Protection and Assistance Measures for Delivery Riders

Ms Yeo Wan Ling asked the Minister for Manpower (a) whether the Ministry monitors the average income and the number of self-employed persons (SEPs) working as delivery riders for food and parcel delivery platforms; (b) if so, how many SEPs are currently working as delivery riders and what is their average income; and (c) whether there are any differences in the average income for this group of SEPs in the past three years and, if so, what are the differences.

Ms Yeo Wan Ling asked the Minister for Manpower (a) whether the Ministry has examined the relationship of gig workers and their platform partners, in particular, workers being tied to employee-like relationships with the platform; and (b) whether there are intended studies on the impact of working on such platforms to the worker’s medical, housing and retirement adequacy and the role of platform partners in contributing to these safety nets for the worker.

Miss Cheng Li Hui asked the Minister for Manpower (a) whether there is data on the number of people who are doing gig work full-time; (b) whether platform gig workers can be considered for some form of medical and insurance benefits as well as annual leave; and (c) whether these workers need to clock in a minimum number of hours per week to qualify for any possible benefits.

Mr Sharael Taha asked the Minister for Manpower (a) whether the Ministry will consider (i) legislating workplace protection and benefits, (such as healthcare, paid/childcare/paternity/maternity leave) and contribution to CPF (including MediSave) for platform workers from their platform providers and (ii) the economic impact to the operating costs of business for these platforms; and (b) whether the Ministry will put in measures to ensure the increase in cost is not entirely passed on to consumers.

Sir, I thank Members for their questions following the Prime Minister's announcement at the National Day Rally that MOM will be studying the issue of self-employed persons and their relationship with the platform companies.

In 2020, about 190,000 persons were engaged in self-employment as their main source of income, of which about 79,000 worked with matching platform companies. Among such platform workers, about half are private-hire car drivers and one-third are taxi drivers. The rest are mostly car and light goods vehicle drivers who use delivery service platforms to obtain delivery work. From 2018 to 2020, the median monthly income of full-time employed residents in these three occupations ranged between $1,500 and $2,000.

To Mr Melvin Yong's question on the number of injuries and fatalities suffered by food and goods delivery riders, the number of fatalities has remained low. In 2019 and 2020, there were two fatalities each year. In 2018, the first year we started tracking this, there were zero fatalities. We do not currently have data on traffic-related injuries suffered by these delivery riders.

The work arrangements of platform workers can resemble those of employees. The platform companies set the price of their product, determine which jobs are assigned to which workers and manage how the workers perform, including imposing penalties and suspensions. Most platform workers earn a modest income, even before the impact of COVID-19, and may find it harder to afford housing, healthcare and retirement.

Because their contracts with platform companies are not employment contracts, they do not have basic job protections that most employees enjoy, such as work injury compensation, union representation and employer CPF. This is a concern as more people take up such work and some at a young age as well.

To look into strengthening protections for platform workers, specifically delivery workers, private-hire car drivers and taxi drivers, and ensuring a more balanced relationship between platforms and platform workers, an Advisory Committee will be convened. The committee will need time to consult widely with stakeholders and study these issues carefully before making its recommendations. The points raised by Members will be shared with the Advisory Committee, so that they can take them into account when studying the issues.

Thank you. I note through my Meet-the-People Session interactions with delivery riders that many have started to make longer-term financial arrangements, such as medical retirement insurance and the purchase of housing, especially with housing loans from HDB.

Given the instability of the evolving platform gig model with shifting incentive structures, they are worried about the long-term viability of their financial commitments. Would the Minister for Manpower consider looking into setting up longer-term safety nets for platform workers, with gig platforms taking on more responsibility for their delivery partners; and, perhaps, for more of the mature platforms, a certain guarantee of level of jobs received? I note, too, that many of the platforms are largely commercially viable due to compliance and cooperation of their delivery partners.

Sir, I think these are important considerations and stressors that our workers face. I am sure the committee would take that feedback from the Member into account and deliberate on this, striking a good balance between maintaining flexibility of work while ensuring some degree of protection and stability for their longer-term needs, whether it is housing or retirement.

The committee has not quite really begun its work, so, I do not want to prejudge their deliberations. But I think the Member's feedback will be useful. I do know that the Member is going to be on the committee. So, I hope she will bring this up as a point of discussion as well. We can deliberate on this further.

I thank the Senior Minister of State for the answer. I have met a number of brothers and sisters in Clementi who work in the gig economy, including as delivery riders. Sir, I have two supplementary questions.

First, Mr Speaker, can MOM share whether MOM will consider requiring the gig platforms to report instances of injuries, when the worker is injured in the course of their gig economy work? Although the fatalities are documented, as in the Minister's answer, for every fatality, there may have been a serious injury, a near-miss, some time before. This data would be useful.

The second question pertains to the workers who have lost their lives in the course of doing their gig economy work, as the Minister mentioned in his answer earlier. Does the Ministry have information on what compensation and support were provided to the families of these workers, who lost their lives? And was that support comparable to similar accidents taking place in delivery firms where the worker had an employee relationship with the employer?

Sir, I thank the Member for his two questions. Indeed, workplace injuries and the kind of compensation that gig workers may need to have are something that we will ask the committee to study further, relating to workplace injury compensation, for example. This is something which, today, under the Employment Act, other employees would have enjoyed. So, I think this is a serious issue, because these drivers do go around many places, sometimes many trips a day as well. They are constantly exposed to the risk on the road. Looking at how we can actually better protect them from workplace injuries and also compensation would be something that the committee would want to deliberate on.

On the second question, of those cases of fatality as a result of gig work, whether they do enjoy the same level of compensation, I am afraid I do not have information for that. Suffice to say that, today, they are not treated as employees. So, I would imagine the amount of compensation, if there is, would not be commensurate with what employees would probably get under the Employment Act as well.

So, again, these are issues that we will want to study further with the committee and in engagement with the platform companies as well, to see how they can also continue to function as a good employer, to be able to make their business sustainable, while ensuring a safer place but also attracting good workers to continue with them for the longer term.