Pubs, clubs stand to lose RM1.8 billion this year


Noel Achariam

A bartender filling a glass with beer for a customer in Kuala Lumpur. Entertainment outlets have taken a RM500 million hit since the MCO came into force in March. – AFP pic, July 13, 2020.

NIGHTCLUBS, bars and pubs, which have been shut since the movement-control order (MCO) to curb Covid-19 was enforced in March, have pleaded with the government to allow them to reopen.

Operators, who have lost up to RM500 million, said if their doors remain closed, 30,000 workers are set to lose their jobs and many outlets forced to shutter for good.

They questioned why the industry has not been given the green light to resume operations when 95% of economic sectors have continued business.

Klang Valley Nightclubs, Bars and Pubs Committee pro tem chairman Benny Bedi told The Malaysian Insight that there are some 4,500 operators running 6,000 outlets nationwide.

“More than 20% of the operators are going to close down. Many have ceased operations.

“Almost 50% of our employees, or nearly 30,000 people, will lose their jobs.”

On Friday, senior minister Ismail Sabri Yaakob said pubs and nightclubs are not allowed to reopen.

All that industry players are asking is for Putrajaya to let them revive the sector, said Benny.

“The beer industry contributes billions of ringgit in taxes. This is revenue that the government is losing.”

The committee estimates that operators have racked up losses of RM500 million since the MCO began on March 18, and the figure could balloon to RM1.8 billion if the closure order is in place till year-end.

Benny said the entertainment industry is a big contributor to the tourism sector.

“The entertainment industry is not only for locals, but also the many tourists who come here.”

He said the committee two weeks ago sent a memorandum to Prime Minister Muhyiddin Yassin and the relevant agencies on operators’ plight.

The panel has also formulated a standard operating procedure, which was submitted along with the memorandum, he said.

“The SOP takes into account all the requirements of the Health Ministry and National Security Council, and we have additional conditions as well.”

Should outlets fail to adhere to the rules, he said, the government can take action against them.

“The SOP was designed to allow pub, nightclub and bar operators to continue their business by adopting new norms to deal with the Covid-19 pandemic.” – July 13, 2020.


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