Indonesia Doesn't Have to Follow Singapore's Platform Workers Law: Minister

TEMPO.CO, Jakarta - The Indonesian Manpower Ministry has responded to Singapore's recent ratification of a law governing informal workers, including online ojek drivers. The Ministry’s Director General of Industrial Relations and Social Security Development, Indah Anggoro Putri, said that such legislation does not necessarily have to be followed by other countries, including Indonesia.

The Singaporean law, which will take effect next year, aims to recognize and protect the rights of informal workers, such as ride-hailing drivers, private drivers, and freelancers who operate on online platforms. These individuals are collectively referred to as "platform workers."

“The fact that Singapore has enacted such a law does not imply that other countries, including Indonesia, are required to follow suit,” Putri told Tempo on Thursday, September 12, 2024.

Putri asserted that informal workers, often referred to as gig workers, have also been afforded protection by the Indonesian government. She emphasized that this is a prevalent issue, and the specific forms of protection can be found in various media outlets.

In addition, Putri mentioned Articles 10 and 11 of Government Regulation Number 35 of 2021 concerning the Fixed-Term Employment Agreement (PKWT). These articles stipulate that a daily Employment Agreement can be established. Such an agreement is valid only if the worker works for less than 21 days in a month.

If a worker works for 21 days or more for three consecutive months, the daily employment relationship is no longer applicable, and the employment relationship between the employer and the employee changes based on the Indefinite Term Employment Agreement (PKWTT). Article 10-11 further mandates that employers must fulfill workers' rights, including the right to participate in social security programs.

As reported by The Strait Time, the Platform Worker Law will become effective on January 1, 2025. This legislation will establish platform workers as a distinct legal category, differentiating them from both employees and self-employed individuals. This group will also receive increased contributions to the fund savings scheme, which will be adjusted to match the contributions made by employees and employers.

Platform operators will also be obligated to provide standard work accident compensation insurance policies that offer the same level of coverage as those provided to employees. Furthermore, platform workers, who are currently unable to unionize under existing laws, will be granted the right to form representative bodies known as platform workers associations. These associations will possess legal powers similar to those of trade unions.

According to Singaporean Senior Minister of State for Manpower Koh Poh Koon, Singapore is among the pioneering countries globally in providing legal protection for platform workers as a separate group.

HAN REVANDA PUTRA

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