Labour Shortage Poses Challenges as Singapore Prepares for Increased Visitor Numbers
The announcement of China easing its strict travel restrictions has brought optimism to Singapore’s travel and tour agencies, which are preparing for an influx of tourists from mainland China. China’s National Health Commission (NHC) recently revealed plans to downgrade COVID-19 to a less critical tier, lifting long-standing border restrictions. This news has sparked a significant rise in outbound flight bookings, with Singapore emerging as one of the top five destinations.
Local travel agency Siam Express reported an increase in inquiries, particularly from business and high-end travellers. However, Cathy Xia, the company’s business development manager, expressed concern about the manpower shortage. The agency, which had employed around 30 staff members before the pandemic, currently has just eight employees. In response, Siam Express is intensifying its hiring efforts to meet the expected surge in tourists, particularly from China, which was a dominant source of visitors pre-pandemic.
Despite the optimism, the tourism industry faces challenges in addressing the labour shortage. Staff training, especially for Mandarin-speaking tour guides who have been out of work for nearly three years, is a key issue. Hiring new staff is also complicated by the need to provide training and refresher courses.
The easing of travel restrictions in China is expected to allow outbound travel, although specific dates and guidelines have yet to be fully clarified. Meanwhile, companies like Chan Brothers Travel are preparing by updating quotes and contracts with local hotels and attractions to accommodate an anticipated influx of visitors.
In 2019, China was Singapore’s largest international visitor market, contributing significantly to the country’s tourism receipts. However, the looming labour shortage in tourism-related sectors, such as hospitality and aviation, raises concerns about the industry’s capacity to handle the expected rise in tourists. Companies are worried that Singapore’s current infrastructure may struggle to meet demand.
Stanley Foo, founder of Oriental Travel & Tours, voiced concerns about whether the industry could cope with the return of Chinese tourists, given the current strain on resources. With shortages already being felt in hotels, airports, and tour agencies, the industry is uncertain whether it can manage the expected influx of visitors.