Mindset change needed towards migrant workers - and manual work

THIS WEEK'S TOPIC: How should Singapore address the issue of foreign workers' housing and living conditions? Can/should the economy reduce its reliance on work permit holders?

Published Sun, Apr 26, 2020 · 09:50 PM

    THIS WEEK'S TOPIC: How should Singapore address the issue of foreign workers' housing and living conditions? Can/should the economy reduce its reliance on work permit holders?

    Victor Mills Chief Executive Singapore International Chamber of Commerce

    SINGAPORE should mandate that all employers of foreign workers house their employees in a manner which always promotes good public health and always respects human dignity. Current practices are not acceptable. Employers should also take full responsibility for feeding their employees at all times and not expect charities to do it for them. All this will cost which will have to be factored into tenders. Once the true cost of treating foreign workers with respect is known, it will force employers to reduce their dependence on foreign workers and increase collaboration and innovation in the construction sector. It is long overdue.

    John Bittleston Founder and Chair Terrific Mentors International Pte Ltd

    SINGAPORE provides work for a significant number of foreign workers. We do not want to reduce the number of these workers. They need this work in order to support their families. Singapore, in turn, needs these workers to support industries such as building and construction, F&B, manufacturing and more. The living accommodation provided for them has clearly been basic and unsuited to handling a pandemic. Their accommodation should be of a higher standard on humanitarian grounds. Even if it had been, the ability to deal with the virus would probably have overwhelmed their living quarters. We might have foreseen the consequences of this and provided better places for them to hospitalise while the virus is around.

    Jayaprakash Jagateesan Chief Executive Officer RHT Fintech Holdings

    WE need to relook the minimum requirements in place for dormitory operators in order to improve the living standards of foreign workers. We need greater penalties for operators who flout regulations, more frequent checks on living conditions and a lower maximum density to avoid cramping.

    Accommodation costs will no doubt increase and will likely be passed on to consumers. However, the current costs of disruption following the outbreak in dormitories far outweigh increased costs for workers' housing. The economic reality is that Singapore still needs manual labour and foreign workers will continue to plug the labour supply gap in the foreseeable future. Therefore, we need to work out long-term solutions to enhance the well-being of our foreign worker community.

    Tony Lombardo Chief Executive Officer, Asia Chairman, Lendlease Global Commercial Trust Management Pte Ltd

    FOREIGN workers have contributed to Singapore's economic development by fulfilling critical roles in the construction and service industries. In the construction sector, unless there are significant improvements in technology to boost productivity, reduction of migrant workers may not be feasible in the near term. As a first-world economy, policies in Singapore should ensure the safety and well-being of all workers, whether local or foreign, are addressed adequately. The government can work with the private sector to enhance and enforce standards for migrant worker accommodation (eg increase minimum space per person and worker-amenities ratio), improve transportation means (eg encourage the use of buses) and introduce compulsory periodic basic health screening at every worksite. If we look after our migrant workers well and treat them with appropriate care, their output and productivity will increase over time, and so will overall safety and performance.

    Chia Ngiang Hong President Real Estate Developers' Association of Singapore (REDAS)

    HOUSING foreign workers optimally and reasonably is a complex issue due to the huge numbers involved and fluctuating market needs. The Covid-19 pandemic will inevitably hasten the call for improvement.

    The key issue is striking an optimal balance among three factors: the commercial viability of employing foreign workers; the workers' welfare; and Singapore's societal and economic needs. The solution is not simply an unfettered push for better living conditions but one requiring close coordination, collaboration and meeting of disparate interests among the supply chain/employers of migrant workers (including dormitory operators), workers' representatives (including NGOs) and the relevant government agencies.

    Singapore's reliance on work permit holders stems from the acute shortage of Singaporeans willing to take on jobs in certain labour-intensive sectors. Moving forward, as we push with hard-headed determination towards a knowledge-based economy and with increased automation and digitalisation, I am confident that the need for manual labour would be progressively reduced and a pipeline of skilled foreign workforce can continue to support the nation's physical development and economic growth in the long run.

    Hugh Lim Chief Executive Officer Building and Construction Authority

    THE built environment sector has been taking steps to transform the way we build including reducing the need for the traditionally large numbers of workers needed on site. For example, our industry has been progressively adopting Design for Manufacturing and Assembly (DfMA). DfMA is a game-changing method which involves precast modules being manufactured off-site using greater automation, before being assembled on-site. Firms that have adopted these measures build faster, with better results and much fewer workers on site. As DfMA adoption increases, we expect to create better jobs for Singaporeans and reduce our reliance on large numbers of migrant workers.

    In this current crisis, it remains critical for employers to undertake the joint duty to exercise greater control and support for their foreign employees during this period, so that we can stop further community transmission and be able to resume operations sooner rather than later.

    Dileep Nair Independent Director Thakral Corporation Limited

    MANY sectors of our economy are competitive because of foreign workers. They build our infrastructure - homes, offices, roads, MRT - and keep it clean and functional. In the long run, however, this is not sustainable. Aside from keeping wages depressed, having large numbers of foreign workers can present a major social issue. The current situation is a glaring example. To reduce our dependency, we have to raise productivity in a determined way.

    Whilst we get there, our foreign workers must be treated well and housed decently. It is surprising that despite the existence of a Foreign Employee Dormitories Act passed in 2015, evidence of cramped and unsanitary living conditions has surfaced. More egregious is the fact that one of the major dorm operators reported a pre-tax profit margin of 43 per cent! This means either the housing standards required under the Act are very poor or there have been gross lapses in oversight and enforcement. Either way, this should be rectified immediately.

    John Ng Chief Executive Officer YTL PowerSeraya

    SINGAPORE will require foreign workers to complement our local workforce in order to keep up our economic growth. As reported, 10,000 migrant workers in essential services have already been pulled out of dormitories, as part of a containment plan to slow down the infection rate among our foreign workers. As an electricity generation company, we are part of Singapore's essential services. The impact of the spike in Covid-19 cases among foreign workers has no doubt affected our operations, albeit not critically. I am sure there are many more foreign workers who work with Singaporeans to deliver essential services during this Circuit Breaker period. The former are not only in the construction industry; some of them install infrastructure services in our homes, so that we can WFH and our children can follow lessons online. I hope that this episode helps us to further appreciate their contributions, and it's heartening to know there are already Singaporeans who have been generous - be it through their time, effort or donations - in embracing them as part of our community.

    Helen Ng Chief Executive Officer Lock+Store

    THE rapid spread of Covid-19 in dormitories has turned the spotlight on the dismal living conditions of foreign workers. Foreign workers deserve better. Dormitory operators should be audited annually on the quality of healthcare, housing and food they provide, and penalised should they fail to meet standards. While Singapore will continue to rely heavily on foreign workers in the construction and oil and gas industries, we need to strive towards greater automation and reduce our reliance on manual labour. In the meantime, let us take good care of migrant workers who have made tremendous sacrifices for the country.

    Lee Fook Chiew Chief Executive Officer Institute of Singapore Chartered Accountants (ISCA)

    BEING part of the Singapore workforce, foreign workers have contributed to the Singapore economy for many years. Like everyone else, foreign workers should stay in clean and hygienic conditions. With some of their living conditions having been reported to be less than desirable, acceptable standards of living conditions should be made mandatory. This must be provided by employers for the well-being of their foreign workers. Where necessary, regulations should also be in place to enforce such requirements. While business costs may increase as a result, this is necessary not just from a welfare perspective but also from a humanitarian standpoint.

    To build resilience in the Singapore workforce, and reduce reliance on foreign workers, more can be done, such as through acceleration of technology adoption at all levels of work areas. This becomes more crucial as businesses recover from the pandemic and move into the New Normal.

    Veronica Shim Founder and CEO Envysion Wealth Management

    DORMITORY operators have been solely responsible for the upkeep of foreign workers' housing and living conditions, with recent events further exposing inadequacies in dormitories. It is high time for the authorities and operators to work together to tighten the requirements for and enforcement of better living standards, from increased cleaning frequency to enforcing the number of workers each room can accommodate.

    In the years ahead, there will be a need for Singapore to continually upgrade or even rebuild key infrastructure. Technological advancements and increasing automation might alleviate the reliance on manual labour but we still cannot remove work permit holders from the equation. Especially in construction, shipbuilding and cleaning services, there is still a significant proportion of labour that cannot be automated.

    Lee Quane Regional Director - Asia ECA International

    FOREIGN workers in Singapore - and across the world - play a significant role in the overall growth and development of the economy. In fact, the global economy relies heavily on employee mobility - in both lower and higher-skilled jobs - to drive this progress. When we begin to recover from the impact of Covid-19, both the demand for and movement of labour will continue. With the housing conditions for foreign workers in Singapore now, justifiably, under scrutiny, it would be prudent for employers to demonstrate greater oversight and become more accountable for the living conditions of this particular group of expatriates.

    Eryk Lee Chief Executive Officer AAM Advisory

    I DON'T think the solution is to reduce reliance on work permit holders, especially in sectors like construction. We offer employment to these foreign workers and we need them as much as they need the job. The International Labour Organisation has stipulated minimum requirements on workers' accommodation. Guidance notes are also issued by the International Finance Corporation. However, I don't think either of these was adequate in preventing the Covid-19 contagion. The guidelines were not written with a view to preventing the spread of a very contagious virus to begin with. The whole world is learning and adapting as a result of Covid-19. Old rules need to be re-written and standards need to be re-defined.

    Mario Singh Chief Executive Officer Fullerton Markets

    ON April 6, 2020, Singapore's Manpower Minister Josephine Teo promised to raise the standard of foreign workers' dormitories after the Covid-19 outbreak is over.

    On April 20, Singapore announced a record daily high of 1,426 new Covid-19 cases, of whom 1,369 were work permit holders living in dormitories. It is of paramount importance that the issue of foreign workers' housing and living conditions be adequately addressed. The first thing is for the government to work with the employers and push through initiatives that mandate better living conditions for the workers. This isn't just for good business principles; it is simply the morally right thing to do.

    It would be a challenge for Singapore to reduce reliance on imported manpower because the nature of their laborious work is such that most Singaporeans would not take up those jobs. Thus we must learn to treat our migrant workers with more compassion. In an impassioned speech on TEDx in 2016, management consultant Raj Singh shared how he learnt about the values of resilience, frugality, sacrifice and empathy from our migrant workers.

    Leonard Cheong Managing Director AdNovum Singapore Pte Ltd

    IT is a good opportunity for us to rethink our attitudes, policies, and laws affecting the foreign workers, who should be treated like the locals. It is crucial to find the sweet spot of improving the standard of their housing and living conditions without increasing the costs that would be passed to end-consumers. One good option is to explore converting defunct buildings as temporary housing premises before they are demolished.

    It is also timely to relook at Singapore's over-reliance on foreign workers and organisations should look towards leveraging on smart technologies like robots and AI to reduce the dependency on manpower. Processes should be re-engineered with workers reskilled to move towards a knowledge-based and digital economy, for Singapore to continue to remain competitive and efficient.

    Toby Koh Group MD Ademco Security Group

    STANDARDS and awareness will morph with time, not only in Singapore but in every country, as history has shown. There are many societal, workplace, safety, health issues and more that will improve over time. I would urge restraint and measured responses from the public, keeping in mind that perspectives may be different from different people in different times. I remember speaking to a migrant worker a while back who was extremely happy moving to his dormitory from a cramped private lodging that his employer provided.

    The dependence on work permit holders has been a hot issue for the longest time. It is a balancing act that our government is juggling all the time. What would fewer workers mean for Singapore's economic and infrastructure development, as well as domestic help for families and more? It is a complex consideration, one with wide-ranging implications for the country.

    Sylvie Ouziel International President Envision Digital

    BEYOND the current situation in Singapore (for which Envision Digital does its best to directly contribute and help), the issue of migrant workers is a broad and delicate social and macroeconomic question. Migrant workers decide to work abroad, seeking better life and employment conditions than what they could find in their own country. This is neither an easy decision nor an easy integration process for anyone: neither for the migrant nor for the host society.

    At its humble level, Envision Digital focuses on solving the sustainability challenge that can contribute to addressing some aspects of the migration challenges. First, having more widely accessible renewable energy is a clear prerequisite for economic development in all parts of the world. Second, more efficient and green energy consumption as well as smarter environmental control for buildings and cities (spanning from air quality control to worksite safety alerts) can improve everyone's quality of living and work safety.

    Laletha Nithiyanandan Managing Director Behavioural Consulting Group

    A BIG mindset shift is needed first. If the government is allowing these dormitories to operate despite many groups having raised, for years, the issue of poor living conditions, then the signal to the average citizen is that these jobs and the people doing those jobs are not valued.

    On the surface it may seem like the hiring cost is low for foreign workers. But if you include airfare, accommodation, meals, government levy, training and the need to have many supervisors to manage low-skilled workers, we are probably spending the same as, or more than, what we might be paying for minimum wage.

    Yap Yaw Kong Chairman Concord International Hospital

    FOREIGN workers play an important role in building and maintaining our city. The government has enacted the Workplace Safety and Health Act to safeguard the well-being of workers. A similar approach can be taken for foreign workers' living conditions whereby employers must maintain a safe living environment and workers must adhere to safe practices. Employers should also be required to provide foreign workers with mandatory basic healthcare coverage. During this outbreak, private hospitals like Concord International Hospital are supporting public hospitals in caring for recovering Covid-19 patients. Such partnerships should continue after the pandemic to strengthen the robustness of Singapore's healthcare system.

    Sandeep Bhargava MD, Asia Pacific and Japan Rackspace

    MIGRANT workers have made a significant contribution to Singapore over the years, serving as a vital part of our economic development plans. As such, it is incumbent on us as a nation, and specifically as employers and third-parties supporting these operations, to work together to ensure that their basic needs are met and safe living conditions are maintained. Updating the guidelines that lodging companies and employers of migrant workers must adhere to, as well as a firm commitment from all stakeholders to improve conditions for migrant workers, will ensure that they are protected as they work to help build Singapore's economic future.

    Maren Schweizer Director Schweizer World Pte Ltd

    OUR immediate priority has to be short-term Covid-19 containment measures and the well-being of workers. After that, it's time to kick off a long-term improvement plan by strengthening the regulatory requirements as well as employers' corporate social responsibility to improve the living conditions of workers.

    Foreign workers are crucial to how Singapore society operates. The driver for change will be digitisation - in fast-forward gear. Connected devices, self-learning machines driven by AI (artificial intelligence), and IoT (Internet of Things) will be the source of significant productivity gains. Machine learning allows computers to continuously learn from data and make intelligent decisions without being explicitly programmed - with massive implications for traditional workforces.

    Kartik Krishnamurthy Managing Director, Asia Cornerstone OnDemand

    THE current situation is very unfortunate and we as a country may have missed a beat. But hindsight is always 20-20. That said, it's very clear that we can't reduce our reliance on work permit holders, not least as Singapore has an aging population. As Singapore continues to make strides to excel as a world-class hub for business services, financial services and high-tech industries, we need to build the required infrastructure. For the latter we need to rely on imported labour. I do not think we need to reduce the dependency. However, we must ensure that employers of these workers are held accountable for their housing and living conditions. If one looks at the 43 purpose-built dormitories, it's an ideal environment for viral epidemics. With 10 or more people in one room, sharing common cooking areas and toilets that are clogged, it's a ticking time bomb!

    Employers and the government need to work together to increase the workers' wages, give them good housing and better health insurance. We as a society need to recognise that the workers are someone's husband, father, son who have left their families behind and come here to build our flats, condos, hotels, etc. We need to take care of them and improve their living conditions.

    The world is not out of the woods. Whether Covid-19 or dengue or any future pandemic, we need to fix our foreign worker issue today so we are prepared in the future.

    Kunalan Chakravarthy Chief Executive Priority Consultants Group

    OUR migrant workers are a vital and fundamental part of keeping Singapore ticking along as one of the brightest and shiniest dots in the region. Without these workers, much of Singapore's basics that we take for granted - from housing estate hygiene services, to construction projects to manufacturing plants - will come to a standstill. It is obvious that their housing, living and even their mental health conditions need a re-think.

    I believe the lessons from this Covid-19 migrant workers crisis will result in a collective and cooperative effort - employers, government, the local community and self-help groups - to address the concerns around these workers to help them manage their own welfare. This will set Singapore aside as a caring and inclusive society for all and one that does not forsake any single group.

    Henry Tan Group CEO Nexia TS Group

    ALL employers of foreign workers must ensure that they are provided with adequate housing. This may invariably increase construction costs and other operational costs where foreign workers are needed but we have to stop treating them as cheap labour. With increased foreign worker costs, companies will be exploring more technology-based solutions and other less labour-intensive construction methods. This is similar to how in the current Covid-19 situation, many remote and flexi-work arrangements or tech applications that previously were considered not practical are now prevalent and widely used. A level of pressure is needed for change to happen. To help to ease the transition, some housing subsidy can be provided by the government but this should be only for a short period.

    Lim Soon Hock Managing Director PLAN-B ICAG

    COVID-19 has exposed glaringly the lingering problem of our foreign workers' housing and living conditions, which needs to be addressed. It is not good enough to recognise their vital contributions to our economy on the one hand and, on the other, deprive them of better care and welfare. The government can use a portion of the levies collected to build more dormitories to complement those provided by private operators, to alleviate and improve on their living conditions. Now is also a good opportunity to enhance and set new standards, especially that relating to the number of occupants per room. Perhaps the government can also consider letting out premises as workers' quarters at subsidised rates.

    We need to be pragmatic that reducing the dependency on work permit holders will take many years to happen. Automation is a solution, but not the panacea, as not every job can be automated. What needs to be changed is the mindset of Singaporeans to take on the jobs of work permit holders - apart from making the wages attractive, to know that there can be pride in the vocation, as is the case in countries such as US, Australia, Japan and Switzerland. All 3 Ps of the public, private and people sectors will have to work collaboratively to develop and implement a new economic and social model to achieve this.

    In the meantime, Singapore should pay forward to ensure that the well-being, care, and welfare of our foreign workers should be taken care of. A good standard is that enjoyed by our NSmen during basic military training.

    Isaac Ong Director Nano-Star Private Limited

    DEVELOP and enforce a national framework on suitable living conditions for workers on the construction firms that engage them. The government should co-fund the costs of the dormitories and upgrades to boost firms' compliance.

    Foreign workers are probably the only ones in Singapore who are willing to work in the construction industry. Encourage local talents by boosting wages and utilising deep tech such as AI or drones to improve the sector's attractiveness, progressiveness and labour-efficiency.

    Dora Hoan CEO Best World International Ltd

    DORMITORIES for foreign workers in Singapore should meet international standards; the problems of tightly cramped and poorly ventilated living quarters, unsanitary facilities, and a lack of maintenance must be rectified. It is undeniable that foreign workers are part of our society who should be equally protected. Perhaps the authorities have to step up and mandate improvements by revising existing regulations to ensure foreign workers have better housing conditions. It should be noted that such improvements will undoubtedly increase the burden on employers, who will have to pay higher rent for their workers, in addition to their wages and levies.

    Singapore has nearly 1.4 million foreign workers, most of whom form the backbone of certain essential industries. While it is difficult to reduce Singapore's reliance on imported labour, local businesses could consider automating or redesigning some jobs, and ensure a stable core of a local workforce.

    David Leong Managing Director PeopleWorldwide Consulting Pte Ltd

    TO PUT matters in perspective, the Foreign Employee Dormitories Act 2015 was passed to address the issue of proper living conditions of foreign workers. The dormitories need to meet security and public health requirements as well as provide social, recreational and commercial amenities such as computerised access systems, sickbays, recreational areas, minimarts and Wi-Fi coverage. They are mini-townships and workers can consume services and be entertained within a contained environment at decent standards. This consideration is also to ensure workers do not congregate in our HDB heartlands where Singaporeans and residents would sometimes complain of congregation of workers and littering.

    Foreign workers in Singapore are important and are part of the workforce fabric. More can be done to improve their living conditions here.

    It's not a question of whether the economy can be sustained with less reliance on work permit holders because we need the brains and the brawn to get the economy going. We are a labour-scarce economy and we have to work on improving the workers' lot, not to worsen the manpower shortage.

    Zaheer Merchant Regional Director (Singapore & Europe) QI Group of Companies

    FOREIGN worker accommodation is governed by the Ministry of Manpower and the Foreign Employee Dormitories Act. There is also dialogue with the Dormitory Association of Singapore and Migrant Workers Centre. Their housing conditions are not utterly dismal for sudden scrutiny or critique to arise. Further, in constricted spaces, things obviously can happen. Like everything now, improvements can be made in the form of greater scrutiny, more facility checks, heightened health screenings and actions being implemented, as well as specific insurance cover, and better amenities and ventilation by all parties concerned.

    Reducing reliance on work permit holders is a touchy subject. I am clear that we can and perhaps should, though I realistically understand that the reliance will probably remain. Unless addressed specifically, the issue will remain, given the nature of the work they undertake and the wages they are paid. It requires critical assessment, and will, at every level to tackle the issue. It's a worthy objective to strive towards if we want to create a more perfect economy with fuller domestic employment.

    Annie Yap Chief Executive Officer AYP Group

    THE dismal living conditions of foreign workers - often a forgotten and cast-aside demographic - has been a longstanding issue that many groups have raised, but profit-motivated employers and/or dormitory operators have caused discussions to reach an impasse. There should be regulations to safeguard the rights and well-being of foreign workers, and the rules should be stringently enforced. Unfortunately, I do not see Singapore reducing its reliance on work permit holders for the foreseeable future due to the unwarranted disdain many Singaporeans have toward blue-collar jobs. For a nation that prides itself as a First World country, the way we treat our foreign workers is a shameful lesson that we need to work on.

    Hari V Krishnan CEO & Managing Director PropertyGuru Group

    FOREIGN workers account for more than one-third of Singapore's labour force. The migrant workers have been the enabling factor for many industries, and the country's development as a whole. The fact is that Singaporeans need to be willing to fill their roles if we want to reduce our dependency on foreign labour. They have not shown any inclination to do so in the recent past. Given this, foreign workers will likely continue to be a big part of the local economy. We need to house them and provide them improved living conditions in keeping with Singaporean values. Clearly, future housing for foreign workers needs to factor in elements such as infectious diseases, and so they cannot be given congested living quarters. We must learn from the steady stream of flu epidemics that have hit our country, but also do a better job of integrating the workers into a society that is so dependent on them. This will be a cultural and a logistical challenge, but we must step up to the challenge and remedy the situation.