SINGAPORE — A major Singapore-based company said Monday it will distribute as shopping vouchers about US$667,000 of this year’s bonus to managers as a way to fight the economic crisis.
CapitaLand is one of Asia’s largest property firms. It develops residential properties and operates shopping malls, the Ascott serviced residences, as well as managing investment funds. It said it will hand out the vouchers to about 680 managerial staff in Singapore. The vouchers will be redeemable at CapitaLand’s 12 malls in the recession-hit city-state.
“This innovative initiative to increase expenditure and footfall at our malls enables CapitaLand to directly support our retail tenants during this challenging economic climate,” the company said in a statement.
It said CapitaLand staff also benefit because they can use the vouchers to buy “household essentials” and other items at more than 1,000 shops including drug stores, supermarkets, hypermarkets, cinemas and restaurants.
“By targeting consumption in CapitaLand’s malls, we are able to create a multiplier effect and a win-win situation for both tenants and staff,” the statement said.
The vouchers, ranging in value from S$750 to S$10,000 (US$500-US$6,667), will be given out next month, CapitaLand said.
“About one million (Singapore) dollars worth of vouchers will be distributed in total,” it said.
CapitaLand recently reported an 88.4 percent drop in fourth-quarter net profit, with lower sales revenue in China and Australia.
The company also announced that it is seeking to raise about 1.84 billion dollars in a rights issue, but said it is doing so from a position of strength.
In December, CapitaLand said management and executive staff would have their salaries cut by between three and 20 percent as a sign of the firm’s “prudence” during global economic uncertainty.
Singapore sovereign wealth fund Temasek Holdings has a 40 percent stake in CapitaLand.