SPEECH DURING 2ND READING OF THE POSTAL SERVICES BILL BY PATRICK TAY TECK GUAN, MP FOR PIONEER SMC ON 5 APRIL 2021

Mr Speaker, Sir, I rise in support of this Bill, which amends the Postal Services Act. The amendments are a timely response to the evolving postal landscape, due to the growth in e-commerce deliveries, and accelerated by the COVID-19 pandemic.

Changes in the Postal Landscape

During the circuit breaker period last year, there was a sharp decline in face-to-face social interactions. As a result, many had resorted to purchasing parcels and gifts online to be couriered to friends and/or extended family, as a means of keeping in touch with them. We also witnessed an increase in purchases made through e-commerce platforms, for work-from-home equipment (such as monitors, desks, chairs etc) and also essential items and groceries for household needs and use. If not for the instrumental role that the postmen and last mile delivery personnel played then and continue to play today, we would not have been able to receive our purchases and/or parcels from our friends and loved ones in a timely fashion.

Existing Problems with Doorstep deliveries

However, as circuit breaker measures were lifted, and people started commuting more, there was a corresponding increase in failed doorstep deliveries. This has practical implications for the postal and logistics service providers as repeated deliveries have to be made, which is a drain on both time and resources. For recipients of the parcels, they would be inconvenienced if they needed the items urgently.

On my end, I also faced an issue for such deliveries. Just last month, my family had purchased a product from an online seller which cost less than $50. It was for an urgent use and we even paid for a special delivery package by Singpost for the item to be delivered to my home. On the day of expected shipment, even though the parcel was tagged and traced as delivered and I received a notification of the delivery, we eventually did not receive the item from Singpost. We contacted the seller and he said he checked and Singpost said they had delivered. I then had to contact Singpost to inform them that we did not receive the items and that it was for urgent use. The investigation took more than three days and we had to go ahead to make a repurchase due to the urgency. On the fourth day, we were told by Singpost that their postman had mailed the product to the wrong address. There was little recourse for me, as the seller who had paid Singpost to carry out the delivery was supposed to be the correct party to file a complaint and/or claim with Singpost, even though I had already paid the seller for the product. Legally, I needed to file a claim with the seller who in turn needed to counterclaim with Singpost for the negligent act.

The multiple parties and various payments involved in this transaction made the recovery of that product or any ensuing claims a cumbersome exercise. I did not pursue the matter and had to settle with two sets of the same product. I believe I am not the only one faced with such a problem. Some online companies/platforms do a better job by not releasing funds to the seller until the buyer receives the item. Such is the nature and challenge for e-commerce and online purchases. A serious situation of ‘caveat emptor’. Perhaps the postal authority should re-look at such scenarios and establish better mechanisms for dispute resolution or mandate the way transactions are carried out so that buyers and consumers are not left with little or time-consuming recourse as many of these items may be of small or lower-value purchases.

Support for the Amendments to the Act

It is against this backdrop that I applaud the Bill which seeks to expand the scope of IMDA’s exclusive privilege to include the installation and ownership of the Public Parcel Locker Network (the “Network”). There will also be powers for IMDA to appoint an operator for the installation, operation, and maintenance of the Network.

I understand that the Network will be implemented in certain areas, namely, HDB estates, bus interchanges, train stations and/or community clubs managed by the People’s Association. With the Network, postmen and delivery persons will deposit the parcels directly at the Network, for residents’ collection at their convenience. The Network will cater to the growing demand of e-commerce purchases, while simultaneously alleviating the problem of failed doorstep deliveries.

While the Bill is no doubt commendable, I have some queries for the Minister, which may be broadly categorised into the following areas: -

(a) security issues associated with the Network;

(b) convenience and/or public policy matters; and

(c) employment issues arising from the development of the Network.

Security Issues

From a security perspective, how would the Network be implemented? Would the Minister be able to share some of the technological safeguards in place to ensure that the parcel is not tampered with, given that multiple service providers have access to the same parcel box? Perhaps we could consider the installation of additional CCTVs? These are security issues which are less prevalent in the context of traditional letter boxes, where postmen simply slot letters into the letter boxes, and only residents who have the keys to their letter boxes can collect the said letters.

Additionally, in cases of pilfering (be it by delivery personnel, pranksters and/or others who have access to the parcel boxes), who shall be liable for such losses, and what recourse do the rightful owners have?

Further, we also note that certain prescribed classes of parcels will be prohibited from being placed in the Network for safety reasons. While there are powers conferred upon the Network Operator, the Police and IMDA to search, open and seize such parcels, however, how shall this be monitored and/or enforced practically, given that most of the parcels are usually packaged before being delivered? We need to ensure the safety of our postmen and residents who deliver and collect such parcels.

Convenience and/or Public Policy Matters

Next, the Network is presently to be established at HDB estates and/or public areas. While residents living in HDB estates will no doubt stand to benefit from this initiative, are there plans to extend the same to those living in private estates and condominiums? Some private estates/condominiums are within proximity to HDB Housing estates, and some may be keen to have these parcel boxes in their own precincts.

Additionally, how will MCI/IMDA provide the necessary support to residents, in particular, senior citizens to facilitate such transition and especially when the packages may be heavy and the intent for home delivery is to minimise the challenges of carrying the heavy load?

Employment Issues arising from the development of the Network

Finally, from an employment perspective, while I am confident that the Network will make the jobs of our postmen as well as last mile delivery personnel less strenuous due to failed and repeated deliveries, it will also bring about a fresh set of challenges for our postmen and delivery personnel, such as adapting to technological advancements (such as enhanced tracking, electronic signatures etc) and picking up new skill sets to multi-task and multi-skill. I am also particularly concerned about the wages, welfare and work prospects of these postal and delivery personnel. In particular, the overall attractiveness of this sector which continues to play a crucial role as we navigate the pandemic, thrive in the next normal of a low touch economy and grapple with an ageing population.

I would like to take this opportunity to encourage employers to take a keen interest in the upskilling and retraining of workers and to transform and strengthen the image and professionalism of this industry as well as for our workers to continue to stay able, agile, and adaptable, even as Singapore forges ahead with digital transformation. On NTUC’s end, we are committed to working with companies, through the development of Company Training Committees, to ensure that our postmen and last mile delivery workers are adequately trained to perform their delivery roles once the Network is established.

I submit that regulators and employers of these postal and last mile delivery workers to raise their wages, welfare, and work prospects as they are essential workers in the next normal of a low touch digitalised economy.

Sir, clarifications notwithstanding, I stand in support of this Bill.