By Alvin Foo

1. Modest festivities

SPREADING festive cheer could strike the wrong note this year, so several small- and medium- sized enterprises (SMEs) have opted for more toned-down celebrations.

Upmarket caterer Purple Sage, for instance, did away with Santa outfits and chose a less elaborate programme for its staff party.

Related link: » Cost-cutting: Let staff know

2. No more icy-cold offices

SOARING electricity tariffs have prompted some firms and government offices to raise thermostat settings to lower operating costs.

Some offices switch off their air-conditioners after 8pm on weekdays and over the weekend.

Property developer City Developments encourages tenants to set thermostats at 24 deg C in its '1 Degree Up' campaign.

Experts say raising the temperature by a mere 1 deg C can save up to 3 per cent on air-con bills.

3. Canning the free drinks

THE financial tsunami has led to fewer or zero staff perks.

Goldman Sachs traders in the United States reportedly have to buy their own beverages, as the firm no longer supplies free bottled water or soft drinks.

Several years ago, when the tech bubble burst, Goldman was said to have done away with free fruit.

4. More video and teleconferencing

STAFF at Singapore companies have been told to rely more on teleconferencing and video calls, rather than face-to-face meetings, so as to cut travel costs.

Local telcos have reported a 25 per cent increase in the number of teleconferencing customers, with enquiries about the service rising about 20 per cent last year.

5. Toning down the colour repros

AT CITIGROUP, employees were told via a memo from its New York headquarters to cut down on colour photocopying and printing. These should be used only for client presentations, not for internal purposes, the memo decreed.

Singapore firms have also instructed employees to print on both sides of a page.

6. Cutting travel costs

TRAVEL budgets are taking a hit, with one local company even asking staff to take the bus or MRT instead of taxis when they visit clients.

Also, fewer executives are flying business class when they go on company trips. Swiss bank UBS has advised its bankers to travel economy class for flights of five hours or less.

HSBC's Asia unit reportedly asked its Hong Kong department heads and branch managers to cut travel expenses by 15 to 20 per cent this year.

A banker said: 'We just have to live with it. It beats getting fired.'

7. Lights and computers off after office hours

COMPANIES trying to rein in electricity bills are telling their workers to turn off the lights and computers, at the socket, when they leave for the day.

This will help lower maintenance costs, but staff with back problems might find it a pain to keep scrambling under their desks to reach the sockets.

8. Recovering air miles

TOUGH times and rising airfares have prompted more companies to try to claim back frequent-flyer air miles chalked up by staff during previous business trips.

Firms might also lay claim to air miles for trips booked or sponsored by a third party, arguing that the employee had earned the miles while flying as the company's representative.

9. Slimmer food budget

STAFF on a diet should find it easier to lose weight this year as corporate food budgets will be leaner and meaner.

One local bank is placing fewer snacks in the staff pantry, as it expects employees to cut back on overtime.

Other companies have cut down on refreshments at meetings, providing bottled water instead of soft drinks and hot beverages.

10. Economy-class expense accounts

THE heyday of lavish corporate account spending by bankers is over, thanks to the crisis.

Said a banker: 'Staff morale is definitely affected, and many are feeling frustrated.'

According to a New York Times article, Deutsche Bank employees were told they would not be reimbursed for 'adult entertainment of any kind'.

A prominent foreign bank even extended the opening hours of its staff cafeteria while prohibiting staff from making claims for expensive meals ordered in.

This article was first published in The Straits Times on January 05, 2009.