KUALA LUMPUR: Unitrade Industries Bhd's (UIB) wholly-owned subsidiary Unitrade United Sdn Bhd (UUSB) signed a memorandum of understanding (MoU) with Invest Kedah Bhd (IKB) to develop modular housing systems for the centralised labour quarters (CLQs) in Kedah.
The collaboration aims to provide a cost- and space-efficient housing solution that effectively addresses workers' accommodation issues, thereby creating a conducive work environment and infrastructure in Kedah.
Under the MoU, IKB will identify and screen potential investment opportunities while providing guidance on laws and regulations, facilitating obtaining permits and licenses, and offering suitable land to ensure a streamlined development timeline.
UIB will provide comprehensive turnkey services, encompassing investment, construction, maintenance, and management for the seamless implementation of the modular housing solution.
UUSB director and executive director of UIB Simson Sim Xian Zhi said that in compliance with the Workers' Minimum Standards of Housing and Amenities Act 1990 (Act 446), the implementation of modular housing enables centralised worker management, enhances transportation efficiency, and provides flexibility in CLQ relocations.
"This allows employers to enhance their operational efficiency while ensuring the well-being of their workforce," he said in a statement.
Modular houses provide the advantages of portability, durability, and easy assembly, making them an ideal solution as CLQs for factory workers' accommodations.
Apart from dormitories, the CLQ facilities can include essential amenities such as offices, first-aid rooms, quarantine rooms, kitchens, toilets, canteens, grocery stores, and recreational areas.
IKB chief operating officer Noor Ikhsan Abdul Aziz said the MoU signed between IKB and UUSB has the utmost significance.
"This collaboration holds exceptional importance for industries, ensuring their adherence to Act 446.
"In this regard, we are delighted to collaborate with IKB to meet the housing needs of industrial workers in the state.
"We look forward to a successful rollout of our solution in Kedah and replicating it across the nation," Sim added.
Separately, UIB intends to rent a piece of land in Kampung Baru Subang, Shah Alam, to develop another CLQ.
The area has a high concentration of factories, and the CLQ will offer a viable accommodation option for employers to house their workers.
UIB expects further growth in its recurring revenue stream as the company expands its rental of temporary structural support equipment division with the inclusion of modular housing solutions, bolstering longer-term earnings visibility and stability.
The rental business is synergistic with its building materials wholesaling operations, thus, further strengthening its competitive edge in the industry.