got an overly suspicious mind?
    The trouble with opportunity is it normally comes dressed up as work.

  2. #2
    Platinum Member Marq's Avatar
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    My view on this is that if the paperwork does not equal discussion - and this sounds far off the mark - then I think of Pink Floyd "You better run".

    Three thoughts - one is that these guys should be registered with SETA and other training places and have good references. - two, should you not do this yourself and set up a training department within your company? - three, Pull out your own piece of paper and agreement that not only gives you the missing bucks but charges a fee on top of that, waived if things prove to be on the level.

  3. #3
    Silver Member Candy Bouwer's Avatar
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    Smile

    Sounds like a very fishy con to me. The options 2/3 that marq has made are very valid, personally I would seriously consider quote 2
    - two, should you not do this yourself and set up a training department within your company?
    What would you have to lose or gain by comparison?
    Of course if you don't want the headaches!!!!!
    Some company's are so good at covering there ulterior motives. You would not even think of questioning them because they appear to have the most wonderful connections. Trust your instincts - We know there are lots of wolves in sheep's clothing out there.
    "NETWORKING" is a "CONTACT" sport!"
    Alcocks Electrical Entomological Hygiene

  4. #4
    Site Caretaker Dave A's Avatar
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    All I know for sure right now is this is a new twist in the SETA funding system.

    I've tried to go through the channels to get funding for my staff training without much success - the information always comes too late (if at all) and there always seems to be someone else ahead of my needs in the queue. Now I'm starting to wonder why.

    This training company expects (apparently) to access these grants in the name of my company - which I have not been able to do myself to date.

    So what's their secret? How do they do it? Are people being jumped up the queue? Is there someone within the SETA that is steering grants to operations such as these? How many other companies have also been approached?

    Lots of questions and normally where there is smoke, there's fire.
    The trouble with opportunity is it normally comes dressed up as work.

  5. #5
    Silver Member Candy Bouwer's Avatar
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    I have had dealing with government tenders recently and BEE aside. The general trend at the moment is that that old saying " It's not what you know but who you know"!...so I think there is definitely some Queue jumping going on.
    "NETWORKING" is a "CONTACT" sport!"
    Alcocks Electrical Entomological Hygiene

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