Parliament: New Bill introduced to protect platform workers

A new Bill will aim to implement previously announced protections for platform workers in Singapore: Central Provident Fund (CPF) contributions, work injury insurance and a legal framework for representation.

The Platform Workers Bill was introduced in Parliament on Tuesday (Aug 6), about 1.5 years since its key provisions were first announced.

Platform workers include ride-hailing drivers and on-demand delivery workers serving apps such as Grab, Deliveroo and foodpanda. They numbered at around 88,400 in 2022.

The Bill will cover four key areas, said the Ministry of Manpower (MOM) in a press statement on Tuesday.

First, it will include measures to support the housing and retirement adequacy of these workers. This involves amendments to the CPF Act, said MOM.

The Bill will also touch on work injury compensation for platform workers, and strengthen both operators' and workers' "responsibilities to prevent injuries", said the ministry. This involves amendments to the Work Injury Compensation Act (Wica) and the Workplace Safety and Health Act.

Third, the Bill will include a legal framework for the representation of platform workers, with amendments to the Industrial Relations Act and the Trade Disputes Act.

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The Bill will also address the scope of companies and workers covered under the new legislation. Further details will be discussed at the second reading of the Bill, said MOM.

NTUC secretary-general Ng Chee Meng hailed the Bill as an "important milestone" for platform workers.

"(Our) associations would be able to negotiate collectively for them, better represent them in disputes, and provide them with better support services after the Bill is passed," he said in a press statement on Tuesday.

Platform workers are currently represented by three industry associations: the National Private Hire Vehicles Association, National Delivery Champions Association and National Taxi Association.

Plugging gaps

Singapore's moves are aimed at plugging the gaps that platform workers face in work safety and financial security, as they are presently deemed self-employed persons (SEPs).

While these workers are "just like employees", they have lacked basic job protections, then prime minister Lee Hsien Loong said at the 2021 National Day Rally.

Following this, an advisory committee was set up to study the shortfalls and made recommendations that the government adopted.

Under the recommendations, all platform workers and companies will need to make CPF contributions at the same rate as employees and employers, as long as the worker is aged below 30 in the first year of implementation. Those aged 30 and above that year can choose to opt in to the full CPF regime.

Platform companies will also be required to insure the workers to the same level that employees are covered under Wica.

A separate industry workgroup later recommended that platform workers be able to join representative bodies with similar powers to unions. As SEPs, platform workers have been unable to form unions.

In August last year, MOM also conducted a public consultation on designating platform workers as a separate legal class, distinct from employees and self-employed persons. This is similar to the UK, where an intermediate class of "workers" enjoys some but not all the protections and entitlements of employees.

This article was first published in The Business Times. Permission required for reproduction.