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Weekly News Select
May 22, 2020 / Issue 21

Top News for the Week
• Amid poor home sales in April, the rich are still shopping - for posh properties
• Delayed reopening for retail, F&B: New help package on the way
• Some construction to resume from June 2, with special rules
• Jump in pharma exports lifts Singapore NODX in April
• Changi Airport to allow transit traffic from June 2
• Logos, CSC Holdings to redevelop Jurong warehouse for S$108m

Residential
Amid poor home sales in April, the rich are still shopping - for posh properties
Despite a plunge in sales of new homes in April, the very rich had no problem forking out for their
favourite asset amid the circuit breaker.
There were five homes sold last month costing more than S$5 million each, the highest was a
S$13.8 million unit at 15 Holland Hill.
Developers in Singapore sold 277 new private homes in April, a dive of 58 per cent from 660 in
March, as buyers stayed home during the "circuit breaker".
The lowest sales volume since URA started releasing records in June 2007 was 108 units sold in
January 2009. This coincided with the Global Financial Crisis when sales volume remained below
200 units for several months (October 2008 - January 2009).
April 2020 sales are extremely good in light of the circumstances, said Lee Sze Teck, Huttons Asia
director (Research).
Buyers are receptive of the virtual way of viewing a sales gallery and the circuit breaker has
resulted in a shift in buying behaviour, said Mr Lee.
He expects sales in May to be similar to April. "There was a surge in buying in the first week of
May probably due to buyers deciding to commit after the circuit breaker was extended to June 1,"
he said.
Around 70 units were clocked in the first week of May, said Mr Lee. "Compared to the same
method of sales in April, where almost 100 units were sold after the circuit breaker, this is a very
strong set of numbers. This is very encouraging as it shows that demand for property is resilient
and buyers are buying into the long term fundamentals of Singapore and ignoring the short term
uncertainties," he said.

Links to the story:
https://www.businesstimes.com.sg/real-estate/amid-poor-home-sales-in-april-the-rich-are-still-shopping-for-posh-
properties
https://www.straitstimes.com/business/property/new-private-home-sales-fall-to-five-year-low-in-april

Co-living operators upbeat as they look to demand from new segments
Co-living operators in Singapore remain upbeat despite - and in some cases spurred on by - the
Covid-19 pandemic crisis.

Weekly News Select
May 22, 2020 / Issue 21

In contrast to many businesses which are cutting back on operations, or mothballing their growth
plans, the executives of some co-living companies say their expansion strategies are largely on
track.
They say that in addition to expatriates, some locals are also increasingly opting for co-living to
escape being stuck at home with family. People facing salary cuts or lower rental budgets are
planning to move from a one- or two-bedroom flat to a room in a co-living space.

Link to the story:
https://www.businesstimes.com.sg/real-estate/co-living-operators-upbeat-as-they-look-to-demand-from-new-
segments

Property agents soldier on with virtual marketing
Property agents do not like it that show galleries will remain closed until further notice, but are
taking it on the chin.
Developers and agents are thus continuing with the virtual way of marketing and closing property
sales during the first phase of the reopening of Singapore's economy.
Agent still cannot meet clients face to face, though they may do so where the clients' physical
presence is legally required to complete a transaction - but this meeting must be held in the office
of the real estate company.
Lee Sze Teck, Huttons Asia's director for research, said plans for upcoming property launches will
probably be on hold for the moment, while the industry seeks exemption from the government to
reopen the show galleries.
Some upcoming launches include Hyll on Holland, Cairnhill 16, Forett @ Bukit Timah, Penrose,
The Landmark, Verdale, The Linq @ Beauty World, Noma, Clavon and Rymden 77.

Link to the story:
https://www.businesstimes.com.sg/real-estate/property-agents-soldier-on-with-virtual-marketing

Nassim bungalow put on market with asking price of over S$41m
LMG Realty, now part of BRC Asia, has put on the market a soon-to-be completed freehold
bungalow on Nassim Road.
The asking price is in excess of S$41 million or S$3,084 per sq ft based on the land area of 13,293
sq ft.
The temporary occupation permit (TOP) for the new bungalow is expected to be obtained in the
second half of this year.

Link to the story:
https://www.businesstimes.com.sg/real-estate/nassim-bungalow-put-on-market-with-asking-price-of-over-s41m

Weekly News Select
                                                                                                May 22, 2020 / Issue 21

Commercial
Uber's closure of Asia-Pacific HQ in Singapore to impact 120 staff
About 120 roles in Uber's Singapore operations will be affected by the ride-hailing firm's decision
to move its Asia-Pacific headquarters out of Singapore in the next 12 months. The Asia-Pacific
hub will be relocated to another place in the region.
The company launched its Asia-Pacific hub in Frasers Tower in April last year to support its
operational markets in the region. Those markets comprise India, Bangladesh, Sri Lanka, Japan,
South Korea, Taiwan, Hong Kong, Australia and New Zealand.

Links to the story:
https://www.businesstimes.com.sg/garage/ubers-closure-of-asia-pacific-hq-in-singapore-to-impact-120-staff
https://www.straitstimes.com/business/companies-markets/uber-to-move-asia-pacific-hq-out-of-spore-as-virus-
impact-worsens

Retail
Oxley unit finds buyer for Chevron House retail, banking units at S$315m
A potential buyer has entered into an expression of interest (EOI) with Oxley Beryl, which owns
the former Chevron House, to acquire the retail and banking units in the Raffles Place development
for S$315 million, Oxley Holdings said in a bourse filing on Tuesday evening.
The property developer did not identify this buyer and did not state whether it is linked to Golden
Compass (BVI) - the purchaser named in Oxley Holdings' proposed S$1.025 billion sale of the
property announced last April.

Links to the story:
https://www.businesstimes.com.sg/companies-markets/oxley-unit-finds-buyer-for-chevron-house-retail-banking-
units-at-s315m
https://www.straitstimes.com/business/property/315m-offer-for-raffles-place-retail-banking-units

Extended dining-in ban a nail in coffin for many F&B outlets
Singapore’s embattled food and beverage (F&B) sector may see more closures and layoffs, with
dining-in not permitted for a while longer even after the circuit breaker starts to be rolled back.
About two in five restaurants will not last longer than two more months with the revenues and
costs recorded during the ongoing circuit-breaker period, according to a survey.
Data also showed that 50 per cent more restaurants closed in March and April this year, compared
to the same period last year.
More than 25 per cent of the restaurants indicated that they would implement more retrenchments
if the dine-in suspensions are extended.
This is even as about 11 per cent of restaurants had retrenched full-time staff by May, while 42 per
cent implemented pay cuts, more punitive measures than the compulsory leave and shortened
hours applied previously.

                Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
               3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                              www.huttonsgroup.com

Weekly News Select
                                                                                                May 22, 2020 / Issue 21

Links to the story:
https://www.businesstimes.com.sg/consumer/extended-dining-in-ban-a-nail-in-coffin-for-many-fb-outlets
https://www.straitstimes.com/lifestyle/food/some-eateries-shut-for-good-others-adapt-to-survive

Lobby group wants laws for a fair tenancy commission, data sharing
The Fair Tenancy Framework Industry Committee (FTFIC) has proposed the setting up of a Fair
Tenancy Commission (FTC) and a more equitable sharing of information and costs between
tenants and landlords, among a list of recommendations that it hopes can be legislated.
Broadly speaking, the FTFIC's recommendations can be broken into three parts:
•       Transparent access to information: FTFIC said it recommends two levels of rental data be
made available, namely a public rental info database that is uploaded on a monthly basis, and mall-
level productivity and performance data made available by landlords to tenants from whom they
require data such as monthly sales data;
•       Fair Tenancy Bill: FTFIC recommends that the government legislate and pass a bill to
prohibit undesirable or unfair tenancy practices and behaviour by either landlords or tenants and
to promote a more efficient and effective free-market dynamic for this business sector; and
•       Establish a Fair Tenancy Commission to oversee the creation and generation of market-
rental data. The FTC can also provide guidance on gaps, disputes, regulate matters between
landlords and tenants, and undertake a periodic review and revision to the Fair Tenancy
Legislation.
The FTFIC's 15 key recommendations are guided by five principles - incentivising value creation,
transparency, protecting tenants from unfair tenancy practices, building a more sustainable
ecosystem and instituting the concept of reciprocity - said the commission, which was formed with
representation from the Singapore Business Federation SME Committee (SBF SMEC),
Association of Small and Medium Enterprises (ASME), Restaurant Association of Singapore
(RAS), Singapore Retailers Association (SRA) and Singapore Tenants United for Fairness
(SGTUFF).
The commission said in a press briefing that it had put forward its position paper and
recommendations to the Ministry of Law and the Ministry of Trade and Industry.

Links to the story:
https://www.businesstimes.com.sg/sme/lobby-group-wants-laws-for-a-fair-tenancy-commission-data-sharing
https://www.straitstimes.com/business/push-by-businesses-for-greater-clout-in-deals-with-landlords

Government
Delayed reopening for retail, F&B: New help package on the way
Manufacturing and professional-services workplaces are among those allowed to re-open under
the first phase of the lifting of circuit-breaker measures on June 2, even as another package of
support for firms and individuals will be unveiled next week.
The multi-ministry taskforce on Covid-19 also announced at a press conference on Tuesday that
some healthcare services will resume, as well as motor-vehicle servicing, air-conditioner servicing

                Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
               3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                              www.huttonsgroup.com

Weekly News Select
                                                                                                May 22, 2020 / Issue 21

and basic pet services. Preschools will re-open in stages, and schools will re-open with special
arrangements. Visits to certain family members will be allowed, with restrictions.
Businesses that are allowed to reopen must have "maximum work-from-home arrangements", and
individuals should continue to leave home only for essential services, and wear masks when
outside. Most retailers will stay closed, and dining-in will still not be allowed at food-and-beverage
establishments.
If the situation stays under control in the next few weeks, Singapore can then enter a second phase
of gradual resumption of more economic and social activities, said Health Minister and taskforce
co-chair Gan Kim Yong.
The phased reopening seeks "to reduce the risk of a second wave of cases of infections, as many
countries have experienced after they lifted their control measures", he said.
Among other things, Phase Two will allow F&B dining-in; reopening of more businesses,
including retailers, gyms, and tuition centres; and social activities in small groups. Working-from-
home will continue.
Phase Two is a "safe transition" to the new normal of Phase Three. Minister for National
Development and taskforce co-chair Lawrence Wong cautioned: "Phase Three is not a return to
life before Covid-19."
After Phase Two, which may involve several steps and last several months, it may be possible to
move to Phase Three: a "new normal".
While cinemas and theatres may reopen and events and gatherings resume, this will be with
safeguards and limited crowd sizes; baseline precautions such as mask-wearing will also continue
throughout all phases.

Links to the story:
https://www.businesstimes.com.sg/government-economy/delayed-reopening-for-retail-fb-new-help-package-on-the-
way-0
https://www.straitstimes.com/singapore/spore-to-lift-circuit-breaker-measures-from-june-2-in-three-gradual-phases
https://www.straitstimes.com/singapore/circuit-breaker-to-be-lifted-singapore-to-reopen-gradually-in-3-phases
https://www.straitstimes.com/singapore/curbs-on-dining-in-and-meeting-most-kin-to-stay
https://www.straitstimes.com/singapore/transport/commuters-must-wear-masks-on-buses-trains
https://www.straitstimes.com/singapore/education/schools-reopen-on-june-2-but-not-all-will-go-back-to-
classrooms-daily
https://www.straitstimes.com/singapore/places-of-worship-will-reopen-for-limited-private-prayer
https://www.straitstimes.com/singapore/more-healthcare-services-including-some-surgical-ops-to-resume-from-
june-2
https://www.straitstimes.com/business/1-in-3-can-return-to-work-on-site-as-more-firms-reopen
https://www.straitstimes.com/singapore/pre-schools-to-open-in-stages-with-older-kids-returning-first
https://www.straitstimes.com/singapore/education/enrichment-activities-lessons-at-tuition-centres-wont-resume
https://www.straitstimes.com/singapore/visits-to-parents-grandparents-to-be-allowed-within-limits

More wage and rent support needed as most retailers stay closed, F&B firms still
restricted
The retail and food and beverage (F&B) sectors will need more wage support to stay afloat as the
former group remains closed and the latter still restricted to takeaways in the first phase of
Singapore's reopening, trade associations and industry watchers said.
The multi-ministry taskforce on Covid-19 said on Tuesday that certain industries including
manufacturing and professional services would be allowed to reopen on June 2. However, most

                Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
               3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                              www.huttonsgroup.com

Weekly News Select
May 22, 2020 / Issue 21

retailers will have to stay closed, and dining-in will remain prohibited at F&B establishments - for
at least a few more weeks, as the Covid-19 situation stabilises.
For these businesses that cannot reopen yet, the government will announce details of further
support on May 26, in what will be Singapore's fourth Budget this year.

Links to the story:
https://www.businesstimes.com.sg/government-economy/more-wage-and-rent-support-needed-as-most-retailers-
stay-closed-fb-firms-still
https://www.straitstimes.com/singapore/dpm-to-unveil-fourth-package-of-financial-support-next-tuesday

Financial institutions allowed more on-site staff from June 2: MAS
The Monetary Authority of Singapore (MAS) will allow financial institutions (FIs) here to reopen
more customer-service locations under the first phase of the lifting of circuit-breaker measures on
June 2.
FIs will be allowed to have more onsite staff to meet increased customer needs as some businesses
reopen, as well as to serve customers using both online and offline channels more efficiently, said
MAS in a statement.
Customer-service locations of insurance companies, fund managers, and brokers will reopen to
process essential customer transactions, such as facilitating account opening, updating of account
information, dealing with insurance policy enquiries, and processing of claims and applications
for relief measures. Money changing services will also resume.
FIs providing financial advice on banking, insurance and investment products, and private banks
offering wealth management advice, will be permitted to have in-person meetings with their
customers at their business premises, but only with MAS approval. They will also have to follow
additional safe-management measures.

Link to the story:
https://www.businesstimes.com.sg/government-economy/financial-institutions-allowed-more-on-site-staff-from-
june-2-mas

Some construction to resume from June 2, with special rules
From June 2, some construction projects will gradually be allowed to resume work, as will
suspended residential renovation works. This is subject to meeting new safe-restart criteria
developed for the industry, which include regular Covid-19 testing, and safe-distancing measures
at worksites and dormitories.
These safe-living and safe-working measures are needed to try and prevent the risk of recurrent
transmission, said Manpower Minister Josephine Teo.
Safe-living measures will start in blocks for recovered workers. Such blocks are being prepared
within dormitories, with about 5,400 beds expected to be ready by next week, and up to 60,000 in
coming weeks.
In June, another 20,000 workers are expected to be able to resume work, subject to required safety
measures. These will be for projects that cannot be left idle for too long due to safety concerns,
and critical and time-sensitive projects such as MRT works and Deep Tunnel Sewerage System
tunnelling projects.

Weekly News Select
                                                                                                May 22, 2020 / Issue 21

Suspended residential renovation works will also be allowed to resume. All works, including
renovation, will need BCA approval before restarting. Foreign workers must be tested for Covid-
19 before they return to work, and projects must have safe-management measures in place.

Links to the story:
https://www.businesstimes.com.sg/government-economy/some-construction-to-resume-from-june-2-with-special-
rules
https://www.businesstimes.com.sg/government-economy/construction-firms-cite-practicality-cost-concerns-in-
criteria-for-restarting
https://www.straitstimes.com/singapore/manpower/bto-projects-to-be-among-first-to-restart-after-circuit-breaker
https://www.straitstimes.com/singapore/manpower/steps-to-curb-transmission-will-raise-construction-costs
https://www.straitstimes.com/singapore/construction-to-resume-gradually-from-june-2-with-safeguards
https://www.straitstimes.com/singapore/tighter-measures-to-ensure-workers-who-return-to-work-remain-healthy

Coronavirus: No big party after June 1 - just a gradual reopening, says Gan Kim
Yong
While community cases have been coming down in recent days, Singapore needs to reopen
carefully and slowly or chance a large spike in new cases, Health Minister Gan Kim Yong has
said.
While the number of Covid-19 patients being discharged has exceeded new cases in recent days,
Mr Gan said it is important to bear in mind that community cases are low today primarily because
of circuit breaker measures that have many staying at home.
The Government expects that as circuit breaker measures are rolled back and Singapore reopens,
the number of cases in the community will rise, he said.

Link to the story:
https://www.straitstimes.com/singapore/no-big-party-after-june-1-just-a-gradual-reopening-says-gan

Next Jobs Support Scheme payout to be disbursed from May 28
The next instalment of wage support totalling S$4 billion for over 140,000 employers will be
disbursed from May 28, as part of the enhanced Jobs Support Scheme (JSS), the Ministry of
Finance said in a press statement on May 17.
For the payment in May, employers will receive 75 per cent support for the first S$4,600 of wages
paid to local employees. This will be computed based on last November wages, and future JSS
payouts will be adjusted to account for the actual wages paid in May 2020.
Employers are strongly encouraged to use the JSS wage subsidies to retain their local employees.
Employers need not apply for the scheme, as the cash grant will be automatically computed based
on CPF contribution data as at Feb 14.

Links to the story:
https://www.businesstimes.com.sg/government-economy/next-jobs-support-scheme-payout-to-be-disbursed-from-
may-28-0
https://www.straitstimes.com/singapore/employers-to-get-4b-in-job-support-payouts-this-month

                Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
               3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                              www.huttonsgroup.com

Weekly News Select
                                                                                                May 22, 2020 / Issue 21

Task force to look into safe reopening of retail, F&B outlets
A task force, with Senior Minister of State for Trade and Industry Chee Hong Tat as adviser, will
study how retail outlets and the food and beverage sector can resume business as Singapore
gradually reopens the economy in phases.
These businesses have yet to get the green light to operate in the first phase of the opening up of
the economy, but they should "actively prepare for subsequent resumption", said Trade and
Industry Minister Chan Chun Sing.
The task force, which includes the Singapore Retailers Association and Restaurant Association of
Singapore, is "actively looking at additional measures" that will make it safe to resume business.
The minister also said sectors like social entertainment need to think of a new business model, as
activities before Covid-19 are unlikely to resume without change. They include clubs, cinemas and
theatres.

Link to the story:
https://www.straitstimes.com/business/companies-markets/task-force-to-look-into-safe-reopening-of-retail-fb-
outlets

Layoffs should be last resort, employers should pay retrenchment benefit: MOM
Retrenchment should be a last resort for companies to manage manpower costs, and those that
have no choice but to do so should treat their employees with empathy and provide them a
retrenchment benefit, an advisory from the Ministry of Manpower (MOM) said.
Employers who are in sound financial position should continue to pay retrenchment benefit
according to their existing employment contracts, collective agreements, memoranda of
understanding or the prevailing norms for retrenchment benefit, the ministry said.
Employers whose business have been adversely affected by the pandemic should work with the
union or their employees to renegotiate for a fair retrenchment benefit linked to the employees'
years of service, MOM said.
As for those that face severe financial difficulties and are on the brink of ceasing business, MOM
said retrenchments may be necessary to keep the business afloat and to preserve some jobs. In such
cases, employers that are unionised should negotiate with their unions for a mutually acceptable
retrenchment benefit package, the ministry said.
It added that non-unionised employers should support their retrenched employees by providing a
lump sum retrenchment benefit.

Links to the story:
https://www.businesstimes.com.sg/government-economy/layoffs-should-be-last-resort-employers-should-pay-
retrenchment-benefit-mom
https://www.straitstimes.com/singapore/manpower/mom-pay-retrenchment-benefits-according-to-firms-financial-
state

                Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
               3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                              www.huttonsgroup.com

Weekly News Select
May 22, 2020 / Issue 21

Economy
Shift in global supply chains offers opportunities: Chan Chun Sing
The shift in global supply chains caused by the Covid-19 pandemic is irreversible but will bring
opportunities for Singapore as multinational companies move their production lines to the region,
said Trade and Industry Minister Chan Chun Sing.
He sees a new normal, with companies shifting their operations from China and India to South-
east Asia, where Singapore, as a regional hub, is well positioned to seize the opportunities they
bring.
He sees a competitive edge for Singapore. "When multinational companies move their
manufacturing to South-east Asia, they will also be looking for a reliable financial and logistics
hub with a strong legal system to support their operations," he said. "Singapore can contribute
positively in this aspect."

Link to the story:
https://www.straitstimes.com/singapore/shift-in-global-supply-chains-offers-opportunities-chan

Business outlook falls below 2008 crisis level to record low: poll
Singapore companies saw their worst levels of business since the Asian financial crisis in the first
three months of the year, as the deadly novel coronavirus pandemic forced the economy into
hibernation.
Despite a milder decline in end-2019 after six quarters of deterioration, sentiment fell much deeper
into negative territory by mid-April, the latest quarterly The Business Times-Singapore University
of Social Sciences Business Climate Survey found.
Scores for sales, profits, and orders and new business all dropped steeply, as did companies'
pessimism over mid-term prospects, according to the poll's 151 respondents.
Overall, a net balance of 84 per cent expected business to worsen in the next six months.
The score - a whopping 76-percentage point decline on the quarter prior - took the gloom to a level
that the survey's authors noted was "marginally worse" than the last quarter of 2008. It was also
the lowest reading on record since the survey began in 1996.

Link to the story:
https://www.businesstimes.com.sg/government-economy/business-outlook-falls-below-2008-crisis-level-to-record-
low-poll

Jump in pharma exports lifts Singapore NODX in April
Economists appear mixed on how Singapore's exports will continue to perform in the coming
months, even though April's data posted a third straight month of expansion thanks to a surge in
pharmaceuticals amid the pandemic.
Non-oil domestic exports rose 9.7 per cent year-on-year in April, according to data from Enterprise
Singapore (ESG), easing from March's 17.6 per cent expansion.

Weekly News Select
                                                                                                May 22, 2020 / Issue 21

Similar to the previous month, April's NODX was boosted by non-electronic exports, which grew
by 12.8 per cent. This was attributed to a 174.3 per cent surge in pharmaceuticals, which include
antibiotics, insulin and cough medication. This is followed by a jump in the categories of food
preparations and non-monetary gold at 66.3 per cent and 25 per cent, respectively.

Links to the story:
https://www.businesstimes.com.sg/government-economy/jump-in-pharma-exports-lifts-singapore-nodx-in-april
https://www.straitstimes.com/business/economy/non-oil-exports-up-in-april-due-to-surge-in-pharma-sector

CB rollback begins soon, but Singapore economy faces long road to recovery
Singapore is still on track for its worst recession on record, private economists said, after plans
were unveiled to exit a two-month quasi-lockdown on June 2.
With the novel coronavirus still prevalent, the three-stage roadmap to reboot the economy has not
moved the needle on analysts' earlier projections of a deep contraction.
Given its pace - which depends on how fast the virus can be brought under control - the months-
long reopening will not be the shot in the arm that companies hoped for, they noted.

Links to the story:
https://www.businesstimes.com.sg/government-economy/cb-rollback-begins-soon-but-singapore-economy-faces-
long-road-to-recovery
https://www.straitstimes.com/business/phased-reopening-could-delay-recovery-say-economists

S'pore, KL discuss plans for economic recovery
Deputy Prime Minister and Minister for Finance Heng Swee Keat met Malaysian Finance Minister
Tengku Zafrul Tengku Abdul Aziz in a videoconference, where they discussed economic recovery
plans.
Singapore will end its circuit breaker measures on June 1 and gradually open up in three phases,
while Malaysia's conditional movement control order is set to end on June 9.
Mr Heng added that they reaffirmed the longstanding and multi-faceted bilateral relationship
between Singapore and Malaysia, and the need to work with each other.

Link to the story:
https://www.straitstimes.com/singapore/spore-kl-discuss-plans-for-economic-recovery

Citi returning JSS funds; local banks pledge to keep, create jobs
Citi Singapore has moved to return to the government the co-funding offered to all companies as
a form of wage support amid the Covid-19 outbreak.
The Singapore banks however are understood to be retaining the funding offered under the Jobs
Support Scheme (JSS). In response to queries from The Business Times, the banks said more
broadly that they are committed to using the government wage support to create new jobs and
boost training in this difficult time.
BT understands that Singapore's largest lender DBS - with more than 12,000 staff in Singapore -
will use the JSS funding to create more jobs amid the challenging climate.

                Huttons Asia Pte Ltd | L3008899K | ROC No. 200210087C | GST Reg No. 20-0210087-C
               3 Bishan Place #05-01, CPF Building, S (579838) | Tel. (65) 6253 0030 | Fax (65) 6253 0090
                                              www.huttonsgroup.com

Weekly News Select
                                                                                                May 22, 2020 / Issue 21

Its local peer OCBC told BT the JSS supports the bank's training programmes to prepare
employees for the economy post-pandemic.
UOB declined comment.

Links to the story:
https://www.businesstimes.com.sg/banking-finance/citi-returning-jss-funds-local-banks-pledge-to-keep-create-jobs
https://www.straitstimes.com/business/banking/citi-singapore-to-return-wage-support-funding-0

Hospitality
Changi Airport to allow transit traffic from June 2
From June 2, Singapore will gradually allow travellers to transit through Changi Airport as it
begins to progressively re-open air transport.
Strict measures will be put in place to make sure transit passengers remain in designated areas and
do not come into contact with other passengers at the airport. Other existing precautionary
measures will continue, such as safe distancing and temperature screening.

Links to the story:
https://www.businesstimes.com.sg/transport/changi-airport-to-allow-transit-traffic-from-june-2
https://www.straitstimes.com/singapore/travellers-can-transit-through-changi-from-june-2

Safety measures as crucial as attractive fares, perks for air travel to rebound
WITH the road to recovery set to be a long one for air travel, airlines may have to dangle attractive
fares to entice passengers back to the skies once they start adding capacity back into the market.
Given the dearth of travel demand, carriers will likely have to stimulate demand in the near term
as well as ensure robust health and safety measures are in place to get travellers to bite, say market
watchers.
As such, legacy carriers are more likely to ease booking restrictions to offer travellers flexibility
instead of dangling deeper discounts.
Some low-cost carriers "may offer some incredible fares" but will also be looking to cross-sell
ancillary products, such as advanced seat assignments or priority boarding to travellers, who may
be more amenable to such options in the current environment.

Link to the story:
https://www.businesstimes.com.sg/transport/safety-measures-as-crucial-as-attractive-fares-perks-for-air-travel-to-
rebound

Industrial
Logos, CSC Holdings to redevelop Jurong warehouse for S$108m
Australian logistics property specialist Logos is partnering Singapore Mainboard-listed CSC
Holdings Limited (CSCHL) to redevelop a site at Tanjong Penjuru Crescent into a six-storey
warehouse, for an estimated total development cost of S$108 million.

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The existing four-storey industrial property at 2 Tanjong Penjuru Crescent, located in Jurong
Industrial Estate, will be redeveloped into a 46,000-sq-m six-storey ramp-up logistics facility with
office space, a cafeteria and rooftop parking.
The new facility will include a built-to-suit high specification workshop for CSCHL, which has
committed to a long-term pre-lease for the property on completion.

Link to the story:
https://www.businesstimes.com.sg/real-estate/logos-csc-holdings-to-redevelop-jurong-warehouse-for-s108m

Rolls-Royce 'working out' how job cuts will hit its 1,300 Singapore staff
Rolls-Royce is still working on the details of how global job cuts will affect its workforce and
operations in Singapore, the aviation engineering giant's regional office said in response to queries
from The Business Times.
Under a restructuring drive launched this week, the London-listed Rolls-Royce is to cull at least
9,000 workers worldwide - or more than 17 per cent of its global headcount.
Rolls-Royce has about 1,300 employees in Singapore. This excludes the staff in maintenance,
repair and overhaul unit Singapore Aero Engine Services, an "individually material" 50-50 joint
venture with SIA Engineering Co.

Link to the story:
https://www.businesstimes.com.sg/companies-markets/rolls-royce-working-out-how-job-cuts-will-hit-its-1300-
singapore-staff

Contact:
Lee Sze Teck
Head, Research
(65) 6500 6510
szetecklee@huttonsgroup.com

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