Employer of workers in salary protest owes us S$540,000: Shimizu Corporation
SINGAPORE — Stargood Construction, the company whose workers staged a sit-down protest from Monday (March 4) over salaries owed to them, in fact owes main contractor Shimizu Corporation about S$540,000, the latter said on Thursday.
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SINGAPORE — Stargood Construction, the company whose workers staged a sit-down protest from Monday (March 4) over salaries owed to them, in fact owes main contractor Shimizu Corporation about S$540,000, the latter said on Thursday.
According to Shimizu, this is because it had to compensate for Stargood’s inability to provide an adequate supply of labour and materials.
More than 30 foreign workers staged a sit-down protest at the old Central Provident Fund building site on Wednesday, claiming that 59 of them were owed a total of nearly S$300,000 in unpaid salaries.
Refuting Stargood’s owner Lin Jie Biao’s claims that Shimizu had not paid him since December last year, the main contractor said that it had already given its subcontractor S$1.26 million.
Shimizu said in a statement that Stargood was supposed to supply about 80 to 110 workers daily for the construction works at the site.
“However, Stargood supplied only about 40 to 60 workers daily and failed to satisfactorily carry out sub-contract works,” Shimizu added.
As a result, Shimizu said that it had “no other alternative but to provide adequate supply of labour and materials to Stargood” to carry out the works, which cost the main contractor about S$820,000.
“These cost and expenses are borne by Stargood, and that exceeded the amount that we have yet to pay,” said Mr Bonaventure Lek, deputy general manager of Shimizu Corporation’s Singapore office.
“This resulted in the non-payment. In fact, they owe us a balance sum instead.”
“After deducting the costs and expenses, a balance sum of about S$540,000 is now due and owing from Stargood to Shimizu,” the main contractor said, adding that this has been made known to Stargood.
Shimizu said it is “regrettable” that Stargood has not paid its workers and “has instead attempted to throw the blame at Shimizu”.
Nevertheless, Shimizu said it is assisting the affected workers.
“Shimizu is not obligated to pay Stargood’s workers, as we are the main contractor, not their (these foreign workers’) employers,” said Mr Lek.
TODAY understands that Mr Lin will be contacting the Ministry of Manpower on Friday, whereas a Shimizu representative will meet the Migrant Workers’ Centre to discuss solutions for the workers.
“We will have dialogues with Stargood and see how we can proceed from here,” said Mr Lek.
“If the need arises, we will take necessary action.”