FLATS IN JURONG INDUSTRIAL ESTATE

Mr Ho Kah Leong asked the Minister for Finance if he will request the Economic Development Board to furnish him with information on (a) the number of flats built by the Board in the Jurong Industrial Estate; (b) what is the rental charged; (c) how many flats are occupied; and (d) whether steps have been taken to encourage factory workers in the area to occupy the vacant flats; and if he will furnish the House with the information.

Mr Ramaswamy (for the Minister for Finance): The Economic Development Board has so far built 4,512 units in the residential zone of the Jurong Industrial Estate. Of this number, 2,614 units are occupied. The rates of rental are $20 per month for a one-room flat; $46.50 per month for a two-room flat; and $66.50 per month for a three-room flat, inclusive of service and conservancy charges. These are the rates of rental applicable only to Singapore citizens with a family income of less than $800 per month. Singapore citizens whose family income is more than $800 are only eligible for three-room flats and are charged a rental of $91.50 per month. Further, flats may also be let out to non-Singapore citizens on the specific approval of the Economic Development Board. Rentals applicable to non-Singapore citizens are $106.50 for a three-room flat; $66.50 for a two-room flat, and $30 for a one-room flat. It will be noted that while rentals for workers who are Singapore citizens are at subsidised rates, non-Singapore citizens with work permits have to pay the full economic rental if they wish to stay in the flats at the Jurong Industrial Estate.

In planning the development of the Jurong Industrial Estate, the Economic Development Board aims at building up a self-contained community. Low-cost housing is therefore built so that workers may stay near their places of work and need not commute from other areas of Singapore to Jurong, which may involve journeys of 20 miles or more a day. The Board's policy, therefore, is to encourage as many workers as possible to stay in the flats at the Jurong Industrial Estate.

The housing estate at Taman Jurong is provided with markets, a school, shops, a playground, a football field as well as a community centre. Early next year an open-air cinema will be built there.

In leasing out lands to industries in Singapore, a clause is inserted which requires all lessees to try to house their workers at Taman Jurong in the industrial estate. Manufacturing and other firms located at Jurong are regularly informed of the availability of low-cost housing for their workers. Industrial firms themselves are also encouraging their workers to stay in Jurong by granting housing allowances in lieu of a transport allowance.

Mr Tang See Chim: A supplementary, Mr Speaker, Sir. Is it true that the flats at Jurong are at present half empty and that there was only one registration at the school there and that at present it is being put to other uses?

Mr Speaker: Part of that question should, of course, be addressed to the Minister for Education. But, Mr Ramaswamy, do you want to reply to that part to which you can reply?

Mr Ramaswamy: I have given the figures of occupation of these flats. There are 4,512 units. Of this number, 2,614 units are occupied. Of course, the hon. Member can calculate whether it is half or more than half.

Mr Bernard Rodrigues (Telok Blangah): A supplementary question, Sir. In view of the low wages paid in Jurong, what is the Minister doing to encourage employers to subsidise the rents in Jurong?

Mr Lim Kim San: These are already subsidised rates of rental charged to workers who are Singapore citizens. I think at the moment in Jurong most of the workers are either given free transport or a transport allowance, so that if they desire to live in Taman Jurong, they will get, in lieu of free transport, a transport allowance, which is a form of subsidy towards paying their rental. In fact, in some cases it may be almost the rental of a one-room unit.

Mr Bernard Rodrigues: A supplementary, Mr Speaker. I think the Minister is wrong, because in most cases in Jurong they do not subsidise, neither do they give a transport allowance. They leave it to the union to fight. So I am hoping the Minister will do something to encourage future developers in Jurong really to help the workers in the subsidy of rent. In fact, I understand the policy of providing transport has been stopped for quite some time now.

Mr Lim Kim San: I will not argue about the policy of the labour union with regard to a subsidy for transport or a subsidy for houses. But I would like the hon. Member to remember that we are, at the moment, engaged in the task of increasing productivity and lowering costs. If the entrepreneurs in Jurong find that it is possible to give additional pay, either in the form of a housing allowance or in any other form, and be still able to compete externally, then the union will have a good case. Otherwise, I think it will have to hold its horses for the time being.

Mr Tang See Chim: A supplementary, Sir. Does the Minister not consider that the giving of a transport subsidy would, in fact, encourage people to stay away from Jurong rather than stay in Jurong?

Mr Ramaswamy: I have just said that the employers are requested to pay a housing allowance instead of a transport allowance, and most of them are doing that.

Mr Bernard Rodrigues: A supplementary, Mr Speaker. Has the Parliamentary Secretary investigated how many employers are subsidising house rents in Jurong? I am quite sure he is not aware, Mr Speaker.

Mr Ramaswamy: I am not aware. But this is what the Government or the Economic Development Board is doing, asking employers to pay a housing allowance instead of a transport allowance.

Mr Lim Kim San: A point of clarification, Sir. It is not the Government or the Housing Board that has asked employers to pay a housing allowance in lieu of a transport allowance. I think the Member for Telok Blangah must be aware that where workers have been receiving a transport allowance, this has been termed a housing allowance if they stay in Jurong. To reply to the Member opposite, it is not Government's policy to encourage employers to pay a housing allowance, because in one way it prevents the workers from staying in Jurong, which is exactly opposite to what we intend. We have spent a lot of money on the infrastructure in Jurong and we would like the workers to turn it into a town.