Opening Remarks by Minister Desmond Lee at the Ground-Breaking Ceremony of Singapore Contractors' Association Limited (SCAL) Construction Hub

Apr 18, 2022


Good morning. I am very delighted to join you today at the ground-breaking ceremony for the new SCAL Construction Hub.

SCAL had secured this Tannery Lane site for the Construction Hub back in 2019. The COVID-19 pandemic has disrupted its development, but we are all glad to see that the project is now back on track. 


Route to Recovery

SCAL has been a trusted and reliable industry partner for many years. Your commitment to support the industry has been especially important in supporting the sector through the pandemic. 

If you look back over the past two years, many will say that COVID-19 is probably the worst crisis ever for the sector here in Singapore for many decades. Whilst many firms and workers suffered badly, we all worked together and emerged a stronger, more cohesive and more united sector. The sector has a very long value chain, from consumers to developers, consultants, builders, sub-contractors and suppliers, and the whole value chain needs to work together. During the crisis, if any one segment of the chain breaks, the whole chain will suffer, and everyone will be impacted. 

Many SCAL members will remember, especially for many months in 2020, we met every day over Zoom – apart from SCAL, REDAS, MND, BCA, MOM  and many agencies, we also brought onboard sub-contractors and many other associations, targeting not only teething problems but also significant challenges on a practical level. Through dialogues and very open and honest discussions, we were able to resolve these problems one after another.

From daily meetings, it then evolved into weekly meetings. When things started to get back on track, we met every fortnight; and now, we still meet online once every month to discuss issues – and the kind of topics that are raised are a clear reflection of the industry’s sentiments and the kind of issues that we face. In 2020, it was about yesterday, today and tomorrow; and today, a lot more of our discussion is about the future – how we can learn the deep lessons from this difficult crisis, and how we can transform leaner and be a more high-tech and productive industry. 

SCAL has soldiered on along with us on various initiatives, such as setting up the SCAL Construction Manpower Exchange, or SCMX, which helps retain existing workers, as well as the Pre-Departure Preparatory Programme overseas, which helps to recruit and bring in workers safely. You also launched the SCAL COVID-19 Fund to help firms in need. The close partnership between SCAL and the Government has helped to cushion some of the impact of COVID-19 on the industry.

The construction industry is showing some signs of recovery, with construction output close to pre-COVID levels, and work is progressing steadily. But we are under no illusion that we are out the woods. There is still uncertainty ahead of us, not just because the pandemic is still making its rounds around the world. In Singapore, while we are opening up, we remain very vigilant, including in the construction sector. The geopolitical issues in Europe and its impact on the rest of the world is something we are watching very closely. Firms are concerned about cost pressures due to the impact of lockdowns, supply chain disruptions and geopolitical tensions. But I am confident that together, we will continue to overcome any challenge that comes our way. 


Need for Transformation

Even as we navigate the current situation, it is equally important that we accelerate transformation together, and bring about longer-term resilience to the industry. To this end, BCA has been working very closely with you and the various industry stakeholders, to refresh the industry transformation map for the sector and to make it happen on the ground.

The SCAL Construction Hub is part of SCAL’s efforts to help the industry and firms to transform. With numerous functions such as the SCAL Innovation Centre and training facilities, this Hub will be a key resource for firms that are seeking to transform their businesses. The SME Business Helpdesk will also help share information on the various programmes and schemes available for firms to digitalise and automate their processes, and to find new opportunities to upskill their workforce. I am confident that the SCAL Construction Hub will play a big part in extending our collective outreach to an even broader audience. 


Conclusion

In conclusion, let me congratulate SCAL once again on your upcoming Construction Hub. I look forward to your continued partnership in transforming the industry together for many years to come.