Timbre responds to criticism of its management of Yishun Park Hawker Centre

SINGAPORE: Timbre Group on Tuesday (Aug 26) responded to online criticism by food critic KF Seetoh about its management of Yishun Park Hawker Centre.

In a Facebook post last Saturday, Mr Seetoh bemoaned the operator's management of the hawker centre, including rents, closed-circuit television cameras and its fines.

Yishun Park Hawker Centre is one of several Socially-conscious Enterprise Hawker Centres (SEHCs) in Singapore. 

In its response, Timbre said: "We refer to recent social media posts on the management of Yishun Park Hawker Centre.

"We fully agree that without proper support, the hawker culture that is core to Singapore and Singaporeans may fade away. However, Timbre would like to clarify the facts raised."

RENTS

Mr Seetoh said that Timbre, a social enterprise, takes 15 per cent of total sales from "successful hawkers", otherwise they "pay basic rents and all sorts of fees".

"The (government) built it, paid Timbre to manage it, they collect rent and conveniently take 15 per cent from the successful hawkers. Not right," he wrote in his post.

Timbre said Yishun Park Hawker Centre operates under a gross turnover rental model where the rent varies according to the earnings of the hawker.

“This better share the risks and rewards between the operator and the hawker,” it added. This means that when earnings are low, a hawker pays lower rent, and vice versa.

Monthly rental is capped at S$2,550 (US$1,750), Timbre said.

“For some of our popular stalls, the effective rent relative to their turnover is therefore significantly lower than 15 per cent of their revenue,” said the operator.

The company added that the rent goes towards the operating revenue of the hawker centre, with 50 per cent of the operating surplus reinvested "towards the betterment" of the centre and stallholders.

Some of the surplus is also used for other measures, including regular weekend and "festive programming" for the community, as well as marketing campaigns to drive footfall.

In February, Minister for Sustainability and the Environment Grace Fu said in a written parliamentary answer that as of 2023, there were 12 SEHCs in operation and that the median stall rent was S$1,700.

Stall rents are proposed upfront by SEHC operators in their tender bids to the National Environment Agency (NEA) and operators are not allowed to vary hawkers' rent over their tenancy terms, or subject the stall rentals to bidding.

The median rent for all non-subsidised cooked food stalls in hawker centres managed by NEA has remained relatively stable at around S$1,250 between 2015 and 2023, said Ms Fu then.

CCTV CAMERAS

Mr Seetoh also claimed in his Facebook post that Timbre had installed CCTV cameras with "listening capabilities" in every stall to monitor sales and "ensure no one cheats".

In response to his claims, Timbre said the cameras are "useful" for verifying situations where a few hawkers were observed "not to conduct their transactions using the point-of-sales system", which made it harder to accurately determine the rent payable.

The cameras are also useful for safety and security, as well as resolving the occasional customer dispute, it added.

Timbre said that the CCTV cameras were installed in August 2024 following "repeated feedback" from residents on noise late at night.

It added that feedback on the noise had continued despite its reminder to hawkers to minimise noise during those hours.

"The CCTVs enable us to identify the potential sources of noise, so that we can better address residents’ feedback," said Timbre.

FINES A "LAST RESORT"

Mr Seetoh had also said that Timbre had a 25-page contract of rules and regulations, with a list of S$100 fines per violation.

Calling the list "scary", he compared it with contracts for stalls in hawker centres run by NEA, saying the latter is "restrictive enough yet leaves a lot of wiggle space for hawkers to thrive".

Timbre said in response that these charges are applied as a "last resort" to deter repeated non-compliance, after multiple verbal reminders and written notices are provided.

The group did not specify the amount hawkers would have to pay for non-compliance.

"We have clauses in our tenancy agreements to provide a clean and conducive environment for all hawkers to operate in, as well as to ensure compliance with other areas such as the personal operations of the stall and the proper hiring of additional manpower," it said.

"Non-compliance charges have been part of our tenancy agreements since inception to ensure fairness to all stallholders."

GAS SUPPLY, PIZZA OUTLET

Mr Seetoh also questioned why Timbre was not using a cheaper gas provider despite hawkers’ suggestions, and claimed there was a "forced loyalty app discount by the hawkers".

He also noted that Timbre operated its own pizza stall, claiming it deprived other hawkers of doing so.

In its statement, Timbre said that the hawker centre’s gas supply was provided centrally and secured through "competitive procurement".

“Nevertheless, to ease the overall burden of rising costs, Timbre had extended some discounts to all hawkers earlier this year,” it added.

The 10 per cent loyalty discount for diners via the Timbre app has been in place since 2017. Timbre said such a programme encourages repeat customers, which "eventually helps hawkers generate more business".

The cost of the app was fully borne by Timbre.

It said that Timbre Pizza formerly operated at One Punggol Hawker Centre and not Yishun Park Hawker Centre.

The outlet at One Punggol Hawker Centre ceased operations on Aug 17 as part of a "planned business and manpower restructuring exercise", it added.

"Timbre Group acknowledges the challenges faced by the hawker community and remains committed to supporting hawkers, addressing community concerns, and fostering open dialogue based on facts," it said.