With Covid-19 numbers still seemingly going strong, it’s only fair to wonder when all of it will come to an end.
Most of those who are wondering in desperation are business owners who have not been able to operate for quite some time now.
Images of empty malls are surfacing online and while this may seem like a good thing since we’re supposed to be staying at home as the pandemic rages on, to business owners, this may very well be hell.
While Malaysia does have an abundance of malls, many of them are now at risk of closing down permanently.
The Malaysian Shopping Mall Association (PPK) recently shared via Berita Harian that only 10 to 20% of tenants at malls across the country remain open, in a survey they have conducted.
“Closures and failure of tenants to continue their operations at malls are due to the decline in the number of visitors.”
“60% of shopping malls are currently experiencing sharp drops in the number of visitors. This decline in visitors has reportedly dropped by 60% to 90% and is consistent across all small and large shopping malls,” they said.
Even those who have managed to stay open are experiencing drops in sales.
“The decline in sales is due to the lack of visitors as well as the weakening purchasing power of the people.”
And on top of that, mall employees are having to face the consequences of the raging pandemic.
“To cope with the desperate need for cash flow, 14% of shopping malls had to lay off employees. Meanwhile, the majority of shopping malls have reduced the number of employees by 10% to 20%. However, this number is expected to continue to increase,”
“In addition, 80% of respondents cut their employees salaries by 10 to 30%, as well as the withdrawal of bonuses, annual incentives and other benefits,” they added.
PPK has since urged the government to reevaluate their Covid-19 strategies as these business owners are suffering beyond belief, but with the political instability in our country, it’s uncertain on whether the impact of the virus on businesses is reversible.
We genuinely hope that these business owners and employees hang in there.
What do you think about this? Let us know in the comment section.
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