Influence of Labour-Only Sub- Contracting in Procurement Performance in Public Hospitals in Nakuru County

Although subcontractors are perceived experts in their field, it is not a guarantee that they will meet the contractor’s standards. Like in other parts of the country the health sector in Nakuru County has been facing numerous challenges under the devolved systems. Specifically the study sought to establish the influence of labour-only sub-contracting on procurement performance in public hospitals in Nakuru County. Descriptive survey research design was used. The target population was all 80 respondents involved in the procurement process in health facilities. Since the population was small the researcher used census technique to incorporate all the targeted respondents. Questionnaire was used to collect the primary data desirable for the study. Primary data was collected by administering questionnaires to the respondents in the hospitals. Data was analyzed using both descriptive and inferential statistical methods.The study concluded that in most cases specialty sub-contracting result to increased cost of the contract and this influences the performance of the procurement in public hospitals. The researcher concluded that labour-only sub-contracting is usually applicable when time is of essence in the execution of a contract. From the conclusion the researcher recommended that the public hospitals ought to adopt the labor only subcontracting because it is applicable when contract demand special consultancy services and when the execution of the contract is labour intensive.