Singapore Passes Bill Recognizing Platform Workers for Delivery and Ride-hailing as Distinct Labor Class

TEMPO.CO, Singapore - Cab drivers, freelance delivery workers, and drivers-for-hire who depend on online matchmakers for their income will have greater labor protections in Singapore starting on January 1, 2025, as a result of a landmark Bill passed by Parliament on September 10 that establishes them as a separate legal class apart from self-employed people, according to The Straits Times.

Known as platform workers as a group, these 70,500 individuals will receive higher payments to the Central Provident Fund (CPF) savings plan, in line with what employers and employees now pay.

Additionally, platform operators will have to give them uniform insurance policies for work-related injuries that match the same degree of protection as for workers.

Furthermore, platform workers who are currently unable to organize unions will have the ability to create representative organizations known as platform work associations, which would have comparable legal rights to trade unions.

This will provide them access to numerous channels of redress, including the right to strike if the decision is thought through and justified, and enable them to negotiate and sign legally enforceable collective agreements with operators.

Congressmen from both parties supported the Platform Workers Bill, which was the product of a three-year process that started in 2021.

Over the course of two days, 26 MPs expressed support for the measure while bringing up a number of concerns. Of particular importance were the implementation specifics and the increased expenses that will arise from the increased protection.

According to Senior Minister of State for Manpower Koh Poh Koon, Singapore is one of the first countries in the world to give platform workers statutory protection as a separate class.

Given the diverse and often changing nature of the industry, he pointed out that many other nations are struggling with this as well.

Dr. Koh stated that the policy solutions might not be ideal, pointing out the difficulties in putting the new platform workers law into practice.

“We will have to make trade-offs and accept that not all issues and gaps in the platform space can be fully addressed through this legislation alone,” he added, as quoted by The Straits Times.

Dr. Koh gave an example of these trade-offs by pointing out that while MPs had voiced worries about the greater expenses associated with the new law, they had also urged for stronger protection, which would have increased prices even more.

“I raise this observation to make the point that where we have landed at this Bill today is a careful balance of the interests of the various stakeholders involved,” he said.

According to Mr. Xie Yao Quan from Jurong Group Representation Constituency, platform job offers little opportunity for professional promotion and income progression. He recommended use the new law's collective bargaining system to advocate for platform workers' salary, employment, and skill ladders.

“It will be challenging, and there is no precedent around the world. But if there is anywhere in the world that can take a shot at this and do this, it is in Singapore,” he said.

TEMPO.CO | THE STRAITS TIMES

Editor's Choice: Pope Francis Arrives in Singapore, Concludes Asia-Pacific Apostolic Journey

Click here to get the latest news updates from Tempo on Google News