. In North West, 35% of contractors from audited projects lodged complaints during site meetings regarding late payments. This has resulted in the contractors experiencing cash flow and labour problems, which had negative effects on the timely completion of the projects. In some instances, the affected contractors had to reduce their workforce. At the Keotshepile Primary School, the cash flow problems of the contractor led to the non-payment of workers, which caused local labourers to lose interest in working for the contractor. Four claims were reported to have been outstanding for more than 91 days and a price increase of R296 458 was included on payment documentation; the increase was mostly due to late payments; and