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GRAB, DELIVEROO AND FOODPANDA JOIN HANDS TO LOOK INTO BEST PRACTICES, WORKERS'
HEALTH AND SAFETY


This development comes as the Advisory Committee on Platform Workers enters the
latter stages of its deliberations. FILE PHOTO: LIANHE ZAOBAO
Kok Yufeng
Transport Correspondent
Updated
5 Hours Ago
Published
10 Hours Ago
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Purchase Article Copy permalinkCopy to clipboard
https://str.sg/wRFU


SINGAPORE - Ahead of possible changes to the law to give platform workers
greater protection, three major food delivery companies here - Grab, Deliveroo
and foodpanda - have joined forces to set up an industry association to
represent digital platforms.

Breaking from the typically cut-throat competition seen among e-commerce and
online service platforms, the launch of the Digital Platforms Industry
Association (DPIA) on Thursday (Aug 18) will see the three firms acting
collectively to strengthen the industry's practices and raise standards, they
said.

It is unclear what impact the move will have on competition, and thus consumers.



The association said it plans to identify areas for improvement and work with
the Government and other stakeholders to create solutions that "reflect the
voices of its delivery partners and merchants".

It also intends to introduce an industry code of practice that will incorporate
best practices and principles relating to the health and safety of food delivery
workers, added the firms.

This development comes as the Advisory Committee on Platform Workers enters the
latter stages of its deliberations.




Set up by the Manpower Ministry in September last year, the committee was tasked
with looking for ways to better protect workers who rely on digital platforms
for income, It has been discussing the issue with individual platform companies.

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Recommendations on how to improve retirement and housing adequacy, work injury
compensation and bargaining power for cabbies, private-hire car drivers and
freelance delivery workers are expected to be announced later this year.

Should the Government accept these recommendations, there could be legislative
changes - such as to the Central Provident Fund (CPF) Act to require platform
companies to make CPF contributions, and the Work Injury Compensation Act so
that it covers platform workers.

In response to queries from The Straits Times, the association said its members
will still engage individually with the advisory committee, as well as the
Government and the National Delivery Champions Association, as each company has
its own business model and interests.



There are no plans for wider data sharing between members.

Instead, the association wants greater collaboration across the industry, said a
spokesman.

"DPIA members are committed to working together to find common ground in the
spirit of improving the platform ecosystem," she added, without giving further
details.

On whether the setting up of the association could affect competition or create
conflicts of interest among its members, the association said it will comply
with the rules of the Registry of Societies as well as the Competition Act in
Singapore.

In a joint statement on Thursday, Grab, foodpanda and Deliveroo said the
association will help to consolidate the expertise of the three companies and
shape the development and growth of the digital platform industry within
Singapore's economy.

The three had teamed up in March to conduct a joint survey of 4,200 food
delivery riders in Singapore - the first poll of its kind here.

More On This Topic
Food delivery war in S'pore hots up even as some players drop out
Delivery set to remain an essential part of business for restaurants even
post-pandemic

Senior Minister of State for Manpower Koh Poh Koon told Parliament last month
that the Workplace Safety and Health Council is working with food and goods
delivery companies here to review their work processes after five delivery
platform workers were killed in traffic accidents over an 18-month period.

Grab, foodpanda and Deliveroo said: "DPIA's founders believe that creating real
and sustainable change requires consistent support from all stakeholders."

While the initial focus of the association is on food delivery, there are plans
to expand membership to other sectors, such as ride-hailing or goods delivery.

The association's executive committee will allow for equal representation of
each member and Its first president is Mr Jason Parke, general manager and head
of operations at Deliveroo Singapore.

"The platform economy has been constantly evolving over the last few years,
introducing more ideas that have changed the way we live and work," it said.

"Having a dedicated association allows the industry to come together to work on
and respond to these ever-changing needs."

More On This Topic
Ride-hailing and delivery jobs are here to stay - let's make them work
Gig workers in S'pore need more structural support: Observers

Last year, the total gross merchandise value for food delivery in South-east
Asia hit a new peak of US$15.5 billion (S$21.4 billion), according to a report
by venture builder Momentum Works.

This was a 30 per cent increase from 2020's high of US$11.9 billion, which came
on the back of a surge in demand following Covid-19 restrictions that led to
people staying in and ordering takeout food.

According to Hong Kong-based data platform Measurable AI, Grab led the food
delivery market in Singapore last year, averaging 53.5 per cent market share,
followed by foodpanda at around 38 per cent market share and Deliveroo, at about
11 per cent.


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