What you need to know about the new platform workers law

Transport Correspondent A landmark piece of legislation that will place ride-hailing drivers and freelance delivery workers here in a distinct legal category of their own, and afford them greater protection, was passed by Parliament on Sept 10.

- Kok Yufeng

The new law will take effect on Jan 1, 2025. It will increase the amount of contributions paid into the Central Provident Fund (CPF) accounts of platform workers born after Jan 1, 1995, and older workers who opt in.

The law will also introduce a standardised work injury compensation regime for these workers, with the same level of coverage as employees.

Additionally, cabbies, privatehire drivers and freelance delivery workers known collectively as platform workers - will be able to bargain collectively through union-like representative bodies.

Here are the main features of the new platform workers law.

WHO WILL THE LAW COVER?

According to the new law, platform workers are those who provide ride-hailing or delivery services for an online platform, and are subject to the platform's control.

Based on Ministry of Manpower (MOM) data, there were about 70,500 platform workers in Singapore in 2023, making up about 3 per cent of the workforce. Of these, 22,200 were cabbies, 33,600 were private-hire drivers and 14,700 were delivery workers.

Platform operators, on the other hand, are defined as ride-hailing and delivery companies that exercise management control over their gig workers.

This means the companies use data to automate decisions and impose rules and restrictions on how their gig workers perform tasks.

While MOM was unable to immediately provide a list of companies that will fall under this definition, it has given clues in the past.

In 2023, when announcing the formation of a tripartite network to develop work injury compensation policies for platform workers, MOM listed 13 platform companies as being part of this network.