SHATEC retrenches 42 staff amid business containment move and reviews future operations
Hospitality training centre SHATEC has retrenched 42 staff and put its Bukit Batok building up for sale, as part of a strategic review of its long-term plans. The school will continue operating until March 2026 to support existing student commitments.
SINGAPORE: Forty-two employees have been retrenched from SHATEC following a “business containment exercise” as the institution scales down operations, the hospitality training centre announced on 3 July 2025.
The move, effective since April, comes as SHATEC begins reviewing its long-term plans.
Formerly known as the Singapore Hotel Association Training and Education Centre, SHATEC was established in 1983 by the Singapore Hotel Association to train professionals entering the local hospitality industry.
In a joint statement released with the Food, Drinks and Allied Workers Union (FDAWU), SHATEC said it will continue to offer ongoing continuing education and training courses.
It will also support its final batch of pre-employment training students until March 2026 or the respective programme end date, whichever is later.
When asked about speculation that the school might close, SHATEC board chairman Loh Lik Peng did not confirm any closure but said the institution was “in the early stages of reviewing its long-term plans”, as per reported by state media CNA.
As part of its asset management strategy, SHATEC’s Bukit Batok premises have been listed for sale.
Real estate group CBRE, managing the sale, confirmed that the property was placed on the market in May.
The asking price is approximately S$18 million (US$14 million), with the lease running until 2051.
The joint statement noted that the board’s decision followed “careful consideration and thorough evaluation of its current operation’s commercial viability”.
It added that the retrenchment and scale-down would allow the centre to reposition itself and chart a sustainable future.
Loh described the exercise as a “normal business decision” aimed at ensuring sustainability through “right sizing” of operations.
SHATEC provided advance notice to FDAWU regarding the retrenchments.
The union has been coordinating with the school’s management to support affected staff and ensure that fair compensation packages are extended to the 42 retrenched employees.
Loh said the school’s board will announce further details on its future plans in the coming months, adding that SHATEC is fully committed to doing its utmost for both students and staff, which remains its top priority.
