Rivals join forces to transform gig economy

Three digital platforms have form an unlikely alliance

Rivals join forces to transform gig economy

As debate around the gig economy heats up in Singapore, three of Singapore’s biggest digital platforms have formed an unlikely alliance in a bid to strengthen their influence as the government considers laws to support gig economy workers.

In June, Deliveroo, Foodpanda and Grab incorporated the Digital Platforms Industry Association (DPIA) and through a statement released earlier this week announced their plan to strengthen guidelines and policies that support their delivery partners and merchants.

There has been growing pressure not just in Singapore, but globally as governments around the world consider policies that protect gig workers. As the food delivery industry expands rapidly in Singapore, there has been an increasing number of complaints from drivers around the region, prompting government officials to call for better health and safety standards and perks for gig workers that are traditionally only offered to employees.

Read more: Gig economy gaining ground in Singapore

A joint statement released by the three companies read: “As an industry representative, DPIA will tap on the expertise and experience of its member platform companies to enhance industry best practice and support Singapore’s digital economy.”

“For platform companies, the well-being of our delivery partners and merchants across the marketplace is paramount. That’s why DPIA was established – to consolidate the deep industry expertise of platforms and shape the development and growth of the industry within Singapore’s national economy,” the statement read.

Critics and employment rights advocates have slammed organisations such as Deliveroo, Grab and Foodpanda for taking advantage of labour rights by having people work for them but not taking on all the responsibilities of a traditional employer.

According to a survey by the National University of Singapore’s Institute of Policy Studies 29% of delivery driver gig workers work more than 59 hours per week even though labour laws in Singapore limit the work week to 44 hours.

Delivery driver roles are marketed by companies as a side hustle that can fit around their lifestyle, but people in these roles are under pressure to hit targets to earn a significant wage but sometimes hitting those incentives requires drivers to work long hours that ultimately inhibit the freedom promised to them has adverse effects on their health and safety. Digital platforms have also used incentives and penalties to manage driver behaviour, nudging them toward certain modes of operation and further limiting the freedom they have.

Read more: Singapore workers weigh in on gig economy

The DPIA statement said they are also working with the Workplace Safety and Health Council (WSHC) on guidelines for platforms and employers to boost road safety practices among delivery partners.

In the coming months, DPIA said it will identify areas of improvement and collaborate with the government and industry stakeholders such as the Singapore Business Federation (SBF) and Singapore National Employers Federation (SNEF). It will create solutions that reflect the voices of its delivery partners and merchants, both of whom are core to platform companies’ operations.

In addition, DPIA intends to launch an industry code of practice to be adopted by its members. The code will incorporate industry best practices and principles relating to health and safety of its delivery partners and merchant development.

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