The principal aim of undertaleing this research study was to investigate majorrnproblems hindering effective apprenticeship training in the TVET institutions InrnDire-Dawa. To this end, an attempt was made to examine the roles andrnresponsibilities of TVET institutions, the organizations and the trainees, therndegree of cooperation between TVET institutions and organizations and majorrnfactors such as financial, managerial and social issues. A descriptive surveyrnmethod was employed for the study. Three sample TVET institutions werernselected on the basis of purposive sampling techniques. The samples used for thernstudy were 3 deans, 3 vocational counselors, 163 trainees and 20 worleplacernsupervisors. The respondents' sampling was carried out through availability,rnpurposive, stratified and random sampling techniques, depending on the size andrnthe nature of the sample respondents. The data for the study was obtainedrnthrough questionnaires, interviews and relevant documents, and analyzed usingrnpercentages and chi-square test methods. The results of the study depicted thatrninadequate co-operation between TVET institutions and enterprises, reluctance ofrnentelprises to offer training, financial and managerial problems made thernapprenticeship training program ineffective. Thus, trainees suffered fromrnhardships of obtaining training places, left unattended in the worleplace,rnassigned on non-relevant workplaces and the sleill they obtained were very low.rnHence, it was concluded that the state of TVET institutions in the region exhibitsrnchallenges in implementing apprenticeship training effectively. Therefore, it isrnrecommended that to build the capacity of TVET institutions with qualifiedrntrainers and relevant up to date machineries, equipment and other inputs;rnrelevant authorities expected to establish a special unit incorporating chambers ofrncommerce and industry, regional TVET council, TVET institutions and otherrnstakeholders to overtalee the responsibility to implement sustainablernapprenticeship training. Furthe/more, enacting apprenticeship regulation shouldrnreceive special attention f01m the government.