Wage Credit Scheme comes under scrutiny

[SINGAPORE] The Wage Credit Scheme (WCS) runs the risk of further pushing up expenses for companies, already struggling with higher costs, without bringing about an attendant rise in productivity, said panellists at an Economic Society of Singapore forum yesterday.

Selena Ling, head of treasury research and strategy at OCBC Bank, asked whether the higher wages paid by companies tapping the government’s WCS would necessarily translate into, or stem from, an increase in productivity: “The WCS is like an alternative to minimum wage but there’s no link to productivity growth.”

Labour productivity has charted an uncertain trajectory here: last year, it fell 2.6 per cent after rising 1.3 per cent in 2011.

Ms Ling and the five other panellists were discussing the WCS, under which the government will, over the next three years, co-fund 40 per cent of wage increases for Singaporean employees earning a gross monthly wage of up to $4,000. The scheme, unveiled in the Budget this week, is aimed at nudging employers into sharing productivity gains with their workers.

Wage Credit Scheme comes under scrutiny

Hotel room rates take the fast lift to top floor

IN A year dogged by weak economic growth, hotel room rates in Singapore climbed to a record high, coming in at an estimated $261 for 2012 as a whole and making the city-state’s average rate among the priciest in the region.

Those who stayed in luxury hotels here, paid an average room rate of $428 last year.

The hospitality industry closed the doors on 2012 – a year where GDP growth came in at 1.3 per cent – with an estimated $2.8 billion in room revenue, up 5.9 per cent from 2011, according to the Ministry of Trade and Industry’s (MTI) 2012 Economic Survey of Singapore.

After slumping to $190 in 2009, the average room rate (ARR) has been growing steadily in recent years, increasing from $218 in 2010 and surpassing pre-crisis levels to hit $247 in 2011.

Hotel room rates take the fast lift to top floor

Local Player to Make Appearance At Singapore"s Netball Super League

Namibia’s Eve Hamwaalwa is one of three players from the National Netball team who will have the opportunity to participate in Singapore’s Netball Super League next month. She will be joined by her team mates Viva Kaperipa and Gleneth Kazonganga who play wing-attack and wing-defend positions respectively.

In an interview with The Economist this week, Hamwaalwa could not contain her excitement as she told this reporter, that this opportunity is by far the greatest achievement of any netball player. “Although final details are yet to be confirmed by Singapore, I am glad to say that T got invited to play for the Singapore Netball Super League in April with two of my team mates It is great to know that someone is appreciating what we do. I think I have achieved my most desired goal as a netball player,” said Hamwaalwa.

She said that it is the ultimate pay-off for all the hard work and the extra effort that she has invested into her netball career. “Singapore netball is not at the same level as ours, they are more advanced in all possible ways. It would be my pleasure to bring back the knowledge and skills from the other side which can help with the development of our local players,” she said.

Hosting six competitive teams, the Netball Super League is a five-month long, 15-round netball tournament developed to cater for elite players in Singapore. It was established and is currently governed by Netball Singapore.

Hamwaalwa started playing netball on a more professional level three years ago when she joined United Netball Club as a goal attacker and has been taking the Namibian netball scene by storm.

She started playing netball at the tender age of 10, while also playing Soccer and Volleyball occasionally. She decided to concentrate more more on netball when she started playing for the UNAM team.”When I went to secondary school, playing for the regional team was my greatest achievement and playing trials for U21 and U20. For now, playing for the national team and winning two awards as player of the year for my club, highlight some of my personal achievements. On the court I play all positions but my best position is offence (goal-attack),” she said.

She said she fell in love with the sport because it is a girl’s sport. It is a wonderful way to get together with other girls to have fun for one hour, forget about everything else while being active and sharing one’s talent. “Although netball has improved a lot in Namibia, with observable development, a lot is still needs to change in the future. Netball is still laid back compared to other sports. With our main challenge being sponsorship. We do not get much sponsorships which is somewhat discouraging to the players. When there are no funds, most people tend not to be committed,” she stressed.

She will also represent United Netball Club at a derby on 09 March against the Wanderers United Netball Club before the Khomas League opening. Hamwaalwa was also part of the National Netball team which represented the country at the seventh edition of the Nations Cup which took place in Singapore from 02 to 08 December last year.

Local Player to Make Appearance At Singapore"s Netball Super League

Hotel Grand Central reports 38% fall in FY12 net profit

Hotel Grand Central on Friday posted a 38 per cent fall in its full-year net profit to S$16.8 million, from S$27.2 million a year ago.

Total revenue for the year ended Dec 31, 2012 was S$160.6 million, down 4 per cent year-on-year, attributed to lower revenue contributions from the Singapore and New Zealand hotel operations.

The Orchard Road hotel has stopped operations for redevelopment since Aug 1 last year. The decrease in earnings was also due to the impairment loss on hotel building, as a result of the demolition of Hotel Grand Central Singapore.

A final scrip dividend of 5 cents per share was declared, unchanged from the previous year.

Hotel Grand Central reports 38% fall in FY12 net profit