THE Penang government has taken a bold step towards sustainable development and compliance with international labour standards through its centralised worker dormitory initiative.
Aiming to provide high-quality, modern accommodations for the workforce, the state has introduced a structured and controlled living environment to address social concerns in surrounding residential areas.
Chief Minister Chow Kon Yeow lauded the initiative, stating that it aligns with the Employees’ Minimum Standards of Housing, Accommodations, and Amenities Act 1990 (Act 446) and plays a key role in addressing social challenges.
“Centralised worker dormitories are more than just buildings – they are a critical investment in Penang’s industrial future.
“This initiative supports the state’s long-term industrial and urban growth.
“By housing workers in purpose-built facilities away from residential zones, we enhance both their safety and the well-being of local communities.
“It also addresses challenges such as property value depreciation, unregistered foreign workers, and associated social and environmental concerns,” Chow said at the groundbreaking ceremony at Penang Science Park South today.
On Nov 10, 2023, Penang Development Corporation (PDC) formalised a lease agreement with Urban Pinnacle Sdn Bhd to develop the RM300 million dormitory complex on Plot 1017, Penang Science Park South.
The project will be developed in phases, with the first phase expected to be operational in two years. It will include two 20-story hostel blocks, 836 apartment units – each measuring 1,100sq ft – and a capacity to house 8,000 workers.
The dormitories will offer a holistic living environment with amenities such as supermarkets, food courts, clinics, gyms, multipurpose halls, sports centres, cinemas, and recreational areas.
Chow highlighted that centralised dormitories would streamline enforcement efforts, making it easier for authorities to ensure workers’ safety.
“This initiative also aligns with Environmental, Social, and Governance (ESG) goals and sustainable development objectives, reinforcing our commitment to ethical labour practices and responsible urban planning,” he added.
Penang remains a major industrial player, securing RM32 billion in investments last year.
Chow praised PDC and other agencies for their role in supporting industrial growth.
PDC chief executive officer Datuk Aziz Bakar announced that two more dormitory projects would be launched this year at Batu Kawan Industrial Park (BKIP) 3 and Batu Kawan.
Meanwhile, Lien Dak Group executive chairman Stephen Wong thanked the state and PDC for their support, noting that the project would enhance Penang’s competitiveness.
Among those present were state Local Government, Town, and Country Planning Committee chairman H’ng Mooi Lye, state Trade, Entrepreneurial Development, and Rural Development Committee chairman Datuk Rashidi Zinol, and Bukit Tambun assemblyman Goh Choon Aik.
Story by Edmund Lee
Pix by Darwina Mohd Daud
Video by Law Suun Ting