Report: Selangor manufacturers start pilot project to centralise housing for foreign workers, builders eye budget hotels

KUALA LUMPUR, May 27 — Several manufacturers in Balakang, Selangor have reportedly come together to start a pilot project that will see all their their foreign hired live in centralised labour quarters (CLQ) in the area, as a way to break the Covid-19 chain infection.

The Malaysia Insight (TMI) also reported today that other employers in the area are hoping to turn ailing budget hotels into accommodation for their migrant workers after the government began a crackdown on low-quality housing during the Covid-19 pandemic.

"We felt it was time for us to find a solution to foreign worker accommodation," Kampung Baru Balakong Industrial Area Landowners and Factory Operators Association president, Pang Yoon Shin, was quoted as saying.

"And that’s when it was suggested that we build our own CLQ in Balakong.

"While it may not house all the foreign workers here, we hope that a CLQ will help us and the government monitor and have better control of foreign workers by housing them in one place.

"As it is, many foreign workers stay at different places such as rented houses, shoplots and some at construction sites or restaurants they work in," he told the news portal.

According to Pang, 80 per cent of the planned units in the CLQ have been bought and construction will start as soon as a social impact assessment — which the Klang Municipal Council is said to have requested — is completed.

Each unit in the CLQ reportedly measures some 600 sq ft and is expected to house up to six workers in bunk beds.

TMI reported that each unit is priced at RM168,000 and will have its own kitchen and bathroom.

The Selangor manufacturers appear to be taking a leaf from their peers down south in Johor.

The first CLQ of its kind was reported launched in Pasir Gudang last December.

TMI also reported that some construction firms in the Klang Valley are looking to move their workers into budget hotels to meet the new housing requirements.

Cheras Hong Soon Land Sdn Bhd managing director Yap Keow Keong told the news portal that his company will be building a 690-unit condominium in Gombak here in September and needs temporary digs for its foreign labour.

He reportedly said his company is currently negotiating with several budget hotels to rent the entire premises out for the duration of the condo construction.

His solution was purported to be a "win-win situation” for both the employers and the hotels, which have lost a significant amount of income throughout the pandemic.

"With around 600 workers, we will have to find the nearby budget hotels to house them. And we believe this is a better alternative as they will be able to live two to a room while cleaning services will be provided by the hotel.

"After the work is completed, we can also help the hotels refurbish if necessary," Yap was quoted as saying.

In September 2020, the government announced new minimum standards for worker’s housing across Malaysia, titled the Employees’ Minimum Standards of Housing, Accommodations and Amenities (Accommodation and Centralised Accommodation) Regulations 2020.

However, implementation has been delayed, with employers citing a difficulty to upgrade as they were wrought with a lack of business during the pandemic.

TMI reported the Kampung Baru Balakong Industrial Area Landowners and Factory Operators Association saying it has been given a grace period up to the end of this year.