Written Answer to Unanswered Oral Question

Assessment Criteria for Closure of SingPost Branches

Speakers

Summary

This question concerns the assessment criteria for SingPost branch closures and the government's expectations regarding the postal physical footprint, following the planned closure of the Yishun Central Post Office. Mr Derrick Goh inquired how SingPost balances business viability with the needs of residents who still require physical services despite the shift toward automated platforms. Minister for Communications and Information Josephine Teo noted that total post office transactions declined by 35% from FY2019 to FY2022, with 80% of remaining activities being for non-postal services. She highlighted that SingPost is reviewing its network for commercial sustainability while ensuring community postal needs are met through alternative means like SAM kiosks, POPStations, and mobile applications. The Minister added that SingPost provides at least one month’s notice before closures and maintains automated touchpoints near closed branches to ensure continued service accessibility for residents.

Transcript

65 Mr Derrick Goh asked the Minister for Communications and Information regarding the closure of Singapore Post's only branch in Nee Soon (a) how does the Infocomm Media Development Authority assess the appropriateness of a SingPost branch closure; (b) what is the Government's expectation of the postal physical footprint of SingPost branches across Singapore; and (c) how can SingPost better balance business viability with the basic needs of residents who still require access to physical postal services.

Mrs Josephine Teo: In the past, consumers and businesses relied on post offices as physical touch points to buy stamps and mail letters and parcels. Today, most post and parcel transactions are already served through automated means and do not need to be done over-the-counter at post offices. For example, postage labels can be purchased at self-service automated machines (SAMs) and parcels can be dropped off or picked up at POPStations.

In addition, about 80% of transactions at post offices today are for non-postal services, such as passport collection and payment of bills, which can be completed through alternative means. Overall, the total number of transactions at post offices has also declined by 35%, from 10.3 million in FY2019 to 6.5 million in FY2022. These trends have been similarly observed at Yishun Central Post Office.

As I shared in Parliament in October last year, with the evolving post and parcel landscape, and changing business and consumer needs, SingPost has been reviewing its costs and operations as part of its business transformation.

This is so that it can better balance commercial sustainability while serving the public's postal needs. The closures of some of SingPost's post office network is part of this review and SingPost is required to ensure that the postal needs of the community will continue to be met through alternative means, such as the SingPost mobile app, SAM kiosks, POPStations and PO boxes.

I understand Mr Derrick Goh's concerns about the impact of the closure of the Yishun Central Post Office on his residents. As with other post office closures, SingPost will notify the public at least one month ahead of closure. Customers will also continue to have access to a SAM kiosk and POPStation near to the original post office.