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The National Trades Union Congress (NTUC) and its affiliated associations, the National Taxi Association (NTA), National Private Hire Vehicles Association (NPHVA) and National Delivery Champions Association (NDCA) advocates for the protection of platform workers in the following areas:
(a) Safeguard the Future - Ensure that platform workers have long-term financial adequacy
(b) Protect the Now - Ensure that platform workers have sufficient medical and injury coverage
(c) Better Representation – Ensure that platform workers’ interests are represented
Safeguard the Future - Ensuring Long-Term Financial Adequacy
Platform workers find it a struggle to plan for their long-term needs as they generally have modest incomes and are unable to determine the fees they charge for their service as these are dictated by platform operators, making them price-takers. Platform operators are also not required to make Central Provident Fund (CPF) contributions for their platform workers as platform workers are not considered to be employees. In addition, some platform workers find it challenging to make CPF contributions as it requires them to make the contributions themselves, as compared to employees whose CPF contributions are automatically processed by their employers. As a result, some platform workers do not have sufficient amounts in their CPF.
Thus, NTUC believes that it is critical for both platform workers and platform operators to contribute to CPF so that these workers can build up their financial adequacy for long-term needs, such as for retirement planning and housing needs. Should CPF contributions be implemented, there needs to be necessary support provided for platform workers through the transition period where CPF contributions are enforced so as to mitigate the impact on their take-home pay. Lower income platform workers’ earnings should also be given long-term support to supplement their income and boost their long-term financial adequacy. NTUC stands ready to work with the Government to ensure that sufficient support is provided to platform workers.
Protect the Now – Ensuring Sufficient Medical and Injury Coverage
Platform workers are vulnerable as they are unable to claim for work injuries under the Work Injury Compensation Act (WICA). Medical coverage provided by platform operators is currently inadequate and uneven, leaving little to no income support for platform workers if they are on medical leave. In a survey conducted by NDCA earlier this year among 302 delivery riders, out of the 21% who have made insurance claims with platform operators, about a third of them (36%) find that coverage is insufficient.
Hence, there needs to be adequate and consistent coverage provided by all platform operators for all platform workers. The coverage must cover medical expenses, loss of income, and unfortunate situations such as loss of life and total permanent disability.
Better Representation - Need to Better Represent Platform Workers’ Interests
As platform workers are not classified as employees, our associations do not have the same legislative powers as trade unions to represent them. It is crucial that platform workers are represented so that their key concerns are voiced out and negotiated on. NTUC and our affiliated associations have been calling for legislative backing to better represent these workers, whom we feel are subjected to a high degree of control by platform companies, so that we can collectively advocate and advance their interests. We want to represent our platform workers in the areas of fair structures, fair terms and fair processes because platforms’ gains in market share and margins cannot be at the expense of fair earnings to these workers.
Earlier today, NTUC had an #EveryWorkerMatters Conversations with over 40 female taxi and private-hire vehicle drivers to listen to their concerns, needs and aspirations. During the session, the drivers shared about the challenges they face as drivers, including saving up for their long-term financial needs and safety issues at work.
Ms Valerie Thong, a private-hire car driver of more than five years, shared, “As a mother to two children, being a private-hire vehicle driver offers me the flexibility to carry out my caregiving duties. With a family to feed, I am concerned about saving for my family and for long term needs like retirement and housing. I hope that there will be more support provided to help me save for the future. I also hope that platform companies will provide medical and injury coverage for their drivers so that we can be taken care of when we fall sick or get injured while working.”
Ms Yeo Wan Ling, Advisor to NTA, NPHVA and NDCA, said, “With NTUC as part of the Advisory Committee on Platform Workers, we have been having close discussions with various stakeholders on key issues that platform workers face in terms of financial adequacy for long-term needs, sufficient medical and injury coverage, and representing their interests. We hope that the recommendations that will be released soon will provide enhanced protection to platform workers and help them secure a better future. We encourage more platform workers to join in our conversations on how to better improve and protect your livelihoods, so that our associations can be strong voices to continue championing your interests.”