Financing Craftsmen Training in an Informal Dominated Kenyan Construction Sector

Abstract

existing training system which was formulated to suit formal modes of procurement. One such challenge is to the sustainability of funding of craftsmen training which was hitherto financed via a training levy deducted as a percentage of the building contract sums. The informal sector, which is characterised by minimal contract documentation and undetermined contract sums, does not pay training levy because of the logistical problems involved in collection of the levy. This paper explores various alternatives to financing craftsmen training and their applicability in Kenya. It concludes that employers are the best suited to finance craftsmen training and that to ensure that all employers contribute to the training fund, the latter should be levied on the cost of building materials which are commonly used on both the formal and the informal sector projects. This will ensure sustainability and viability of the training fund.