Fresh curbs on social gatherings a blow to hopes of consumer rebound

Singapore

FRESH restrictions on social activities are a blow to hopes for a strong consumer rebound, although business leaders acknowledged that restrictions are needed as a fresh domestic Covid-19 outbreak leaves policymakers "particularly concerned".

Members of the public have been urged by the Ministry of Health (MOH) to avoid crowds, and to stay home where possible. They should also limit interactions, such as visiting another household or gathering in a public area, to just two meetings a day.

"The tightened measures are expected to have some dampening effects on consumer demands, particularly for retail, food and beverage (F&B) and attractions," said Lam Yi Young, chief executive officer of the Singapore Business Federation, warning of short-term business impact.

Similarly, Singapore Retailers Association executive director Rose Tong called curbs "a setback for retailers and F&B operators, especially with Mother's Day around the corner".

And although the attractions industry has become familiar with low capacity levels, Association of Singapore Attractions chairman Kevin Cheong observed that the "more critical is (the curbs on) social gatherings and not going out, because that will have a compounding effect".

That's as a virus cluster linked to Tan Tock Seng Hospital (TTSH) grew on Friday to 13 cases, just days after the first victim was identified. The MOH said that "the risks of a Covid-19 outbreak remain high, even as we press ahead with vaccination".

Health Minister Gan Kim Yong, who co-chairs the multi-ministry taskforce on Covid-19, told an evening briefing that his team is concerned about the cluster. He added: "The next few days will be critical. If we find many more cases that suggest widespread transmission, we will have to introduce more measures to break the chain of transmission."

But Kenneth Mak, director of medical services at MOH, noted that the restrictions "are not simply a gut reaction to what is happening in TTSH".

The taskforce has been concerned about a notable drop in vigilance, mask-wearing and safe distancing, Associate Professor Mak said.

To reduce the danger of community spread, Singapore is tightening access to public spaces until May 14 - the day after Hari Raya Puasa.

All outdoor barbecue pits and campsites will be closed, including facilities at condominiums and country clubs. Occupancy of malls and large stores will be lowered to one person per 10 square metres of gross floor area, compared with one person per 8 sq m before. And the "odd-even date" system will be reimposed at Lucky Plaza and Peninsula Plaza, after being lifted as recently as April 10.

The operating capacity of attractions will also be slashed to 50 per cent between May 7 and May 14, down from 65 per cent previously.

Ms Tong said: "We don't like for restrictions to be imposed - especially when we have three public holidays between now and May 14, which will bring about much needed sales for our retailers - but we believe that it may be the lesser of two evils."

Watchers feared that a potential deterioration of the situation could force restrictions to extend beyond May, into the June school holidays.

Citing the Jobs Support Scheme (JSS) wage subsidies for employers in the aviation, aerospace, and tourism sectors, which run out in September, Dr Cheong said: "If we go back to Phase 2 (of Singapore's three-stage economic reopening) and the air travel bubbles are not working or not coming on stream quickly enough, I hope the government rethinks the JSS for the tourism industry."

Association of Small and Medium Enterprises president Kurt Wee was more sanguine when asked if companies may have to lower their expectations for the second half. "I would say there is a plateau in activity... I think it's going to be a slow and steady inching up," he said.

Meanwhile, firms have been told to let staff work from home (WFH) if possible, mere weeks after the MOH allowed a return to workplaces and ended WFH as the default on April 5. It said: "These measures help lower transmission risks by reducing interactions at the workplace and in public places, including public transport."

In light of this guidance, the Singapore National Employers Federation also urged bosses to prioritise their employees' safety "and continue to allow those who can WFH to do so".

That's even as public spots recently visited by TTSH cluster cases will be closed for two days for cleaning and testing of staff. The National Environment Agency, Enterprise Singapore and Singapore Tourism Board typically cover half of the professional cleaning costs incurred by owners or managers of premises visited by confirmed Covid-19 cases.

One affected venue was the Uniqlo outlet in Orchard Central - where an in-store fitness event slated for Saturday has been postponed until further notice, a spokesperson told BT.

NTUC FairPrice on Friday night also said it will close three of its outlets located at Kitchener Complex, Toa Payoh Hub and Vivocity until May 3 to facilitate deep cleaning. The outlets were recently visited by Covid-19 cases related to the Tan Tock Seng cluster.

The MOH also restricted movement in and out of TTSH. It is testing all staff and patients who were on the third to 13th floors of the hospital's main block from April 18 to April 28, while visitors and patients who have been to TTSH since April 18 or later are advised to monitor their health and get a government-funded swab test.

Separately, Prof Mak said TTSH and other hospitals still have enough bed capacity for the TTSH and other clusters, as well as patients who need care for other conditions.

The other taskforce co-chair, Education Minister Lawrence Wong, also stressed the importance of pressing on with the ongoing Covid-19 inoculation campaign: "We should not overreact to the news of breakthrough infections, or worse, make the biggest mistake, which is to say that all vaccinations don't work and therefore maybe there is no need for a vaccine."

READ MORE: Singapore tightens border measures for four South Asian countries and Thailand

With additional reporting by Mindy Tan and Claudia Chong