Hotel Miramar to cease operations in end-October, 108 employees affected

SINGAPORE – Hotel Miramar will be ceasing operations at the end of October, it said in a joint statement with the Food, Drinks and Allied Workers Union (FDAWU) on Aug 29.

Some 108 employees will be affected by the move.

“This difficult decision was made after careful and comprehensive evaluation of the hotel’s long-term business outlook,” said the hotel and union.

The hotel, located in Havelock Road, had engaged with the union early in making the decision to cease operations, committing to “supporting affected employees and ensuring they are treated with fairness, dignity, and respect”, said the statement.

“Through negotiations with the union, the hotel will provide fair retrenchment packages in line with the collective agreement and unionised norms.”

As part of these negotiations and in a show of goodwill, the hotel said it will go beyond the agreement and extend the retrenchment package to those under the re-employment scheme, with additional payouts to long-serving employees for their dedication and years of service. It has also agreed with the union to provide ex gratia payment to employees with fewer than two years of service.

FDAWU said it is also working closely with the hotel to support affected employees in securing new job opportunities and preparing for the next phase of their careers. These include connecting them to the labour movement’s network such as NTUC’s e2i (Employment and Employability Institute).

Affected employees who are Singaporeans or permanent residents can tap e2i’s job matching services, career coaching and skills upgrading help.

At the company’s communications exercise with affected employees on Aug 28 and Aug 29, NTUC’s e2i was on site to provide information kits on career resources, share on available career support services, and offer career advice, and one-on-one coaching to help affected workers transition to new job opportunities, according to the joint statement.

“Hotel Miramar Singapore has been part of the nation’s hospitality story since 1968, but what truly defines us are the people behind the hotel,” said its managing director Ken Lim in the statement, thanking staff members for their service.

FDAWU general secretary Sankaradass S. Chami said: “The union is sad that Hotel Miramar Singapore, one of our nation’s hospitality icons, that has provided good jobs for many Singaporeans over the years is ceasing operations.

“We are thankful that even at this hour, the management has gone above and beyond its collective agreement to support impacted employees, working closely with FDAWU to ensure that workers’ welfare is of utmost priority.”

Mr Sankaradass said: “In a time of economic uncertainty, the management has shown industry leadership, empathy, and exemplary conduct. This collaborative approach reflects the value of a strong labour-management relationship.”

In the latest collective agreement between FDAWU and the hotel, effective from May 2024, the hotel committed to provide retrenched employees who have at least two years of service with a severance package.

The package amounts to one month of their last drawn basic salary for each full year of service, with pro-rated payment for any year served partially.

The hotel must also give affected employees at least two months’ notice of termination, or compensate them with two months of gross salary in lieu of notice.

The agreement stated: “As far as practicable, the hotel shall give ample notice to the union before notice is given to the employee.”

The Business Times reported in July that negotiations for the sale of the 344-room hotel were at an advanced stage. The property, which partially opened in 1971 after its owner-operator was set up in 1968, sits on a site with a balance leasehold tenure of about 41½ years.

The deal was expected to be below $200 million.

The hotel is owned and operated by a company bearing its name, whose biggest shareholder is a company named Lim Tjhun Seng, according to BT. Other shareholders of the hotel include a few families from Singapore and Indonesia.

Affected members and employees who need further assistance can approach FDAWU on 6737-6088 during working hours or via e-mail at

fdawu@ntuc.org.sg