National Training Service Agreement
National Center for Construction Education & Research
The National Training Service Agreement (NTSA) is used by the industry as a means to fund a company's training program. Contractors voluntarily contribute 16 cents per craft-labor hour to an individual account that NCCER establishes and maintains for the contractor. Thirteen cents is directly reimbursed to the contractor for approved training and workforce development expenditures, while the remaining three cents supports NCCER’s workforce development efforts and industry advancement of craft training. This funding mechanism provides independent third-party verification that funds are applied only to training-related activities.
The Construction Users Roundtable endorsed new cents-per-hour language for owner-supported craft training in 2006. Through this recommendation, a contractor will contribute three cents per craft-labor hour to an individual account that NCCER establishes for the contractor. Three cents will support workforce development efforts and industry advancement of craft training, and one cent will fund industry recruitment and image enhancement efforts.
"Investing 1% of a project's labor budget in training could have double-digit returns in productivity, reduced absenteeism, and the need for rework, among other things."
Construction Industry Craft Training in the U.S. and Canada, Construction Industry Institute