The Malaysian Insight

EMPLOYERS are cutting costs by cancelling the annual year-end Chinese New Year banquets for their workers, to the dismay of restaurateurs.

The yearly event is seen as a morale booster for the employees and is traditionally a busy time for those in the food business.

Restaurant owners told The Malaysian Insight that slower economic growth and rising food prices have resulted in companies doing away with these dinners, with some opting for cheaper, catered buffet affairs instead of the customary lavish full-course meals.

They estimate about 20% of companies are foregoing the event.

“We have called to ask but they told us they are not hosting a year-end banquet this year,” said Pan Malaysia Koo Soo Restaurants and Chefs Association president Wong Teu Hoon.

Puchong Harmony Banquet executive chef Yin Lau said the companies are tightening the purse strings.

“There are many who say their profit margins have dropped so they are not doing year-end banquets,” said Yin.

“As for the companies holding on to tradition, they have reduced the number of tables or they are choosing cheaper menus. Some are treating their staff to buffets instead.”

Bookings are higher for the Chinese New Year reunion dinner, with most of the restaurants fully booked. But they face another problem – lack of workers.

A restaurant owner in Malacca, Ng Shou Choon, said the Chinese New Year period is always the most stressful as workers are hard to come by even though they are offered double or even triple pay.

Lau said he has reduced his prices to attract more customers. A table now costs a maximum of RM799 this year compared with RM899 last year.

“We know the economy is bad, so we reduced the prices instead of raising them so now we’re fully booked for January,” he said.

Lau said 100 tables at the restaurant are fully booked for reunion dinners and only lunch spots are available now.

Meanwhile, Hee Lai Ton Restaurant (Pudu) managing director Too Han Kwong said people are still willing to spend money to celebrate the Chinese New Year even though the economy is not doing very well.

The number of bookings at the restaurant is equal to last year’s and that they are more than 90% reserved.

Unlike his competitors, Too said he has raised the prices by about RM100 per table due to the higher operating costs.

“We can’t help it, everything is more expensive these days. Even salaries have to be higher to get workers. I hope customers can understand this.” – January 17, 2020.