Social housing for workers in Nghe An: Many projects remain on paper

"Paper" projects

Since 2005, after construction startedNam Cam Industrial Park (IP)In Nghi Loc district, along with investment in industrial park infrastructure, Nghe An province has promoted and attracted social housing projects. In August 2010, the Provincial People's Committee issued a support policy for housing projects for low-income people in urban areas and housing for workers in industrial parks in the province. Then, in 2012, the Provincial People's Committee approvedworker housing projectfor rent at Nam Cam Industrial Park.

A corner of Nam Cam Industrial Park. Photo: PV's Document

On July 28, 2017, the Provincial People's Committee approved a decision on the infrastructure development plan in industrial parks. Accordingly, in 2018, the investment in building two 5-storey buildings to accommodate about 2,000 workers in Nam Cam Industrial Park and WHA Industrial Park will be implemented; by 2020, a 5-storey building will be continued to be built for about 1,000 workers in VSIP Industrial Park. At that time, the province assigned Nghe An Industrial Park Infrastructure Development and Construction Investment Company Limited to conduct a survey and prepare a project for early approval, but no project was implemented.

In 2019, the Provincial People's Committee approved the construction plan for two housing areas in Nghi Xa and Nghi Tien communes (Nghi Loc) to provide accommodation for about 2,600 workers, but these two projects are also "standing still".

Lux-shera ICT project in VSIP Industrial Park designed and constructed the factory as well as housing for experts and workers, so the implementation was quite convenient. Photo: Nguyen Hai

In Vinh city, on June 8, 2013, Dai Hue Construction Investment and Trading Joint Stock Company held a groundbreaking ceremony for the social housing project of Dong Dau Urban Area, invested by the Company. This is a social housing project receiving the first VND 30,000 billion preferential loan package from the state according to Resolution 02/2013 of the Government. Dong Dau Urban Area project has a total investment of VND 245 billion, a total area of ​​9 hectares, and was approved by the Provincial People's Committee in 2010.

However, this project only started but did not start construction. Up to now, this highly anticipated project is still "on paper".

A dormitory for workers living near Bac Vinh Industrial Park, Hung Dong Commune is quite makeshift and damp. Photo: Diep Thanh

A representative of a large construction company located in Trung Do Ward, Vinh City shared: in 2015, the company had access to preferential loans from the bank's VND30,000 billion package to build social and collective housing for workers right on the company's land, but also felt tired because the loan support procedures were too complicated, with continuous inspections and audits. Therefore, after implementing this project, the company no longer wanted to participate in the social housing project.

Urgent need

According to the Management Board of the Southeast Economic Zone, there are currently over 29,000 workers working in industrial parks in the economic zone, but except for a few houses for experts and workers of the zone,Lux-share ICTAt VSIP Industrial Park, there are still many workers from districts and Ha Tinh province who come to work in Bac Vinh Industrial Park, VSIP, Nam Cam, Nghe An Industrial 1... but do not have housing. Currently, the demand for social housing for workers is very large but the province does not have a proper social housing area for workers.

Perspective of the social housing project of the Petroleum Investment and Trading Joint Stock Company, which has now died and been converted to commercial housing. Photo: Contributor

This is also one of the reasons why businesses in Nghe An have difficulty recruiting workers. A worker in Phuc Son commune, Anh Son district said: “Working as a worker in Vinh city or Nghi Loc district, although it is said that working is close to home, it is impossible to commute so we have to rent a house. Workers' salaries are quite low, so if the company or the province has a support policy for workers to rent or live in social housing at a reasonable price, it will be very convenient, and workers will stick with the company for a long time.

In an effort to improve the investment environment and retain workers, since mid-2021, the province has attracted 3 social housing investors, including 2 social housing projects of MK Central Solar Power Joint Stock Company and BMC International Trading Joint Stock Company as investors in Nghi Long and Nghi Thuan communes, Nam Cam Industrial Park and 1 project of Kim Thi Real Estate Joint Stock Company in Nghi Xa commune.

Perspective of the social housing area of ​​Kim Thi Real Estate JSC in Nam Cam Industrial Park in Nghi Xa Commune (Nghi Loc). Photo: Internet.

Concerned about the slow progress of social housing projects for workers in the area, a representative of the Southeast Economic Zone Management Board said that on the one hand, they are requesting the Provincial Party Committee and the Provincial People's Committee to urge and direct investors to allocate capital and human resources to speed up investment progress as committed; on the other hand, they also recommend and hope that businesses and FDI investors that employ a lot of labor, when investing in Nghe An Industrial Park, should calculate and allocate resources to implement social housing projects for workers; the Economic Zone Management Board will create conditions to provide maximum support in terms of procedures and construction planning. Hopefully, Nghe An businesses will attract and retain workers to stay and work, contributing long-term to the business./.