Platform operators, government to crack down on illegal work as recommended by trilateral group

Platform operators, government to crack down on illegal work as recommended by trilateral group


[SINGAPORE] Platform operators and the government will take stronger action against illegal activity that undercuts local platform workers, following recommendations from a trilateral group.

Six of the 10 recommendations from the group were about tackling illegal platform work, while the rest were for fairer and safer practices.

The recommendations will be adopted by all the platform operators engaged by the trilateral group and implemented in phases, given the “varying complexities” of the issues, said the Ministry of Manpower (MOM).

These operators are AmazonFlex, ComfortDelGro, Zig, Deliveroo, foodpanda, Gojek, Grab, Lalamove, Ryde and Tada.

Formed in July, the Platform Workers Trilateral Group comprises representatives from MOM, the Ministry of Transport (MOT), the National Trades Union Congress (NTUC) and Grab Singapore.

One recommendation is for the government and platform operators to work together to strengthen enforcement and set stringent punishments for abetting illegal platform work.

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Platform operators would have to notify MOM if they suspect platform workers are “subletting” their accounts to foreigners. Offenders’ accounts will be debarred across all platform operators for a minimum of 2 years.

Another recommendation is for stronger government enforcement against illegal point-to-point (P2P) rides, including higher penalties for violations.

Online platforms should be asked to take down apps or ads for unlicensed P2P trips, and the government’s ability to block or remove these should be strengthened.

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MOM notes that Grab’s participation in the workgroup “sends a strong signal” on platform operators’ commitment to working with the government and labour movement.

Illegal platform work

These recommendations come amid complaints about foreigners taking on platform work – a practice which is illegal, since the government does not issue such work passes.

MOM has been receiving about 50 such complaints annually in recent years.

There are two main ways that such errant foreigners do so: by misusing locals’ platform accounts or by being illegally employed by platform operators’ subcontractors.

But actual incidence of illegal platform work is low, based on MOM investigations.

Of 644 delivery workers checked in recent enforcement operations, only four were found to be working illegally. 

The majority of foreigners checked were either legitimate work pass holders employed under platform operators’ outsourcing arrangements or in-house delivery men for food and beverage and retail businesses, MOM said.

At a press conference on Thursday (Sep 11), Senior Minister of State for Manpower Koh Poh Koon said the checks were carried out at 31 hotspots based on intel from the National Delivery Champion Association (NDCA).

MOM will conduct more checks and take further action if it receives more such tipoffs, he added.

“The recent checks would have sent a strong signal out to the potential illegal workers out there that this is not the space they should wade in,” Dr Koh said.

Labour chief Ng Chee Meng added that beyond a deterrent effect, the enforcement actions also help provide assurance to platform workers that action is being taken.

Food delivery platform operators will also strengthen detection by doing randomised identity verification checks. For example, Grab conducts close to a million selfie verification checks each month and investigates about 10 cases for potential account misuse, Grab’s group managing director of operations Yee Wee Tang said.

As for illegal P2P services, Senior Minister of State for Transport Sun Xueling said the Land Transport Authority has stepped up enforcement following feedback from the public.

Since July, over 70 vehicles have been caught, most of which have been impounded and would likely be forfeited.

Under current laws, offenders face a fine of up to S$3,000 and six months’ imprisonment.

“We are considering increasing the penalties – increasing the fines, as well as extending the imprisonment term. This is to send a stronger deterrence signal,” said Sun.

She added that the authorities are considering banning those suspected of providing P2P services from entering Singapore.

However, she acknowledged that there is a consensus in Singapore and Malaysia that consumers desire more convenience, noting that discussions with her Malaysian counterparts are ongoing and “making some progress”.

“We will expect, building on the cross-border taxi scheme, for there to be a user-friendly app interface, but there will be other details that need to be worked out,” she said. One key consideration is ensuring cross-border taxis do not engage in illegal passenger services in Singapore.

Other related recommendations include raising awareness of the dangers of using illegal P2P services, and setting up dedicated channels for the public to report any suspected illegal activity.

Fairer and safer practices

The trilateral group’s remaining four recommendations pertain to practices for fairer and safer platform work.

Platform workers have voiced concerns about the lack of transparency in platform operators’ payment and incentive structures. Some end up working longer hours and potentially compromise safety in pursuit of uncertain earnings.

Another concern is competition from foreigners employed by outsourcing companies that serve platform operators.

The trilateral group has recommended that platform operators and platform work associations work together to develop a set of industry-wide principles for issues related to payment and incentive schemes.

They should also schedule meetings with platform workers to discuss key issues and address anxieties around income uncertainty.

Platform work associations will continue to encourage platform workers to prioritise and take care of their health and safety.

And food delivery platform operators that outsource jobs will provide more clarity to platform workers and encourage them to head to high demand areas.

In particular, Grab will give platform workers priority in pre-booking time slots in high-demand areas before opening them up to outsourced workers.

Adopted by all operators

A foodpanda spokesperson said the company welcomes the recommendations and takes a “zero-tolerance approach” towards fraudulent activity and account misuse.

Deliveroo said it will look to further increase the frequency and randomisation of facial recognition checks in the near term.

Foodpanda added that it has worked with platform work associations and fellow platform operators to develop a set of principles to guide fair earnings and safe incentive schemes.

Its compensation structure is publicly available on its pandarider website and updates are communicated across multiple channels, it added.

MOM noted that the trilateral group’s efforts are made possible by the representation framework for platform workers set out in the Platform Workers’ Act, which took effect from Jan 1.

NTUC-affiliated platform work associations – the NDCA, National Taxi Association, National Private Hire Vehicles Association – have played a critical role in highlighting and addressing concerns raised by their members, the ministry said.

Asked about the timing of these recommendations, Dr Koh said the trilateral group’s work is a continuation of the work done in the lead up to the passing of the Platform Workers’ Act, which has helped create avenues for engagement between platform workers and operators.

It is a next step after dealing with other challenges faced by platform workers, including long-term housing adequacy, which led to mandatory Central Provident Fund contributions, as well as work injury coverage, added Ng, who is also NTUC secretary-general.



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