Open letter to the prime minister


THIS open letter represents the view of the following associations representing the shopping mall and retail industries nationwide in Malaysia, as follows: 

  • Persatuan Pengurusan Kompleks Malaysia (PPK or Malaysia Shopping Malls Association)
  • Malaysia Retailers Association (MRA)
  • Malaysia Retail Chain Association (MRCA)
  • Bumiputra Retailers Organisation (BRO)
  • The Selangor & Wilayah Persekutuan (KL) Electrical Home Appliances Dealers‘ Association (Sweda).

The extension of the movement-control order (MCO) from June 15 to June 28, 2021, for the entire country is drastically and tragically damaging to business and the economy. The announcement of the National Recovery Plan based on the threshold of absolute numbers of Covid cases is too broad brushed and imprecise resulting in unnecessary losses.

With the upcoming deadline to review the next course of action, we appeal to the government to judiciously research the data and incidences of covid cases by economic sector and by locality.
 
The Ministry of Health data reveals that retail and shopping sector contributed merely 0.8% of all cases in May 2021, even prior to the MCO lockdown which started on June 1, 2021. This significantly improved and extremely low figures testify to the retail and mall industries’ strict adherence to the standard operating procedures and should not be unduly penalised with closure from operating. Thus, we believe the retail and shopping sector should be re-opened immediately to provide essential and other services to the community without risk of infectivity.

Firstly, activities that are not able to comply with the social distancing requirements and crowding have already been listed in the negative list. Opportunities to congregate are now non-existent with the closure of cinemas, gyms, spas, dancing and merry-making in pubs and entertainment centres. All promotional events normally held in the concourse and halls that attract crowds are also not allowed.

The public is also conscious not to linger and browse, and the duration of their visits at the malls have significantly reduced from the normal three to four hours to merely 1.5 to two hours. These shoppers are diligently practising social distancing and complying well with mask wearing at all times.

Malls only allow entry of those whose MySejahtera status is “low-risk” and whose temperatures do not exceed 37.5°C.
 
Malls are thus very safe places to be and serve as avenues for some relief, both physically and mentally, while doing the necessary shopping chores for food and necessities.

We appeal to the government to take all these positive factors into account in the upcoming review and allow the immediate re-opening of all trades in the malls (except for those in the negative list).

Presently, already 20% to 30% of shops in malls have been closed due to the adverse conditions of the past 16 months, and with 30% of staff being laid off, this amounts to 300,000 personnel.

We foresee that in the event the mall and retail industry including street-front shops are not re-opened by beginning of July 2021, there will be another 50% of the remainder closing their doors for good, including prominent domestic and international retail brands with more employees at risk of being laid off. Once these international brands exit from our country, it will be doubly difficult to attract these brands to return.

With these massive lay-offs and shop closures, the entire retail and shopping malls industry will be grievously and critically damaged and will need massive efforts and time to re-build the malls’ ecosystem or the malls themselves will permanently close, and the retail supply chain will be deeply fractured.

Any prolongation in re-opening will cause irreparable damage to both the retail and shopping mall industry which may not recover for the next few years, leaving us far behind in the economic recovery process. Therefore, we seek the government’s urgent consideration to mitigate the catastrophic but real scenario as predicted above.

Lives and livelihoods matter. – June 22, 2021.

* Kee Keng Huat is the president of Sweda.

* This is the opinion of the writer or publication and does not necessarily represent the views of The Malaysian Insight. Article may be edited for brevity and clarity.


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