Firms should make full use of downtime due to virus outbreak to transform: Heng

BUSINESSES should make use of the downtime due to the Covid-19 outbreak to transform, tapping not just the Stabilisation and Support Package but also government support for transformation, said Deputy Prime Minister and Finance Minister Heng Swee Keat on Tuesday.

The virus relief measures are calibrated for the current thinking on how the situation will develop, but if things change, the government is prepared to do more if necessary, he said.

He was speaking to the media at a visit to Parkroyal on Kitchener Road, a hotel which he lauded for "making the best use of this time to accelerate this transformation" which it had begun last year.

The hotel has increased productivity through measures such as using electronic check-in forms and having ice dispensers and vending machines on each floor, as well as retraining staff to take on additional roles.

Mr Heng hoped more companies would make full use of both packages mentioned in his Budget speech: the Stabilisation and Support Package of virus relief measures, and also the bundle of new and existing transformation and growth measures.

So even as firms work to stabilise their operations and preserve jobs in the short term, they could also look at long-term moves such as redesigning jobs to enlarge their scope, for instance.

Such transformation will put firms in a better position for the eventual recovery: "So that when the upturn comes, we will all emerge stronger."

The hotel's general manager Richard Ong said that wage support measures in the Budget have provided important help, given that payroll costs are the largest component in the industry. Other measures such as property tax rebates will also aid the bottom line.