On September 10, Singapore’s Parliament passed the landmark Platform Workers Bill, granting private-hire drivers, ride hailing drivers, and freelance delivery workers enhanced labor protections as a distinct legal category. Set to take effect on January 1, 2025, the bill introduces stronger safeguards for gig workers in three key areas: increased contributions to the Central Provident Fund (CPF), financial compensation for workplace injuries, and a legal framework for worker representation. Essentially, platform workers will not only receive higher contributions to the CPF savings scheme and standardized work injury compensation insurance but will also be allowed to form platform work associations with legal powers similar of that to trade unions, despite current laws preventing them from unionizing. The scope of the new law is expected to be reviewed in the future to potentially cover other platform services beyond ride-hailing and delivery (e.g., domestic cleaning, caregiving).
While the bill received support from lawmakers on both sides of the aisle, a range of issues, including implementation details, higher costs, and the long-term viability of platform work, were raised during the debate. Similarly, gig workers worry that the new benefits could mean lower earnings, with additional costs being passed on to them. The Ministry of Manpower acknowledged such concerns, citing that trade-offs will need to be made with the understanding that not all gaps in the platform space can be fully addressed by this legislation alone.
According to Senior of State for Manpower Dr. Koh Poh Koon, Singapore is one of the first countries to offer legal protections specifically for platform workers as a separate category. He pointed out that many other nations are struggling to address this issue due to the diverse and rapidly changing nature of the sector. For Southeast Asia, where the gig economy is expanding rapidly, Singapore’s move to offer legal protections for platform workers signal the need for more comprehensive labor reforms. Many countries in the region are still grappling with how to regulate platform workers, given the informal nature of much of the labor force. Singapore’s policies on this issue sets a precedent and may encourage more discussions around Southeast Asia's platform economy.
