Changes to safety measures taking a toll on F&B businesses

The slew of changes to the safe management measures for food and beverage (F&B) operators has taken a toll on businesses in the sector, said employers, staff and business associations.

Operators cited challenges such as gauging the quantity of ingredients to order, as well as allocating manpower to enforce various restrictions.

Mr Desmond Tan, owner of Tribeca Bar & Bistro, said the frequent changes in restrictions affect the flow of customers.

This means it is difficult to plan how much food to order, "so we end up buying smaller quantities, which increases costs, reducing an already wafer-thin margin", he told The Sunday Times.

Food suppliers have also been affected due to restaurants cutting down or even halting orders completely, Mr Tan said, noting that some have downsized or shut down.

Business associations for the sector said government aid has gone some way in cushioning the impact, but cautioned there could be business closures and loss of jobs if fluctuations that impact operations continue.

New restrictions were announced on Friday, allowing dining at eateries only in fully vaccinated groups of two from tomorrow to Oct 24. This is down from the current limit of groups of five.

A set of earlier rules had disallowed dining in completely at all establishments.

A spokesman for the Restaurant Association of Singapore said the "start-stop, go-no-go" changes in rules at the last minute cause fatigue and take a toll on businesses.

They can lead to unplanned costs in goods or manpower, the spokesman added.

He acknowledged that government aid has helped, but said: "We can't say for sure how long the assistance will go to keep F&B brands going, as well as protect the jobs of our F&B crew."

Help available for F&B operators includes rental waivers as well as the Jobs Support Scheme, which gives employers wage support to help them retain their local workers. The scheme provides subsidies for 25 per cent of employees' wages from tomorrow to Oct 24.

Mr Kung Teong Wah, who sits on the Food and Beverage Management Association's executive committee, warned that while bigger players like hotel and restaurant chains may be able to recover, small business owners may not be able to survive for long.

Eateries that may not be suited for takeaways or small group sizes have been hardest hit.

Mr Elton Seah, owner and chef at HolyCrab in Stamford Road, said there has been a 60 per cent drop in orders in the past two weeks.

The new restriction allowing dine-ins only in groups of two has not helped the situation at the restaurant, which specialises in crab dishes and seafood.

"Not all restaurants are the same. Two-pax dine-in may remain conducive to some cuisines, but for hearty family-style restaurants like ours, it has been destructive," Mr Seah said.

Professor Lawrence Loh of the National University of Singapore Business School said the drop in sales at restaurants could also be due to apprehension about dining in, cost concerns and takeaway fatigue. But the ray of hope is that as with every trend, this will not be permanent.

"People will naturally want more food options and go back to ordering from restaurants," he said.

Employees at F&B outlets have also been affected - when restrictions change, they are the ones who have to pass on the message to customers who may not be aware of the new rules.

The management team at Western restaurant LeVeL33 said it receives a high volume of calls from guests whenever new changes are announced.

"Our (staff) are rushing to ensure they understand the new rules clearly, so they can communicate them in a way that avoids ambiguity and frustration," it said.

Mr Eric Lim, 33, an employee at a Japanese restaurant, said it can be frustrating when customers refuse to maintain social distance or to wait for staff to check their vaccination and check-in statuses before entering the restaurant.

Meanwhile, diners who were out and about yesterday also expressed frustration at the constant changes in restrictions.

Sales manager Danny Lee, 42, who was at a noodle restaurant in Yishun's Northpoint City mall with his wife and son, said: "We were previously given the assurance and confidence that we would definitely open up... (the changes) cause a lot of confusion."