A new corporate entity will be set up by the Government to manage its purpose-built migrant worker dormitories, the Ministry of Manpower MOM said on Saturday. It was previously announced that the ministry would build and own these dormitories as part of its efforts to improve living conditions and support for migrant workers.
NEST Singapore Limited, a new corporate entity, will manage the purpose-built dormitories, starting with two upcoming ones in Tukang Innovation Lane in Jurong and Sengkang West.
A ground-breaking ceremony was held on Saturday for the Tukang dormitory, which is expected to be operational by 2025 with 2,400 beds.
The Sengkang West dormitory is expected to be ready by 2028 and will have 7,200 beds.
NEST Singapore Limited will be set up as a Company Limited by Guarantee under MOM in the fourth quarter of 2022.
A ministry spokeswoman said NEST will bring onboard expertise and insights from within and outside the dormitory industry, including from non-traditional operators such as those in hospitality and technology.
NEST's direct involvement in operating the new purpose-built dormitories will support innovation and showcasing standards in migrant worker housing, as well as allow MOM to grow its dormitory management capabilities, the ministry added in its press release.
MOM said it will help the ministry better design policies, regulations and initiatives for migrant worker housing.
MOM spokesman said that existing regulations that apply to all purpose-built dormitories will also apply to those operated by NEST, as well as address concerns of potential conflict of interest.
NEST will not receive any privileged information of PBD purpose-built dormitory regulations and standards that will appear to give them an advantage in operating the PBDs. The spokesperson said that NEST is expected to be financially sustainable over the period of the PBDs.