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10 APRIL 2024

Friday, October 22, 2021

Business groups perturbed nightclubs, pubs still closed under Phase 4 of NRP

A coalition of business groups is concerned that nightclubs and pubs are still not allowed to reopen under Phase 4 of the National Recovery Plan (NRP) even though all other sectors have been allowed to resume operations.

"We are extremely perturbed that even under the final Phase 4, there is still a negative list including nightclubs and pubs not being allowed to open.

"There is absolutely no information on the route to exit the negative list. We feel that the negative list may have been inadvertently not been abolished and it is of utmost urgency to do so," they said in an open letter to Prime Minister Ismail Sabri Yaakob.

The statement was issued by Industries Unite, a coalition of 117 trade associations and chambers of commerce. Other signatories include retail and hospitality associations.

They cautioned that many jobs are at risk and appealed to the government to repeal the "negative list".

Loss of income

They added that there was no longer a necessity for a negative list and the government should instead allow the businesses to operate under strict standard operating procedures to curb the spread of Covid-19.

"With the current closure of nightclubs and pubs, the creative, entertainment and gig industry have completely lost their source of income as they are unable to perform now.

"In addition to the operators, the industry estimates (at least) 150,000-250,000 (direct and indirect) jobs are at stake with the continuous closure of the nightlife and entertainment industry," they said.

They added that many nightlife and entertainment outlets are in hibernation mode with a majority of employees put on no-pay leave.

"Should the authorities continue the prolonged closure with no exit roadmap in place, businesses will be forced to shut and we will see a much larger group of claimants for Employment Insurance Scheme (EIS) in the coming days.

"This tsunami of unemployment claims will be an unnecessary additional burden on the already stressed financial situation of the government as well as on the Social Security Organisation (Socso)."

They cautioned that the industry faces "total annihilation" if they continued to be closed for a prolonged period of time. - Mkini

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