Vocational training legislation Jamaica

AN ACT to Establish a scheme for financing and implementing the training of persons with a view to employment and to provide for matters connected therewith or incidental thereto.

[The date notified by the Minister]

bringing the act into operation

BE IT ENACTED by The Queen’s Most Excellent Majesty, by and with the advice and consent of the Senate and House of Representatives of Jamaica, and by the authority of the same, as follows:

Short title and commencement

1—This Act may be cited as the Human Employment and Resource Training Act, 1982, and shall come into operation on a day to be appointed by the Minister by notice published in the Gazette.

Preliminary

Interpretation

2—In this Act—

"appointed day" means, subject to the provisions of any regulations, the day appointed pursuant to section 1;

"approved employ" means employment approved by the Minister in respect of a trainee;

"the Board" means the Board of Directors of the Trust;

"Chairman" means the Chairman of the Board or any person for the time being performing the functions of the Chairman;

"Commissioner" means the Commissioner of Income Tax;

"contribution" means a contribution payable pursuant to this Act;

"contribution year" means—

the period of 52 weeks beginning with the appointed day;
any subsequent period of 52 or 53 weeks, as the case may be, commencing on the Monday of the week in which the anniversary of the appointed day occurs and ending with the Sunday immediately before the Monday of the week in, which the next anniversary of the appointed day occurs;

"emoluments" means any emoluments assessable to income tax pursuant to paragraph (c) of section 5 of the Income Tax Act (other than allowances payable in respect of past services in any office or employment of profit and such other categories of emoluments as may be prescribed) being emoluments from which income tax is deductible pursuant to the Income Tax (Employments) Regulations, whether or not tax in fact falls to be deducted therefrom;

"employer" means any person paying emoluments, whether on his own account or on behalf of another person;

"employee" means any person in receipt of emoluments;

"functions" includes powers and duties;

"income tax" means income tax payable pursuant to the Income Tax Act;

"inspector" means an officer designated as such pursuant to section 19;

"trainee" means any person who is selected for training pursuant to section 18;

"wages" includes salary or any other remuneration.

The H.E.A.R.T. Trust

Establishment of the H.E.A.R.T Trust

3— (1) For the purposes of this Act there shall be established a body to be known as the Human Employment and Resource Training Trust (hereinafter referred to as "the Trust’ or "the H.E.A.R.T. Trust") which shall be a body corporate to which section 28 of the Interpretation Act shall apply.

(2) The Trust shall establish a Fund (hereinafter referred to as "the H.E.A.R.T. Fund") for the purposes of this Act.

(3) The provisions of the First Schedule shall have effect as to the constitution of the Trust and otherwise in relation thereto.

Functions of the trust

4—(1) The functions of the Trust shall be—

to develop, encourage, monitor and provide finance for, training schemes for employment of trainees;

to provide employment opportunities for trainees;

to direct or assist in the placement of persons seeking employment in Jamaica;

to promote employment projects.

"(e) To ensure that there is in the island an adequate number of persons trained for employment in the technical and vocational fields;

To take such steps as it considers necessary to establish and maintain high standards in technical and vocational education and training;

To co-operate with other organizations and bodies in matters relating to technical and vocational education and training;

To approve and certify courses to be pursued by persons desirous of obtaining technical and vocational education and training;

To certify persons as instructors in the field of technical and vocational education and training;

To approve and accredit institutions offering technical and vocational education and training and to keep a register of all such institutions;

To institute, review and maintain a system of assessments in relation to persons trained in the technical and vocational fields;

To grant certificates and other awards or distinctions and to make reports on persons who are assessed pursuant to paragraph (k);

To deprive persons for cause of any certificates and other awards or distinctions granted by the Trust;

To appoint such committees as the Trust thinks fit, consisting wholly or partly of members of the Trust to—

undertake research or assist persons in undertaking research into matters relating to technical and vocational education and training;
advise the trust on all aspects of technical and vocational education and training;
apply or make arrangements for tests and other methods of ascertaining standards of efficiency to be achieved by the trainees".

(2) In the exercise of its functions the Trust shall have power—

to provide finance for employment projects promoted or sponsored by the Trust;
to administer and invest the moneys of the Trust;
to enter into arrangements with such bodies as it thinks suitable with regard to the establishment, implementation, monitoring and financing of training or employment programmes;
to furnish, on such terms as may be agreed, equipment and finance to persons who, after training pursuant to this Act, require assistance in establishing a trade or business on their own account;
to receive and administer funds donated or entrusted to the Trust by any agency or organization for any purpose relating to the training or employment of persons;
to make refunds of contributions on such terms and conditions as may be prescribed; and
to do such other things as may be necessary or expedient for or in connection with the proper performance of its functions under this Act.

Establishment of Board of Directors

5—(1) For the purpose of this Act there shall be established a Board of Directors which shall be responsible for the policy and general administration of the affairs of the Trust.

Second Schedule

(2) The provisions of the Second Schedule shall have effect as to the constitution of the Board and otherwise in relation thereto.

Power of the Minister to issue general directions on matters of policy

6—The Minister may, after consultation with the Chairman, give to the Board such directions of a general character as to the policy to be followed by the Board in the performance of its functions as appear to the Minister to be necessary, and the Board shall give effect thereto.

Resources of the trust

7—(1) The resources of the Trust shall comprise—

all contributions and any interest thereon payable by virtue of the provisions of this Act by employers;
all other moneys and other property which may in any manner become payable to or vested in the Trust:
all investment or other income derived from the assets of the Trust:
such sums as may from time to time be appropriated by Parliament for the purposes of the Trust.

(2) The funds of the Trust, save in so far as they may be invested or utilized pursuant to this Act, shall be held by the Bank of Jamaica or any bank approved by the Board in which public funds may lawfully be deposited.

Exemption from income tax, stamp duty, etc.

8—(1) The Trust shall be exempt from income tax, property tax and transfer tax.

(2) Stamp duty shall not be chargeable upon any draft or order drawn in respect of any payment from the Trust or any receipt given in respect of any sum payable into the Trust.

(3) No customs duty, tax under the General Consumption Tax Act or other similar impost shall be payable upon any article imported into Jamaica, or taken out of bond in Jamaica by the Board and shown to the satisfaction of the Collector-General to be required for any training scheme established or approved by the Trust for the proposes of this Act.

Recover of debts

9—Without prejudice to any other methods of recovery, all debts due to the Trust may be recovered without limit of amount, in a Resident Magistrate’s Court as a civil debt.

Borrowing powers

10—(1) Subject to the provisions of subsection (2), the Trust may borrow such sums as may be required by it for discharging any of its functions.

(2) The power of the Trust to borrow shall, as to amount, as to the source of borrowing, and as to the terms on which the borrowing, may be effected, be exercisable only with the approval of the Minister responsible for finance, and any such approval may be either general or limited to a particular borrowing or otherwise, and may be either conditional or subject to conditions.

(3) In this section "borrow’ includes obtaining advances.

Power of Minister to guarantee loans of Trust

11—(1) With the approval of the House of Representatives signified by resolution, the Minister responsible for finance may guarantee, in such manner and on such conditions as he may think fit, the repayment of the principal and the payment of interest and charges on any authorized borrowings of the Trust.

(2) Where the Minister responsible for finance is satisfied that there has been default in the repayment of any principal moneys guaranteed under the provisions of this section or in the payment of interest or charges so guaranteed he shall direct the repayment or, as the case may be, the payment, out of the Consolidated Fund of the amount in respect of which there has been such default and any such repayment or payment shall be a charge on the Consolidated Fund.

(3) The Trust shall make to the Accountant-General, as such times and in such manner as the Minister responsible for finance may direct, payments of such amounts as may be so directed in or towards repayment of any sums issued in fulfilment of any guarantee under this section, and payments of interest on what is outstanding for the time being in respect of any sums so issued at such rate as the Minister may direct, and different rates of interest may be directed as respect different sums and as respects interest for different periods.

Contributions

Source of funds

12—(1) Subject to the provisions of this Act, contributions to the Trust shall be payable by employers in respect of emoluments paid to their employees and shall be collected by the Commission of Inland Revenue and paid into the H.E.A.R.T. Fund.

(2) The rates, terms and conditions applicable to the payment of contributions shall be prescribed by the Minister by regulations.

(3) Any regulations made pursuant to subsection (2) shall be subject to affirmative resolution of the House of Representatives.

(4) An employer shall not be entitled to deduct from the emoluments of any person employed by him, or otherwise to recover from such person, the contributions payable by the employer; and any employer who deducts or recovers or attempts to deduct or recover the whole or any part of such contributions in contravention of this subsection shall be guilty of an offence against this Act.

(5) The following shall not be liable to pay contributions under this Act-

a Ministry or department of Government;

subject to subsection (5c)

a statutory body or authority;
a company registered under the Companies Act, being a company in which the Government or an agency of Government holds not less than fifty-one per centum of the ordinary shares;
any Parish Council;
the Kingston and St. Andrew Corporation;
any employer whose average monthly payments of emoluments to employees during the period of twelve months immediately preceding the appointed day and during any subsequent contribution year, does not exceed the prescribed amount.

Every statutory body or authority and every company in which the Government or any agency thereof holds not less than fifty one per centum of the ordinary shares, being a body, authority or company for the time being specified in the fourth Schedule, shall be liable for the payment of contributions under this Act.

The Minister may, from time to time, by order published in the Gazette, amend the Fourth Schedule.

An order under subsection (5d) shall be subject to affirmative resolution.

(6) Subject to the provisions of this Act and except in so far as regulations otherwise provide, the provisions of the Income Tax Act or any regulations thereunder concerning payment, collection and recovery of income tax and the enforcing of payment shall apply to contributions in the same way as they apply to income tax; and no obligation as to secrecy imposed by statute or otherwise on persons employed in relation to income tax shall prevent information obtained in connection with the assessment or collection of income tax from being disclosed by or under the authority of the Commissioner in connection with the operation of this Act or regulations made thereunder relating to the calculation or collection of contributions under this Act.

Relief for emoluments paid to trainees

13—An employer (hereinafter referred to as a "specified employer") who pays emoluments to a trainee for any month shall be entitled to relief from contributions for that month equivalent to the amount of the emoluments so paid up to such limit as may be prescribed.

Treatment of employer´s contributions for purposes of income tax

14—For the purposes of section 13 of the Income Tax Act, contributions made under this Act shall be treated purposes as expenses wholly or exclusively incurred in acquiring income and, in relation to a specified employer, the aggregate of contributions paid by him and the amount of emoluments paid by him to trainees, subject to such limit as may be prescribed, shall be so treated.

General regulations as to payment and collection of contributions, etc.

15—Regulations may provide-

for the payment and collection of contributions under this Act;
for the return of contributions paid in error;
(without prejudice to any other remedy) for the recovery, on prosecutions brought under or by virtue of this Act, of contributions;
for calculating or estimating, in such manner and on such basis as may be prescribed, the amount of a person’s emoluments for any period and the rate of a person’s emoluments;
for such ancillary matters as the Minister thinks necessary or desirable.

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