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Price increase coming - newspapers

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Alfrescian (Inf)
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Newspaper vendors grapple with rising costs and manpower shortages​

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Representatives of two newspaper associations attending a dialogue session with Ang Mo Kio GRC MP Gan Thiam Poh (centre), who is an adviser to one of the groups, on Oct 30. ST PHOTO: JASON QUAH
Tham Yuen-C

Oct 30, 2023

SINGAPORE - Two associations, representing the majority of newspaper vendors and distributors in Singapore, came together on Monday to discuss business challenges due to rising costs.
The Singapore News Vendors’ Association (SNVA) and Singapore Newspaper Distributors Association (SNDA) said rising costs and falling print subscriptions have eaten into their earnings.
This has resulted in stagnant pay for their workers who have been earning between $200 and $700 a month for about four hours of work a day, they said.
Compounding the problem is the increasing competition for workers from delivery platforms such as Grab and foodpanda, they added.
The two associations had come together for a discussion with Ang Mo Kio GRC MP Gan Thiam Poh, who is adviser to SNDA, to discuss possible solutions.
Mr Jaya Kumar, president of SNVA, and Mr Eric Tan, president of SNDA, said they are considering an increase in newspaper delivery fees to help cover some of the vendors’ operating costs, and will be approaching SPH Media to discuss it.
The delivery of SPH Media’s newspapers and magazines is managed by 390 newspaper vendors, said SPH Media.

These vendors are paid a commission by SPH Media based on the number of newspapers that they deliver, and they also collect a delivery fee from each subscriber. Subscribers pay $3, $4 or $5 per month for delivery, depending on residential type.
The monthly delivery fees that SPH Media collects from the subscribers are paid entirely to the newspaper vendors every month, said a spokesman for the media company in response to queries.
On Monday, the two associations said the fees have been adjusted only twice since 1994. The last time was in 2013.

Mr Senthil Murugan, 52, a third-generation newspaper vendor who was at the meeting, said falling print subscriptions have made it difficult for vendors to break even in some areas. They now have to cover many more blocks to achieve the same number of copies, and require more delivery workers, he said.
Changing consumption habits after the Covid-19 pandemic have also meant a greater shift towards digital and online products.
Rising costs and inflation have also pushed up business costs, said the nine vendors at the meeting.
Mr John Ho, 64, a newspaper vendor for over 20 years, said high certificate of entitlement prices and petrol and diesel prices have also increased cost pressures.
This is because vendors rely on motorcycles and vans to deliver newspapers to various areas before these are dropped off in letterboxes or at doorsteps.
Salary costs have also gone up, said Mr Tan, despite delivery volumes going down.
The two associations, who represent some 350 vendors employing about 2,000 workers, said they hoped that increasing delivery fees would help to alleviate the situation.
They added that they were still in discussion about the quantum of the increase and would approach SPH Media for talks after they consult with members.
Mr Gan said the vendors are hoping that delivery fees can go up some time in 2024, and that he hoped they can work with the media company on this.
The SPH Media spokesman said that delivery fees, collected from subscribers as part of the subscription, are calculated based on “the costs and economic situation”.
To help vendors cope with the fall in income and rising costs, SPH Media has started giving them a subsidy of $3 per month for each doorstep delivery to a direct subscriber since October 2022.
“The newspaper vendors are our valuable partners, and we will look into the feedback and concerns shared by the vendors and the vendor associations,” said the spokesman.
 
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