SINGAPORE, April 20 — Businesses in Singapore are tightening their belts as an energy shock linked to the Iran war drives up operating costs, with some firms freezing hiring and...
! Plus, enjoy an additional FREE RM10 when you sign up using code VERSAMM10 with a min. cash-in of RM100 today. T&Cs apply.SINGAPORE, April 20 — Businesses in Singapore are tightening their belts as an energy shock linked to the Iran war drives up operating costs, with some firms freezing hiring and trimming staff benefits to stay afloat, a new survey has found.
The Straits Times today, 96 per cent of employers reported higher operating costs, with surging energy prices feeding through to utilities, fuel, raw materials and freight. Nearly one in five firms said their costs had jumped by more than 25 per cent, while 41 per cent reported increases of between 11 and 25 per cent. The rest saw smaller rises of up to 10 per cent. The squeeze is being felt across multiple fronts. More than half of respondents flagged manpower costs as a key concern, while higher utility and fuel prices are also pushing up expenses for supplies and logistics. Sectors reliant on flexible staffing — including hospitality, food and beverage, and retail — are also grappling with rising temporary labour costs as businesses adjust to a more expensive operating environment. Even so, most firms have held the line on jobs for now. The survey found that 83 per cent have not made changes to staffing levels or work arrangements. Among those that have responded, the most common move has been to defer hiring or expansion plans, cited by 67 per cent. Others have redeployed or cross-trained staff, or reduced headcount through natural attrition, each at 33 per cent. About a quarter have cut bonuses, allowances and benefits, while roughly one in five have reduced working hours.The outlook, however, remains cautious. Some 39 per cent of employers expect conditions to worsen over the next six to 12 months. Businesses are also bracing for further cost pressures from policy changes. Under Singapore’s Budget 2026, minimum qualifying salaries for foreign workers are set to rise from 2027, increasing the cost of hiring Employment Pass and S Pass holders.“As the global economic situation remains quite fluid, we hope that the government will consider the prevailing economic conditions when implementing the earlier announced foreign manpower policy changes and also introduce a tiered level of support under the enhanced Progressive Wage Credit Scheme to help employers that are raising wages for their lower-wage workers,” he said. Employers surveyed said financial support would be critical if energy prices remain elevated, with 83 per cent calling for tax relief or financing assistance. Others highlighted the need for energy subsidies and a delay in manpower policy changes that could add to cost burdens. The poll, conducted between April 10 and 16, drew responses from 210 companies across sectors including finance, manufacturing, services and construction, most of them small and medium-sized enterprises.
Energy Shock Iran War Manpower Costs Progressive Wage Credit Scheme Foreign Manpower Policy Changes
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Singapore, Australia conclude talks on pact to safeguard fuel and supply chainsSINGAPORE, April 18 — Singapore and Australia have substantially concluded negotiations on a new protocol under the Singapore–Australia Free Trade Agreement (SAFTA) to secure...
Read more »
Strait of Hormuz Blockade: Asian and European Economies Face Energy Supply RisksFollowing the collapse of talks with Iran and subsequent US blockade on shipping through the Strait of Hormuz, this report examines the potential impact on major Asian and European economies. Asian economies, excluding China, are identified as most exposed, followed by Europe, due to their reliance on energy imports passing through this critical chokepoint. Vulnerable net energy importers include Thailand, India, Indonesia, the Philippines, Germany, Italy, and the United Kingdom. The report highlights significant import dependencies for countries like Japan, the Philippines, India, and Italy, emphasizing risks associated with concentrated energy supply routes.
Read more »
Vasthu Sastra and Pets: Understanding the Energy of Dogs and Cats in Your HomeThis article explores the traditional beliefs of Vasthu Sastra regarding keeping pets, specifically dogs and cats, and their energetic influence on a home. It delves into the auspicious associations of dogs with protection and positive energy, contrasting them with the historically mixed perceptions of cats. The piece aims to provide a modern context for these ancient principles.
Read more »
Sarawak charts progressive future with focus on energy, digital economy, and educationDeputy Prime Minister Datuk Seri Fadillah Yusof lauded Sarawak's leadership for its forward-thinking approach, emphasizing economic development in gas, renewable energy, and downstream industries. This strategy aims to boost job creation and improve the well-being of the people, positioning the state as a future economic leader. The Premier's commitment to safeguarding rights, long-term prosperity, and Sarawak's autonomy under the Malaysia Agreement 1963 was also highlighted.
Read more »
Singapore-US nuclear training deal signals quiet shift in energy strategySINGAPORE, April 20 — Singapore has taken another step in its cautious exploration of nuclear energy, signing a training agreement with the United States to build up its...
Read more »
Singapore court draws line on ‘invisible’ harm, sets benchmark in landmark protection orderSINGAPORE, April 20 — A family court in Singapore has set out how emotional and psychological abuse should be understood under newly expanded domestic violence laws, granting a...
Read more »