Companies in the construction, marine shipyard and process sectors are expecting their projects to be delayed by a few months.

This comes after employers in these sectors were no longer allowed to make new applications for workers holding S Passes or work permits to enter Singapore via vaccinated travel lanes (VTLs).

The latest curbs, announced by the Ministry of Manpower last Saturday, will also apply to employers of other dormitory-bound work pass holders.

Singapore has imposed stricter measures on all travellers entering the country to detect Omicron, the new coronavirus variant. As at yesterday, there were two imported cases who tested positive for Omicron, and one who tested preliminarily positive.

Companies that The Straits Times spoke to yesterday said that it was difficult to plan their schedules for existing and upcoming projects as they are facing a shortage of manpower.

Ms Serene Pan, chief executive of Hitomo Construction, said the company was previously trying to get about 10 workers into Singapore. "We had planned to employ more foreign workers via the VTL as they would be able to enter Singapore more quickly, but this plan has been disrupted."

She added that with the latest curbs, 90 per cent of Hitomo's upcoming projects are expected to be delayed by two to three months.

"There is nothing much I can do at this stage but continue trying to apply for foreign workers via entry approval," she said. "Currently, holders of existing work passes whose expiry dates are approaching are also asking for another pay rise, and we have no choice but to let go of a few of them as their asking pay is almost double their current salary."

Mr Xu Changcheng, director of StarCity Construction, said the company has been short of workers for almost a year. He said: "The majority of our projects are on hold. We have already declined some inquiries on new projects."

He added that three of its projects are expected to be delayed by three months to a year. "Currently, we get only small projects for the company to survive. Our clients are aware of the situation and they were very considerate to give us extensions to complete the projects."

Ms Louise Chua, executive director of The Singapore Contractors Association, said that removal of the VTL option "translates into one less route for employers seeking entry for migrant workers into Singapore, compounding the challenges of the acute manpower shortage".

She hopes the authorities will review and increase the quota of workers in view of the latest change, to ensure that workers can continue to enter Singapore through programmes with upstream testing or the Work Pass Holder General Lane.

Ms Chua said: "Additional costs of bringing in workers through these programmes will continue to be incurred, and we hope the Government can look into further support for contractors on this front."

Mr Lam Yi Young, chief executive of the Singapore Business Federation, said: "Businesses hope that the VTLs can be reopened to foreign workers soon or, failing which, the Work Pass Holder General Lane and ongoing industry initiatives can be further streamlined to facilitate the entry of foreign workers who are critical to operations."

Dr David Leong, managing director of human resources firm PeopleWorldwide Consulting, noted that stricter rules are needed to reduce risk of infection with the emergence of Omicron.

He said: "Dormitory situations in Singapore are more stable now under a tight... regime, and any incoming workers from overseas add new risk to the pool, particularly with the Omicron strain."

Also recognising the difficulties the companies face, he added: "With the additional costs plus having to pay more to retain workers, employers are really challenged on all fronts."