SINGAPORE: A trilateral workgroup is being formed to address the issue of foreigners performing delivery jobs illegally, the National Trades Union Congress (NTUC) said on Friday (Jul 4).
“Urgent action” is needed as this creates unfair competition for delivery workers, and it has a direct impact on their earnings, NTUC said.
The workgroup will involve Grab Singapore, the Ministry of Manpower (MOM) and the Ministry of Transport (MOT), who will work with NTUC and its affiliated associations.
It will be overseen by Senior Minister of State for Health and Manpower Koh Poh Koon, Senior Minister of State for National Development and Transport Sun Xueling, NTUC Secretary-General Ng Chee Meng, and Grab Group Managing Director of Operations Yee Wee Tang.
The group will collectively address platform workers’ challenges and safeguard their well-being in view of the rapidly evolving economy, MOM and MOT said in a joint statement on Friday.
The ministries added that they are exploring bringing other platform operators into the discussions subsequently.
“As the key player in the local platform economy, Grab’s proactive participation sends a strong signal on the commitment of platform operators in collaborating with the government and NTUC to address salient issues.”
Following the Platform Workers Act being passed in September 2024, NTUC and its affiliated platform work associations have continued to advocate for platform workers on a variety of platforms, the union said.
Issues raised include concerns about certainty in platform workers’ earnings, safety concerns, as well as competition from illegal hitch service providers, NTUC said.
It noted that it has received feedback that some delivery jobs are being performed by foreigners illegally.
“Some of these foreigners illegally take on delivery jobs directly on platforms by misusing accounts,” NTUC said.
It also noted reports of some foreigners performing delivery jobs illegally without work permits.
“This creates illegal or unfair competition for our delivery workers, and it has a direct impact on their earnings.”
Concerns about the illegal use of delivery accounts have been raised previously. In 2023, CNA found multiple listings on online marketplace Carousell advertising Deliveroo and foodpanda rider accounts for sale.
Platform work can only be undertaken by Singaporeans, the union said on Friday.
Platform operators can outsource delivery jobs to companies that hire foreigners, but these foreign workers will need to have work permits.
The issue of illegal competition comes on top of other challenges that platform workers already face, NTUC said.
For example, platform workers may face issues related to income stability and assurance.
These platform workers can be subjected to incentive schemes that encourage longer working hours, which can lead to safety issues, NTUC said.
The type of jobs allocated to them on platform apps is also uncertain, which leads to a lack of clarity on their earnings.
This can cause them to grapple with a lack of income security, the union said.
It also noted the issue of illegal hitch services, such as unauthorised ride-hailing services operating through messaging apps like Telegram which directly impact workers’ earnings.
“These illegal services undercut legitimate platform workers’ job opportunities, creating unfair competition that affects workers’ ability to earn sustainable earnings,” NTUC said.
NTUC Secretary-General Ng Chee Meng said that platform workers are vulnerable as they face a variety of challenges in making a living.
“It is not right that they suffer from reduced earnings due to competition from illegal workers,” Mr Ng said.
“That is why I am calling for a trilateral workgroup to address this issue and other challenges that our platform workers face. Our platform workers must be treated fairly as they make an honest living.”
Mr Ng, who met with platform workers on Friday morning, also said on Facebook that many had shared concerns on issues such as uncertain earnings, illegal hitch services and job competition.
“These are not new, but they are growing more urgent,” he said.
The labour chief said NTUC and its associations had made progress, successfully advocating for the Platform Workers Act, which came into effect this year.
“Five major platforms now recognise our associations, giving workers stronger representation and proper dispute resolution channels,” he said. “But more must be done, and quickly.”
“I have asked for a senior-level workgroup to be set up to tackle the issues,” said Mr Ng.
“NTUC and our three associations will work with Grab (and other platforms), MOM and MOT to find win-win solutions for our platform workers.”
MOM and MOT said that the Platform Workers Act has allowed platform workers to organise themselves into platform work associations (PWAs), with platform operators like Grab giving the associations recognition
The trilateral group can provide a regular platform where the government can support partners in their efforts to resolve issues that may require regulatory interventions by the government, the ministries said.
“In this way, we build a strong relationship between platform operators, PWAs, platform workers and the government, to support platform workers.”
In a statement on Friday, Grab said it is committed to working alongside the government, NTUC and other platform operators to safeguard the livelihoods of platform workers and create solutions to stamp out illegal delivery services.
“Grab has measures in place to prevent foreigners from registering as platform workers, and we will work as a trilateral group to share and co-develop best practices to protect platform workers,” it said.
“Together, we will support the development of a sustainable platform economy that continues to deliver value to both platform workers and consumers.”