Forum: Strengthen enforcement, close loopholes to protect licensed F&B operators

Singapore’s F&B operators are grappling with rising rents, manpower shortages and higher costs. In such a climate, regulatory integrity is critical. Yet there appear to be growing instances of possible work permit abuse and irregular stall operations that undermine fair competition.

Some foreign nationals on work permits appear to be running food stalls independently, collecting business income through personal PayNow accounts and operating without valid stall licences. In other cases, the company name reflected on the stall licence, the PayNow QR code and the employer listed on the work permit do not appear to match. Such discrepancies raise legitimate concerns about whether enforcement is keeping pace.

When stall revenue is received in personal bank accounts rather than through properly registered business entities, this raises serious tax compliance questions, and gives unfair cost advantages over legitimate businesses.

Work permits are issued for specific employment under approved employers. They are not intended for self-employment or private business ventures.

Law-abiding hawkers and business owners pay levies, contribute to CPF for local employees and operate under valid licences. Those who follow the rules end up bearing higher costs while rule-breakers may gain an unfair edge.

The authorities should strengthen inter-agency coordination, including cross-checks between work permit records, stall licences and digital payment registrations. Tip-offs should be investigated promptly and consistently. Firm and visible enforcement will help restore confidence and ensure a level playing field.

Raymond Lim