In Singapore, expatriates hit by coronavirus pay cuts, lay-offs fear for future

Foreign workers are expected to bear the brunt of the 200,000 redundancies economists forecast will be made in the city state by the end of the year

Some have already seen their jobs disappear, while others struggle to make ends meet as employers faced with a looming recession look to cut costs

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Part of Singapore’s skyline pictured at dusk on June 8. Photo: EPA

Published: 9:00am, 11 Jun 2020Updated: 3:04pm, 18 Jun 2020

Martha Liv used to think that living and working in Singapore would give her family a chance to save the money they needed to buy a home when they moved back to Europe. But ever since her husband was forced to take a 20 per cent pay cut in the wake of the coronavirus pandemic, the 36-year-old has been struggling to balance the books.

A request to reduce the S$2,700 (US$1,948) they pay in rent each month was rejected by their landlord, leaving Liv to try to find ways to stretch the remainder of her husband’s monthly pay packet – now S$6,000 before rent is paid.

She shops at the wet market instead of the supermarket, buys regional ingredients rather than those imported from the West and manages the household while looking after their 17-month-old son without domestic help. “It’s not cheap living here,” she said. “We’re taking from our savings for our normal expenses. How many months can you live on your savings?”

But at least Liv’s family of three doesn’t have to leave in a hurry. Sabrina, who asked to be identified only by her first name, is in the midst of packing up her belongings after her husband was told by his employer that he would be sent back to the US. He used to manage the China operations of his company, which provides electronics manufacturing services, but now the couple has had to take their two sons – ages 7 and 11 – out of school in Singapore and Sabrina is preparing to homeschool them in the US. The family dog will be left behind until direct flights between the two countries resume.

A Singapore Airlines passenger jet seen at Changi International Airport on June 8. Photo: AFP

“I was in shock and denial and very angry,” Sabrina said. “Basically, all families from the company were being asked to repatriate and only essential people that needed to stay to continue the business in Singapore or with China would remain.”

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