I think if this policy will spread to other properties it'll become a problem for HH loyalty program.

Where is the incentive to spend 60 nights / 30 stays if your benefits are axed,you'll be treated like a freeloader and there is
a certain CC to get Dia anyway.

As by now,there is also no more incentive for me to stay in the Conrad Singapore this year as planed,instead I'll go for the Intercon and/ or Hilton SIN.

With the deterioration of loyalty programs,it is questionable if they make much sense like 10-20 years ago.Instead ,going with the Hotel / Airline where
I'll get the biggest bang for my buck.

If you are booking Executive Floor / flying J or F, you'll have the same benefits anyway.