(SINGAPORE) Singapore's largest supermarket chain NTUC FairPrice says it will not retrench any of its 6,400 employees, even though the global economy is sliding into what many say could be the worst recession since 1929.

FairPrice chairman Ng Ser Miang told BT in an interview last Friday that the retail cooperative's board members had just met - and they had 'no plan' to cut back on staff.

Instead, FairPrice is pushing ahead with its planned expansion and adding new stores and more staff on its payroll, he said.The supermarket chain's no-layoff assurance came in the wake of DBS Bank's largest retrenchment - 900 of its employees will be axed by the end of this month - and the anticipation that others will follow suit.

National Trades Union Congress (NTUC) leader Lim Swee Say, who is also a Minister in the Prime Minister's Office, said in a press statement last Friday that the labour movement is bracing for a surge in layoffs next year, with economists adding that the number could jump beyond the peak seen in the 1998 Asian financial crisis, when about 30,000 jobs were chopped.

While some companies may have no choice but to reduce headcount, Mr Ng said many can still avoid the painful measure. Instead, they should use the lull period offered by the business slowdown to develop their employees and forge greater loyalty, he said.

According to Mr Ng, FairPrice's business is still growing - and he said it is keeping costs down. The retail co-op, which posted sales of $1.8 billion last year, up from $1.49 billion in its financial year 2006-07, will open two new stores in 2009. It will open its third hypermart at Jurong Point by the end of the year, 'in time for residents to do their festive shopping'.

'More people are eating at home, so they are buying more from us to cook,' Mr Ng said. 'We will continue to grow our business and recruit new staff to meet our business expansion. We are still hiring temporary staff to cope with the coming festive period.'

While committed to its social mission to moderate the cost of living in Singapore, FairPrice broke new ground in 2007 when it introduced two new upscale supermarkets that offer higher-quality products 'at best value' - in line with its pursuit in 'making the good life more affordable to all'.

The retail co-op took its first step into banking in April last year when it partnered OCBC Bank to offer shoppers attractive interest rates on savings deposits.

And in August 2007, FairPrice 'completed' its alliance with ExxonMobil to have the convenience stores at all 71 Esso and Mobil service stations in Singapore converted to FairPrice Xpress or Cheers outlets.

Started in 1973, FairPrice has grown into a 200-store supermarket chain. It also owns a fresh food distribution centre and a centralised warehousing and distribution company.