August 19, 2016

Construction labourers compensated for suspended high-rise construction projects

A construction site seen in downtown Yangon on 10 August 2016.
A construction site seen in downtown Yangon on 10 August 2016.

Construction staff and labourers received compensation in accordance with Labour Laws after the High-Rise Building Inspection Committee reviewed  suspended construction projects.
Several high-rise building projects in Yangon were forced to suspend activity on 14 May, causing losses for developers. Because there is no guarantee that those high-rise building projects will resume, the engineers, staff and labourers who were engaged in those construction projects received compensation.
“We, the high-rise developers, have to hire the foreign architects before the construction projects are started to implement, with the cost of hiring them at US$1million. Besides, the owners of the house have to demolish theirs after the proposal of the construction have been approved. We, the construction contractors, have to pay the general cost to the owner of the real property so that they can move to stay at another place. After that, we started to carry out the construction process such as pilings and structure calculation,” said a developer.
A developer pointed out that those companies will gradually go bankrupt if construction is not resumed or if the freeze lasts too long.
The High-Rise Building Inspection Committee divides construction projects into three categories.
The first category are inspection visits to those high-rise buildings which have been approved according to a policy laid down by the previous government and which are under construction. The second and third parts are those construction projects which have been granted approval but have not started.
These projects are required to seek additional permission under a new policy. As a result, the construction entrepreneurs are adversely affected, the developers said. A high-rise building developer, U Than Naing, said that the authorities plan to systematically build Yangon.
Therefore, they need to save the construction businesses.  “Currently, those suspended construction projects affect not only us but also the economy of the country because the heavy losses of the projects could drag the nation’s economy down.
We are carrying out the projects to be in accordance with the policies laid down by the then government. It is unlikely for our projects to match perfectly the new policies to be formulated.
We also want to make Yangon become a metropolitan city like the government,” said U Than Naing. “We would like to request the incumbent government to proceed in accord with the previous policies.
We also want the Union government to intervene in this,” he added.
The number of suspended building projects has risen and the freeze of construction projects is threatening the job security of the engineers, the staff and the labourers who are engaged in those projects, it was learnt from the construction businessmen.


Pwint Thitsar


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