Firms say measures provide relief; retailers asking for more help

The additional wage support during this period of tightened measures is much-needed relief for companies, said business and trade associations.

Businesses welcomed the $1.1 billion Covid-19 support package announced by the Ministry of Finance yesterday, which comes as Covid-19 curbs are stepped up to stem community infections.

Association of Small and Medium Enterprises (Asme) president Kurt Wee said that businesses can find relief in the enhanced wage subsidies under the Jobs Support Scheme (JSS).

Firms in the hardest-hit sectors such as food and beverage, gyms, fitness studios, performing arts and arts education will receive 60 per cent wage support for the heightened alert period.

Those in sectors significantly affected by the curbs, such as retail, tourist attractions, and Mice (meetings, incentives, conferences and exhibitions) organisers, will get 40 per cent support.

Earlier this week, the Alliance of Frontline Business Trade Associations appealed for help in the areas of rent relief, wage support and extension of bank loan principal moratoriums, highlighting concerns about the sustainability of their businesses, given the stricter regulations in place.

Yesterday, a spokesman for the alliance said front-line businesses are thankful for the enhanced and comprehensive help. "This package will help reduce the bleeding by businesses, but no doubt, there will be businesses that simply cannot sustain themselves any longer," said the spokesman.

"We hope landlords and banks will treat these businesses with sympathy and compassion."

Government-mandated rental reliefs, which the Ministry of Law will give more details on, will go a long way towards institutionalising a culture of fair sharing of burden between partners, it added.

Mr Wee said Asme is aware that many firms have been preparing manpower cuts. "With this JSS announcement and the announcement that the Ministry of Law will look at equitable load sharing of rental costs in such an economic environment, I believe and hope that businesses will be in a better position to push and sustain through this trying period without manpower cuts," he added.

While the package is a relief for retailers, a spokesman for the Singapore Retailers Association (SRA) called for the Government to enhance JSS support for retailers to 60 per cent. This is as the dining-in ban at F&B outlets has an equally dire or even greater impact on retail, the spokesman said.

SRA also said foreign worker levy waivers until the end of the year would help retailers. "(This will) help keep the business and economy going, as it is challenging to find locals to take up some of these front-line retail and back-end jobs occupied by foreign workers," its spokesman said.

Singapore Fitness Alliance president Sean Tan hopes JSS and rent relief payouts will be disbursed soon to ease cashflow concerns.

"Our businesses hinge on public confidence, and we find our membership bases shrinking each time tightened measures are imposed on us," he said. "And just as we start to rebuild, we face new lockdowns or restrictions. We certainly hope that this is the last set of tightening measures."

• Additional reporting by Laura Chia