Shops in Tanglin Halt Rather Lose Money Monthly Than to Close Down

By
George Yang
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How far would would you go to ensure that your employees stay employed?

An employer apparently lost $2,500 a month for three years just to ensure that her employees still have their job.

Here’s what happened.

Shops in Tanglin Halt Rather Lose Money Monthly Than to Close Down

An HDB shophouse with three shops were originally scheduled to be demolished next year.

The area was included in the Selective En Bloc Redevelopment Scheme (SERS) in 2014. The affected merchants were originally scheduled to return the shops to the Housing Development Board (HDB) by the end of March next year at the latest.

However, according to a letter sent by HDB to the merchants in early June this year, shophouses no. 47, 48, 49, and the market and hawker center at 48A on Tanglin Halt are included in the second phase of the redevelopment plan instead.

They will only be demolished after the neighbourhood centre is completed. This means that merchants can choose to renew their leases until March 2027 after their current leases expire.

You’d have thought they’ll do so, given that they’re losing money.

One of the shops is a beauty salon.

The owner of the beauty salon, which has been in business for a whopping 62 years, said that in order to preserve a piece of nostalgia and keep her three employees’ livelihoods, she has been subsidizing the business for three years during the pandemic, even though it’s been losing money.

Upon learning that HDB has decided to allow merchants to extend their leases for another three years, she is considering renewing for another year.

Why?

Rather Lose Money Than Lose Memories

When Shin Min Daily News visited the shophouses on Monday (3 July 2023), they found that many businesses in the three rows of shophouses were still operating.

Ms Chen, the owner of Alice’s Hair Salon and Beauty Salon located in No. 48, told reporters that she has been working here since she was 15.

The old shophouse holds too many precious memories, making it hard for her to let go. She said, “My children grew up here, and the shop was full of customers every day back then.”

But not now.

Business is not as good as it used to be. Ms Chen, who is now in her seventies, revealed that the beauty salon has been losing about $2,500 per month for the past three years. When asked why she insists on keeping the business open, she first thought of her three employees.

“One of the beauticians is in a difficult situation. Her husband passed away unexpectedly, leaving her alone to raise a special needs son. We also have part-time foreign workers. What will they do if we close down?”

Facing rising costs, Ms Chen and her husband had to use the allowance given by their children to barely keep the old shop going. With the business continuing to lose money and her physical strength gradually weakening, Ms Chen said she can only take one step at a time.

“All the other public houses around have moved, leaving only our three. It feels lonely. The business next door said they would consider renewing the lease, and I might also consider renewing for another year.”

52-year-old Chen Xiuli, the second-generation person in charge of the Hong An Pharmacy, which has been in business there since 1964, said that in March this year, she had already signed a contract to rent a new storefront at No. 38 Margaret Drive and plans to move next week.

“I’m still considering whether to renew the lease and run two stores at the same time. If I do renew, I might only provide traditional Chinese medicine consultation services at the old shop.”

She pointed out that the daily operation of the pharmacy requires four employees, and they are currently understaffed. Moreover, the customer flow at the old shop has significantly decreased. Given that the new location is near relatively near to this current location, she worries that the business at the old shop will be even worse after the new shop starts operating.

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George Yang
Email: [email protected]