Singapore - While companies are scaling back on employee wages, one Singaporean company is bucking the trend by increasing year-end and variable bonuses for their employees.
Having weathered the past two recessions, chairman of Eternal Financial Advisory, Freddy Sim says this economic crunch could be the worst one yet. Despite the grim outlook, Sim says the downturn is an opportunity for the company to retain its employees, attract new sales financial consultants and boost the employer brand as well.
Increasing the wages for sales consultants is important for the two year-old company because much of the financial consultancy business is built on the knowledge and skills of its employees, Sim says. The company employs between ten to 20 people.
Instead of slashing salaries, Sim says the company has implemented other cost-cutting measures including relocating from their Bugis Junction office, where office rental tripled from $2.60 per square foot to $7.50 per square foot. The company also outsources functions such as accounting, IT and server management in order to save on overhead charges as well.
While the company wants to grow in its headcount, Sim says it is taking a prudent and sustainable approach to its growth. "I've seen many clients, friends and businesses expand and cannot cope, and they fall and go bust. We want to grow steadily."
